Optimism about artificial intelligence is growing, but so is the fear of being left behind. As many as 91% of CEOs say they are more optimistic about AI’s potential than they were a year ago, while nearly two-thirds are concerned that their companies are investing too little in the technology.
AI will not replace people. Almost all CEOs expect humans and artificial intelligence to work together by 2030, while a majority — 72% — believe that people will continue to make the most important decisions.
The underlying foundations, however, still need to be strengthened. Infrastructure modernisation is CEOs’ top priority for 2026. As agentic AI develops, security and control are emerging as the greatest concerns, while one in three CEOs identifies fragmented data as a barrier to the further adoption of artificial intelligence.
Artificial intelligence is exceeding the expectations of most CEOs, and their optimism continues to rise. Cisco’s latest AI Readiness Index 2026 shows that 65% are concerned that their companies are investing too little in the technology. This is an increase from the previous year, when 53% gave the same response.
At the same time, more than two-thirds of respondents — 69% — believe that implementing AI is essential for every modern company.
Organisations still face a number of significant challenges. They need to build the appropriate infrastructure, establish sound data governance foundations and introduce effective security mechanisms so that AI can operate safely, reliably and at scale.
This is the second year in which Cisco has surveyed 2,500 CEOs from 23 countries about how they perceive AI, what they expect from it and what is preventing its wider adoption.
In Europe, CEOs are less concerned with the speed of AI deployment than with ensuring that it is implemented properly. They place particular emphasis on trust, transparency and alignment with ethical values.
Their advice to other leaders reflects this measured approach: proceed carefully and do not sacrifice trust in the pursuit of efficiency.
As one European CEO warned: “Do not force AI into decision-making without transparency. Trust is far more difficult to rebuild than efficiency.”
AI is becoming part of the team
Integrating AI agents into employees’ day-to-day work is one of CEOs’ three main priorities for 2026.
By 2030, almost every CEO expects AI to have a place within their organisation, but none wants artificial intelligence to operate entirely independently.
A total of 72% of CEOs envision a future in which AI supports people or performs tasks under human control, evaluation and supervision.
The reasons are straightforward and practical: system security, the productivity of teams combining people and AI, and the need for a responsible approach to ethics.
One CEO expressed this clearly: “Move quickly with AI, but always anchor decisions in human values — always.”
CEOs are becoming more knowledgeable about AI
The knowledge gap is narrowing rapidly.
Over the course of 12 months, the proportion of CEOs who said a lack of knowledge about AI limited their ability to make decisions fell from 74% to 47%.
The proportion saying that insufficient knowledge prevented them from making informed decisions declined from 74% to 49%.
A reality check
Despite growing enthusiasm, AI implementation is being slowed by three main factors.
Infrastructure is not ready
A total of 53% of CEOs are concerned about infrastructure limitations.
Modernising infrastructure is their number-one priority for 2026, followed closely by developing employees’ AI-related skills.
Trust remains a concern
As CEOs become more willing to introduce artificial intelligence into their teams, security and control over autonomous AI systems have emerged as their leading concerns.
Data remains too fragmented
Problems involving data quality, availability and centralisation constitute the greatest obstacle to the further development of AI. This barrier was identified by 34% of respondents.
These concerns are confirmed by broader market data.
Cisco’s AI Readiness Index 2026, based on responses from more than 8,000 IT leaders worldwide, shows that organisations across the globe are encountering the same three barriers.
Fewer than one-quarter of respondents — 22% — consider their networks optimised for AI workloads. Only 31% feel prepared to secure and control AI agents, while just 19% have fully centralised data that is accessible to artificial intelligence.
Companies that have successfully addressed these three challenges are moving ahead of their competitors. Those that have not risk being left behind.
About the study
The AI Readiness Index 2026 survey covered 2,500 CEOs of companies employing more than 250 people across Asia, Australia, Europe, North America, South America and Africa.
The data was collected in January 2026.
