GenAI’s New Era: Companies Ditch Experiments for Big Investments!

In a groundbreaking study, NTT DATA, a leader in digital business and IT services, has unveiled a pivotal shift in how organizations worldwide are approaching Generative AI (GenAI). The report, which surveyed over 2,300 IT and business leaders across 12 industries and 34 countries, highlights a significant transition from experimental use to strategic investments aimed at driving performance and innovation.

Key Insights from the NTT DATA GenAI Report

Global Anticipation and Investment

• CEO Expectations: A staggering 97% of CEOs globally foresee a substantial impact from GenAI, underscoring its transformative potential.
• Investment Plans: An overwhelming 99% of organizations worldwide, with India leading at 100%, are planning further investments in GenAI technologies.
• Infrastructure Challenges: Despite the enthusiasm, 90% of respondents cite legacy infrastructure as a barrier to effective GenAI implementation.

Strategic Use Cases and Industry Applications

The report, titled “Global GenAI Report: How Organizations are Mastering Their GenAI Destiny in 2025,” reveals that nearly all surveyed leaders have already invested in GenAI. Notably, 83% have established expert or robust GenAI teams. Key use cases include:

• Personalized Service Recommendations and Knowledge Management
• Quality Control
• Research and Development (R&D)

In India, the focus extends to risk assessment, fraud detection, and process automation, highlighting the diverse applications of GenAI across different regions.

Leadership Perspectives

Yutaka Sasaki, President and CEO of NTT DATA Group emphasizes the transformative nature of GenAI: “The future is clear. Generative AI is more than just another tool – it’s a transformative force. As we move beyond experimentation, a tension emerges: move too fast, and we risk unintended consequences; move too slow, and we fall behind. Getting GenAI right isn’t optional.”

The C-Suite’s Vision for GenAI

Two-thirds of C-suite respondents believe GenAI will be a “game changer” in the next two years, enhancing:

• Productivity and Efficiency
• Sustainability
• Compliance and Business Processes
• Security and Employee Experience

In India, the focus is on maintaining competitiveness, accelerating innovation, and driving revenue growth.

Strategy and Transformation

A cycle of consolidation and integration of GenAI technologies is underway, with focused spending plans replacing scattered experimentation. Key findings include:

• CEO Impact Expectations: 97% of CEOs anticipate a material impact from GenAI, with 70% expecting significant transformation by 2025.
• Strategic Alignment: While 83% have a well-defined GenAI strategy, 51% have yet to align it with business plans, limiting ROI and satisfaction.

Innovation and Technology

The rapid adoption of GenAI necessitates constant reevaluation of strategies and operating models. Key challenges include:

• Legacy Infrastructure: 90% of respondents cite it as a hindrance.
• Cloud Solutions: 96% of CIOs and CTOs favor cloud-based solutions for supporting GenAI applications.

People and Culture

Organizations are considering how GenAI can streamline workflows and support processes, yet 67% of respondents report a skills gap among employees. Training and education are planned to boost GenAI adoption.

Adoption Obstacles

• Perceived Limited Value
• Lack of Awareness
• User Resistance
• Safety and Security Concerns

In India, the need for user training and security concerns are prominent.

Ethics, Safety, and Sustainability

Balancing innovation with responsibility is crucial as GenAI becomes integral to daily life. Leaders recognize the need for:

• Employee Guidance: 81% stress the importance of balancing innovation and responsibility.
• Usage Policies: 72% lack a GenAI usage policy, with concerns about intellectual property protection.

Despite challenges, 68% of respondents globally express excitement about GenAI’s potential.