The State of AI in 2023: Generative AI�s Breakout Year

Abstract

The McKinsey Global Survey reveals the rapid growth of generative AI (gen AI) tools, with one-third of respondents stating their organizations are regularly using gen AI within a year of its introduction. Company leaders, including C-suite executives, are increasingly embracing gen AI for work purposes, and 40 percent of respondents plan to increase overall AI investment due to gen AI advancements. However, managing gen AI-related risks is still in its early stages, as less than half of respondents address the most relevant risk�inaccuracy. Organizations already proficient in AI have been quick to explore gen AI's potential, while the expected disruption to businesses prompts expectations of workforce cuts in certain areas and substantial reskilling efforts, though there are limited increases in the adoption of other AI tools.