Researcher says AI adoption is booming but productivity lags as companies automate inefficient processes instead of redesigning how work gets done

The author argues AI costs are trivial but returns depend on redesigning work. Ramp's AI Index shows the median company spends $12.50 per employee monthly on AI versus roughly $8,500 total employee cost, so AI needs only ~0.15% productivity gains—about three minutes a week—to break even. Citing a 2026 experiment with 515 startups given identical tools, the author notes gains concentrated in the top 10% of firms, with the group shown reorganization examples reaching 1.9x control revenue. Echoing Gates, Musk, and Solow, the author says productivity moves at the speed of adoption, not technology.

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