AI isn't delivering returns-but that's not stopping CEOs from throwing money at it

""As efforts shift from hype to execution, businesses are under pressure to show ROI from rising AI spend," the company wrote. "Large-cap CEOs are seeing solid returns on current programs, particularly across administration, internal efficiency, and customer-facing applications. However, 84% of these CEOs predict that positive returns from new AI initiatives will take longer than six months to achieve. In contrast, investors are pushing for faster impact: 53% expect positive ROI in six months or less.""

"An increasing number of companies are finding the much-promised financial gains of implementing artificial intelligence in the workplace have been slow to materialize. But that isn't stopping many CEOs from spending even more on AI in the coming year. A new study from advisory firm Teneo finds that 68% of CEOs will increase their AI spending next year. A growing number, however, are aware that they need to start showing returns on that investment."

"The percentage of U.S. workers who used AI on at least an occasional basis jumped from 40% to 45% between the second and third quarters of 2025. (In the second quarter of 2024, that number was just 27%.) Power users of AI were on the rise in that study as well, with 10% of the respondents saying they used the technology daily in the third quarter, up from 8% at the end of the second quarter. A year ago, that number stood at just 4%."

68% of CEOs plan to increase AI spending next year even as many recognize financial gains have been slow to materialize. Large-cap CEOs report solid returns in administration, internal efficiency, and customer-facing applications, but 84% expect new AI initiatives to take longer than six months to yield positive returns. Investors are less patient, with 53% expecting ROI within six months. Fewer than half of AI projects have generated returns exceeding program costs among more than 350 public-company CEOs surveyed. U.S. worker AI use rose sharply to 45% in Q3 2025, with daily power users reaching 10%.

Read at Fast Company