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AI downtime costs surge as automation creates new risks

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yesterday

Businesses are spending millions on artificial intelligence to prevent outages and operational failures, yet many are discovering that the technology is creating a new category of risk.

According to a 2026 report by software company Splunk, conducted with Oxford Economics, unplanned downtime now costs businesses an estimated $600 billion annually, a 50% increase over the past two years. Half of all surveyed organisations experienced downtime because of flawed AI automation or model drift.

For many years, corporations thought of AI as the answer to operational........

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