Cost overruns plague AI deployments (CFO Dive)

Firms scaling up their artificial intelligence initiatives are confronting multiple challenges, including exceeding their budgets and grappling with governance issues. A recent survey of business executives reviewed by CFO Dive shows that nearly 7 out of 10 firms report that at least some of their AI deployments are over budget. Other issues cited include underperforming ROI expectations and experiencing delays caused by governance policies that slow AI rollouts without adequately addressing risk. The findings also show that firms are generally deploying AI agents faster than implementing risk management practices and formalized compliance oversight. This gap should be a cautionary tale for firms faced with “shadow AI,” where employees raise firm risk levels by utilizing AI applications outside their IT infrastructure without oversight. The problems raised by responses to the survey reveal that firms are struggling to prove AI investments are paying off, with only 9 percent of executives stating that over 75 percent of their AI implementations have delivered a measurable financial return. See CFO Dive (free subscription), “Nearly 7 in 10 firms report AI cost overruns”