Artificial‑intelligence (AI) initiatives are not yet generating significant economic benefits, according to most business leaders in Cyprus who participated in PwC’s 15th annual CEO survey. This year’s survey included responses from 77 business leaders across the country.
Results show that 22% of CEOs have already observed revenue growth from AI‑related initiatives over the past year, while another 22% report cost reductions.
However, the majority still see little or no economic effect: 69% say they have noticed no significant change in revenue, and 60% report minimal or no impact on costs.
“This divergence suggests that while AI creates major opportunities for businesses, effective use requires more than simply adopting new technological tools,” PwC said in its announcement.
A similar pattern is seen in both the eurozone and worldwide. Globally, 29% of CEOs report revenue increases from AI adoption and 26% report cost reductions. Yet more than half say they have not yet seen a measurable economic impact. In the eurozone, the figures are even lower: only 13% of CEOs say AI has boosted their company’s revenue, while 21% report reduced costs.
Major challenges
More than half (55%) of CEOs in Cyprus say their organisational culture is ready to support the adoption of AI – significantly lower than the eurozone average (64%) and the global figure (69%). An equal proportion (55%) believe their technological environment is conducive to integrating AI.
At the same time, major challenges are emerging: 42% believe current AI investment levels are insufficient to meet their ambitions, and 45% say their organisation is not in a position to attract high‑quality talent with technological and AI‑related expertise.
Impact on employment
When asked about the potential effect of AI adoption on employment over the next three years, 32% of CEOs in Cyprus expect lower‑level positions to be affected.
By contrast, senior roles appear better shielded, with 62% of CEOs expecting little or no impact.
At middle‑management level, 55% believe these roles will not be significantly affected.
In comparison, 49% of CEOs in the eurozone and 56% globally expect reductions in lower‑level positions – indicating a higher anticipated impact elsewhere than in Cyprus.
Concerns over transformation
Beyond concerns about AI adoption, the survey highlights broader anxieties about the pace of business transformation.
Almost half (43%) of CEOs in Cyprus worry whether their organisation’s transformation is progressing quickly enough to match the scale and speed of technological change, including developments in AI. Similar concerns are expressed by CEOs in the eurozone and globally.