Cisco AI research: AI-ready Companies Outpace Peers in the Race to Value

Cisco AI research: AI-ready Companies are Turning Pilots into Profit, Leading the Race to Value Among Peers

The 'Pacesetters' are 4x more likely to move AI pilots into production, and 50% more likely to report measurable value from AI.

News summary:

• Only 8% of organizations surveyed in Canada are fully prepared for AI. Those that are fully prepared are 50% more likely to see measurable value and 4x more likely to move pilots into production.
• 74% in Canada plan to deploy AI agents, and 34% expect them to work alongside employees within a year — but few have the secure infrastructure to sustain it.
• The report includes early signs of disruption to value — rising workloads, insufficient GPU capacity, and a lack of centralized data, among others.

TORONTO, Oct. 20, 2025 /CNW/ - Cisco (NASDAQ:CSCO), the worldwide leader in networking and security, today released the results from the third annual Cisco AI Readiness Index. A small but consistent group of companies — the 'Pacesetters,' about 8% of organizations surveyed in Canada, and 13% globally, for the last three years — outperform their peers across every measure of AI value, captured for the first time in Cisco's global study of over 8,000 AI leaders across 30 markets and 26 industries.

The Pacesetters' sustained advantage indicates a new form of resilience: a disciplined, system-level approach that balances strategic drivers with the data and infrastructure needed to keep pace with AI's accelerating evolution. They're already architecting for the future with 98% globally designing their networks for the growth, scale and complexity of AI, compared to just 72% in Canada.

The combination of foresight and foundation is delivering real, tangible results at a time when two major forces are starting to reshape the landscape: AI agents, which raise the bar for scale, security, and governance; and AI Infrastructure Debt, the early warning signs of hidden bottlenecks that threaten to erode long-term value.

"This year's Cisco AI Readiness Index makes one thing clear: AI doesn't fail — readiness fails," said Jeetu Patel, Cisco's President and Chief Product Officer. "The most AI-ready organizations — the Pacesetters from our research — prove it. They're four times more likely to move pilots into production and 50% more likely to realize measurable value. So with more than 80% of organizations we surveyed about to deploy AI agents, these new findings confirm readiness, discipline, and action are key to unlocking value."

The Pacesetter profile: readiness as competitive advantage

Cisco's research outlines a consistent pattern among these leaders delivering real returns.

• They make AI part of the business, not a side project.
  
  Nearly all Pacesetters (99%) have a defined AI roadmap (vs 48% in Canada) and 91% (vs 23% in Canada) have a change-management plan. Budgets match intent, with 79% making AI the top investment priority (vs 24% in Canada).
• They build infrastructure that's ready to grow.
  
  Their architect for the always-on AI era. 71% of Pacesetters say their networks are fully flexible and can scale instantly for any AI project (vs 10% in Canada), and 77% are investing in new data-center capacity within the next 12 months (vs 30% in Canada).
• They move pilots into production.
  
  62% have a mature, repeatable innovation process for generating and scaling AI use cases (vs 7% overall in Canada), and three-quarters (77%) have already finalized those use cases (vs 10% in Canada).
• They measure what matters.
  
  95% track the impact of their AI investments — almost five times higher than Canada — and 71% are confident their use cases will generate new revenue streams, more than double the overall average in Canada.
• They turn security into strength.
  
  87% are highly aware of AI-specific threats (vs 34% overall in Canada), 62% integrate AI into their security and identity systems (vs 24% in Canada), and 75% are fully equipped to control and secure AI agents (vs 22% in Canada). Trust is part of the Pacesetters' value equation.

Pacesetters achieve more widespread results than their peers because of this approach: 90% report gains in profitability, productivity, and innovation, compared with ~58% overall in Canada.

"AI readiness is no accident, it's an investment strategy," said Raj Juneja, President at Cisco Canada. "The organizations pulling ahead aren't just experimenting; they're investing in the readiness, infrastructure, and discipline that turn AI ambition into measurable outcomes. When companies commit at the foundation, value follows at scale."

AI agents: ambition outpacing readiness

The Index shows 74% of organizations in Canada plan to deploy AI agents, and nearly 34% expect them to work alongside employees within a year. But for the majority of these companies, AI agents are exposing weak foundations— systems that can barely handle reactive, task-based AI, let alone AI systems that act autonomously, and learn continuously. Nearly half (40%) of respondents say their networks can't scale for complexity or data volume and just 10% describe their networks as flexible or adaptable.

Pacesetters are again the exception. Their disciplined, system-level approach has already helped lay the foundations they will need to scale.

AI Infrastructure Debt: The emerging drag on value

The report introduces a new concept — AI Infrastructure Debt — the modern evolution of technical and digital debt that once held back digital transformation.

It's the silent accumulation of compromises, deferred upgrades, and underfunded architecture that erodes the value of AI over time. Some early warning signs are already visible: 41% expect workloads to rise by over 30% within three years, 68% struggle to centralize data, only 18% have robust GPU capacity and only 22% can detect or prevent AI-specific threats.

These early warning signs point to a gap between AI ambition and operational readiness. But when the systems that power AI aren't secure, the debt can increase risk. Pacesetters aren't immune, but their foresight, governance, and investment discipline help position them to avoid problems compounding into more costly risks.

Download the report: Value follows readiness

As agentic systems and autonomous AI push organizations into an era of constant compute demand, the report proves value follows readiness, with the most AI-ready organizations setting the pace for others to follow.

About the Cisco AI Readiness Index 2025

The Cisco AI Readiness Index 2025 is a global study, now in its third year, based on a double-blind survey of 8,000 senior IT and business leaders responsible for AI strategy at organizations with over 500 employees across 26 industries.

About Cisco

Cisco (NASDAQ:CSCO) is the worldwide technology leader that is revolutionizing the way organizations connect and protect in the AI era. For more than 40 years, Cisco has securely connected the world. With its industry leading AI-powered solutions and services, Cisco enables its customers, partners and communities to unlock innovation, enhance productivity and strengthen digital resilience. With purpose at its core, Cisco remains committed to creating a more connected and inclusive future for all. Discover more on The Newsroom and follow us on X at @Cisco.

Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. A listing of Cisco's trademarks can be found at http://www.cisco.com/go/trademarks. Third-party trademarks mentioned are the property of their respective owners. The use of the word 'partner' does not imply a partnership relationship between Cisco and any other company.

SOURCE Cisco

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/October2025/20/c1539.html