AI Investment Soars as Businesses Expand Usage Beyond IT

Business spending on generative AI has increased by 500% this year, reaching $13.8 billion, according to Menlo Ventures. OpenAI's market share in enterprise AI dropped from 50% to 34%, while Anthropic's share doubled to 24%. The report highlights the growing use of multiple AI models by companies, with Claude 3.5 gaining popularity. Foundation models like ChatGPT and Claude dominate enterprise spending, with $6.5 billion invested in large language models. AI agents, capable of performing complex tasks, are a key investment trend for 2024.