AI ROIin Tech: What Leaders See

AI ROI is now measurable, with ⁦96%⁩ of tech firms reporting productivity gains

Tech executives are finally moving past hype: EY’s latest global surveys show that ⁦96%⁩ of AI‑investing organizations have logged measurable productivity improvements over the past year, and more than half (⁦57%⁩) say those gains are “significant.” The data comes from two EY‑Oxford Economics surveys of senior technology leaders across North America, Europe and the Middle East. This shift from promise to performance is reshaping budgeting cycles, with CEOs demanding clear cost‑benefit calculations before green‑lighting new AI projects.

The biggest ROI drivers are cost reduction and new revenue streams

EY’s research pinpoints two primary levers behind AI‑driven returns. First, cost reduction – a majority of respondents who have seen ROI report that AI helped cut operating expenses, often by automating repetitive tasks such as data entry, ticket routing and report generation. Second, growth enablement – a large share of high‑performing firms say AI is a core driver of new product or service revenue, especially in cloud‑based SaaS offerings. In practice, firms that combine both levers tend to achieve the fastest payback, typically within a year‑and‑a‑half.

Common pitfalls that still trap many firms

Despite the overall optimism, EY identifies three recurring traps that keep AI projects from delivering value:

1. Scope creep – expanding the project beyond the original business case dilutes impact.
2. Data silos – poor data quality or fragmented sources limit model accuracy.
3. Talent gaps – lacking the right mix of data scientists, engineers and domain experts slows deployment. The EY‑Oxford surveys reveal that a substantial proportion of tech companies admit to at least one of these issues, explaining why many still struggle to scale AI beyond pilot phases.

How Israeli firms can calculate a realistic payback

Using Israel’s typical automation economics, a midsize tech support team that spends 10 hours / week on ticket triage can free ≈ 6 hours / week (about ⁦60%⁩ automatable). Building a medium‑complexity automation costs about ₪4,500 per weekly hour, so the one‑time investment would be roughly ₪45,000. At a typical loaded cost, the saved 6 hours / week translate to a sizable annual saving, resulting in a payback period of around one to two years. This illustrative calculation mirrors EY’s finding that firms with clear cost‑benefit models see ROI within 12‑18 months.

What it means for Israel’s tech ecosystem

Israel’s vibrant AI startup scene is already feeling the pressure to prove financial impact. The Israel Innovation Authority’s responsible‑AI guidelines stress transparency, so companies must document both cost savings and any new revenue streams. For small‑business owners, the EY data suggests that automation tools (e.g., chatbots for WhatsApp, CRM integrations) can deliver measurable ROI in a relatively short timeframe, especially when paired with clear metrics and disciplined project scoping. Israeli firms that adopt EY’s best‑practice framework—defining a narrow pilot, securing clean data, and aligning talent—will be best positioned to attract follow‑on funding and stay competitive in the global AI race.

The road ahead: scaling AI with disciplined governance

Looking forward, EY indicates that AI‑driven productivity will continue to fuel reinvestment, even as some firms adjust headcount. The next wave will focus on AI agents that orchestrate multiple tools, turning isolated automations into end‑to‑end business processes. For Israeli companies, embracing this shift means investing in governance (to meet AI Act expectations) and in upskilling staff to manage AI‑centric workflows. The payoff is clear: firms that master disciplined AI scaling can expect significant cost reductions in automated functions, echoing Accenture’s benchmark of 20‑⁦30%⁩ savings.

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What it means for Israel – By applying EY’s ROI framework to typical Israeli cost structures, a tech support automation project can break even in under two years, delivering both cost savings and the potential for faster customer service that drives revenue. Companies can use our automation ROI calculator to model their own scenarios and compare against industry benchmarks on the AI‑automation data page.

Sources & further reading

• Original source: Google News — business
• Unlocking AI ROI in the technology industry | EY - MENA
• EY survey: AI-driven productivity is fueling reinvestment over...
• The state of AI in 2025: Agents, innovation, and transformation
• AI Adoption in 2024: ⁦74%⁩ of Companies Struggle to Achieve and...
• The 2025 AI Index Report | Stanford HAI