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While initial enthusiasm for generative AI wanes amid challenges like accuracy issues, companies such as Mimecast demonstrate how responsible, organisation-wide adoption can unlock significant productivity and innovation gains, signalling a shift towards sustainable AI integration.

Gartner’s renowned “hype cycle,” which tracks the maturity and adoption of emerging technologies, positions generative artificial intelligence (AI) as moving past the Peak of Inflated Expectations and descending into what is termed the Trough of Disillusionment. This reflects a cooling of initial excitement following the launch of OpenAI’s ChatGPT three years ago, a tool that rapidly captured the imagination of millions with its ability to perform diverse tasks, from composing poetry to summarising complex documents and crafting business presentations.

Despite ChatGPT’s impressive capabilities, fundamental issues such as hallucination or the generation of inaccurate information have tempered enthusiasm. Corporate leaders have voiced both excitement about AI’s potential to enhance productivity across numerous functions and concern over risks related to data security, client confidentiality, and reputational harm. This duality has begun to manifest in reports highlighting generative AI’s underwhelming delivery against early, sky-high expectations, signalling growing corporate disillusionment.

Nonetheless, with careful implementation and adequate preparation, generative AI remains a potent productivity enhancer. This is evidenced by leading US technology firms, which appear to be benefiting from what the research firm Alpine Macro describes as a “jobless profit boom.” These companies, while reducing headcount, are experiencing accelerated productivity growth that Alpine Macro attributes in part to AI-driven efficiencies. The data suggests the displacement of some technology jobs by AI, with ripple effects noted across the broader economy, including a sustained lag in private sector employment compared with pre-pandemic trends. Additionally, factors like reduced labour supply through the deportation of undocumented workers may be propelling companies to invest more in technology, driving productivity gains that are now twice as rapid as those in the 2010s.

One illustrative example of successful AI adoption is Mimecast, a global cybersecurity company serving over 40,000 customers. Mimecast has taken a company-wide approach, encouraging all 2,400 employees to integrate AI into their workflows with comprehensive training to support ethical use. According to Tim Seamans, the company’s vice-president for AI and business transformation, 96% of staff now routinely leverage AI tools, resulting in marked productivity improvements. The company’s strategy includes top-down leadership engagement, with the CEO actively creating AI agents to foster innovation, and benchmarking departments against industry adoption rates to identify areas for growth, including less obvious functions such as customer service and human resources.

Mimecast’s experience underscores a crucial lesson emphasised by many executives and Gartner’s broader analysis: leveraging AI effectively is not purely a technical challenge but demands organisational and cultural change. Companies need to evolve their work practices and business models alongside technological advancements to move from the disillusionment phase into the more productive stages of the hype cycle.

Gartner’s recent 2025 reports and webinars further contextualise this evolution, noting a shift from generative AI’s initial hype toward foundational innovations that enable sustainable and responsible AI adoption. These foundational enablers include AI-ready data infrastructure and AI trust, risk, and security management frameworks that are critical to scaling AI usage responsibly. The peak of current expectations is characterised by breakthroughs in multimodal AI, systems that process multiple forms of data simultaneously, and enhanced AI governance practices, collectively termed AI TRiSM (trust, risk, and security management).

Leaders are advised to move beyond experimentation, pivoting towards embedding AI into core business strategies while navigating regulatory complexities and ensuring ethical deployment. This balanced approach aims to capitalise on AI’s transformative potential without falling prey to the pitfalls that have prompted widespread scepticism.

In summary, while the initial euphoria around generative AI like ChatGPT has diminished in the face of real-world challenges, strategic, well-governed integration of AI technologies, exemplified by companies such as Mimecast, demonstrates that AI can still deliver meaningful productivity and innovation gains. The journey up the Gartner hype cycle continues, with the emphasis now on responsible scaling and foundational readiness that will determine the technology’s long-term impact on business and society.

📌 Reference Map:

  • [1] (Financial Times) – Paragraphs 1, 2, 3, 4, 5, 6, 7
  • [2] (Gartner) – Paragraph 8
  • [3] (Gartner Webinar) – Paragraph 9
  • [4] (Gartner Press Release) – Paragraph 8, 9
  • [5] (Mimecast Blog) – Paragraph 6
  • [7] (Gartner Article) – Paragraph 8, 9

Source: Noah Wire Services

Noah Fact Check Pro

The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
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Freshness check

Score:
8

Notes:
The narrative references Gartner’s 2025 Hype Cycle for Generative AI, published on 14 July 2025 ([gartner.com](https://www.gartner.com/en/documents/6719134?utm_source=openai)). The Financial Times article was published on 3 December 2025, indicating a freshness of approximately 4.5 months. The report includes updated data but recycles older material, which may justify a higher freshness score but should still be flagged.

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