The IT and software industries are leading in adoption, followed by financial services, defense, and insurance. McKinsey's research suggests that banking could see potential annual earnings gains of around $340 billion from deploying generative AI, representing a 9-15% increase in operating profits. However, the regulatory landscape and the challenges of implementing AI are still significant hurdles for many organizations.
Key takeaways:
- Only 10 percent of organizations have adopted generative AI technology in production environments, according to a survey by Intel.
- The biggest barriers to developing large language models (LLMs) include basic infrastructure, compliance and privacy, reliability, high cost of implementation, and a lack of technical skills.
- Despite these challenges, more than half of the organizations that have adopted generative AI have improved their customer experiences, increased efficiency, and enhanced product capabilities.
- The IT and software industries are leading the way in generative AI adoption, with potential annual earnings gains from deploying generative AI in banking estimated to be around $340 billion.