This story was originally published on CIO Dive. To receive daily news and insights, subscribe to our free daily CIO Dive newsletter. Dive Brief: Enterprises created AI guidelines and policies, but not everyone is following the rules, according to research commissioned by Nitro. The software company analyzed more than 1,000 responses from C-suite leaders and employees. More than two-thirds of C-suite executives admitted using unapproved AI tools at work in the past three months. Of those, more than one-t ...

Generative AI Capabilities & Limitations - Generative AI can create seemingly unique content like conversations, images, music, and 3D models, but its output is often average and lacks true creativity [1][5][6] - AI's creative abilities are limited by the data it's trained on; it struggles with novel combinations or outlier scenarios [8][9] - AI excels at generating images of common subjects like Santa, but struggles with creative combinations like "Santa holding a taco" due to lack of training data [7][8] Human Creativity & Collaboration - Human creativity involves intent, inspiration, and social grounding, which are lacking in AI-generated content [9] - The industry questions whether AI can generate truly novel ideas without human input, potentially leading to repetitive or mediocre content [10][11] - The industry explores AI as a collaborator to unlock human creative potential and create new experiences [12][24] AI in Embodied & Physical Domains - Lumini, a 10-year investigation, explores AI's ability to improvise in embodied domains like dance [14] - Lumini uses infrared cameras and machine learning to learn dance moves by interacting with humans [17][18][20] - Lumini translates human movement into data, using dance theories to help the computer understand and generate movement [19][20] Human-Centered AI & Future Applications - The industry emphasizes the importance of human-centered AI, where artists co-create with AI tools [24][25] - The future of AI tools should involve the consent and involvement of artists, ensuring the human element remains central [26] - AI tools should be used to afford new human experiences and forms of expression, not to replace human livelihoods or generate mediocre content [27]

Core Insights - The conference highlights a significant interest in building investment portfolios, moving away from traditional strategies like the 60/40 portfolio towards private assets and alternative investments, including crypto [2][3] - There is an emphasis on long-term investment strategies, distinguishing between investing for financial goals and speculative betting [5][7] - The current economic environment is characterized by resilience, with strong corporate earnings and consumer stability, despite potential volatility [11][8] Investment Strategies - A barbell approach is recommended, combining investments in AI-related sectors with cyclical sectors to diversify risk and capitalize on emerging trends [12][15] - The focus on high-quality equities and bonds is advised to withstand economic softness and market pullbacks [16][17] - Investors are encouraged to consider dividend strategies and sectors that have underperformed, as they may present future opportunities [14][15] Market Trends - There is a notable increase in capital expenditures towards AI, indicating a strong trend that companies are investing in for productivity and cost control [13] - Despite market caution from major financial institutions, the long-term foundations of the economy remain solid, supporting continued market growth [10][11] - Younger investors are increasingly engaged and educated about investing, utilizing available tools and resources to make informed decisions [17][19]

Core Insights - Microchip Technology (MCHP) is scheduled to report its second-quarter fiscal 2026 results on November 6, with expected net sales between $1.110 billion and $1.150 billion, indicating a sequential growth of approximately 5.1% [1][7] - The Zacks Consensus Estimate for revenues in the second quarter is $1.13 billion, reflecting a year-over-year decline of 2.74% [1][2] - Anticipated non-GAAP earnings per share (EPS) are projected to be between 30 and 36 cents, with the consensus mark for earnings also at 33 cents, representing a year-over-year decline of 28.26% [1][2] Financial Performance Expectations - Microchip's earnings have historically beaten the Zacks Consensus Estimate in three of the last four quarters, with an average surprise of 0.23% [2] - The company has been facing macroeconomic challenges but is expected to show improved inventory levels, which have decreased from 214 days in the first quarter to an anticipated range of 195 to 200 days by the end of the second quarter [2][3] Revenue and Margin Drivers - Improved inventory levels are expected to positively impact gross margins in the upcoming quarter, with revenues benefiting from inventory corrections at distributors and increased direct customer shipments [3][7] - The company has secured strong design wins in high-growth sectors such as industrial, aerospace, and automotive, which are likely to contribute to revenue growth in the reported quarter [4][7] Earnings Outlook - According to the Zacks model, Microchip has an Earnings ESP of 0.00% and a Zacks Rank of 3, indicating a neutral outlook for earnings performance [5]

Core Insights - KPMG will evaluate staff use of AI tools in annual performance assessments starting in 2026, reflecting the growing integration of AI in consulting and professional services [1][2] - The firm aims to ensure all employees, from leadership to juniors, contribute to AI objectives in their work [2] - KPMG is investing in tools to track AI engagement among staff, emphasizing that monitoring is not punitive but aimed at enhancing job performance [3] Group 1: KPMG's AI Integration Strategy - KPMG's global AI workforce lead, Niale Cleobury, stated that all staff have a responsibility to incorporate AI into their work [2] - The firm is already tracking employee engagement with AI through platforms like Microsoft Copilot [1] - KPMG's objective is to measure the value derived from AI investments [4] Group 2: Industry Context - Other professional services firms, such as Accenture and McKinsey, have also invested significantly in AI technology to reduce costs and improve profit margins amid declining industry demand [2] - Accenture plans to reduce its workforce by letting go of employees who cannot be retrained for AI-related roles, highlighting the industry's shift towards AI competency [4]

Core Insights - Palantir has experienced significant success, with a 48% revenue increase in Q2 year-over-year and an operating income of $569.5 million for the 12 months ending in June, surpassing FY 2024's forecast of $310.4 million [1] - The company's valuation has reached extremely high levels, with a forward price-to-earnings (P/E) ratio of 217 times, raising concerns among some investors about potential alternatives in the AI defense sector [2][3] - Palantir remains the dominant player in the AI defense market, with a notable increase in job postings for security-cleared professionals, indicating strong growth in its defense-related AI business [5][6] Company Performance - Palantir's revenue growth of 48% in Q2 indicates robust demand for its AI solutions, particularly in the defense sector [1] - The operating income of $569.5 million for the 12 months ending in June shows strong financial performance compared to the projected figures for FY 2024 [1] Valuation Concerns - The high forward P/E ratio of 217 times suggests that Palantir's stock may be overvalued, prompting some investors to consider diversifying into better-priced competitors [2][3] - Retail stockholders may remain loyal despite valuation concerns, but the high valuation could lead to a search for alternative investment opportunities in the AI defense space [3] Competitive Landscape - ServiceNow is identified as a key competitor, showing growth in hiring for defense-related positions and reporting a 20.5% revenue increase in Q3, although at a slower pace than Palantir [5][7] - The hiring patterns tracked indicate a competitive environment, with Palantir and its partners averaging 363 new job listings per month for security-cleared roles, which increased significantly in the latter part of the year [4][6]

October 27, 2025 04:01 AM GMT Healthcare Technology | North America HLTH Conference 2025: AI takes center, left and right of stage This year marked an inflection in tangible AI use cases driving efficiencies and cost reductions. As healthcare costs rise prohibitively above the pace of inflation, challenges and opportunities arise. We highlight takeaways from booth tours, discussions with private companies and panels. AI adoption is accelerating with a wide range of use cases: | M Healthcare Technology North ...

Canva launched new AI tools and integrated recent acquisitions into its main product suite, ramping up its speed of new rollouts as it seeks to lure users away from rival Adobe https://t.co/66vOfqrvvC ...

Core Insights - The importance of employee buy-in for AI strategies is emphasized over merely selecting the right technology [1][5][6] Company Strategy - Citi's board considers AI a continuous topic of discussion, highlighting its significance in the bank's operational transformation [3] - Tim Ryan, head of technology and business enablement, stresses that successful implementation of AI requires engaging employees in the strategy [2][5] Employee Engagement - Approximately 180,000 out of 230,000 Citi employees are utilizing AI tools, demonstrating a significant level of engagement [4] - Employees have generated 7 million prompts and conducted 1 million automated code reviews in the first eight months of the year, resulting in a time savings of 100,000 hours weekly [4] Change Management - Ryan identifies change management as a critical factor in optimizing AI strategies, suggesting that technology alone is insufficient without effective implementation [6] - The concept of an "innovation dividend" is introduced, where employee involvement leads to new customer service methods, revenue growth, risk management, and operational efficiency [5] AI Accelerators - Citi has established 4,000 "AI accelerators," which are employees across various functions who actively support the bank's AI strategy [7]

Core Viewpoint - Workday's CEO Carl Eschenbach believes the current AI boom is overheated, but sees it as an opportunity for the company to acquire undervalued firms [1] Acquisitions and Strategy - Workday has made five AI acquisitions in under two years, with three occurring in the last three months, including Paradox, Sana, and Flowise [1] - The company is actively seeking more acquisition opportunities but emphasizes the importance of not overpaying and ensuring that targets align with their go-to-market strategy [2] Product Development - Workday has launched a custom AI library aimed at processing unstructured data, such as contracts, more efficiently [2] - One application of this technology is a contract negotiation agent that automates the comparison of terms and revisions, significantly reducing the time required for such tasks [3] Pricing Model - The company is introducing a new pricing model based on "flex credits," allowing customers to prepay for a pool of credits to use across its AI agents, rather than a traditional seat-based model [3][4] Differentiation and Market Position - Eschenbach highlights Workday's unique position with 75 million users and 1 trillion annual transactions, which he believes differentiates the company from general AI platforms like OpenAI [4] - The CEO asserts that AI will enhance human productivity rather than replace jobs, countering the narrative of mass layoffs due to AI advancements [4][5] Market Performance and Analyst Outlook - Workday's stock has decreased by approximately 4% year-to-date as investors await tangible growth from the company's AI initiatives [5] - Analyst Kirk Materne from Evercore ISI has raised Workday's price target from $275 to $300, indicating a cautiously optimistic outlook based on the company's evolving platform and strategic acquisitions [6]