Avoid the Pitfalls of Failed AI Projects with AI as a Service

As the novelty begins to wear off, Generative AI (Gen AI) is facing tougher scrutiny. More and more, we’re seeing AI projects fail to leave the proof of concept stage, and the projects that do make it out of that stage never deliver a profit.  Based on the Generative AI Global Benchmark Study from Lucidworks, concerns about generative AI implementation costs increased by 14x in 2024.  

 This spike shows the growing doubt about the financial sustainability of AI investments, prompting businesses to reevaluate the financial viability of these projects and question whether the outcomes will justify the high costs.

Growing concern about Gen AI projects

While many businesses are still exploring AI investments, the initial excitement has been tempered. Businesses are taking a closer look at Gen AI projects, and some common concerns have surfaced. Of the people surveyed in the Lucidworks study, data security was a top concern at 46%, followed by implementation cost (43%), response accuracy (36%), and decision transparency (35%).

Let’s look at the potential pitfalls these concerns represent when building an AI solution from scratch.

• High Costs: Building an AI solution is an expensive endeavor that often leads to unexpected costs and budget overruns. While it’s possible to cut a few corners here and there to save costs, this can lead to a faulty, error-filled AI model that will cost you more money to fix.
• Response accuracy: If an AI project frequently produces incorrect or irrelevant responses, the results can range from poor decision-making based on faulty information to a loss of trust among your customers and, ultimately, failure to achieve the intended benefits of implementing AI.
• Lack of governance: AI of any kind needs governance.  Without proper governance, an AI project may breach ethical norms and regulatory standards. Poor governance can result in the misuse of data, biased AI outcomes, and decisions that are not transparent or accountable.

• Lack of decision transparency: When users don't understand how decisions are made, it can lead to decreased adoption rates and potential distrust about the AI’s outputs. If decisions are hidden, it becomes challenging to spot and fix mistakes or biases in the AI.

So where does this leave companies interested in leveraging Gen AI but hesitant to take on the financial investment or governance responsibilities?

You don’t need to build your own AI solution to harness the power of Gen AI. Let’s explore how AI as a Service (AIaaS) might be the solution.

The case for an AIaaS solution

AI as a Service (AIaaS) companies, like Circuitry.ai, allow you to leverage cutting-edge AI technology without the overheads associated with its development. The AIaaS model offers a plug-and-play solution where AI capabilities are integrated into your business operations, supported by experts, and scaled according to your needs.

Solving problems with AIaaS

At Circuitry.ai, we've seen firsthand how companies struggle with the costs, complexities, and risks of building AI in-house. Our AIaaS solutions bypass these common pitfalls, offering you all the advantages of advanced AI without the headaches.

• Cost Efficiency: Instead of large initial investments, you pay for AI capabilities as you use them. By providing AI as a service, we empower businesses to access cutting-edge AI technology without the financial burden.  This approach keeps your budgets predictable and manageable.

• Response accuracy: We prioritize accuracy. By leveraging sophisticated algorithms and continuous learning processes, we ensure that our AI models are relevant and precise. Our AI tools will meet or exceed your human response accuracy, sometimes by a very wide margin.

• Transparency: Since our AI tools are built on your knowledge, every answer can be audited and traced back to a single source, eliminating the risk of hallucination or made-up answers that are commonly seen in generic AI solutions.

• Governance: We use guardrails to prevent illegal or inappropriate conversation topics. Our AI understands your context; if it doesn't, it will escalate to a human operator. Our model will never answer a question if it doesn't have the knowledge to do so. We strictly govern policies around how our AI behaves, ensuring it operates within defined boundaries.

AIaaS is low-risk, high-return

As traditional Gen AI projects often become costly and yield negative ROI, AIaaS emerges as a low-risk, high-return alternative. With AIaaS, you get to explore cutting-edge AI technology at a low cost while significantly increasing your chances of a strong return on your investment.

 Embrace the future with AIaaS and join a wave of companies achieving success with a streamlined, scalable, and cost-effective approach to AI. Don’t let your AI initiatives falter and become another statistic—let them flourish with AIaaS.

Ready to explore AL solutions that give real results? Contact us now to book a demo and see the difference for yourself.