The rapidly evolving AI ecosystem, where new products and services seem to appear daily, presents CIOs and IT purchasing leaders with increasingly challenging decisions, in part because of uncertainty about where the AI market may ultimately be headed. One major debate, with implications for CIOs and IT buyers, is whether AI will primarily be a product or a feature after the AI market sorts itself out. On the one side are AI pure-plays offering niche and often task- or industry-specific point solutions, as well as AI generalists such as OpenAI, Meta, and Google, whose standalone large language models (LLMs) can be integrated with other IT systems. On the other side, IT vendors such as Salesforce, ServiceNow, and many cybersecurity providers are rapidly adding AI features to enhance and transform their core products. A third option, where end-user companies build their own AI tools, seems to be seems to be imperiled, at least for now, by a huge majority of AI proof-of-concept projects failing. Finding value from AI The challenge for CIOs and other IT leaders is to determine what type of AI will best benefit their organization with so many options and possible paths currently available. Over the long term, many experts see the market consolidating, with a small number of LLM vendors or a small number of IT platform providers dominating the market. CIOs and CAIOs looking at AI products need to understand what they’re buying and how they can get value from it, says Andreas Welsch, chief AI strategist at IT consulting firm Intelligence Briefing. |