Why 85% of AI projects fail

Despite increased interest in and adoption of artificial intelligence (AI) in the enterprise, 85% of AI projects ultimately fail to deliver on their intended promises to business, according to a Thursday report from Pactera Technologies. A major source of AI challenges is found in senior leadership, the report, titled Artificial Intelligence Localization, Winners, Losers, Heroes, Spectators, and You, found. Some 77% of those surveyed said they face barriers to entry from senior management not seeing value or wanting to make the investment in the emerging technology. These findings are in line with those from a recent Dimensional Research report, which found that eight out of 10 organizations engaged with AI and machine learning said those projects had stalled, and 96% said they have run into problems with data quality, data labelling, and building model confidence. Pactera presented the report to a group of tech industry leaders including those from Facebook, Adobe, Amazon, and Microsoft at a recent private event in Seattle.