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UK firms pour into AI despite weak returns, study finds

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SOFIAH NICHOLE SALIVIO

News Editor

UK businesses are investing heavily in artificial intelligence despite weak returns, according to research commissioned by Expereo. The study found that network shortcomings are one reason many deployments have failed to meet expectations.

IDC’s research found that 55% of UK organisations plan to prioritise AI or machine learning for effort or financial investment over the next 12 months. Yet only 15% said their AI implementations had exceeded expectations, and just 3% said they had significantly exceeded them.

Two-thirds of UK organisations said they were investing in AI because of its potential, while 15% said they were investing aggressively with little evaluation because they feared being left behind. The findings point to a market where spending is rising faster than businesses can assess whether projects are delivering a return.

Several factors were cited for weaker-than-expected outcomes. Nearly half of respondents, 48%, blamed inadequate or poor-quality training data, while 45% pointed to higher-than-expected costs or a failure to achieve return on investment. A further 42% said AI was not performing as well as expected.

Network performance also emerged as a constraint. Some 24% of UK businesses said inadequate network or connectivity performance was a reason their AI implementations had failed to meet expectations over the past year.

Infrastructure gap

The survey suggests many organisations now see network upgrades as a necessary part of broader AI spending. More than half, 54%, said they need more flexible and scalable networks to operate in an AI-driven environment, while 57% said they need greater resilience and reliability to maximise uptime as AI workloads increase.

That matters because AI systems often depend on moving large amounts of data between users, cloud platforms and internal systems. If networks are unreliable or lack capacity, businesses can face delays, higher operating costs and weaker performance from the tools they have bought.

Expereo, a provider of managed network-as-a-service products, said the figures show a widening gap between boardroom expectations and operational readiness. As AI programmes move from pilots to wider use, network decisions are becoming more closely tied to investment outcomes, it said.

Ben Elms, Chief Executive Officer at Expereo, said: “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.”

Risk concerns

The findings also show that concerns are spreading beyond technical performance into governance and financial control. More than half of UK technology leaders, 56%, said the creation of new security risks was a significant potential future threat linked to their organisation’s use of AI.

Cost oversight was another concern. A third of respondents, 33%, said they were worried about losing track of AI-related costs and return on investment once the technology becomes embedded across the business.

These concerns reflect a broader pattern in the UK market, where pressure to adopt AI has intensified even as many organisations are still trying to build the systems needed to support it. Businesses may be moving quickly to avoid missing out on competitive gains, but the research indicates many are doing so without the infrastructure discipline needed to make those investments pay off.

For network suppliers, telecoms groups and technology service providers, the data also highlights a commercial opening. If companies continue to prioritise AI spending while struggling with reliability, scale and connectivity, attention is likely to shift towards the less visible infrastructure supporting those projects.

The IDC study covered attitudes to investment priorities, performance and risk, and its UK findings suggest the debate over AI returns is moving away from headline spending towards practical questions about delivery. With only 15% of organisations saying AI projects are exceeding expectations, pressure is likely to grow on boards to show that the systems underneath those tools are fit for purpose.



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Oxford Vaccine Group seeks volunteers for world-first Ebola trial

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The trial, known as BD-Ebov, is testing a candidate vaccine called ChAdOx1 Ebola BDBV Vaccine, developed at the University of Oxford using the same platform technology that underpinned the Oxford-AstraZeneca Covid-19 vaccine.

The backdrop is a serious one. In May 2026 the World Health Organisation declared a public health emergency of international concern after cases of severe fever and death linked to Bundibugyo virus were detected in the Democratic Republic of the Congo. The virus, normally carried by fruit bats, can cross into humans through contact with infected animals and then spread between people through direct contact with body fluids.

Until now, there has been no licensed vaccine specifically targeting this strain. The Oxford trial is the first attempt to change that.

Researchers are recruiting healthy adults aged 18 to 55 who are in good health and able to attend regular face-to-face appointments in Oxford. The study runs for a year, with up to 12 visits at the Headington site. Volunteers have blood tests at each visit, are reviewed by a study clinician, and log any symptoms in an electronic diary.

The first 10 participants form Group 1 and receive an initial dose followed by a six-month booster. The following 40 participants make up Group 2 and receive either a single dose of the vaccine or a saltwater placebo. The team is looking at both the safety of the vaccine and the immune response it triggers.

Volunteers are reimbursed for their time, travel and inconvenience. Group 1 participants can receive up to £1,200 and Group 2 participants up to £790 across the year.

The Oxford Vaccine Group has been part of the University of Oxford’s Department of Paediatrics for more than 30 years. In that time it has run trials involving over 150,000 participants around the world, and its work on typhoid conjugate vaccines and the Oxford-AstraZeneca Covid-19 vaccine has contributed to millions of lives saved.

The Ebola trial fits that pattern: a small group of volunteers in one Oxford building, taking part in something that could eventually matter thousands of miles away.

The team’s message to prospective volunteers is a simple one. One volunteer today, potentially millions protected tomorrow.

Further details about eligibility, the schedule of visits and what taking part involves are set out in the participant information sheet, and expressions of interest can be registered through the study’s sign-up page.

More background on the group’s history and its current portfolio of studies is available on the Oxford Vaccine Group website.

For a research centre tucked away on a quiet street in Headington, it is a reminder of how much of the world’s vaccine science still runs through Oxford.





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Couple at town fabrics shop celebrate its 30th anniversary

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On one such day, a customer asked for “a five-metre high, Italian strung, theatre-type curtain”.

That may sound a challenge, but not for the Batemans, who immediately set to work and provided the necessary goods.

READ MORE: UK restaurant chain bids farewell in emotional goodbye

That has been the aim throughout at Freelance Fabrics, which this year celebrates its 30th anniversary in Kidlington shopping centre, off High Street.

It was one of about 30 outlets under the Fabric Warehouse name that opened in towns and cities throughout the country. The store in Kidlington is the only one that has survived.

It opened in 1996 and three years later, was taken over by David Cox who ran it until Mr and Mrs Bateman succeeded him on New Year’s Day 2022.

A recent article in a trade magazine gave them a glowing tribute: “Under them, it has maintained its reputation for good-value curtain and upholstery fabrics while expanding its quilting cottons, dressmaking fabrics, wool, sewing machines and overlockers. That growth reflects its customers’ habits.”

Mr Bateman served in the Royal Electrical and Mechanical Engineers (REME) and as a fire alarm salesman in his early career.

He admits he knew “absolutely nothing” about the fabrics trade when he and his wife moved into it.

He tells me: “We took over the shop just as Covid was ending, not knowing what was going to happen. Four and a half years later, we are still here and going strong.

“We have increased stock levels considerably, taken on sewing machine contracts and increased the range of fabrics and haberdashery.

“Fabrics, threads and wool are not easy to match online. Many customers still want to see and feel materials before buying. Equally important is the advice.

“While other stores around have unfortunately closed, we are setting up to be here for the future.”





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Oxford family butcher gains top sustainability award

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Aldens, which has served Oxford and its surrounding counties for more than 235 years, has been awarded B Corp status – a mark awarded to businesses that meet high standards of social and environmental performance, transparency and accountability.

The certification places Aldens among a global community of companies committed to balancing profit with purpose, and it is the highest-scoring business in its sector.

Matthew Alden, managing director and a member of the seventh generation of the Alden family, said: “For 235 years we believe that success isn’t simply measured by profit, but by the relationships we build, the trust we earn and the contribution we make to our community.

“We’re incredibly proud that these values have now been recognised through B Corp certification.

“Although our business has changed enormously since 1793, our principles remain exactly the same – to treat people fairly, support British farming, produce exceptional food, ensure people eat well and leave the business stronger for future generations.”

The company achieved an Overall B Impact Score of 156.6, placing it in the top one per cent of B Corp companies in the UK.

Mr Alden said: “That is an achievement of which everyone at Aldens can be immensely proud, particularly because it reflects our performance across the business – from our Team and governance to our community and environmental impact.”

The business supplies meat to restaurants, pubs, schools, colleges, universities, and hospitality businesses across the UK, and also serves residents through its Oxford retail outlets, Meatmaster and Fishmarket.

It has sustained its Oxford roots while investing in modern facilities, keeping skilled employment and long-term career opportunities in the city.

Aldens also works with charities, schools, colleges, and community groups, reflecting its belief that businesses should contribute meaningfully to society.

Mr Alden said: “Being part of Oxford isn’t simply where we’re based—it’s part of who we are.

“We have supplied generations of Oxford families, schools, colleges and businesses, and we’re incredibly proud of those relationships.

“As a family business, we’ve always believed that if you look after your customers, colleagues, suppliers and community, the business will look after itself.

“B Corp confirms that those values remain just as important today as they were over two centuries ago.”

Environmental improvements are a core focus for Aldens.

The business has introduced more sustainable packaging, reduced waste, improved transport efficiency and worked with customers and logistics partners to lower emissions throughout the supply chain.

Aldens continues to support responsibly reared UK livestock, building long-term relationships with farmers who share its standards of animal welfare and environmental stewardship.





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