AI leading tech budget priority for executives
NEW JERSEY, UNITED STATES — Artificial Intelligence (AI) has become the top budget item for about 47% of top tech executives, according to a new CNBC Technology Executive Council (TEC) survey.
This budget outpaces cloud computing, the second-biggest spending area, by more than twofold.
The survey collated insights from technology executives across various sectors, including marketing, pharmaceuticals, telecom, and utilities representatives.
Nearly two-thirds of respondents claimed that investments in AI are accelerating despite the drag from rising interest rates — which 53% said has slowed overall spending.
The study also highlighted a shift in top tech challenges. Concerns about cost-cutting pressures due to fears of recession receded from 30% last year to 16%, while the challenge of meeting customer demand for tech-driven products surged from 9% to 26%.
“It’s hard to think of an area that this couldn’t help,” said Diogo Rau, Chief Information and Digital Officer of pharmaceutical company Eli Lilly.
“What I’m excited about is what machines can come up with that no human might have imagined, such as new molecules for medicines,” he added.
Meanwhile, opinion was divided on job creation. About 47% of respondents believe AI technologies will create more jobs than they destroy.
On the other hand, 26% said it would destroy more jobs than it creates, while an equal 26% said it is too soon to know.
