Gartner CIO Survey: 91% of Orgs Increasing GenAI Funding (Mean +38%) — AI Spend Shifts from Innovation to Core Operations
FourWeekMBA / Gartner·high signal
Gartner's 2026 CIO survey shows 91% of organizations increasing GenAI funding with a mean increase of 38%, while only 1% are cutting. The most striking shift: AI innovation budgets dropped from 25% to just 7% of LLM spending — AI has graduated from experiment to core operating expense. Up to half of organizations now put 50%+ of digital transformation budgets toward AI automation, with enterprises consolidating spend across fewer vendors. This budget rotation from traditional SaaS licenses to AI platform consumption is the structural force behind the software valuation collapse.