European companies struggle to move AI beyond pilots

European companies are facing a widening AI execution gap, with 79% of initiatives failing during or after the pilot stage, according to research from OMMAX conducted with Statista+, Ibexa and Make. The study surveyed 250 senior decision-makers in Germany, France, Italy, the Netherlands, and the United Kingdom. While 58% of organizations have a clearly defined AI strategy, only 44% have fully implemented the operating models needed to scale programs effectively.

AI investments are delivering more internal optimization than commercial growth. A total of 84% of organizations reported operational efficiency gains, and 55% achieved internal efficiency improvements of at least 10%. By contrast, only 36% reported comparable revenue growth, underscoring the difficulty of turning internal productivity gains into broader business transformation.

Execution risks are concentrated around the move from testing to production. Among failed initiatives, 35% collapse during the pilot stage and 44% fail during the transition to production, while 65% of completed AI projects exceed their original budgets. The main barriers include integration complexity with existing systems at 40%, lack of internal skills at 32%, unclear return on investment at 32%, and fragmented data foundations at 30%.

Ownership remains heavily concentrated in technical teams, with 48% of execution responsibility sitting in IT and engineering and only 7% in business units. Stronger results are linked to aligning operating models with strategy, improving data quality and integration, and distributing responsibility across commercial and customer-facing functions.