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New IBM Study Finds CIOs and CTOs Face Growing AI Control Gap as Enterprise Deployment Scales

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Most surveyed technology leaders are accountable for systems they don’t fully controlOnly 11% of respondents say they’re completely prepared for the scale of AI agent deploymentOrganizations that design control into their AI systems achieve significantly stronger performance outcomes.

ARMONK, N.Y., June 8, 2026 /PRNewswire/ — A new IBM (NYSE: IBM) Institute for Business Value study reveals that as AI moves from experimentation to enterprise-wide deployment, two-thirds of surveyed CIOs and CTOs report being held accountable for AI systems they do not fully control, while governance struggles to keep pace at scale.

The global study* of 2,000 C-level technology executives (tech CxOs) finds that the lack of visibility is widespread. The majority of surveyed executives (70%) say teams across the business are deploying technology faster than IT can track.  

At the same time, technology leaders face growing pressure to scale AI faster, even as many lack the structures to support it. By 2027, surveyed tech CxOs anticipate a 38% increase in the number of AI agents deployed. While 80% of respondents report CEO-driven AI transformation mandates, only 11% believe they are fully ready for the scale of AI agent deployment expected in the next year. Governance is also falling behind, with 77% of organizations surveyed reporting AI adoption is already outpacing current governance capabilities.

“For CIOs and CTOs, the challenge now is scaling AI systems that operate continuously and autonomously, often within governance models and architectures designed for a far slower, more predictable environment,” said Matt Lyteson, CIO, IBM. “It is no longer just about deploying AI faster. It’s redesigning how organizations control, govern and invest in it and embedding control and visibility from the start, so they can scale with confidence.”

As AI scales, operational and security risks are growing

Analysis shows that in organizations relying on manual governance, incident risk increases as AI adoption scales, whereas those that embed control directly into their AI systems experience 25% fewer incidents.Most (59%) of tech CxOs surveyed cite security and compliance concerns as top barriers to scaling AI agents.Surveyed organizations experienced an average of 54 AI agent incidents last year, in which an unintended and/or harmful occurrence required human correction.According to respondents, 17% of those AI agent incidents reported were high severity, requiring more than four hours to contain:37% resulted in data exposure or security breaches33% caused cascading system failures17% triggered compliance issues

Organizations that redesign AI control and investment see stronger outcomes

AI spend is projected to grow from just under 15% of IT budgets in 2025 to nearly 25% by 2027 – a 71% increase in two years, raising the stakes for CIOs and CTOs.Yet, 84% of tech CxOs have not fully operationalized AI financial management, and 85% still lack full visibility into real-time AI spend.Analysis finds that organizations that build control into their AI systems:deploy 16x more AI agents than those relying on manual governancedeliver 18% higher operating marginsspend 4x less of their AI budgetAnalysis shows organizations with strong financial discipline:deploy 2.4x more AI agents with no higher AI/IT budgetare 3x more likely to say they are fully prepared for AI scaleSurveyed organizations that designed for adaptability early – keeping workloads portable and models replaceable rather than locked into hard dependencies – reported a 10% higher return on AI investment in 2025.

The full study, including recommendations for technology leaders on redesigning structures that govern speed, control and investment, can be found at: https://www.ibm.com/thought-leadership/institute-business-value/en-us/c-suite-study/cxo

The study also features executive perspectives on how technology leaders are adapting to the complexities of scaling AI across the enterprise. See quote addendum below.

*Study Methodology
The IBM Institute for Business Value, in cooperation with Oxford Economics, surveyed 2,000 senior executives responsible for their organization’s IT, technology, or AI-related decision-making across 33 geographies and 19 industries from January to April 2026. The survey was designed to gather insights on how organizations are managing the financial, operational, and governance challenges associated with scaling AI. Additional analysis was conducted to identify organizations that have built the structural capabilities to scale AI effectively by segmenting organizations based on preparedness and efficiency and assessing governance maturity.

The IBM Institute for Business Value, IBM’s thought leadership think tank, combines
global research and performance data with expertise from industry thinkers and leading academics to deliver insights that make business leaders smarter. For more world-class thought leadership, visit: www.ibm.com/ibv. To receive more insights, subscribe to the IdeaWatch newsletter: https://ibm.co/ibv-ideawatch

About IBM
IBM is a leading provider of global hybrid cloud and AI, and consulting expertise. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Thousands of government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and consulting deliver open and flexible options to our clients. All of this is backed by IBM’s long-standing commitment to trust, transparency, responsibility, inclusivity, and service.  Visit www.ibm.com for more information.

Media Contact
Marisa Conway
IBM Corporate Communications
conwaym@us.ibm.com

Executive Perspectives:

“AI has both a light side and a dark side. While most focus on the opportunities, it also introduces new vulnerabilities, and many organizations are more exposed than they realize.” – Victoria Medina, Chief Technology and Data Officer, Allianz Spain, Spain

“We design modular architectures so components can evolve as technology advances, without breaking the overall system. That approach allows us to absorb rapid innovation while supporting products with decades-long lifecycles.” – Boris Alexandre, Head of ARP Programme, Airbus, Canada

“It’s like flying a plane at 10,000 feet, being told to climb to 12,000, replace both engines mid-flight and ensure zero turbulence. No one would choose to pilot that plane – but that’s exactly what companies are doing today.” – Afonso Eça, Executive Board Member, Banco BPI, Spain

“My role isn’t to generate every transformative idea. It’s to build the foundation that allows smarter people across the organization to bring those ideas to life.” – Chad Jones, CIO, Baylor Scott & White Health, United States

“The goal isn’t to eliminate shadow IT—it’s to create visibility and a partnership, so teams can get help when they need it without slowing down.” – Chris Pesola, CIO, Roush, United States

“We don’t know who’s going to win or lose over the next five years. So we’re keeping AI models plug-and-play, ready to adapt if the landscape shifts.” – Dalton Gouws, Group IT Director and Board Member, VWG UK Ltd, United Kingdom

 

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TARS Brings Real-Life Embodied AI to ICRA 2026 Robotics Conference

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TARS DexHand Signals a New Era of Hand-Brain Integration

VIENNA, June 8, 2026 /PRNewswire/ — TARS capped a landmark appearance at ICRA 2026, IEEE’s leading international robotics conference, with the international debut of its DexHand platform, drawing significant attention among industrialists and academics.

Dr. Ding, TARS’ chief scientist and co-founder, delivered the keynote address in the plenary session.

TARS’ DexHand demonstration showcased all 26 English alphabet sign-language gestures and invited to engage in real-time mirror-control interaction, thus offering live proof of the system’s biomimetic fidelity and low-latency responsiveness.

At the heart of DexHand is a 21-DoF architecture modelled 1:1 on human metacarpal and phalangeal topology. Unlike conventional parallel-joint designs that introduce kinematic distortion during complex movements, DexHand replicates the spatial convergence of the thumb’s CMC and MCP joints, eliminating the motion blind spots. Its self-developed joints integrate high-precision reducers, reducing backlash to an extremely small range and delivering silky-smooth micro-manipulation.

This biomimetic structure also solves one of embodied AI’s most pressing bottlenecks: the gap between simulation and reality. TARS’ SenseHub captures data from real human motion and map it, thus improving data utilization without any loss.

DexHand’s fingertips integrate ultra-high-resolution miniature camera modules capable of capturing microscopic textures as fine as 0.05mm at over 240Hz. Its AWE 3.0 embodied foundation model, enables the robot to understand physical properties such as hardness, roughness, and slip risk, and to predict occurrence rather than merely reacting after the fact.

On the manufacturing side, DexHand’s rigid quasi-direct-drive design, using just three motor types and reducer types, is purpose-built for automated assembly lines.

“IEEE’s ICRA 2026 was the ideal stage to showcase TARS’ embodied AI solutions in practice,” said TARS’ chief scientist and co-founder Dr. Ding. “TARS’ DexHand is the optimized interface between human intelligence and robotic action.”

About TARS: TARS is a leading embodied AI company building general-purpose robots for real industrial environments. Its AWE 3.0 foundation model and DexHand platform represent a new generation of physical AI built from first principles.

Press contact: TarsPR@tars-ai.com

Photo – https://mma.prnewswire.com/media/2994436/TARS_1.jpg
Logo – https://mma.prnewswire.com/media/2994437/TARS_Logo.jpg

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LG Teams with NVIDIA to Shape the Future with M.A.P. (Mobility / AI Infra / Physical AI)

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SEOUL, South Korea, June 8, 2026 /PRNewswire/ — LG and NVIDIA are expanding their strategic collaboration across industries, Physical AI, AI Infra and mobility jointly drawing the future map of industry.

LG and NVIDIA held a Top Management Meeting in Yeouido, Seoul, attended by Kwang Mo Koo, Chairman and CEO of LG Corp., Jensen Huang, CEO of NVIDIA, and other top executives.

The meetings, attended by Kwang Mo Koo, NVIDIA CEO Jensen Huang, and heads of major companies, expand the scope of mid- to long-term strategic cooperation leading industrial innovation in the AI era.

The expanded collaboration combines NVIDIA’s cutting-edge AI technologies with LG’s manufacturing and infrastructure capabilities to implement AI most quickly and comprehensively in customers’ daily lives and industrial sites. The collaboration between LG, which possesses decades of manufacturing innovation know-how and vast life data assets accumulated through customer touchpoints around the world, and NVIDIA, is expected to accelerate global AI innovation across both industry and daily life.

Kwang Mo Koo, Chairman and CEO of LG Corp., said, “Together with NVIDIA CEO Jensen Huang, we had a very in-depth and inspiring discussion on strategic cooperation that will transform future industries,” adding, “The blueprint for the AI ecosystem envisioned by NVIDIA aligns with LG’s future direction of creating meaningful changes in customers’ daily lives and global industrial sites. With today’s meeting as a starting point, we will further solidify our partnership by combining the unique capabilities of both companies.”

“Korea is extraordinary at manufacturing, mechatronics and AI, and the fusion of these strengths will make robotics and physical AI a major growth sector for the country,” said Jensen Huang, founder and CEO of NVIDIA. “With NVIDIA DSX and physical AI platforms, LG can extend its leadership from homes and vehicles to factories and AI infrastructure, creating new growth opportunities across the intelligent systems that will shape daily life and industry.”

1. Cooperation in Physical AI and Robotics

The two companies will pursue a win-win strategy in the field of Physical AI, spanning manufacturing to robotics, by maximizing synergies based on each company’s core capabilities.

LG has accumulated production technology data and know-how from global manufacturing sites, while NVIDIA provides NVIDIA Isaac, Omniverse and Cosmos AI and simulation technologies.

By combining these strengths, the two companies plan to enhance AI-driven manufacturing competitiveness, build an autonomous manufacturing ecosystem in which the entire process from raw material procurement to production, logistics, and customer delivery is connected in real time through data and AI, and establish it as a new global smart factory standard.

The two companies will also pursue development of NVIDIA’s next-generation robot foundation model GR00T, further strengthening cooperation in robotics.

LG and NVIDIA will advance robot development capabilities and performance through strategic cooperation across the entire robotics field, from data collection and generation, simulation, training, and actions, in a wide range of robots including humanoids and logistics robots.

LG Innotek will serve as the eyes and ears of robots based on its world-class optical technologies, and will develop high-performance sensing modules and optical components optimized for NVIDIA AI infrastructure.

Furthermore, LG CNS is building an ecosystem that enables anyone to easily adopt AI robots in manufacturing and logistics sites. By integrating NVIDIA’s robotics technologies, including NVIDIA Isaac open robotics frameworks, Cosmos open world models and Isaac GR00T open robotic foundation models, into its industrial robot platform, “PhysicalWorks,” the company is accelerating the AI transformation of logistics and manufacturing floors.

2. Cooperation in AI Factories

The two companies will also expand cooperation in the field of next-generation AI Infra (AIDC), which will support the AI era.

LG Electronics will further enhance its AI Infra capabilities by collaborating with NVIDIA on cooling solutions for AI Infra thermal management, including coolant distribution units (CDUs) and cold plates, as well as on prefabricated modular design technologies aligned with NVIDIA’s DSX reference design.

LG Energy Solution will develop 800V direct current (DC)-based data center power solutions with NVIDIA to deliver power efficiently for next-generation AI factories. Through this, the company aims to improve the energy efficiency of AI data centers and take the lead in the next-generation data center energy market.

LG CNS plans to build next-generation AI data centers with improved scalability and energy efficiency by adopting the NVIDIA DSX AI factory reference design, while LG Uplus plans to build a large-scale AI Infra utilizing NVIDIA Rubin GPUs.

3. Cooperation in Mobility

Together with NVIDIA, LG will accelerate the realization of safer and more intelligent autonomous driving and SDVs.

LG Electronics will advance mobility AI systems, including next-generation advanced driver assistance systems (ADAS), by integrating its proprietary in-vehicle infotainment (IVI) capabilities with NVIDIA’s autonomous driving platform NVIDIA DRIVE Hyperion.

LG Innotek will expand development of core automotive components optimized for the NVIDIA DRIVE Hyperion architecture, including communication modules, sensing solutions, and automotive lighting systems.

Strengthening Technology Alliance to Expand the EXAONE Ecosystem

LG and NVIDIA will also strengthen their technology alliance to enhance Korea’s AI competitiveness.

LG AI Research plans to improve training efficiency and inference performance in the development of EXAONE by utilizing NVIDIA Blackwell GPUs, along with its AI development platform, NVIDIA Nemotron, NVIDIA NeMo, and inference performance enhancement software, NVIDIA TensorRT-LLM.

LG also plans to expand its adoption of NVIDIA-powered AI agents across the LG Group, including LG’s enterprise AI agent service ChatEXAONE, thereby cooperating to accelerate enterprise AI transformation.

About LG

LG is a technology innovator and global leader in consumer electronics, advanced materials, and automotive components. Founded in 1947, LG was a driving force behind South Korea’s modernization. The company produced South Korea’s first radio and television sets and today is a global leader in organic light-emitting displays (OLED), electric car batteries, and advanced industrial plastics. The LG group of companies operates in more than 60 countries that together generate USD 140 billion in annual revenue. LG Corporation (LG Corp.) is the holding company for industry-leading LG subsidiaries, such as LG Electronics, LG Display, LG Energy Solution, LG Chem, to name a few. For more information about the LG group of companies, visit lgcorp.com.

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PATEO Teams Up with Xunce Technology and Saimo Technology to Define a New Paradigm for In-Vehicle AI Value Exchange

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SHANGHAI, June 8, 2026 /PRNewswire/ — On June 8, PATEO (02889.HK) disclosed a voluntary announcement, announcing that it has signed a tripartite strategic cooperation framework agreement with Xunce Technology and Saimo Technology. The three parties will integrate their core capabilities in in-vehicle terminals, simulation testing, data settlement, and AI large models to jointly develop a physical AI world model based on tokens. Furthermore, they will expand the token-based world model alliance to build a closed-loop industrial system encompassing “edge-side hardware + simulation testing + data infrastructure + token settlement + commercial operations.”

Confronting In-Vehicle AI Commercial Closed-Loop Challenges through Tripartite Collaboration

Currently, the integration of AI large models into vehicles has become a defining trend in the intelligent vehicle industry; however, how AI services in in-vehicle scenarios can achieve a sustainable commercial closed-loop remains in an exploratory stage for the industry as a whole. This cooperation is precisely aimed at solving this proposition.

This time, the three parties will carry out full-chain cooperation around the in-vehicle token economy: from co-building edge-side token infrastructure, extending token pricing models to in-vehicle scenarios, to building a unified token settlement and clearing center, promoting deep integration with operating systems, and jointly developing TokenOS and a physical AI world model. The jointly developed technical modules are uniformly named “PATEO-Xunce-Saimo TokenOS Enhancement Modules,” with relevant brands, intellectual property rights, and commercial rights and interests jointly owned, operated, and shared by the three parties.

From a technical perspective, the capabilities of the three cooperating parties are highly complementary. As an AI solution provider featuring “software, hardware, chip, and cloud integration,” PATEO will contribute in-vehicle terminals, cockpit systems, and edge-cloud synergy capabilities; as a real-time data infrastructure service provider, Xunce Technology, leveraging its full-chain AI data infrastructure capabilities and relying on the TokenOS operating system, will provide core services that integrate token value measurement, dynamic settlement, and standardized billing; Saimo Technology possesses a vast amount of high-value scenario data, a full-stack simulation testing toolchain, and national-level testing site resources, and will provide a simulation validation environment for model training and the implementation of algorithm verification.

In addition, the three parties have also jointly built the first full-stack value closed-loop alliance within the NVIDIA ecosystem: PATEO is responsible for in-vehicle computing power support and world model deployment based on the NVIDIA computing platform; Xunce Technology enables GPU computing power and AI service token measurement as well as full-chain value circulation; Saimo Technology provides simulation compliance validation. This layout completely connects the chain from the computing foundation and simulation validation to token settlement and commercial monetization.

Building TokenOS Enhancement Modules to Reshape Underlying Value Exchange Infrastructure

This agreement specifies nine cooperation directions, which revolve around the full-chain value exchange and commercial closed-loop of the in-vehicle token economy, and ultimately converge on the “PATEO-Xunce-Saimo TokenOS Enhancement Modules”—an edge-side token economy infrastructure oriented to in-vehicle scenarios.

The core breakthrough of this system lies in breaking the traditional hardware-based one-time buyout profit model, replacing it with a brand-new business paradigm characterized by token-based, pay-per-actual-usage billing and multi-party revenue distribution, thereby building a token value circulation system, activating the asset value of in-vehicle data, technology, scenarios, and the like, pioneering brand-new profit channels, and optimizing the overall income structure.

This transformation is not happening in isolation. According to the policy signal from the National Data Administration in March 2026, which officially designated tokens as “ciyuan” (word elements), the token economy has escalated from a technical concept into the national strategic vision. As the token economy continues to be implemented, a trillion-level emerging service market is taking shape at an accelerated pace. The three parties joining forces at this moment to lay out the in-vehicle token economy perfectly coincides with the industry’s turning point from technical verification to large-scale commercial use.

PATEO has previously launched a forward-looking layout around the “token economy model.” The company formerly entered into a deep partnership with NVIDIA to deploy the AI Box based on the NVIDIA DRIVE AGX Thor accelerated computing platform, exploring innovative business modes such as computing power charging and in-vehicle token billing. This deep cooperation with Xunce Technology and Saimo Technology is precisely the continuation and upgrade of the aforementioned strategy, which will further open up the full-chain closed-loop.

This cooperation is a key layout for the company to implement its “software, hardware, chip, and cloud” integration strategy. The company is advancing with full force the joint research and development of the in-vehicle physical AI world model, while partnering with various parties to expand the token-based world model alliance to gather industrial power, thereby co-building a technological ecosystem. Relying on the full layout of optical interconnection, AI computing power, intelligent applications, and value settlement, the company’s comprehensive competitiveness will be further enhanced, laying a solid foundation for its medium- and long-term development.

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