Security concerns pause AI rollouts for one in ten Australian firms

Adobe’s data-analytics division surveyed hundreds of senior executives at large Australian and New Zealand companies and discovered that 10% have halted their first AI implementations after failing a security review. Among the 465 respondents, 18% of AI projects were turned down for security reasons, a figure that climbs sharply in finance, health and scientific organisations. The research highlighted missing pre-approved processes, standardised security assessments and dedicated budget lines, which force proposals through ad-hoc procedures and reduce success odds.

Skills gaps remain the top barrier, with 80% of firms reporting unchanged or worsening talent shortages over the past year. Despite these challenges, 78% of the surveyed companies are increasing AI spend year-on-year, though nearly two-thirds feel they are still under-investing. Only 10% claim to measure AI returns comprehensively, contrasting with an EY Parthenon poll where 58% of CEOs feel confident assessing ROI.