A recent study by IBM, conducted in collaboration with Morning Consult and Lopez Research, shows that German companies will continue to expand their investments in artificial intelligence (AI) in 2025. A total of 2413 IT decision-makers in the USA, Canada, Mexico, Brazil, the UK, France, Germany, Spain, India, Singapore, Indonesia and South Korea took part in the survey from October 30 to November 13, 2024. The study shows that companies are focusing on AI in the long term, prioritizing innovation and productivity gains over short-term financial savings.

While the study shows that only 41% of German organizations have achieved a positive return on their AI investments so far, which is below the global average of 47%, organizations based in Germany are betting on AI for the long term and shifting the success metrics. 38% of respondents in this region stated that AI investments are equally innovation and return-driven.

Long-term focus on AI despite challenges

80% of German respondents reported that their companies had made progress in implementing their AI strategies, with 35% reporting significant progress. However, this is slightly below the global average of 43%. While 47% of organizations worldwide reported a positive return on investment (ROI) from their AI investments, this figure is 41% in Germany.

Nevertheless, the limited return on investment to date is not deterring companies in Germany. 38% of respondents stated that their AI strategies are equally focused on innovation and return on investment, while only 6% are solely focused on return on investment. The most important short-term benefits of AI include shorter troubleshooting times (19%) and faster software development (28%).

Increased investment and open source approaches

A third of the companies surveyed plan to launch more than 20 AI pilot projects in 2025 - a significant increase compared to 21% in 2024. Open source is increasingly seen as a key priority: 31% of respondents in Germany stated that more than half of their current AI solutions are based on open source. By 2025, 49% expect the use of open source AI to be a key area of optimization.

In addition, companies are investing in cloud-managed services and the recruitment of specialists to promote the implementation of new AI projects. Nevertheless, data quality and integration remain the biggest challenges. 51% of German respondents cited insufficient data quality as the most common problem, while 44% reported difficulties in integrating new AI solutions into existing systems.

Optimistic future prospects

Despite the hurdles, the majority of companies in Germany remain optimistic. 66% of those surveyed believe that they will achieve a positive return on their AI investments within the next two years. The study makes it clear that companies are relying on AI in the long term to drive innovation and sustainably increase productivity.

The full results of the study are available in the publication »ROI of AI«.