Tech Chiefs Boost AI Share of IT Budgets
Nearly three in four technology executives now direct more than 10% of their IT spending toward artificial intelligence, according to a West Monroe survey.
Updated on Nov. 9, 2026 in Artificial Intelligence
Live Poll
Do you expect the AI spending by businesses to raise prices you pay?
A West Monroe survey of 316 U.S.-based executives involved in buying AI and enterprise software found that nearly three in four tech chiefs are allocating more than 10% of their IT budget to AI. That share was about one-quarter last year.
Why it matters
Most tech leaders say they are raising budgets in response to higher AI costs and rising demand for services. The shift signals how quickly AI is moving from experimentation into core IT spending across U.S. enterprises.
Survey responses from 316 U.S.-based executives show the share of tech chiefs spending over 10% of IT budget on AI rose from about one-quarter last year to nearly three in four now. The survey does not address how long these elevated allocations will persist.
The players
West Monroe
West Monroe is a U.S. business consulting firm that conducted the survey of executives on AI and enterprise software spending.
The details
Tech chiefs are consolidating vendors, reducing spend elsewhere, or cutting software seats to fund AI. Buyers prefer enterprise subscriptions and usage-based pricing, while software providers favor hybrid models that include outcome-based pricing.
Timeline
Last year: about one-quarter of tech chiefs allocated over 10% of IT budget to AI.
November 5, 2026: West Monroe published the report on AI IT budget allocation.
Big Picture
The survey's jump from about one-quarter to nearly three in four tech chiefs devoting more than 10% of IT budgets to AI marks a rapid expansion of enterprise AI spending. Tech leaders are funding this growth largely to meet demand for services.
Enterprise customers can renegotiate contracts, track costs across their IT stack, and monitor AI consumption more closely. Buyers should evaluate whether subscription or usage-based pricing better fits their spending patterns.
The takeaway
Organizations planning AI investments should track consumption and pricing models closely as spending on the technology continues to grow. Reviewing vendor contracts now can help control costs before budgets are stretched further.
Further reading
Explore more coverage of Artificial Intelligence developments shaping enterprise technology budgets across the United States.
Source note: This article includes information reported by CIO Dive.
Live Poll
Do you expect the AI spending by businesses to raise prices you pay?
