A new McKinsey survey, conducted on May 30, reveals that by March 2024, 72% of organizations have adopted AI in at least one area. Additionally, about 50% of respondents reported implementing AI in two or more business functions. These figures have risen from 55% and 33% in 2023, respectively.

The survey also noted a significant increase in the use of generative AI, which nearly doubled from 33% in 2023 to 65% in 2024.

From 2018 to 2023, AI adoption rates ranged between 47% and 58%. McKinsey highlighted this recent surge as a break from years of stagnation, stating: “AI adoption worldwide has increased dramatically in the past year, after years of little meaningful change.”

Respondents indicated a growing use of AI both professionally and personally, with the highest growth seen among senior executives. The Asia–Pacific region and Greater China showed the greatest growth in AI adoption.

AI Benefits

The report identifies marketing and sales (34%) and product and service development (23%) as the most common areas for AI adoption, which were previously noted for their high potential value. Additionally, 17% of respondents applied AI in IT functions, a category not highlighted in earlier research.

Regarding investments, McKinsey found that firms are nearly as likely to invest 5% of their digital budgets in generative AI as in analytic AI. Generative AI investments primarily reduced HR costs and increased revenue by over 5% in supply chain and inventory management. Analytical AI investments mostly yielded cost benefits in service operations and revenue gains in sales.

Nvidia and AMD Develop New Chips

McKinsey’s survey results coincide with Nvidia’s announcement on June 2 of a new generation of AI chips named Rubin, following the previous Blackwell chips. Nvidia plays a crucial role in the AI industry, holding an estimated 70% to 95% market share in AI chips, and reported record-breaking quarterly revenue at the end of May. Meanwhile, AMD announced its new AI chip line on May 3.