Key Takeaways:
- The World Economic Forum in Davos, Switzerland is underway, with AI being a major topic of discussion among business leaders
- Companies are shifting their focus from the hype around AI to the practicalities of implementing the technology at scale
- Business leaders are emphasizing the importance of strong leadership commitment, centers of excellence, and live data connection to achieve ROI with AI
- The US Supreme Court’s potential decision on Trump’s leverage to acquire Greenland could have significant implications
- The markets are being impacted by Trump’s renewed tariff threats
Introduction to Davos and AI
The World Economic Forum in Davos, Switzerland is in full swing, with US President Donald Trump’s arrival later this week being a major talking point. However, when discussions aren’t centered around Trump, AI is the topic that’s generating the most buzz. Last year’s Davos conference saw the hype around AI agents take a hit with the release of DeepSeek’s R1 model, and it remains to be seen if this year’s conference will bring any similar surprises. With rumors circulating about DeepSeek’s plans to release another model, business leaders are approaching the topic of AI with a sense of caution and pragmatism.
The Shift in AI Focus
This year, business leaders seem to be less enamored with the hype surrounding AI and more concerned with the nitty-gritty of implementing the technology successfully at scale. Srini Tallapragada, Salesforce’s chief engineering and customer success officer, highlighted the company’s use of "forward deployed engineers" to improve feedback loops between customers and product teams. Additionally, Salesforce is offering pre-built agents, workflows, and playbooks to help customers re-engineer their businesses and avoid getting stuck in "pilot purgatory." This shift in focus reflects a growing recognition that AI is not a silver bullet, but rather a tool that requires careful planning and execution to deliver tangible results.
AI Success Strategies
At a side event in Davos called A Compass for Europe, CEOs gathered to discuss how to restore the continent’s flagging competitiveness, with AI being a key area of focus. Christina Kosmowski, the CEO of LogicMonitor, emphasized the importance of taking a "top down" approach to AI, with CEOs and leadership identifying high-value use cases and driving the organization to align around achieving them. Neeti Mehta Shukla, the cofounder and chief impact officer at Automation Anywhere, stressed the need to move beyond measuring automation’s impact solely through labor savings, and instead focus on metrics such as data quality, customer satisfaction, and worker reassignment. Lila Tretikov, head of AI strategy at NEA, noted that Europe has the talent and funding to build world-beating AI companies, but lacks the ambition and willingness to take big bets.
Achieving ROI with AI
Bastian Nominacher, co-founder and co-CEO of process analytics software platform Celonis, echoed some of these points, emphasizing that achieving ROI with AI requires strong leadership commitment, the establishment of a center of excellence within the business, and sufficient live data connected to the AI platform. He noted that companies that establish a center of excellence see an 8x higher return on investment than those that don’t. This highlights the importance of careful planning and execution in achieving tangible results with AI.
Market and Global News
In other news, the markets are being impacted by Trump’s renewed tariff threats, which are causing jitters among investors. The US Supreme Court’s potential decision on Trump’s leverage to acquire Greenland could also have significant implications for global trade and diplomacy. As the World Economic Forum continues, Fortune will be providing ongoing coverage of the key developments and insights from Davos, including the Eye on AI newsletter and a range of events throughout the week.
Conclusion and Further Reading
As the World Economic Forum continues to unfold, it’s clear that AI will remain a major topic of discussion among business leaders. With a focus on practical implementation and tangible results, companies are recognizing the importance of careful planning and execution in achieving success with AI. For further insights and analysis, readers can sign up for Fortune’s CEO Daily newsletter or visit the website for ongoing coverage of the World Economic Forum and other global business news.