Hi Friend,
AI is accelerating across customer experience, but so is the trust gap.
In regulated industries especially, the issue isn’t whether AI works.
It’s whether the system behind it is ready.
The AI dilemma isn’t capability. It’s architecture.
And customers are signaling it clearly.
According to Gartner, 64% of customers would prefer companies not use AI for customer service at all.
At the same time, Forrester predicts that customer service quality will dip before it improves as organizations rush AI deployment without strengthening foundational operations.
That tension is the moment we’re in.
Too many organizations are scaling automation faster than they’re strengthening:
When AI is layered onto shaky data or deployed in high-empathy moments without authority to resolve issues, it doesn’t reduce friction.
It amplifies risk.
McKinsey recently noted that AI creates the most value when it augments human capabilit, not replaces it. The winners won’t be the fastest adopters. They’ll be the most deliberate architects of trust.
This month’s Market Pulse, authored by Ashok Narayanan, explores:
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Where companies underestimate AI deployment risk
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Why customers remain wary despite massive AI investment
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How to design AI-human architecture that protects trust
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Why regulated industries are shifting from large language models to specialized, private models
The real competitive advantage won’t go to those who automate the most.
It will go to those who design responsibly.
