A study published by consultancy Mozza reveals that FrenchTech companies have identified the urgent need to adopt generative artificial intelligence. While the majority of start-ups view this technology as a strategic priority, the rate of adoption remains relatively slow. The experts at AURIS Finance, a consultancy specialising in mergers and acquisitions, provide an in-depth analysis of the situation.
In a recent survey of French tech companies, 96% of respondents indicated that they view generative AI as a strategic technology. However, in practical terms, only 37% of the companies have integrated the use of generative AI into their day-to-day operations. The survey, carried out by Mozza, a consultancy firm, was completed among 80 French Tech companies, 40% of which are members of the Next40 and FT120.
A limited range of application
The primary motivation for organisations that have adopted AI is to improve and optimise customer experience (60%). Just 15% are investigating the potential of innovative applications such as the creation of new products or services. The majority of current efforts are focused on relatively simple tasks, such as automating customer support or managing internal data. A significant proportion of those surveyed (31%) believe that the adoption of AI has led to improvements in their company’s overall performance. Nonetheless, a comparable proportion believes that it is still too early to assess the impact of AI on performance and productivity.
Lack of dedicated teams
The study also revealed a positive correlation between the number of employees in an organisation and the use of AI. In particular, 93% of French Tech companies that are using generative AI have more than 250 employees. This figure highlights the importance of structuring internal functions. One of the main barriers identified by respondents is the lack of requisite skills. A third of respondents indicated that they do not have a dedicated AI manager. Consequently, 80% of companies do not provide training for their employees, leaving self-training (97%) to bridge the gap. A study by Adecco Group has revealed that, in the context of artificial intelligence, 66% of managers prefer to recruit externally rather than invest in training existing teams. At the same time, AI and data-related roles continue to face significant challenges in France, with 80% of company directors reporting difficulties in recruiting. Many companies lack the ability to accurately assess their real needs in this area. In fact, nearly half of French companies admit that they do not have a clear vision of their recruitment needs in this field.
Regulatory constraints
The primary challenge to the advancement of AI within French Tech companies is the regulatory environment. 27% of companies have expressed concerns about data security and confidentiality. The European regulation, the IA Act, classifies AI systems according to their level of risk, with rigorous requirements for systems deemed ‘high risk’. Furthermore, there is a need to ensure the protection of personal data. The consequences of non-compliance by companies are significant, with financial penalties of up to 7% of annual worldwide turnover a possibility.
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