note · 2026-10-12

Mid-market IT leaders say 25% of AI spend is lost to complexity, and only 15% have AI integrated in core operations

Freshworks surveyed 12,021 IT decision makers in six countries. 86% say AI complexity increased their team's workload and 36% remain stuck in pilots. The fix is an owner for the integration, not another tool.

For IT directors at mid-size companies deciding on the next AI toolyaab1 min read
Mid-market IT leaders say 25% of AI spend is lost to complexity, and only 15% have AI integrated in core operations

The first AI budget we saw an IT department lose went to integration nobody had scoped. A survey now puts a number on that pattern.

Freshworks, which sells a service operations platform, surveyed 12,021 IT decision makers at director level and above in six countries in March 2026, more than 9,000 of them at mid-market organizations of 250 to 5,000 employees, and published the results on May 27, 2026. Respondents say 25% of mid-market AI spend is lost to complexity overhead. 86% of IT leaders say managing AI complexity increased their team's workload, 80% report AI outputs that add noise, errors or rework, and only 33% have a formal governance framework while running 4.2 AI tools on average. 15% have AI integrated across core operations; 36% remain in pilots, stalled by integration, talent and configuration.

Gartner, the research and advisory firm, on X: 75% of CHROs report managers are more overwhelmed than ever, and AI-driven productivity gains come with hidden oversight costs.

In that department the fix was not a new tool. It was one engineer who owned the integration end to end, a written list of what each tool could touch, and a monthly count of rework hours. The rework fell first; the budget followed.

The complexity tax is paid by the team that was promised time back. Name who pays it before the purchase.

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