Agentic AI adoption surges despite high project failure risks
KPMG reports rapid agentic AI deployment growth as Gartner predicts over 40% of projects will fail by 2027 due to cost and complexity issues.
style-photography via Getty Images
Key Findings:
- 33% of organizations have reached full-scale agentic AI deployment - a 3× increase from previous quarters (KPMG)
- 57% are piloting agents (down from 65%), while 10% are exploring adoption
- 40% of projects predicted to fail by 2027 (Gartner) due to costs, unclear value, and risk control issues
Implementation Challenges:
- Top barriers: Technical skills gaps (32%), workforce resistance (28%), system complexity (22%)
- "Agent washing" concerns: Vendors rebranding existing products as agentic AI without substantial upgrades
- Major players like Microsoft, Salesforce, and Oracle entered the market in 2024
Strategic Approaches:
- 46% of leaders focus equally on efficiency and revenue growth
- Rising concerns about data privacy (38%), regulatory issues (29%), and data quality (33%)
- Accounting firms like KPMG and Deloitte developing proprietary solutions
Expert Warnings:
"Most projects are early experiments driven by hype... Organizations need strategic decisions about where and how to apply this technology" - Anushree Verma, Gartner
Survey based on 130 U.S. business leaders from $1B+ revenue companies
Related News
Zscaler CAIO on securing AI agents and blending rule-based with generative models
Claudionor Coelho Jr, Chief AI Officer at Zscaler, discusses AI's rapid evolution, cybersecurity challenges, and combining rule-based reasoning with generative models for enterprise transformation.
Human-AI collaboration boosts customer support satisfaction
AI enhances customer support when used as a tool for human agents, acting as a sixth sense or angel on the shoulder, according to Verizon Business study.
About the Author
Alex Thompson
AI Technology Editor
Senior technology editor specializing in AI and machine learning content creation for 8 years. Former technical editor at AI Magazine, now provides technical documentation and content strategy services for multiple AI companies. Excels at transforming complex AI technical concepts into accessible content.