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AI Procurement Trends

The New Enterprise AI Procurement Landscape

January 202615 min read

Executive Summary

Enterprise AI procurement is fundamentally different from traditional software purchasing. Buying committees have expanded, evaluation criteria have shifted, and procurement cycles are lengthening as organizations grapple with the complexity of AI vendor assessment. This report provides benchmark data and frameworks for both buyers and sellers navigating this new landscape.

Key Findings

  1. 1

    Average AI buying committee now includes 11.3 stakeholders, up from 6.8 for traditional software

  2. 2

    AI procurement cycles average 7.2 months, 40% longer than equivalent software purchases

  3. 3

    Technical evaluation now accounts for 45% of the buying decision, up from 28%

  4. 4

    72% of enterprises require proof-of-concept before committing to AI vendor contracts

  5. 5

    Security and compliance review adds an average of 6 weeks to AI procurement timelines

Strategic Implications

AI vendors must adapt sales strategies to accommodate larger, more technical buying committees

Enterprises should establish dedicated AI procurement frameworks separate from standard software procurement

The proof-of-concept requirement is creating a new competitive dynamic favoring vendors with strong trial programs

Data Insights

Average enterprise AI contract: $2.8M (first year), with 82% including multi-year commitments

Procurement team AI literacy score: 34/100 (indicating significant knowledge gaps)

Vendor evaluation shortlists average 4.2 vendors, down from 6.1 in 2024

Access the Full Report

The complete report includes detailed data tables, methodology, vendor analysis, and actionable recommendations.