On 8 October 2025, EY’s Responsible AI Pulse survey revealed that 99% of major firms reported financial losses linked to AI adoption. Conducted in August–September 2025 across 21 countries with 975 senior executives, the study found that companies suffered an average loss of US$4.4 million, with 64% reporting losses exceeding US$1 million.
The leading sources of financial damage were non-compliance with AI regulations (57%), negative impacts on sustainability goals (55%), and biased AI outputs (53%). EY highlighted that companies with more mature Responsible AI governance, including real-time monitoring and dedicated oversight committees, were 34% more likely to report revenue growth and 65% more likely to achieve cost savings. The survey also exposed governance gaps: on average, executives correctly identified appropriate AI risk controls only 12% of the time.
The key lesson is that AI adoption can generate substantial multi-million-dollar losses if oversight and compliance mechanisms are insufficient. The data points – 99% affected, 64% losing over US$1 million, and an average of US$4.4 million in losses – underscore that implementing Responsible AI frameworks is not just a regulatory requirement but a direct business imperative.
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