The EY US AI Pulse Survey finds many leaders are channeling productivity gains from artificial intelligence into existing and new AI capabilities, R&D, cybersecurity and retraining employees rather than reducing headcount. While an increasing number of companies announce AI-related layoffs and concerns mount about more to come, new EY research finds organizations “are most often reinvesting their productivity gains from AI into growth, upskilling talent and increasing resilience.”
The EY US AI Pulse Survey, part of a series of ongoing polls of 500 US-employed decision-makers (senior vice presidents and above) from “a range of sectors, uncovers that nearly all organizations investing in AI are experiencing some amount of AI-driven gains in productivity (96%), including 57% that say their gains are significant.”
Among organizations investing in AI and experiencing AI-driven productivity gains, only 17% say these gains “led to reduced headcount; far more reported reinvesting their AI-driven gains into existing AI capabilities (47%), developing new AI capabilities (42%), strengthening cybersecurity (41%), investing in R&D (39%), and upskilling and reskilling employees (38%).”
Dan Diasio, EY Global Consulting AI Leader:
“While AI readily raises the floor by improving efficiency, the transformative potential comes from raising the ceiling. Organizations that shift from a productivity mindset to a growth agenda are using AI to drive innovation, create new markets and achieve what was previously considered impossible. The survey demonstrates this inflection point—companies are reinvesting their gains to build the businesses of the future, not just optimize the operations of today.”
The EY survey asked senior leaders about the “impact of AI investments on their financial outcomes.”
A majority (56%) of respondents who have seen “positive ROI from AI investments report that it has translated to significant measurable improvements in overall financial performance.”
That performance is leading to “increased planned AI spend by companies.”
Although 27% of respondents investing in AI currently commit a quarter or more of their IT budget to AI, that figure is set “to roughly double to 52% next year.”
Of note, the group spending half or “more of their total IT budget on AI is expected to quintuple, jumping from just 3% today to 19% next year.”
Notably, the scale of investment correlates with success, as respondents at organizations investing “$10 million or more in AI across all business units/teams are more likely than those investing less than $10 million to say their organization has seen significant AI-driven productivity gains over the past year (71% vs. 52%).”
Whitt Butler, EY Americas Vice Chair, Consulting
“The companies out in front on AI investment are pulling farther ahead and directing more capital into AI, making it the engine of their biggest growth and transformation bets. The leaders making real headway are reinvesting early wins to build new capabilities and reimagine how work gets done. And the magnitude of investment matters: the organizations committing more funding to AI are seeing the strongest productivity gains, showing that AI is moving beyond pilots to become a true driver of enterprise value.”
The ability to safely scale AI by implementing “strong governance and controls is becoming a competitive differentiator” and respondents are increasingly focused on:
- Responsible AI training: Sixty percent of senior leader respondents whose organizations are investing in AI say the time spent on responsible AI training for employees has increased over the past year, and about two-thirds (64%) expect that time spent will grow in the year ahead.
- Ethical AI operation: Today, 68% of respondents whose organization is investing in AI report that their organization’s focus on ensuring AI operates ethically will increase over the next year – significantly more than the 60% who predicted the increased focus a year ago.
- Transparency with customers: Increasingly, senior leaders are making transparency a priority, with respondents whose organization is investing in AI noting that their organization’s transparency with customers about AI use will increase over the next year – 63% predict the increase today compared with 55% who did a year ago.
Diasio added:
“Trust and transparency are the ultimate license to operate as AI diffuses throughout the enterprise. Companies are realizing that if they want to turn productivity gains into long-term value, they must prove to their workforce and customers that their systems are not just powerful, but responsible.”
Ernst & Young LLP (EY US) commissioned a “third-party vendor to conduct the fourth wave of the EY US AI Pulse Survey.”
The online survey among “n=500 US-employed decision-makers (SVP+) in the health; life sciences; energy; technology, media and telecommunications (TMT); government and public sector; consumer products and retail; advanced manufacturing and mobility (AMM); financial services; private equity; and real estate, hospitality and construction (RHC) industries (i.e., n=50 per industry) was fielded between September 19 and October 16, 2025. The margin of error (MOE) for the total sample is +/-4 percentage points at the 95% confidence interval.”
The first wave of the EY US AI Pulse Survey was “fielded Apr 29–May 6, 2024, the second wave was fielded Sept 24–Oct 4, 2024 and the third wave was fielded Apr 17-30, 2025.”
For data integrity and comparison purposes, tracking “questions and audience definitions remained unchanged wave over wave.”
The MOE for the total sample per wave “is +/- 4 percentage points at the 95% confidence interval.”