88% of AI projects never leave the lab

In an exclusive interview with CIO&Leader, Lenovo's Asia Pacific Lead Amit Parameshwara tackles the reality behind AI adoption challenges.

- By Sachin Mhashilkar | [e-mail]

IN THE rush to embrace artificial intelligence, organizations are discovering a sobering reality: implementation is far more challenging than the hype suggests. A striking statistic reveals that only 12% of AI proof of concepts ever makes it to production deployment. In this candid conversation with CIO&Leader, Amit Parameshwara, Lenovo's Asia Pacific Lead, cuts through the AI buzzwords to address this concerning trend.

Drawing from Lenovo's comprehensive 2025 AI survey, Parameshwara reveals how enterprise AI investments are set to triple in the next year, with 42% flowing specifically to generative AI applications. But as budgets shift dramatically, so do expectations—CIOs now face mounting pressure to demonstrate concrete business outcomes and dollar-value returns rather than just technological achievements.

Parameshwara unpacks the five critical bottlenecks preventing successful AI implementation—from persistent data quality issues to the complex challenges of scaling beyond controlled experiments. He also introduces Lenovo's strategic Pocket2Cloud portfolio and AI Center of Excellence, designed to guide organizations through the treacherous journey from AI concept to business transformation.

CIO&Leader: How do you see CIOs' pain points regarding AI adoption, and what solutions does Lenovo offer?

AMIT PARAMESHWARA: There's considerable hype around AI, but organizations struggle with realizing its value. Our recent 2025 AI survey revealed three key findings:

■ Investment in AI will triple as a percentage of total technology investment in the next 12 months, which represents a significant shift in budget allocation.