95% of Companies See 'Zero Return' on $30B Generative AI Spend

(thedailyadda.com)

418 points speckx | 1 comments | 21 Aug 25 15:36 UTC | HN request time: 0.001s | source

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JCM9 ◴[21 Aug 25 16:22 UTC] No.44974621[source]▶

We are entering the “Trough of disillusionment.” These hype cycles are very predictable. GPT-5 being panned as a disappointment after endless hype may go down as GenAI’s “jump the shark” moment.

It’s all fun and games until the bean counters start asking for evidence of return on investment. GenAI folks better buckle up. Bumps ahead. The smart folks are already quietly preparing for a shift to ride the next hype wave up while others ride this train to the trough’s bottom.

Cue a bunch of increasingly desperate puff PR trying to show this stuff returns value.

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highwaylights ◴[21 Aug 25 16:26 UTC] No.44974672[source]▶

>>44974621 #

I wouldn’t be surprised if 95% of companies knew this was a money pit but felt obligated to burn a pile of money on it so as not to hurt the stock price.

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1. generic92034 ◴[21 Aug 25 16:46 UTC] No.44974952[source]▶

>>44974672 #

In Germany there is the additional issue of companies only really starting to invest into the hype when the hype cycle is already at its end, in other parts of the world. And do not imagine that would lower the investments or shorten the amount of time spent on the hype. The C level can never admit errors, the middle management only sees a way to promotion by following the hype.

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