The $100B Illusion - Why Data, Not Hype, Will Drive AI ROI
AI Illusions
AdobeStock_636691828
It's tempting to believe we've entered the golden age of artificial intelligence. Headlines tout a $100 billion generative AI market by 2026. CEOs mention 'AI' on nearly every earnings call. Consultants pitch productivity revolutions via PowerPoint.
But beneath the surface, a less convenient reality is setting in: for most companies, GenAI is still an expensive experiment—not a source of revenue.
Stephen Klein, CEO, Curiouser.AI, asks, 'Are we using GenAI to solve real problems, or just optimizing slide decks?' Klien is bullish on GenAI in the long run but states 'the near-term business model isn't intelligence. It's fear and influence and a false sense of trust.'
As Klein's remarks suggest, the promise of AI is being eclipsed by performative adoption. His take cuts through the hype with equal parts technical fluency and commercial realism.
Klein isn't alone. As outlined in a recent article from this column—AI Beyond Platforms - How Data Will Unlock New Value In 2025,—one of the most overlooked truths of the current AI cycle is simple: the platform isn't the value. The data is.
The $100 Billion Mirage
Microsoft's claim of a $3.70 return for every $1 spent on GenAI, cited in a white paper it commissioned, lacked any external validation. No Fortune 500 case studies were included.
Meanwhile, AI darlings like OpenAI and Anthropic are running massive deficits. CNBC reports that OpenAI lost $5 billion in 2024, with ChatGPT alone costing an estimated $700,000 per day to operate. Anthropic, according to The Information, burned through $2.7 billion in 2024.
These companies aren't profitable. They're surviving on subsidies—from investors, partners, and strategic alliances.
Consultants and Cohorts: Selling the AI Dream
Klein paints a vivid picture of today's AI marketplace: GPT-powered webinars, $2,000 cohort programs, and 100-slide decks promising to "future-proof" organizations. Klein says, 'This isn't innovation. It's monetized anxiety.' Companies aren't buying transformation—they're buying the appearance of AI readiness.
Take Accenture, which reportedly earned $900 million in GenAI revenue last year, with $3 billion in bookings. But most of that came from consulting—not from clients deploying AI at scale. According to Accenture CEO, Julie Sweet, most of Accenture's clients are in 'experimental mode' with generative AI. Their focus, she said, is on cloud, data, and application modernization.
Where the Money Actually Is: Human-Centered Data
So, where's the real return? It starts with data—specifically, high-quality, forward-looking, zero-party data.
Unlike scraped or synthetic alternatives, real people voluntarily provide zero-party data. It includes behavioral intent, psychographics, motivations, and—critically—future spending plans. These inputs are foundational for models that aim to predict, not just summarize. Here are two examples:
3 Quarter ahead forecasts for CVS Revenues
Ereteam, based on data from Prosper Insights & Analytics
XTech-MarchCPI Forecast
Exponential
The takeaway? Many failed GenAI initiatives didn't collapse because of weak models. They failed because they were built on bad data.
As Klein argues, AI should augment human intelligence—not just mimic or automate language.
The Overlooked Reality: A Data Gap, Not a Tech Gap
Klein's critique and the findings in AI Beyond Platforms converge on a core truth: what's holding back AI isn't processing power or better algorithms. It's irrelevant, outdated, or low-signal data.
The excitement around GenAI is real. But so is the gap between experimentation and enterprise-scale impact. Demos dazzle. ROI disappoints.
Unless organizations fuel their models with reliable, representative, and behaviorally rich data, they'll fall into the trap.
From Illusion to Impact: The Path Forward
There is real money to be made with AI—but it won't come from bigger models or louder marketing. It will come from solving real problems with clean, context-rich, human-anchored data.
As the GenAI boom rolls on, the biggest winners won't be those chasing the next model release. They'll be the ones starting with the right data.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
37 minutes ago
- Yahoo
National Advertising Division Finds Certain Microsoft Copilot Claims Supported; Recommends Others be Modified or Discontinued
As part of its routine marketplace monitoring program, BBB National Programs' National Advertising Division found that Microsoft Corporation supported certain express functionality claims for Microsoft 365 Copilot but recommended that certain productivity claims and certain claims related to Business Chat be modified or discontinued. New York, NY, June 09, 2025 (GLOBE NEWSWIRE) -- As part of its routine marketplace monitoring program, BBB National Programs' National Advertising Division found that Microsoft Corporation supported certain express functionality claims for Microsoft 365 Copilot but recommended that certain productivity claims and certain claims related to Business Chat be modified or discontinued. The National Advertising Division (NAD) reviewed express and implied claims made by Microsoft on its website for its Microsoft 365 Copilot AI-powered digital assistant product. Launched for its enterprise customers in November 2023, the Copilot name is used across all Microsoft 365 suite applications, including Word, Excel, PowerPoint, Outlook, Teams, and Business Chat. Generating, Summarizing, and Rewriting from Files NAD examined several claims made throughout Microsoft's website about Copilot's capabilities to generate, summarize, and rewrite from files, including its capacity to 'synthesize and summarize large amounts of data,' to brainstorm and draft content in Business Chat, and to draft outlines for PowerPoint presentations. In the context in which these claims are made, NAD determined that these claims convey the message that Copilot works seamlessly with all user files and can generate content, rewrite documents, generate summaries, or create PowerPoint presentations from a user's files with no material limitations on file type, size, length, or the number of files to which a user can refer and link. NAD found that Microsoft provided reasonable support for the express claims about how Copilot can summarize and draft new content sufficient to demonstrate that they are substantiated. Although limitations on Copilot's functionality were not disclosed directly in the claims, NAD determined the limitations did not impact how consumers use Copilot. Use Across Apps and Business Chat NAD reviewed Microsoft's claims that Copilot can assist users with '[g]et[ting] up to speed in less time' by 'working seamlessly across all your data' and that Business Chat 'helps you ground your prompts in work and web data in the flow of work.' NAD determined that one message reasonably conveyed by the use of the terms 'seamlessly' and 'in the flow of work' was that actions across apps are uninterrupted or continuous, with less manual steps required. NAD examined whether consumers understood the differences in functionality, specifically as it relates to Business Chat. NAD concluded, based on the context of the claims and universal use of the product description as 'Copilot,' that consumers would not necessarily understand the differences. Microsoft provided evidence demonstrating that Copilot helps users 'get up to speed in less time,' 'carry out specific goals and tasks' in Word and other apps, and 'ground… prompts in work and web data.' However, Business Chat cannot generate a document in other applications as manual steps are required for Business Chat to produce the same results as Copilot in a specific Microsoft 365 app. NAD recommended that Microsoft modify its advertising to clearly and conspicuously disclose any material limitations related to how Business Chat assists users. Productivity and ROI NAD reviewed Microsoft's claims about Copilot's productivity and ROI benefits, including that '67%, 70%, and 75% of users say they are more productive' after 6, 10, and over 10 weeks based on the Copilot Usage in the Workplace Study showing perceived productivity gains over time. NAD found that although the study demonstrates a perception of productivity, it does not provide a good fit for the objective claim at issue. As a result, NAD recommended the claim be discontinued or modified to disclose the basis for the claim. During the inquiry, Microsoft informed NAD that in the ordinary course of business it had permanently discontinued certain productivity claims. Therefore, NAD did not review the claims on their merits and will treat the discontinued claims, for compliance purposes, as though NAD recommended they be discontinued. In its advertiser's statement, Microsoft stated that 'although we disagree with NAD's conclusions' about certain elements of the decision, Microsoft 'appreciates the opportunity to participate in this proceeding and will follow NAD's recommendations for clarifying its claims.' All BBB National Programs case decision summaries can be found in the case decision library. For the full text of NAD, NARB, and CARU decisions, subscribe to the online archive. Per NAD/NARB Procedures, this release may not be used for promotional purposes. About BBB National Programs: BBB National Programs, a non-profit organization, is the home of U.S. independent industry self-regulation, currently operating more than 20 globally recognized programs that have been helping enhance consumer trust in business for more than 50 years. These programs provide third-party accountability and dispute resolution services that address existing and emerging industry issues, create fair competition for businesses, and a better experience for consumers. BBB National Programs continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-and-teen-directed marketing, data privacy, dispute resolution, automobile warranty, technology, and emerging areas. To learn more, visit About the National Advertising Division: The National Advertising Division (NAD) of BBB National Programs provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the U.S. NAD reviews national advertising in all media and its decisions set consistent standards for advertising truth and accuracy, delivering meaningful protection to consumers and create fair competition for business. CONTACT: Name: Jennie Rosenberg Email: jrosenberg@ Job Title: Media RelationsError in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
TechCrunch
an hour ago
- TechCrunch
Apple brings ChatGPT and other AI models to Xcode
At WWDC 2025, Apple released a new version of Xcode, its app development suite, that integrates OpenAI's ChatGPT for coding, doc generation, and more. The company also announced that developers can use API keys to bring AI models from other providers to Xcode for AI-powered programming suggestions. 'Developers can connect [AI] models directly into their coding experience to write code, tests, and documentation; iterate on a design; fix errors; and more,' said the company in a blog post about the new version of Xcode, Xcode 26. Image Credits:Apple With the new AI integrations in Xcode, developers can use tools to generate a preview of code or handle other tasks. Developers can tap ChatGPT in Xcode without creating an account; paid ChatGPT user can connect their accounts to increase the rate limits. In other AI-related news today, Apple also launched the Foundation Models framework to let developers tap into the company's AI models running on-device. The company said that developers need to write just three lines of code to access these models.
New York Post
an hour ago
- New York Post
Musk fact-checks his own AI for claiming he bragged about stealing Stephen Miller's wife
'Bro code' has a whole new meaning. Tech magnate Elon Musk was forced to refute a naughty claim by his prized artificial intelligence chatbot, which alleged that he bragged about stealing top White House adviser Stephen Miller's wife. Grok, a mainstay on Musk's X platform, had told a user that a viral screenshot of the Tesla and SpaceX CEO bragging about his ties to Katie Miller referred to a post that 'likely existed and was deleted.' Advertisement 'No, it's fake [for f—'s sake] I never posted this,' Musk wrote on X late Sunday with a face palm emoji, publicly calling out Grok. The bogus screenshot had gone viral earlier in the day, alluding to the fact that Katie Miller had joined Musk as a spokesperson after he left government service May 30. 3 Elon Musk was forced to fact check his own AI chatbot over the salacious claim. AP Advertisement In response to Miller saying, 'We will take back America,' Musk was reported to have sniped: 'Just like I took your wife.' Stephen and Katie Miller have been married since 2020 and have three children. Katie Miller, a former spokesperson for the Department of Homeland Security and Vice President Mike Pence, had been a rep and adviser for Musk's Department of Government Efficiency (DOGE) during his 130-day stint as a special government employee. Advertisement Last week, Musk erupted at President Trump and his administration over the deficit impact of the One Big Beautiful Bill Act, which Stephen Miller has repeatedly defended. The 53-year-old Musk reportedly unfollowed Miller on X during his outburst, but had refollowed him as of Monday morning. 3 Stephen Miller's wife is seemingly caught in the crosshairs of Elon Musk's beef with President Trump. AP Musk has championed Grok as an alternative to ChatGPT, which was developed by OpenAI, a tech giant that Musk helped found in 2015. Advertisement Three years later, Musk left the company's board of directors, publicly pointing to 'a potential future conflict [of interest]' given Tesla's AI developments. Musk has long been publicly bitter toward OpenAI CEO Sam Altman, particularly after the company made massive breakthroughs in generative AI with its large language models. 3 Elon Musk's feud with President Trump had sent shockwaves inside the Beltway last week. REUTERS Over the weekend, Musk resumed making friendly posts about the president on X, endorsing his hardline stance against anti-ICE riots in Los Angeles. Trump has largely refrained from escalating against Musk — at least in the public eye — since their stunning falling-out last week.
