""If you look at the enterprise, there's just enormous enthusiasm to deploy AI, but the problem is that the infrastructure, the power, and the operational foundation that is required to run it just aren't there," Alex Bouzari, CEO of DDN, told The Register. "And so as a result, it pops up in the financial elements with IT projects getting delayed, the GPUs being underutilized, power costs going up. And so the economics, I think, for lots of organizations don't pencil out because of these challenges.""
""More than half of AI projects have been delayed or canceled within the last two years citing complexities with AI infrastructure, according to a research report commissioned by DDN, a data optimization company in partnership with Google Cloud and Cognizant. About two-thirds of the 600 IT and business decision-makers surveyed at US enterprises with 1,000 or more employees said their AI environments are too complex to manage.""
More than half of AI projects have been delayed or canceled within the last two years because of complex AI infrastructure. Two-thirds of 600 surveyed IT and business decision-makers at US enterprises with 1,000 or more employees reported AI environments that are too complex to manage. Consequences include delayed IT projects, underutilized GPUs, and rising power costs that undermine project economics. Additional research finds many organizations see no measurable return from generative AI, predicts substantial cancellations of agentic AI projects, and anticipates significant delays in planned AI spending. Most decision-makers expect scaling AI will require cloud deployment, though cloud does not remove core infrastructure and orchestration challenges.
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