Emerging technologies: Bridging the gap between trials and deployment

Emerging technologies: Bridging the gap between trials and deployment
In an era where technological advancements are reshaping industries, a recent study by EY reveals a concerning trend: many companies remain ensnared in the trial phase of emerging technologies. The sixth annual EY Reimagining Industry Futures study surveyed 1,635 enterprises globally, highlighting a significant disconnect between investment in innovative technologies and their actual deployment.

Investment trends in emerging technologies

The study indicates that nearly half (47%) of respondents are investing in generative artificial intelligence (GenAI), a notable increase from 43% the previous year. Additionally, 43% are channeling resources into the Internet of Things (IoT), while 33% are focusing on 5G technology. These figures suggest a growing recognition of the potential benefits of these technologies. However, the report underscores a critical issue: only 1% of organizations have successfully transitioned to active deployments of GenAI, and the percentage of businesses with active IoT implementations has declined from 19% to 16%.

The role of leadership in technology strategy

Leadership involvement is pivotal in navigating the complexities of technology adoption. The report reveals that 49% of CEOs are now engaged in emerging technology strategies, influencing supplier choices and investment decisions. Organizations where the CEO plays a significant role in technology decisions are more likely to invest in GenAI (51%) compared to those with less CEO involvement (44%). This correlation emphasizes the importance of leadership in driving technological transformation and ensuring that investments yield tangible results.

Challenges in technology deployment and ecosystem collaboration

Despite the enthusiasm for emerging technologies, businesses face substantial hurdles in translating trials into successful implementations. The report highlights a lack of awareness regarding the evolving landscape of technology suppliers, with 73% of respondents expressing a need for better understanding. This gap in knowledge can hinder effective collaboration and limit the potential benefits of integrated technology solutions. Furthermore, sustainability considerations are increasingly influencing technology investment decisions, with many organizations unaware of their datacentres’ emissions profiles.

Future directions and strategic recommendations

To overcome these challenges, organizations must prioritize employee upskilling and foster deeper collaboration across business functions. The report suggests that companies should consolidate their vendor relationships, focusing on key suppliers who can act as ecosystem orchestrators. By doing so, businesses can leverage the full potential of emerging technologies, ensuring that investments translate into real business value. As the landscape of technology continues to evolve, a strategic approach to collaboration and integration will be essential for organizations aiming to thrive in the digital age.