rewrite this title AI Spending Outpaces Network Readiness Across UK Businesses, IDC Report Warns – UC Today

UK businesses are pouring money into AI while failing to build the network infrastructure needed to support it, according to new research from IDC commissioned by managed Network-as-a-Service provider Expereo.

The IDC InfoBrief, “Enterprise Horizons 2026: Where Innovation Meets Reality,” found that just 15 percent of UK organisations say their AI implementations have exceeded expectations, with only 3 percent reporting they have significantly done so.

Almost a quarter of businesses specifically cited inadequate network or connectivity performance as a reason their AI deployments have fallen short in the last year.

The findings point to a widening gap between AI ambition and AI outcomes – one that is being driven in part by reactive investment decisions. Two thirds (66 percent) of UK organisations are investing in AI based on its potential rather than proven returns, while nearly one in six (15 percent) admit they are spending aggressively with little evaluation, driven by fear of being left behind.

Demand Is About to Accelerate

The pressure on network infrastructure is set to intensify. Some 55 percent of UK organisations named AI or machine learning as their top technology priority over the next 12 months – meaning network demand is not just growing but approaching a step-change.

Yet the networks underpinning those deployments are not keeping pace. Some 54 percent of UK organisations say they need more flexible and scalable networks to thrive in an AI-driven environment, while 57 percent say they need greater resilience and reliability to maximise uptime as AI workloads scale.

The most commonly cited reasons for AI underperformance include inadequate or poor-quality training data (48 percent), higher-than-expected costs or unachieved ROI (45 percent), and AI not performing as well as expected (42 percent). But network readiness is increasingly part of that picture.

A Direct Call to the Channel

Ben Elms, CEO of Expereo, said the findings should prompt a shift in how network decisions are framed at boardroom level.

“Every UK organisation we speak to is investing in AI, yet the data shows a clear gap opening up between AI ambition and AI outcomes. More often than not, that gap comes down to the network underneath. AI only delivers on its promise when the infrastructure carrying it is built to support it.

“Without resilient, scalable, cloud-optimised networks, even the most well-funded AI programmes will struggle to deliver ROI. Getting the network right is no longer an IT decision; it is one of the most important conversations happening in the boardroom today to help fulfil AI ambition.”

For channel partners, the research presents a concrete opportunity. Businesses unable to realise returns on AI investment will increasingly look to partners who can diagnose and fix the underlying connectivity story – and the data now gives those partners the evidence to lead that conversation.

Security and Cost Control Emerge as Growing Concerns

Beyond infrastructure, the research flags two further pressure points.

Some 56 percent of UK tech leaders cite the creation of new security risks as a significant potential future threat from AI adoption. Meanwhile, 33 percent are concerned about losing track of AI-related costs and ROI once the technology becomes embedded across the business.

Both findings suggest that governance is struggling to keep up with the pace of deployment – an area where channel partners with managed services capabilities are well-positioned to add value.

Reality Check

Taken together, the findings paint a picture of a UK business community that is committing to AI at pace but has yet to build the foundations to sustain it. Network readiness, governance, security and cost visibility are not afterthoughts – they are the conditions under which AI either delivers or stalls.

With 55 percent of organisations doubling down on AI investment over the next year, the window for partners to get ahead of that conversation is narrowing fast.