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Hospital CFOs report high failure rates for tech pilots despite rising AI investment

A survey of 150 U.S. hospital finance chiefs highlights significant challenges in adopting financial and administrative technologies, with 60% reporting that at least half of their tech pilots fail, and 57% saying the same across all pilot projects. These initiatives, which often include AI-driven forecasting, revenue cycle automation, and analytics tools, frequently fall short due to unclear objectives, lack of practical use cases, and weak staff adoption. Despite these setbacks, investment in technology remains strong, with 73% of respondents planning to increase spending, particularly on AI to improve patient outcomes, operational efficiency, and staff experience. However, finance leaders are approaching these investments cautiously, demanding rapid and measurable returns, with over half expecting projects to generate at least a 110% return within 18 months, reflecting tight financial conditions across the healthcare sector.