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Tuesday, August 12, 2025

Microsoft says AI will not remedy the ‘infinite workday’ until companies change how they function



Good day and welcome to Eye on AI. On this version…OpenAI wins a $200 million Pentagon contract…Salesforce finds AI fashions can’t use CRM software program very effectively…and a brand new research exhibits how AI scrapers are overwhelming cultural establishments.

Again in April, Microsoft revealed some analysis concerning the trendy workday, drawn from knowledge it gathers anonymously about using its software program functions. And actually, the conclusions have been sort of miserable. It discovered that we’re all trapped in what the corporate is asking “the infinite workday.”

Folks begin checking their emails earlier than they even get off the bed. Then, after we are at work, the best hours of the day are full of conferences and distractions. Throughout core working hours, persons are getting interrupted by messages or emails each two minutes on common—that’s 275 interruptions per day—Microsoft discovered. Practically half of all conferences happen between 9 a.m. and 11 a.m. or between 1 p.m. and three p.m., which is precisely when neuroscientists say that most individuals’s brains are at their greatest for centered work and problem-solving. In reality, most individuals’s productive potential peaks at 11 a.m. however that’s precisely essentially the most overloaded hour of the day, with chat site visitors hitting its highest quantity on common, in addition to conferences and app utilization spiking.

Issues don’t get higher within the evenings, both. For a lot of staff, work peaks once more after dinner. With groups working throughout time zones, the variety of conferences going down after 8 p.m. was up 16% 12 months over 12 months, in keeping with Microsoft. Many individuals are nonetheless checking these emails as they crawl again into mattress at 10 p.m.

This exhausting schedule has helped produce what Microsoft calls a “capability hole”—53% of leaders say productiveness should improve, however 80% of staff say they lack the time or vitality to do their jobs.

So what’s AI acquired to do with this? Properly, everyone seems to be hoping that AI will save us from this excellent storm of unattainable expectations assembly human limitations. However the expertise itself gained’t do that. In reality, numerous the methods corporations are deploying AI and persons are utilizing the expertise may make issues worse.

Forcing folks to work quicker, not higher

Give it some thought. When you’re already drowning in conferences, emails, and fixed interruptions, having AI aid you write extra emails and summarize extra conferences isn’t actually fixing the issue—it’s simply greasing the wheels of a dysfunctional system.

That was the primary takeaway from my dialog final week with Jamie Teevan, Microsoft’s chief scientist and technical fellow, and Alexia Cambon, one of many lead researchers on Microsoft’s Work Tendencies Index. 

“AI is delivering actual productiveness positive aspects, nevertheless it’s not sufficient,” Teevan tells me. “The velocity of enterprise continues to be outpacing the best way we work right now.”

She says that crafting prompts for AI to carry out duties for us, corresponding to conducting analysis or producing a enterprise presentation, “really will increase our metacognitive burden.” In different phrases, to jot down an excellent immediate, an individual has to assume clearly concerning the steps they need the AI to carry out, and supply an inventory of dos and don’ts. This pondering course of necessitates focus, and it additionally requires somebody to remodel issues they know tacitly into express directions. Having to do that, “can really feel overwhelming,” Teevan says.

However there are higher methods to work with AI that may alleviate this burden—or a minimum of share it. AI itself can be utilized to assist craft prompts, as an example, Teevan says. Cambon says that too many individuals are viewing AI as simply one other software program device. It’s higher, she says, to consider it like a digital colleague—one thing to which you’ll be able to assign whole duties or processes.

Extra importantly, to get essentially the most out of AI, corporations want to vary their organizational constructions, the best way their staff work, and likewise how they measure worth. Microsoft has recognized corporations they name “Frontier Companies” which might be doing this. At these organizations, 71% of staff say their firm is flourishing, in comparison with simply 37% globally.

Now, it ought to be stated, there should not too many of those Frontier Companies on the market. Out of 31,000 corporations Microsoft checked out, solely 840 met the factors. Most of those corporations have been in tech—lots of them so-called “AI native” startups that get pleasure from having the ability to design their processes round AI from the beginning. “They don’t must unlearn a complete load of stuff,” Cambon says. However curiously, she says that a number of the Frontier Companies have been in skilled companies, like consulting, accounting, and regulation, which is an space the place AI is quickly disrupting conventional work processes and even difficult whole enterprise fashions.

For non-AI native corporations, getting the total advantages of AI means altering organizational administration and constructions. “It’s about how do you externalize data and make issues out there for AI to study from,” Teevan says. “It’s about creating suggestions loops and being very intentional concerning the content material we create for our groups.”

What ‘Frontier Companies’ are doing in a different way

Microsoft’s analysis suggests there are some key adjustments that differentiate the Frontier Companies from the remainder. They prioritize affect over exercise, specializing in the 20% of duties that create 80% of a enterprise’s worth. They redesign workflows as a substitute of simply attempting to automate them. (Fairly than have AI write standing stories, as an example, ask whether or not you want standing stories within the first place.) And so they more and more use AI as brokers that may deal with whole workflows, not simply particular person duties. On this world, staff turn into “agent bosses,” Microsoft says.

Cambon says that the Frontier Companies additionally are inclined to have a lot flatter organizational constructions, the place groups are organized round finishing a particular undertaking, not round areas of experience. Does Microsoft have an curiosity in promoting this narrative with a view to persuade corporations to purchase its AI software program and cloud companies? Positive it does. However that doesn’t imply it’s incorrect. It’s clear that the businesses that get this proper may have a giant benefit. And those that don’t? They’ll simply have more and more environment friendly chaos and burnt out staff.

With that, right here’s the remainder of right now’s AI information.

Jeremy Kahn
[email protected]
@jeremyakahn

Need to know extra about learn how to use AI to remodel your online business? Concerned with what AI will imply for the destiny of corporations, and international locations? Why not be a part of me in Singapore on July 22 and 23 for Fortune Brainstorm AI Singapore. We’ll dive deep into the most recent on AI brokers, study the info middle construct out in Asia, and speak to prime leaders from authorities, board rooms, and academia within the area and past. You possibly can apply to attend right here
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Introducing Fortune AIQ

AI is reshaping work. What does it imply to your staff? Fortune has unveiled a brand new hub, Fortune AIQ, devoted to navigating AI’s real-world affect. Fortune has interviewed and surveyed the businesses on the entrance traces of the AI revolution. Within the coming months, we’ll roll out playbooks based mostly on their learnings that will help you get essentially the most out of AI—and switch AI into AIQ. The primary AIQ playbook, The “folks” facet of AI, explores numerous features of how mastering the “human” aspect of an AI deployment is simply as vital because the technical particulars.

  • Corporations are overhauling their hiring processes to display candidates for AI expertise—and attitudes. Learn extra
  • ‘AI fatigue’ is settling in as corporations’ proofs of idea more and more fail. Right here’s learn how to forestall it. Learn extra
  • AI is altering how staff practice—and beginning to cut back how a lot coaching they want. Learn extra
  • AI helps blue-collar staff do extra with much less as labor shortages are projected to worsen. Learn extra
  • Everybody’s utilizing AI at work. Right here’s how corporations can preserve knowledge protected. Learn extra

AI IN THE NEWS

OpenAI wins $200 million Pentagon contract. Below the contract, the primary main Protection Division contract OpenAI has gained, the AI firm will construct prototype “frontier AI” instruments aimed toward enhancing each army operations and administrative capabilities throughout the Pentagon. The instruments are speculated to be up and working by the summer season of 2026. OpenAI has additionally introduced a brand new “OpenAI for Authorities” initiative to centralize its efforts to promote AI merchandise to the federal government. You possibly can learn extra right here from CNBC.

OpenAI and Microsoft tensions attain a boiling level. That’s in keeping with a narrative within the Wall Avenue Journal, which cites unnamed sources accustomed to the dispute. OpenAI, in keeping with the newspaper, is looking for extra freedom to work with different cloud suppliers and promote expertise that competes instantly with Microsoft’s merchandise. It additionally doesn’t wish to share the expertise from its $3 billion acquisition of AI startup Windsurf with Microsoft, the newspaper stated. As well as, in keeping with the paper’s sources, OpenAI is pissed off that Microsoft has held up its plans to transform its sophisticated company construction into a brand new public profit company, with the tech big, which has invested a minimum of $13 billion in OpenAI, refusing to agree on how a lot fairness it ought to maintain within the new firm. OpenAI, the paper reported, has even thought-about submitting a federal antitrust criticism towards Microsoft and embarking on a public marketing campaign accusing its erstwhile accomplice of anticompetitive habits.

Google releases new hurricane forecasting device. Google DeepMind and Google Analysis have partnered with the U.S. Nationwide Climate Service’s Nationwide Hurricane Heart to create an interactive web site known as Climate Lab that options an AI mannequin the tech firm developed for predicting the monitor of tropical cyclones (i.e. hurricanes). In line with Google DeepMind’s weblog on the initiative, the AI-model can precisely forecast a storm’s formation, depth, dimension, form and monitor as much as 15 days upfront, and is as correct or extra correct than conventional climate fashions based mostly on simulating sophisticated physics. The AI mannequin’s five-day cyclone monitor predictions have been on common 87 miles nearer to the precise storm places than main physics-based fashions. The Climate Lab web site, which Google emphasizes is simply an experiment and shouldn’t be relied on for forecasts, lets customers see each AI and physics-based forecasts and see how each change below totally different eventualities.

EYE ON AI RESEARCH

Salesforce AI researchers discover main AI fashions should not so good at utilizing Salesforce. The researchers launched a brand new benchmark, known as CRMArena-Professional, that evaluates how effectively AI fashions can carry out 19 totally different buyer relationship administration duties utilizing Salesforce software program. The duties embrace configuring a product, assigning the very best human gross sales agent to take care of a specific lead or service case, and quoting costs for various sorts of merchandise—in eventualities involving each business-to-business interactions in addition to interactions with a person buyer. The benchmark additionally included duties requiring a number of forwards and backwards interactions with prospects (what are often known as multiturn duties).

For single flip interactions, Google’s Gemini 2.5 Professional carried out the very best, finishing 54% of B2B duties and 58% of B2C duties. (The mannequin was particularly good at finishing easy workflows, precisely ending 83% of those B2B workflows and 90% of B2C ones.) However when it got here to multiturn duties, the efficiency of all of the fashions dropped dramatically. Right here Gemini 2.5 Professional managed to finish simply 35% of B2B and 30% of B2C duties (OpenAI’s o1 was ever so barely higher on multiturn B2C duties, at 30.4%).

The analysis exhibits that even essentially the most succesful AI fashions have an extended option to go earlier than they will full many actual world enterprise duties reliably. Apparently, Salesforce didn’t take a look at any of its personal “Agentforce” AI brokers on the CRMArena. I ponder how they’d have stacked up? You possibly can learn the analysis paper right here on arxiv.org.

FORTUNE ON AI

Canva’s cofounder is trying to rent ‘AI natives’ and college dropouts to coach the remainder of the corporate on the techby Beatrice Nolan

OpenAI plans to proceed working with Scale AI regardless of rival Meta’s $14.3 billion take care of the corporate, OpenAI’s CFO says —by Beatrice Nolan

Unique: Straightforward-to-deploy industrial robotic startup emerges from stealth with $8.5 million in seed fundingby Jeremy Kahn

Cognizant govt weighs in on how AI will shift firm tradition —by Emma Burleigh

AI CALENDAR

July 8-11: AI for Good International Summit, Geneva

July 13-19: Worldwide Convention on Machine Studying (ICML), Vancouver

July 22-23: Fortune Brainstorm AI Singapore. Apply to attend right here.

July 26-28: World Synthetic Intelligence Convention (WAIC), Shanghai. 

Sept. 8-10: Fortune Brainstorm Tech, Park Metropolis, Utah. Apply to attend right here.

Oct. 6-10: World AI Week, Amsterdam

Dec. 2-7: NeurIPS, San Diego

Dec. 8-9: Fortune Brainstorm AI San Francisco. Apply to attend right here.

BRAIN FOOD

AI ‘scrapers’ are inflicting chaos for cultural establishments. That’s in keeping with an article in tech publication 404 Media that’s based mostly on analysis by the GLAM-E Lab, a joint initiative between the Centre for Science, Tradition and Legislation on the College of Exeter, in England, and the Engelberg Heart on Innovation Legislation & Coverage at New York College.

The GLAM-E Lab survey discovered that AI bots scraping the web for coaching knowledge and to assist AI fashions reply to queries that decision for up-to-date info are overwhelming the servers of libraries, archives, museums, and galleries, typically knocking their collections utterly offline. Out of 43 cultural establishments surveyed, 39 skilled current site visitors will increase, with 27 attributing this on to AI coaching bots. In some circumstances, the site visitors spikes have been much like a denial-of-service (DDoS) assault.

These establishments typically have very small IT groups and restricted assets to fight the issue, making them significantly weak to being overwhelmed by bot site visitors. Many AI scraping bots are ignoring robots.txt information, that are supposed to inform automated instruments to not scrape web sites, breaking established web norms, 404 Media reported. The issue forces establishments to decide on between implementing entry boundaries that would cut back human utilization or leaving their worthwhile public assets weak to being knocked offline by aggressive bot scraping.

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