Nearly 6,000 executives just admitted something embarrassing: their AI investments have done absolutely nothing for productivity. Despite spending over $250 billion on artificial intelligence in 2024, roughly 80-90% of firms report zero impact on employment or output over the past three years. This echoes economist Robert Solow’s 1987 observation that “you can see the computer age everywhere but in the productivity statistics”—except now it’s your AI-powered smartphone, laptop, and smart home gadgets promising revolutionary changes they’re not delivering.
The Executive AI Usage Crisis
Corporate leaders average just 1.5 hours weekly with AI tools despite massive investments.
The Hoover Institution study reveals a stunning disconnect between AI hype and reality. While 70% of companies across the US, UK, Germany, and Australia use AI technologies, executives spend barely an hour and a half per week actually using these tools. A quarter don’t touch AI at all.
Meanwhile, you’re paying premiums for AI features in everything from photo editing on your iPhone to predictive text on your smartwatch. Apollo’s Torsten Slok captures the absurdity perfectly: “AI is everywhere except in the incoming macroeconomic data.”
The Implementation Gap Widens
Companies hire more workers while claiming AI will automate jobs away.
IBM’s response to AI automation fears? Triple their young worker hiring to preserve leadership pipelines. This tells you everything about the gap between AI marketing and workplace reality.
ManpowerGroup’s survey of 14,000 workers shows AI usage up 13% in 2025, but confidence down 18%. Your productivity apps might boast AI features, but workers increasingly doubt they’re worth the learning curve or subscription fees.
Signs of the Productivity Awakening
Some economists see early signals that AI benefits are finally materializing.
MIT’s Erik Brynjolfsson points to encouraging signals: US productivity jumped 2.7% in 2025, with Q4 GDP hitting 3.7%. This suggests we might be entering the “harvest phase” of AI investment, following the classic J-curve pattern where initial spending precedes measurable gains.
Unlike the 1980s computer revolution, AI pricing remains competitive rather than monopolized, potentially accelerating adoption across consumer devices and workplace tools.
What This Means for Your Tech Purchases
Evaluate AI features based on immediate utility, not future promises.
Before paying extra for AI-enhanced gadgets, ask whether the features solve problems you actually have today. The executive survey suggests most AI capabilities remain underutilized even by decision-makers who championed their adoption.
Focus on devices where AI integration feels seamless—like computational photography or voice assistants—rather than bolted-on features that require workflow changes. The productivity revolution may be coming, but your money should bet on proven utility over speculative gains.
