Investment in AI has accelerated exponentially. Capital has poured into chips, data centers, and new models. New models are released at a steady pace, and spending continues to rise.
Yet across sectors, many organizations are reaching the same conclusion. Adoption is proving harder than invention, especially for general-purpose technologies, as it once was for electricity. As a result, AI adoption remains on the sidelines. Systems exist, but changing how work actually gets done is far more difficult. The constraint is no longer technological capability. It is whether institutions and organizations are prepared to absorb AI. Institutions and organizations play distinct roles. Institutions are the rules, incentives, standards, and accountability structures that reduce uncertainty and make new behavior safe and trusted. Organizations operate within those rules and change workflows accordingly.
