Cisco has unveiled findings from its third annual AI Readiness Index 2025, revealing that the most AI-ready organizations, known as the ‘Pacesetters’, are significantly outperforming their peers in unlocking measurable business value from artificial intelligence. According to the report, these top-performing companies are three times more likely to move AI pilots into production and 72% more likely to report measurable outcomes from AI adoption compared to less mature organizations.
The study, based on insights from over 8,000 AI leaders across 30 markets and 26 industries, highlights how a small but consistent group of innovators — representing 17% of organizations in India and 13% globally — have built a clear competitive advantage through disciplined, system-level AI strategies. These companies demonstrate how a strong foundation of data architecture, infrastructure modernization, and security readiness enables faster scaling of AI initiatives and sustainable growth.
Cisco’s findings show that the Pacesetters’ advantage stems from their holistic approach to AI transformation, where AI is deeply embedded into business strategy rather than treated as an experimental technology. Nearly all of these organizations have defined AI roadmaps, structured governance models, and dedicated budgets aligned with short- and long-term AI investment priorities. Their networks are designed for scalability, with 98% architecting systems for the growing complexity and scale of AI workloads, compared to only 59% of Indian organizations surveyed.
The report also underscores the rise of agentic AI systems, with 91% of organizations in India planning to deploy AI agents, and 41% expecting them to collaborate with human employees within a year. However, many lack the infrastructure and security to support these autonomous, continuously learning systems. Cisco warns that without resilient networks, centralized data, and adequate GPU capacity, enterprises risk falling behind despite their AI ambitions.
Jeetu Patel, Cisco’s President and Chief Product Officer, emphasized that businesses are now moving beyond simple chatbots into the next phase of AI-driven automation and intelligence. “We’re entering an era of autonomous AI agents that execute tasks independently,” he said. “Our research shows that over 80% of companies are prioritizing agentic AI, and those leading the charge are achieving stronger returns, productivity gains, and faster innovation.”
The Cisco AI Readiness Index 2025 also introduces a new concept — AI Infrastructure Debt — referring to the growing gap between AI ambition and operational readiness. This “debt” represents the accumulation of outdated systems, deferred upgrades, and underfunded infrastructure, which can erode long-term value and increase security risks. Cisco’s data reveals that 41% of enterprises expect workloads to rise by 30% within three years, yet only 26% possess adequate GPU capacity, and just over a third can detect or prevent AI-specific threats.
Despite these challenges, the Pacesetters continue to thrive by turning AI security and governance into strategic strengths. They are twice as likely to track the impact of their AI initiatives, ensuring measurable results in revenue growth, efficiency, and innovation. Their proactive investments in AI infrastructure, cybersecurity, and data management enable them to minimize risks while maximizing value creation across industries.
In India, where AI adoption is accelerating rapidly, the report suggests a widening gap between organizations with well-integrated AI roadmaps and those still experimenting with isolated pilots. As AI agents, cloud computing, and edge technologies evolve, enterprises that invest in scalable infrastructure and trustworthy governance frameworks will be best positioned to capture long-term competitive advantage.
The Cisco AI Readiness Index 2025 ultimately reinforces a clear message: AI readiness is no longer optional — it’s the defining factor separating future industry leaders from followers. Companies that align technology, governance, and talent around a unified AI strategy are set to lead the global race for digital value.
