Most Enterprises Lack Infrastructure to Scale AI, Shows Tata Communications Report

Enterprises face challenges scaling artificial intelligence capabilities due to legacy infrastructure, shows a report by Tata Communications and Bloomberg Media Studios, titled ‘Building Durable AI Advantage’. The study surveyed 501 executives at enterprises with revenues exceeding $500 million across North America, Europe, and Asia.

The survey states that 77% of enterprise leaders consider artificial intelligence a board-level priority. However, 65% of these enterprises operate on legacy or developing infrastructure. Only 29% of respondents report that their infrastructure can scale to meet business demands.

The report identifies five areas affecting AI implementation: foundation, integration, skills, governance, and return on investment. Regarding foundational infrastructure, less than half of the enterprises have modernised network connectivity, hybrid deployment flexibility, or data architecture. 

In terms of integration, 28% of leaders report difficulties integrating artificial intelligence with legacy systems, and 38% state that integration concerns cause delays in procurement.

Skills shortages are cited by 30% of enterprises as a barrier, a figure that rises to 45% for enterprises with revenues over $5 billion. Governance processes also impact implementation, with 42% of enterprises identifying security and compliance reviews as a source of delays.

Sumeet Walia, President and Chief Revenue Officer, Tata Communications, said, “AI has become one of the defining business priorities of our time, but the real differentiator is no longer AI itself but it’s the infrastructure and integration that enable AI to deliver value at scale. Our research shows that while enterprise ambition is accelerating, readiness remains uneven.”

“AI is a tightly coupled ecosystem of compute, power, connectivity and platforms, which are no longer independent systems. They are becoming one unified infrastructure. AI is accelerating this convergence, which Tata Communications addresses through its digital fabric of solutions, it is where we are uniquely positioned to enable customers to achieve their business goals,” he added.