If you’ve ever thought companies talk more than act when it comes to their AI strategy, a new Cisco report backs you up. It turns out that just 13 percent globally are actually prepared for the AI revolution.
However, this small group – which Cisco calls the ‘Pacesetters’ – are lapping the competition. The third annual Cisco AI Readiness Index found these top performers are four times more likely to get their AI projects out of the pilot stage and into the real world. More importantly, they are 50 percent more likely to see measurable value from their efforts.
What they’ve figured out is that winning with AI is about getting the foundations right with a disciplined approach that weaves together strategy, infrastructure, and security. And it pays off, with 90 percent of these Pacesetters seeing real gains in profit, productivity, and innovation, while most of their peers are hovering around the 60 percent mark.
Jeetu Patel, Cisco’s President and Chief Product Officer, said: “This year’s Cisco AI Readiness Index makes one thing clear: AI doesn’t fail, readiness fails.
“The most AI-ready organisations – the Pacesetters from our research – prove it. They’re four times more likely to move pilots into production and 50 percent more likely to realise measurable value. So, with more than 80 percent of organisations we surveyed about to deploy AI agents, these new findings confirm readiness, discipline, and action are key to unlocking value.”
So, what’s their secret? The research shows a clear pattern. Pacesetters don’t treat AI as a side project; it’s a core part of their business strategy. Almost every single one of them (99%) has a proper AI roadmap, something only 58 percent of other companies can claim. They also put their money where their mouth is. For 79 percent of them, AI is the top investment priority, a commitment shared by only 24 percent of the rest.
These leaders are building for the long haul, with 98 percent designing their networks to handle the immense scale and complexity of AI, compared to just 46 percent of their peers. It gives them the confidence that their systems can handle whatever is thrown at them; 71 percent say their networks can scale instantly for any AI project, a feeling shared by a worryingly low 15 percent of other organisations.
The report also gives us a glimpse into the near future, and for many, it looks rocky. Two huge challenges are looming: the widespread use of AI agents and a problem Cisco has dubbed ‘AI Infrastructure Debt’.
83 percent of companies are planning to deploy AI agents as part of their strategy, with nearly 40 percent expecting them to be working alongside human employees within a year. But here’s the problem: most of these firms are trying to build on shaky ground.
Over half of companies admitted their current networks simply can’t handle the data volumes or complexity that these advanced AI systems demand. The Pacesetters, on the other hand, have already done their homework, with 75 percent feeling fully equipped to secure and control these agents, compared to just 31 percent of others.
This leads us to the ticking time bomb of ‘AI Infrastructure Debt’. Think of it as the modern version of the technical debt that plagued companies for years. It’s the result of all the compromises, postponed upgrades, and underfunded plans that quietly pile up, slowly strangling the long-term value of AI.
The warning signs are already flashing. Nearly two-thirds of leaders expect their workloads to jump by over 30 percent in the next three years, and a similar number are struggling just to get their data organised in one place. Add to that the fact that only a quarter have enough GPU power, and you see a massive gap between ambition and reality.
The lesson from Cisco’s report is clear and simple: value follows readiness. In the race to adopt AI, the Pacesetters have shown that the organisations that take the time to build a strong foundation to support their strategy are the ones that will pull away from the pack.
See also: Gemini Enterprise: Google aims to put an AI agent on every desk
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