Back Issues This Week → Calendar → Current Issue → Popular →

All issuesVolume 340, Issue 2IT NewsAI

AI Scaling Is Where Most Companies Stall. Here's Why

TechTarget, Wednesday, July 8th, 2026

Companies stall at AI scaling by expanding pilots instead of redesigning systems for production.

The article argues companies fail at AI scaling because they try to expand pilots rather than fundamentally redesigning systems for production, and because they add resources instead of adopting an AI-first mindset.

Four areas need restructuring: operating models and governance, talent beyond just engineers, production-grade tools, and ROI measurables. Organizations should shift from an 80-20 split favoring small experiments toward more transformational projects as confidence grows.

It also urges embracing nondeterministic thinking rather than expecting binary if-then results. Leaders who have moved past experimentation to scaling gain an advantage over unprepared competitors.

more →  ·  More from AI →