AI in Action
Orest Yatskuliak
Head of Performance | AI & Tech Research | Crisis Management & Scalable Startup Operations
Artificial intelligence is advancing at an unprecedented pace, driven by rapid developments in computing power, extensive data availability, and increasingly sophisticated algorithms across various domains, including natural language processing, computer vision, and generative AI.
AI has become one of the most transformative technologies of the modern era, with the potential to revolutionize industries and reshape societal structures.
AI’s influence spans numerous sectors such as finance, healthcare, manufacturing, transportation, and telecommunications. In the financial sector, AI enhances algorithmic trading, fraud detection, risk management, and cryptocurrency markets, providing faster and more accurate transaction analysis. Healthcare benefits from AI-powered diagnostics, personalized treatment plans, and predictive analytics for patient care. Manufacturing leverages AI for predictive maintenance, quality control, and automation of production processes, while transportation is transformed through autonomous vehicles, smart logistics, and traffic management systems.
Moreover, AI’s role in data analysis is pivotal, offering unparalleled capabilities in processing vast datasets, uncovering patterns, and generating insights that drive business decisions.
The integration of AI into blockchain technology enhances security, transparency, and efficiency in cryptocurrency transactions and smart contracts. AI’s adoption in education, media, and entertainment fosters personalized learning experiences, content creation, and audience engagement.
With over 82% of businesses identifying generative AI as one of their primary levers for reinvention, the adoption of AI technologies presents significant opportunities in efficiency, cost savings, and productivity enhancement.
One notable example is a technology provider that developed a virtual engineer capable of transforming building management through experience-based learning. By integrating real-time data from portfolios, utilities, and weather patterns, this AI system optimizes maintenance strategies, reduces energy costs for heating, ventilation, and air conditioning (HVAC) by up to 25%, and cuts maintenance planning time by 90%. Organizations are increasingly adopting AI agents to improve operational efficiency and customer service, expecting substantial benefits. Beyond operational efficiencies, productivity gains represent a key opportunity in genAI adoption. While many businesses initially focus on workflow optimization and cost reduction, they often uncover even greater potential through productivity improvements driven by AI. High-productivity growth companies utilizing genAI have demonstrated a 4.5% higher cost-efficiency ratio compared to their peers.
These advancements highlight the transformative potential of AI in enhancing operational processes, reducing costs, and driving innovation across industries. As businesses continue to integrate AI into their operations, the focus will shift from mere automation to strategic reinvention, where AI acts as a catalyst for growth, creativity, and competitive advantage.
Early adopters of modernized generative AI tools and processes have significantly enhanced operational visibility, optimized capital allocation, and achieved 2.4 times greater productivity alongside cost savings of up to 13%.
One notable example is a California-based wellness start-up that launched an “AI agent as a service,” enabling customers of their partners to submit queries and receive rapid, natural language guidance. Trained on thousands of support pages and supporting over 100 languages, this AI agent reduced the number of queries forwarded to human assistance by 78%, boosting customer service efficiency and allowing businesses to focus on core operations.
Revenue generation opportunities through AI are accelerating. Companies leading in AI adoption are already outperforming their peers by 15% in revenue generation — a figure projected to more than double by 2026. This expected growth, estimated between $7.6 trillion and $17.9 trillion by 2038, is largely driven by “people-centric” AI solutions that place human innovation at the forefront.
A compelling case study is a designer AI application developed by a leading technology firm, which streamlines the design process by generating diverse and creative patterns based on trends, color palettes, sales data, and customer feedback. This tool empowers design teams to produce visually striking collections tailored to their brand’s unique identity, directly impacting sales and revenue.
AI’s role in enhancing customer experience has shifted from being a novelty to a fundamental business requirement. Tools like chatbots, virtual assistants, and personalized recommendations are now integral to the customer journey. Over 70% of customers believe AI improves their shopping experience by saving time and offering personalized interactions, while 65% feel AI understands their habits as well as close friends or family. This growing expectation underscores the urgency for businesses to adopt AI-driven solutions to remain competitive and meet evolving consumer demands.
AI-powered virtual assistants are transforming customer service by providing faster, more accurate, and consistent responses to client inquiries. A notable example is the London Stock Exchange Group’s AI-powered Question and Answer Service (QAS), which leverages multiple algorithms to identify commonalities in client questions and requests. This system effectively manages thousands of inquiries daily, reducing resolution time by 50% and significantly improving operational efficiency.
In the realm of digital entertainment, Swedish video game developer Mojang Studios utilizes AI to enhance player personalization and optimize content recommendations within its Minecraft Marketplace. By integrating a data intelligence platform with AI services, Mojang can monitor player sentiment across social media in real-time, enabling automated feedback loops. This setup processes data 66% faster than previous methods, allowing the company to tailor gaming experiences more precisely for millions of Minecraft players worldwide.
These examples underscore the profound impact of AI on enhancing customer experience across industries. From financial services to gaming, AI-driven virtual assistants and personalized content recommendations are setting new standards for efficiency, responsiveness, and user satisfaction.
Technological advances are enabling organizations to tackle increasingly complex challenges with unprecedented speed. Modern AI systems, powered by convolutional and recurrent neural networks, are further strengthened by semiconductor advancements and cloud computing. Although still in its infancy, quantum computing holds the promise of significantly enhancing AI capabilities, potentially revolutionizing optimization processes and complex simulations.
This adaptability has positioned AI as a critical tool for innovation across industries. Companies are investing heavily in AI infrastructure, research, and development, with notable examples including financial services leveraging AI for fraud detection and enhanced customer service, and the media industry applying AI to product innovation and content creation.
The transformative potential of AI is widely recognized, with early implementations showcasing its promise. However, scaling AI technologies to drive genuine transformation remains challenging, particularly due to concerns about accuracy, intellectual property protection, and workforce impact. Balancing these ambitions with a realistic understanding of AI’s limitations and associated risks is essential for organizations aiming to integrate AI responsibly and achieve tangible value creation.
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AI investments are surging globally, with AI-related spending projected to reach approximately $630 billion by 2028, growing at a compound annual growth rate (CAGR) of 29% from 2024 to 2028. Anticipated AI-driven revenue is expected to approach $1 trillion during this period.
Generative AI has been a significant driver of this growth, evolving at an unprecedented pace. Global corporate spending on genAI is expected to increase at a remarkable 59% CAGR, reaching over $200 billion by 2028. Surveys indicate that 65% of organizations have already integrated genAI into at least one function within their operations.
This rapid surge in genAI investment and adoption highlights the growing momentum behind AI technologies. Despite these investments, most organizations remain in the early stages of AI adoption, with many focusing on embedding advanced AI capabilities into their core business operations. The challenge now lies in transitioning from experimentation to full-scale implementation to unlock AI’s transformative potential across industries.
To assess the current state of generative AI adoption, this analysis explores three dimensions: industry adoption, functional adoption, and organizational adoption.
AI investments vary significantly across industries, with some sectors leading the charge and others rapidly accelerating their efforts. Industries such as telecommunications, financial services, and consumer industries are at the forefront of AI adoption, as reflected in their substantial AI spending. Meanwhile, sectors like healthcare, media, entertainment, sports, and professional services are increasingly prioritizing AI, particularly genAI, due to its ability to process unstructured data and enhance creativity, personalization, and automation. Industries relying heavily on human capital recognize the potential of AI to enhance operational efficiency, improve productivity, elevate customer experiences, and maintain competitive advantages in fast-paced markets. Research highlights that these industries are actively investing in AI to augment human expertise and decision-making capabilities.
The future trajectory of AI adoption will depend on how extensively industries augment or automate tasks using AI technologies. As AI continues to evolve, industries will need to adapt swiftly to harness its full potential while managing challenges related to integration, scalability, and ethical considerations.
The most disruptive changes are often those we cannot yet foresee. However, certain market shifts are already evident, offering valuable insights into AI’s potential future directions. Advances in AI, combined with emerging technologies such as spatial computing, quantum computing, and enhanced computing architectures, are poised to disrupt industries at varying paces and redefine capabilities across sectors.
Most experts agree that widespread AI integration will drive business transformation across industries in the coming years. Operational efficiencies will catalyze changes in analytics, programming, product development, sales, communications, and customer support.
Three promising waves of AI’s future impact include:
Future ambitions of AI impact: In the short term, organizations have primarily focused on AI proof-of-concept implementations to evaluate feasibility and identify use cases.
However, as AI investments grow, the focus will shift to applications that drive transformative change, addressing critical business and societal challenges. Organizations that proactively embrace AI and integrate it strategically will lead innovation and set new standards for efficiency and competitiveness in the digital age.
The AI revolution is not merely about powerful new technologies or increasing productivity — it represents a fundamental shift in organizational transformation and value creation. As leaders explore AI applications across the value chain, their ability to scale adoption and deliver meaningful impact for both business and society will determine their success in an increasingly dynamic and competitive landscape.
Scaling AI requires more than initial implementation; it demands clear frameworks, robust infrastructure, and targeted support to address foundational gaps while guiding organizations through every phase of adoption, from pilot projects to full-scale integration. Companies that proactively embrace AI, while adhering to ethical principles and human-centered design, will be best positioned to thrive in this new era of digital transformation.
In this rapidly evolving field, organizations must foster a collaborative and growth-oriented mindset to keep pace with technological advancements. Sharing experiences, insights, and best practices will be crucial for maintaining competitiveness, as progress increasingly depends on collective knowledge and adaptive strategies.
As AI investments continue to grow, it is imperative for organizations to look beyond short-term gains and explore AI applications capable of driving transformative change for both business and society. This includes addressing pressing global challenges such as healthcare advancements, sustainability, and equitable economic growth.