Latest news with #autonomy
Forbes
15 hours ago
- Business
- Forbes
AI Agents And Hype: 40% Of AI Agent Projects Will Be Canceled By 2027
AI Agents: Fact vs Fiction The future of work is increasingly being defined by autonomy, not just for employees, but for the software systems that support them. Agentic AI, a class of intelligent systems capable of making decisions and taking action without constant human oversight, has captured the imagination of corporations, startup founders, and tech giants alike. But beneath the surface of this technological frontier lies a sobering truth: according to Gartner, more than 40% of agentic AI projects will be canceled by the end of 2027. The reasons range from surging costs to vague business outcomes and immature risk management frameworks. So while the allure of intelligent agents, agentic AI, and AI agents is strong, so is the risk of overreach. Hype, Haste, and the Harsh Reality The term 'agentic AI' has quickly become one of the most talked-about concepts in 2025 in enterprise tech. These are not just chatbots or static automation tools—they are systems designed to act independently, initiate tasks, and adapt over time. Yet according to Anushree Verma, Senior Director Analyst at Gartner, the enthusiasm is frequently misaligned with execution: 'Most agentic AI projects right now are early-stage experiments or proofs of concept that are mostly driven by hype and are often misapplied.' In a January 2025 Gartner survey of over 3,400 professionals, only 19% reported significant investment in agentic AI. Another 42% were investing conservatively, while a notable 31% remained on the fence or undecided. Despite its potential, most companies are proceeding with caution—if they're proceeding at all. As vendors rush to ride the wave, many are simply rebranding existing technology such as RPA, AI assistants, or simple chatbots—as 'agentic AI' without making substantive changes. Gartner estimates that out of thousands of so-called agentic AI providers, only around 130 offer solutions that meet the true definition of autonomous agency. This dynamic is creating confusion in the marketplace and inflating expectations among enterprise buyers. Additionally, the financial side of agentic AI is proving more challenging than anticipated. Beyond development and integration, organizations must contend with the high costs of compliance, infrastructure, workforce training, and workflow redesign. In many cases, legacy systems can't easily accommodate these autonomous agents without substantial reengineering. Without clear ROI metrics, projects lose momentum. As Verma notes, 'Many use cases positioned as agentic today don't require agentic implementations. The technology's not yet mature enough to deliver the business value companies expect.' The result? Projects stall in pilot stages. Teams lose faith. Budgets are reallocated. And the promise of transformation fades into a post-hype hangover. When Agentic AI Makes Sense Despite the grim outlook for many early projects, Gartner's long-term vision for agentic AI does remain optimistic. By 2028, the firm predicts that 15% of routine business decisions will be made autonomously by AI agents—up from virtually zero in 2024. Furthermore, a third of all enterprise software applications will feature embedded agentic AI by that time and the key for organizations will be to focus on high-impact areas such as: Furthermore, success stories will only emerge from firms willing to rethink workflows from the ground up. This might mean redesigning customer service journeys to allow agents to triage and resolve requests autonomously—or creating new internal operations models that pair human oversight with AI-driven decision-making and these shifts aren't minor—they require cultural, structural, and technical buy-in. Conclusion: Why 40% Will Fail and What the Other 60% Must Do Now Agentic AI is not a passing trend—it's a defining shift in how software interacts with the enterprise. But it's also a high-risk investment, vulnerable to exaggerated promises and weak execution as it stands. The projected 40% failure rate however is not a condemnation of the technology, but a reflection of how quickly hype can outpace operational readiness. To succeed, leaders must cut through the noise, build around clear business outcomes, and adopt an enterprise-first mindset. It's not about deploying agents for the sake of innovation—it's about using them to solve hard problems with measurable returns. The bottom line? Agentic AI isn't for the timid or the trend-chasers. It's for the disciplined, the strategic, and the visionary. Because in this next phase of AI, it's not about who starts first—it's about who finishes strong.
Yahoo
a day ago
- Automotive
- Yahoo
Ford CEO Jim Farley says Waymo's approach to self-driving makes more sense than Tesla's
Ford CEO Jim Farley expressed skepticism about the technological approach to self-driving cars being pursued by Tesla, citing consumer 'trust' and the need to 'be really careful' as reasons why Ford sees more potential in systems based on laser sensors like those in Waymo vehicles. The comments are the latest indication of the auto industry's resistance to Tesla CEO Elon Musk's vision of less expensive self-driving vehicles that use only video cameras and artificial intelligence — a bet Musk believes will ultimately pay off and prompt other automakers to license Tesla's technology. But Ford, the number three automaker in the U.S., which plans to work with partners to incorporate self-driving technology into its future vehicles, does not seem likely to license Tesla's tech anytime soon, based on Farley's comments on Friday. 'When you have a brand like Ford, when there's a new technology, you have to be really careful,' Farley said at the Aspen Ideas Festival on Friday. 'We really believe that LiDAR is mission critical,' Farley said, referring to the laser sensors used by companies like Waymo. Farley was being interviewed by Walter Isaacson, who published a biography on Elon Musk in 2023. When their conversation turned to autonomy, Isaacson asked Farley to compare both Waymo and Tesla's systems, and he asked which approach made more sense. 'To us, Waymo,' Farley said. He pointed out that both Waymo, owned by Google-parent Alphabet, and Tesla 'have made a lot of progress' on self-driving, and Farley acknowledged that he has had conversations with Elon Musk. But he stated that Ford considered LiDAR to be an important part of the picture, noting that 'where the camera will be completely blinded, the LiDAR system will see exactly what's in front of you.' Tesla, which recently launched its robotaxi service in Austin—with safety riders in the front seat—has famously taken a 'camera-only' approach to its autonomous technology, meaning that it doesn't use radar or LiDAR technology to 'see' the environment around the car. This approach has drawn scrutiny across the industry from people who question whether it is as safe without the redundancies, even as Musk argues that it's more economical and performs just as well 'The issue with Waymo's cars is it costs way more money,' Musk said during Tesla's quarterly earnings call in April. 'The car is very expensive, made in low volume. Teslas probably cost 25% or 20% of what a Waymo costs and made in very high volume.' Ford has said it plans to partner with a self-driving software company once the technology is farther along. While the company had spent $1 billion pursuing its own joint venture with Volkswagen, called Argo AI, Ford stopped funding the effort in 2022 and decided to pursue a partnership model. In the meantime, the company has shifted attention to its 'BlueCruise' technology, a so-called Level 2 self-driving system that allows drivers to take their hands off the wheel on the highway but requires full attention. Ford is still working on developing a more advanced system, which will allow drivers to not pay attention during certain times on the highway—but it has said it no longer has intentions to build a fully autonomous, Level 4 system, only plans to partner with other companies who have. 'We decided, as a company, that a cooler problem than full autonomy in an urban setting was high speed, eyes off. Push a button and read a book in your car,' Farley said. This story was originally featured on
Globe and Mail
2 days ago
- Automotive
- Globe and Mail
UBS Hikes Tesla Target to $235, but Warns Robotaxi Hype Doesn't Justify Valuation
UBS raised its price target on Tesla (TSLA) from $190 to $235 after the company launched its first robotaxi pilot in Austin, Texas. The bank maintained its Sell rating, saying the stock's current valuation already reflects high investor expectations for autonomy and future technologies. UBS views the robotaxi market as a significant long-term opportunity if Tesla can deliver on its technology, secure regulatory approvals, and scale production. Confident Investing Starts Here: A Cautious Approach Despite a Huge Market UBS estimates a potential fleet of 2.3 million robotaxis by 2040, generating about $200 billion in annual revenue. It values the robotaxi business alone at $99 per share. That number is now baked into its new model for Tesla. Still, the bank is cautious. It believes the stock remains fully valued even after factoring in the upside from robotaxis and humanoid robots. Elon Musk has described autonomy and robotics as key drivers of Tesla's future. UBS agrees, but highlights significant execution risks. It also notes that Tesla's valuation already prices in much of this growth. At a $1.14 trillion market cap and a P/E ratio of 181, the stock leaves little room for error. While investor sentiment has turned bullish on Tesla's AI and autonomous bets, UBS is taking a more reserved view. They are examining the fundamentals, regulatory hurdles, and the time required to realize the potential of these ventures fully. In short, UBS sees long-term promise but is not convinced it justifies the current stock price. The firm is urging investors to remain grounded, even as Tesla makes headlines with key moves in autonomy. Is Tesla Stock a Buy, Sell, or Hold? On the Street, Tesla boasts a Hold position, based on 35 analysts' ratings. The average TSLA stock price target is $287, implying a 17.69% downside. See more TSLA analyst ratings
Yahoo
4 days ago
- Politics
- Yahoo
Alberta to launch panel tour to 'chart a path forward' amid new pipeline talk
Alberta Premier Danielle Smith says a new panel will hit the road this summer with an eye on devising new measures for Alberta to assert autonomy and shield its economy from what she calls federal overreach. The "Alberta Next" panel, which was announced in May, will hold a series of in-person town halls over the summer, with exact locations to be announced in the coming weeks. It will also collect feedback through online surveys. Proposals that come out of those discussions could be put to a vote in a referendum next year. "The Alberta Next panel will put Albertans in the drivers' seat," Smith told reporters at a news conference in Heritage Park in Calgary on Tuesday. "It will give them the rightful opportunity to decide how Alberta can become stronger and more sovereign within a united Canada." Smith previously said she would chair the panel. In addition to Smith, the panel will include Environment Minister Rebecca Schulz, economist Trevor Tombe, and Adam Legge of the Business Council of Alberta, among others, with some still to be announced. Long-running face-off with Ottawa A government news release issued Tuesday stated that the panel would engage directly with Albertans to "chart a path forward for the province." Wherever that path leads will be the latest development in a years-long face-off over energy and economic policy between Alberta and Ottawa. "You know what Ottawa can't help but be fixated on? ... Punishing our energy sector and layering on policies to keep it in the ground," Smith said. WATCH | How will Alberta Next panel affect province's relationship with Ottawa?: The government said the panel would consult Albertans on subjects like the possibility of establishing an Alberta pension plan, switching to an Alberta provincial police service from the RCMP and considering potential immigration reform, among other issues. Some of the subjects echo the UCP's former Fair Deal Panel, which produced 25 recommendations, including developing a plan to withdraw from the Canada Pension Plan and creating a provincial police force. Asked by reporters Tuesday about how this effort would be different, Smith said that sometimes conversations that emerge out of the panel discussions lead to a "national dialogue." "We identified six issues that we know have come up in the previous round of the Fair Deal Panel that we think Albertans now may want to put to a referendum so that we can take some action on them," Smith said. "But there may be others, and that's what we want to be able to explore." Smith has said that her government doesn't plan on including a question on Alberta separation as a part of the 2026 referendum ballot. However, she reiterated Tuesday that citizen-initiated petitions could result in questions being added if the petitioners gather 177,000 signatures. Lori Williams, an associate professor of policy studies at Mount Royal University in Calgary, said the addition of individuals like economist Tombe and Tara Sawyer, MLA-elect for Olds-Didsbury-Three Hills, suggested a balance of voices rather than a panel predisposed to a particular outcome. However, she questioned the focus on issues such as an Alberta pension plan, which has already been studied at length. "It raises questions, from a government that says it wants to listen to Albertans, that it keeps asking questions that it has already gotten ... clear 'no' answers to," she said. Talk of new pipeline On Tuesday, Bloomberg News reported that Smith told the news agency in an interview that she expected a private company would bring forward a proposal to build a new oil pipeline to the British Columbia coast within weeks. Smith has not named the company and no firm has yet publicly committed to the idea. Asked by reporters at Tuesday's news conference about that report, Smith said she had been talking with all of the pipeline companies since she was elected. "I feel like we're pretty close to having, either one or a consortium come forward," she said. "I would hope that that would happen very soon, because we need to send a signal to Albertans very soon and test the new process the prime minister is putting forward." Last week, the Liberal government's major projects legislation passed in the House of Commons. It aims to reduce interprovincial trade barriers and speed up approvals for major projects in the national interest. Specific projects haven't yet been identified, however Prime Minister Mark Carney has said decarbonized oil pipelines are "absolutely" in the national interest and would support both trade diversification and new industry development. WATCH | MPs push through Carney's major projects bill before summer break: Currently, the federally-owned Trans Mountain pipeline carries crude oil from Alberta to the West Coast. But Smith has been vocal about potentially revisiting a plan to ship oilsands crude to the northern B.C. coast, telling reporters at the Global Energy Show earlier this month that the province was working to entice a private-sector pipeline builder. Smith has suggested that Prince Rupert, B.C., could work as a potential end point for the pipeline. Plans for the proposed Northern Gateway pipeline to export crude oil near Kitimat, B.C., were scrapped in 2016 following a court ruling that determined Ottawa failed to properly consult First Nations affected by the pipeline. With talk of a revival of such plans on the radar, B.C. Premier David Eby said earlier this week that he opposed public funding for an oil pipeline to the north coast, but added he wasn't against a privately-backed option. "What I don't support is tens of billions of dollars in federal subsidy going to build this new pipeline when we already own a pipeline [Trans Mountain] that empties into British Columbia and has significant additional capacity — 200,000 barrels," Eby said on Sunday.
RNZ News
4 days ago
- Politics
- RNZ News
PNG and Bougainville leaders to finalise independence agreements on Thursday
PNG Prikme Minister James Marape and Bougainville President Ishmael Toroama duringmoderation talks ealier this year. Photo: Autonomous Bougainville Government Leaders of Papua New Guinea and Bougainville are due to hold a one-day meeting on Thursday to sign off on agreements related to the autonomous region's quest for independence. The meeting will likely mark the end of the involvement of former New Zealand governor-general Sir Jerry Mateparae. Sir Jerry was brought in to help find a way forward after a years' long stalemate over the tabling of the results of Bougainville's independence referendum. His involvement is set to end as Bougainville enters its election process, with writs expected to be issued at the end of next week. Most recently, ten days of meetings in Burnham, New Zealand, orchestrated by Sir Jerry, appear to have failed to achieve significant progress. The PNG and Bougainville governments have largely refused to talk about the issues publicly. Meanwhile, the United Nations Secretary-General António Guterres is set to attend a major peace and reconciliation ceremony between PNG and Bougainville in September. PNG Foreign Affairs Minister Justin Tkatchenko has confirmed Guterres' attendance. The Post-Courier reports Tkatchenko saying the UN chief will be in Port Moresby from 2-3 September for the national reconciliation. The national reconciliation was originally going to be staged in 2019 before Bougainvilleans had voted in their independence referendum, but it did not go ahead.
