Many Businesses Struggle to Turn AI and Digital Investments Into Profit, Experts Warn
January 23, 2026 (Business Tech Today) — As artificial intelligence (AI) and digital technologies continue to dominate corporate strategy discussions, a growing number of businesses are reporting lackluster financial results from their technology investments, highlighting a widening gap between expectations and real-world outcomes.
According to business strategist Victor Saleh, the promise of transformative growth through AI is everywhere — yet for many companies, the reality has been “a quiet and expensive frustration.” Saleh pointed to research showing that a large share of digital and analytics transformation programs fail to deliver on their goals, often due to poor planning and ineffective change management.
Industry data reinforces this disconnect. McKinsey research indicates that roughly 70 % of digital transformation efforts do not meet their intended objectives, with success rates particularly low when it comes to improving performance or embedding change in a way that lasts.
Meanwhile, findings from a KPMG survey of U.S. business leaders reveal that more than half of companies have not seen a noticeable improvement in performance or profitability from digital transformation investments over the past two years. These results emerge despite rising executive interest in emerging technologies like AI, which many firms still view as central to their strategy.
Analysts say the shortfall stems from more than just technology choice. Common obstacles include workforce and culture problems — such as skills gaps and collaboration breakdowns — as well as fragmented execution and regulatory uncertainty.
The frustration with digital ROI is not limited to Saleh’s commentary. A separate PwC Global CEO Survey found that more than half of CEOs reported no significant cost savings or revenue increases from AI investments to date, with many leaders struggling to move beyond small pilot projects to organization-wide deployment.
Experts say that turning AI and digital transformation into measurable business value requires clear strategic planning, robust change management, and alignment across leadership and frontline teams. Companies that invest in scalable AI infrastructure and embed technology deeply into business operations are more likely to see the rewards, according to industry observers.
As firms continue to navigate the hype and complexity of digital transformation, the prevailing message from analysts and leaders alike is that technology alone isn’t enough — success depends on the ability to adapt organizational structures, build capabilities, and manage change effectively.
