Survey: German executives are betting big on AI profits — but their own teams aren’t convinced

German companies are the most optimistic in the world about the financial returns of their artificial intelligence investments, but significant obstacles are slowing down real-world results. A press release from management consultancy Horváth reports that 75 percent of senior executives at large German companies expect AI investments to have a strongly positive effect on EBIT (earnings before interest and taxes). The global average stands at just 54 percent.

However, a sharp divide exists between the top floor and the rest of the organization. While three quarters of C-suite leaders globally expect strong positive EBIT effects, only 21 percent of department heads share that view. Matthias Emler, partner at Horváth, warns: “The gap in assessments is a clear sign that expectations and reality often diverge, both in strategy and implementation.”

Hype drives poor purchasing decisions

In four out of five German companies, top management is currently far more willing to spend on AI than on other IT investments. Aggressive sales tactics by AI vendors are pushing executives to request new tools without thorough evaluation. According to the study, there is a high risk that purchased solutions will not integrate well with existing systems.

• 79 percent of respondents say AI solutions are often overpriced relative to their value.
• 79 percent report that AI applications frequently fall short of promised capabilities.
• 70 percent of companies cannot reliably identify which AI tools are being used across their organization.

Security concerns add another layer of complexity. German companies show notably higher sensitivity to AI-related cyber risks than their US counterparts, with approval rates running 10 to 15 percentage points higher on related survey questions. Some 84 percent of decision-makers observe that cyberattacks are becoming more sophisticated due to AI.

A further concern is the erosion of professional judgment. In 81 percent of German companies surveyed, management fears that employees are increasingly accepting AI-generated outputs without critical review. Emler stresses that companies need company-wide training programs covering how AI works, its risks, and internal usage guidelines.

The study “From AI to EBIT” surveyed more than 200 organizations with at least 200 million euros in annual revenue across Germany, Austria, Switzerland, the United States, and Northern Europe.