Numerous homegrown businesses are incorporating ChatGPT into their operations.
Artificial Intelligence Adoption in Austrian Businesses Remains Limited
Artificial intelligence (AI) has garnered widespread attention globally, but its utilization in Austrian businesses remains limited, according to a survey by consulting firm EY.
The survey, conducted among 100 executives from large and medium-sized companies with over 100 employees, found that only a third (33 percent) of the companies are currently utilizing AI, while another third (32 percent) plan to incorporate AI tools in the coming year. Sixty-one percent maintain skepticism and have no immediate plans to introduce AI.
"AI has made its way into many Austrian companies, yet there is significant room for improvement," said Susanne Zach, head of AI and Data at EY Austria. Companies must "keep up" to avoid falling behind in the competitive landscape. Zach continued, noting that AI is still in its infancy in several areas, and its full potential is not being realized. Smaller companies are particularly underestimating the range of application possibilities, she added.
The survey revealed that AI is mainly used by larger companies and in the financial and consulting industries. It is primarily employed in customer service and sales within companies. Seven out of ten companies have simple or relatively simple AI applications, while only 17 percent have implemented more complex projects. Many companies lack a concrete AI strategy, with only 36 percent having one in place while 58 percent lack a structured plan.
According to Zach, many companies have not defined clear goals or requirements for AI, making it difficult to gauge the return on investment (ROI) for AI applications. Only 22 percent of companies are confident about the ROI, and 29 percent are clear about the costs of AI implementation.
Trust in AI in Austria also requires improvement. Only a third (34 percent) of those surveyed trust AI for predictive models or similar tasks. Confidence is higher for research and information tasks, with 51 percent trusting AI for such applications. Zach emphasized the importance of understanding AI's capabilities and limitations to build trust in the technology.
EY also noted that Austrian companies are lagging behind in the application of the AI Act. While 77 percent have heard about the AI Act, only 19 percent have delved deeper into the topic. Fewer than ten percent (9 percent) of executives have taken concrete measures to ensure AI compliance with the AI Act.
Zach recommended that companies familiarize themselves quickly with the new regulations. Specific requirements for AI training and a ban on systems with unacceptable risk have been in effect since February, she noted. Additionally, several points from the AI Act, such as transparency, risk, and documentation requirements for general-purpose AI models, are slated to be enforced by the summer. Failing to address these requirements could prove detrimental for many companies in the second half of the year.
In the broader European Union context, AI adoption has seen significant growth since 2021, with 65% of European companies using generative AI tools, almost doubling from the previous year. However, specific data detailing Austria’s adoption rates are not detailed in recent sources. Austria, like its EU neighbors, faces similar drivers and hurdles in AI implementation, including regulatory concerns, workforce and skill gaps, infrastructure and hidden costs, and strategic and cultural barriers. Addressing these challenges will be essential for realizing the full potential of AI innovation in the Austrian business landscape.
AI investment remains limited among Austrian businesses, with only a third currently utilizing AI or planning to do so in the coming year, according to a survey by EY. However, in the broader European Union context, AI adoption has seen significant growth since 2021, with 65% of European companies using generative AI tools, nearly doubling from the previous year.
