Worried person looking at failing AI project charts

And What You Can Do About It

The Alarming Statistics

AI Projects Fail

According to Gartner, 85% of AI projects will deliver erroneous outcomes due to bias in data, algorithms, or the teams managing them (2020)

Never Reach Production

VentureBeat reports that 87% of AI projects never make it to production

Failure Rate

CIO.com highlights that 80% of AI projects fail

If we had a dollar for every AI project that ended up in a forgotten Jupyter notebook, we'd be able to fund the next OpenAI compute cluster. The AI world is brimming with ambitious demos and snazzy dashboards that never see the light of production.

Issue: No Clear Business Case

AI can solve a lot of problems - but not every problem is worth solving with AI. Projects often begin with excitement over a cool model rather than a clearly defined business need. Without a strong use case, it's hard to justify continued investment or measure ROI. Be sure you have the following before diving head first into POC.

Business Outcome

Clearly defined need and ROI

Strategic Alignment

Connected to organizational goals

Technical Feasibility

Practical implementation path and talent

Issue: Data Quality and Accessibility Issues

Messy Data

Incomplete, inconsistent, or poorly structured data that requires extensive cleaning

Siloed Information

Data trapped in disconnected systems making it difficult to access or integrate

Training vs. Production Gap

Significant differences between data used for training and data available in production environments

Bias Introduction

Data that inadvertently introduces or amplifies biases in model outputs

AI is only as good as the data it's trained on. Many teams encounter messy, incomplete, or siloed data that slows down progress or introduces bias. Worse, the data needed for training may differ dramatically from the data available in production. Do you really need AI or do you need to invest in Data Engineering first?

Issue: Infrastructure and Organizational Challenges

Lack of Infrastructure and Tooling

Many organizations aren't equipped with the cloud infrastructure or MLOps capabilities needed to deploy and monitor models at scale. This makes it difficult to go from notebook to production pipeline.

Organizational Silos

AI success requires cross-functional collaboration between data scientists, engineers, and business stakeholders. When these groups are disconnected, models often get stuck in the "proof of concept" phase.

Gone should be the days of data science working in a silo on creating lagging, batch, or asynchronous insights—where they hand off a model like a message in a bottle and hope engineering can somehow deliver it to shore.

Talent Gaps

There's a shortage of skilled ML engineers and platform teams that can operationalize AI. Even when organizations have strong data science talent, they often lack the support needed to deploy and maintain models efficiently.

What You Can Do About It

Start With Impact

Define the business outcome you want to drive. Then work backwards to design a solution that aligns with your data and goals.

Invest in MLOps Early

Treat model deployment like software deployment. Build (or buy) the tooling to support CI/CD, monitoring, and retraining.

Build Bridges, Not Silos

Encourage collaboration between teams. Pair data scientists with engineers from day one to ensure production-readiness.

Simplify the Path to Production

Leverage platforms and tools that make it easy to deploy and manage models in real-world environments.

The Takeaway

Strategic Vision

Align AI with business goals

Operational Excellence

Build robust deployment pipelines

Cross-Team Collaboration

Break down organizational silos

Continuous Improvement

Monitor and refine models in production

Building an AI model is no longer the hard part. Deploying it, maintaining it, and proving its value in production—that's where the real work begins. Organizations that succeed at operationalizing AI treat it not just as a technical experiment, but as a strategic capability.

As AI adoption matures, the companies that win won't be the ones with the most models. They'll be the ones that can reliably get models into production and keep them there.

Avoid Becoming Part of the 85%

Gartner Research Findings

Gartner. "Top 10 Data and Analytics Technology Trends for 2020." Reports that 85% of AI projects will deliver erroneous outcomes due to bias in data, algorithms, or the teams managing them.

McKinsey Insights

McKinsey & Company. "The State of AI in 2021." Notes that few companies succeed in scaling AI across the enterprise, highlighting the gap between experimentation and production.

CIO.com Analysis

CIO.com. "Why 80% of AI Projects Fail." Examines the organizational and technical barriers preventing AI initiatives from reaching production environments.

VentureBeat Report

VentureBeat. "Report: 87% of AI projects never make it to production." Provides statistics on the high failure rate of AI initiatives across industries.

So before you launch your next AI initiative, ask yourself: is this going to be a production system—or just another very expensive science fair project?

Want to avoid becoming part of the 85%?

Reach out to learn how we're helping teams deploy and maintain AI models with confidence - and yes, we promise, no more graveyards of abandoned models. You have nothing to lose — well, you've already lost plenty, actually.

Learn More About Our Solutions