Cisco’s 2024 AI Readiness Index reveals a striking disparity between the urgency to adopt AI and organizational readiness to do so. The study, based on responses from nearly 8,000 organizations across 30 markets, found that 98% of companies report increased urgency to deploy AI. However, only 13% of organizations are fully prepared to implement AI strategies, down from 14% in 2023. The report identifies key readiness challenges across six pillars: strategy, infrastructure, data, talent, governance, and culture. Notably, infrastructure readiness saw the sharpest decline, with only 21% of organizations equipped with the necessary GPUs to handle AI workloads. Similarly, data management issues persist, with 80% of companies reporting inconsistencies in pre-processing data for AI projects.
Despite these hurdles, organizations are committed to AI, expecting it to consume 30% of IT budgets within five years. However, cultural readiness has waned, with board receptiveness to AI dropping from 82% to 66% year-over-year. Talent shortages remain a major obstacle, with only 31% of respondents stating their workforce is prepared to leverage AI effectively. Jeetu Patel, Cisco’s Chief Product Officer, emphasized the need for agility and strategic planning, asserting that organizations must adapt rapidly or risk irrelevance in an AI-driven future.
