The Information and Communication sector is facing significant obstacles in adopting artificial intelligence (AI) technologies, according to data analysed by London-based digital marketing agency Distinctly.
Findings from the Office for National Statistics (ONS) Business Insights and Conditions Survey (BICS) reveal that over half (52%) of businesses in the sector have yet to implement AI.
A lack of expertise and difficulties in identifying practical applications were cited as primary barriers, with 11% of businesses pointing to skill shortages and 10% struggling to find viable use cases. Security concerns and cost also emerged as hindrances, noted by 6% and 11% of respondents, respectively.
Despite these challenges, some industry leaders have moved ahead, with 39% of businesses currently developing in-house AI technologies. The majority (47%) rely on external or off-the-shelf AI solutions, while 23% outsource AI projects to third-party providers.
The data highlights that while only 23% of businesses use AI for text generation with Large Language Models (LLMs), 19% employ AI for data processing, and 13% utilise it for visual content creation. This demonstrates the sector’s early-stage experimentation with AI applications.
Gradual Implementation Proves Effective
Distinctly has explored the phased adoption of AI technologies through its Integrating AI Processes into Digital PR report, which details a six-month testing programme within the agency. This incremental approach led to a 35% increase in AI competency and a 67% improvement in understanding AI tools at the executive level.
Matt Foster, Senior Digital PR Manager at Distinctly and author of the report, emphasised the importance of a measured approach. “Testing across a phased approach has been the key to responsible use and maintaining quality output,” he said.
Foster highlighted how a gradual rollout allowed the agency to integrate tools such as generative AI and LLMs into processes where they could have tangible impact. He noted that this method also supported team-wide upskilling, with a focus on shared experimentation and exploration of specific use cases for tools like ChatGPT.
“AI is not a magic solution and absolutely requires quality human input and critical evaluation,” Foster explained. “Through experimentation, we found the tool fell short of our standards of output in some areas. This led to the development of policies to use LLMs as supporting tools, ensuring that human oversight remains central to our work.”
Building on Early-Stage Successes
Chloe Chamberlain, Senior Digital PR Strategist at Distinctly and co-author of the report, echoed Foster’s views. She highlighted the benefits of adopting AI methodically, focusing on integrating it seamlessly into existing processes rather than rushing implementation.
“Setting a standards and use policy based on an initial research phase has ensured our use of AI maintains high output standards,” Chamberlain said. She also noted the importance of team collaboration through workshops and testing, which fostered balanced development and incremental improvements.
Although Distinctly is in the early stages of AI adoption, Chamberlain noted that the approach has already yielded positive results, improving efficiency and service quality while maintaining the agency’s commitment to high standards.
Overcoming the AI Skills Gap
The findings underscore a pressing need for the Information and Communication sector to address the skills gap hindering broader AI adoption. While some businesses are leveraging AI effectively, many remain uncertain about its practical applications or are deterred by perceived costs and risks.
The insights from Distinctly’s phased adoption approach suggest that incremental integration, supported by team training and experimentation, could offer a pathway forward. By focusing on practical, goal-oriented applications of AI, businesses can gradually build the expertise needed to navigate these challenges and unlock AI’s potential benefits.
As AI continues to shape the future of work, the sector’s ability to overcome these barriers will be crucial in staying competitive and meeting evolving customer demands.