Generative AI Spending to Surge 13x Faster Than Overall IT, Reaching $143B by 2027

Enterprise spending on generative AI projected to grow 13x faster than overall IT spending from 2023-2027, reaching $143B.

IDC developed Generative AI Path to Impact framework to guide organizations in leveraging generative AI. Includes policy, strategy, architecture, and training.

Three types of generative AI use cases industry-specific, business function, and productivity. Recommends "three horizons" approach.

Every IT provider will incorporate AI into their business by 2024, reshaping the industry. AI pivot will replace cloud as innovation motivator.

By 2025 organizations will allocate over 40% of core IT spending on AI, leading to increased innovation. But skills gap may limit value.