A study by Digital Realty shows that companies in Europe need to rethink their data strategies to realize the full potential of their AI investments. Shortages of storage capacity and strategically positioned IT infrastructure appear to be major obstacles.
Digital Realty surveyed more than 2,000 IT leaders in Europe about their AI strategies. Although 85 percent of companies are implementing AI, only 27 percent feel that their use of it is transformative. A major reason for this is a lack of digital infrastructure. More than half (57%) of companies struggle with insufficient storage capacity, while the same percentage say their IT infrastructure needs to be positioned more strategically for effective AI deployment. This problem is compounded by Data Gravity, a phenomenon where data accumulates and is difficult to move.
Belgian companies not immune
The Belgian figures are in line with European results. 66 percent of Belgian companies report having insufficient storage capacity, and 57 percent say their infrastructure is not optimally positioned. Furthermore, 50 percent of companies lack sufficient investment in data systems and analysis tools. There is also a lack of internal talent (49 percent) and a lack of a clear mandate from management (46 percent).
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Companies must revamp data strategies to maximize AI investments
Business leaders should conduct a thorough analysis of the benefits AI can provide, according to David Louis, managing director of Digital Realty Belgium. Many companies currently lack the necessary infrastructure, knowledge or support to successfully deploy AI.
Data location and computing power are crucial
In addition to storage and infrastructure, data location is a key element for successful AI strategies. Nearly three-quarters (72%) of respondents stress the importance of data location to address challenges such as storage and processing. Moreover, 53% indicated that they do not have sufficient computing power to effectively implement and scale AI. All this shows that companies need to rethink their data strategies to get more return on their AI investments.