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Enterprises Face Challenges in Scaling AI Agent Adoption

August 25, 2025•Lindsey Wilkinson•Original Link•2 minutes
AI Agents
Enterprise Technology
Governance

CIOs from companies like PepsiCo and Principal Financial Group are navigating governance and security hurdles to accelerate AI agent deployment.

Governance and Security Remain Top Concerns

CIOs across major enterprises, including PepsiCo and Principal Financial Group, are grappling with the challenges of implementing AI agents at scale. While pilot programs have surged from 37% to 65% in recent months (per KPMG's survey), widespread deployment remains at just 11%. Key hurdles include:

  • Governance gaps: Traditional frameworks struggle with AI's nondeterministic nature
  • Security risks: Gartner predicts agents could accelerate cyber threats
  • Technical immaturity: Vendors lack interoperability and scalable controls

Sara Duffer of AWS discussing AI security

Enterprise Approaches Vary

PepsiCo's Athina Kanioura emphasizes developing internal policies amid absent government standards, while Lowe's Chandhu Nair cautions:

"We are taking a very cautious approach knowing the technology is early"

Other examples:

  • Expedia Group: Partnered with OpenAI but remains skeptical of agent hype
  • Ulta Beauty: Focused on foundational work before widescale implementation

Change Management Critical for Workforce Adoption

Employee concerns persist about:

  1. Lack of human oversight
  2. Accountability for errors
  3. Potential bias

Principal Financial Group's Kathy Kay uses training to build trust:

"We talk about our enterprise risk AI framework so employees understand our governance"

Kathy Kay portrait

Looking Ahead

  • Gartner predicts 40% of agent projects will fail by 2027
  • Early adopters report productivity gains (PwC found 26% budget increases planned)
  • EY's Joe Depa stresses: "We need to certify agents are acting responsibly"

As PepsiCo's Kanioura notes, collaboration is key: "Sharing best practices pushes the tech community to develop real solutions."

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August 24, 2025•Unknown

AI Agents Drive Demand for Secure Enterprise Browsers

Palo Alto Networks CEO highlights the growing need for secure browsers as AI agents increase cybersecurity risks, with strong demand for Prisma Access Browser.

Cybersecurity
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About the Author

David Chen

David Chen

AI Startup Analyst

Senior analyst focusing on AI startup ecosystem with 11 years of venture capital and startup analysis experience. Former member of Sequoia Capital AI investment team, now independent analyst writing AI startup and investment analysis articles for Forbes, Harvard Business Review and other publications.

Expertise

Startup Analysis
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Experience
11 years
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200+
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