Artificial intelligence (AI) spending will continue to rise in 2026, with 68 percent of CEOs planning to increase investment. That’s according to a new survey by Teneo.
In total, 88 percent of CEOs and 84 percent of investors believe AI is helping mitigate or navigate businesses through disruption, even though fewer than half of AI projects are ROI-positive, the survey found.
CEOs are prioritizing AI augmentation (50%) and upskilling talent (46%) in 2026, reflecting a strategic dual focus on automation and human capability.
The overwhelming majority of CEOs cite AI, innovation, and agility as essential skill sets, with 50 percent and 46 percent prioritizing AI augmentation and upskilling talent, respectively, in 2026, reflecting a strategic dual focus on automation and human capability.
What will drive AI spending in 2026?
Most CEOs expect AI to drive hiring in 2026, with 67 percent predicting an increase in entry-level headcount and 58 percent for senior leadership. Businesses are reshaping the workforce in the near term to get to AI ROI faster and deliver on business priorities, but this does not signal a long-term upward curve.
A total of 84 percent of large-cap CEOs predict ROI for new AI initiatives will take longer than six months to achieve, while 53 percent of investors expect to see ROI in six months or less.
Beyond ROI, CEOs and investors are both seeing the most success across marketing and customer service, while applications that pose the greatest potential risk and complexity (security, legal, and HR) remain the biggest challenges, Teneo found.
Creativity was cited as the most important ability leaders will need from their executive team, underscoring that the future of leadership does not just rest on technological maturity and skill.
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AI ROI tensions arise
“AI spending is set to rise again in 2026, with 68 percent of CEOs planning to increase their investment,” said Ursula Burns, chairwoman of Teneo. “Along with that investment, an increase in new skilled hires across all seniority levels will help deliver on corporate AI ambitions. Investors, however, are becoming increasingly impatient for ROI on these AI investments, creating a tension that will be important to watch in the year ahead.”
AI innovation continues to be a top investment priority, but the clock is ticking as investors start to demand real transformational change, added Paul Keary, CEO of Teneo. “For these leaders, disruption no longer signals risk – it signals opportunity.”