Why Most Portcos Are Far From Being ‘AI-Ready’

GPs’ expectations for generative artificial intelligence to drive business growth are high. Do they match portcos’ realities?

A majority of GPs (59 percent) believe that generative artificial intelligence is poised to drive “significant value creation” at their portfolio companies.

It’s a figure that mirrors the hopes of the rest of the economy. According to a Forbes survey, 60 percent of businesses expect AI to increase sales and 59 percent think it will cut costs.

Most private equity portfolio companies, though, are far from AI-ready.