The GenAI Divide: Why AI Works for People but Not for Companies at Scale (Yet)

MIT made headlines everywhere with their claim that only 

“5% of generative AI pilots make it to production and deliver measurable enterprise value”

Now, even if you doubt the validity of that statistic as some have, one thing is undeniable the ‘informal’ use of personal AI tools in organisations, also known as shadow AI, is booming versus enterprise-led AI initiatives. 

Across every industry, employees are using tools like ChatGPT, Claude and Gemini to write emails, craft campaigns, summarise research or build slides. They’ve quietly reinvented how they work. 

If AI works so well for individuals, why is it still struggling to transform organisations? 

 the widening gap between personal productivity gains and enterprise-level impact. 

In other words, everyone’s experimenting with AI, but almost no one is scaling it. 

It’s easy to assume the difference lies in model quality or investment levels. But the truth is simpler, and more structural.

Generative AI works brilliantly for individuals because the cost of forgetting is low. 

When you use ChatGPT, it doesn’t need to remember much. You provide the context it gives you the output; you tweak and move on. The feedback loop is quick and cheap. If it forgets your tone or last week’s preferences, you just re-prompt it. You, the human, supply the memory – either directly in the prompt context window, or through third party tools like 

 (in our VC portfolio) which allows consumers to take their personal context with them across the internet. 

Inside the enterprise, forgetting is a much bigger problem. 

When an AI system forgets a compliance rule, it risks fines. When it forgets a customer’s history, it undermines trust. When it ignores internal feedback, it repeats the same mistake across thousands of users. 

Fixing that isn’t a quick re-prompt, it’s a full process clean-up. 

That’s why consumer AI thrives despite its amnesia, while enterprise AI stalls because of it. 

Shadow AI succeeds because humans absorb the learning. 

Enterprise AI fails because systems don’t. 

The learning gap that holds business back

Most enterprise AI systems today don’t 

 in any meaningful sense. They generate, but they don’t improve. 

Each interaction begins with a blank slate. No memory, no feedback history, no adaptation. 

MIT calls this the learning gap: the absence of feedback loops, context retention, and workflow integration that allow AI systems to evolve. 

 study echoes the finding. Nearly 80% of firms now use AI in some capacity, yet fewer than 20% can show bottom-line impact. The strongest driver of success? Workflow redesign

AI isn’t failing because it’s weak, it’s failing because we’re forcing it into old processes that were never designed for learning. 

Traditional enterprise workflows are deterministic: a sequence of fixed inputs, rules, and approvals. 

Generative AI thrives in the opposite environment; ambiguity, iteration, and feedback. When we drop AI into a rigid structure, one of two things happens: 

Either way, the learning loop never closes. 

Meanwhile, employees using personal AI tools have unconsciously redesigned their micro-workflows. They iterate, adjust, and feed their own feedback back in. Every prompt is a tiny experiment. That fluidity is exactly what enterprise processes need, but rarely allow. 

The companies crossing the GenAI Divide start with process redesign, not model selection. 

Rather than asking, “Where can we add AI?”, they ask, “Which parts of our workflow need to be rebuilt so AI can learn?” 

Together, these mechanisms turn a static tool into a self-improving system. 

The next wave of AI transformation won’t be decided by who has the biggest model or the deepest pockets. It will be decided by who can make their systems – and processes – learn. 

To cross the GenAI Divide, organisations need to do two things at once:  

This is how enterprises can unlock the same adaptability and impact that’s driven the success of ‘shadow AI’ and, ultimately, realise the trillion-dollar AI opportunity.

“The GenAI Divide: State of AI in Business 2025”

“The State of AI: How Organisations Are Rewiring to Capture Value”

Why does AI empower individuals but stumble when scaling across organisations? In our third blog on Large Language Models, Advisory Principal George Brain unpacks what MIT calls the "GenAI divide."

The GenAI Divide: Why AI Works for People but Not for Companies at Scale (Yet) 

French startup Kotcha, co-founded with marathon legend Eliud Kipchoge and the NN Running Team, has raised 

 to make world-class coaching accessible to every runner. Using AI to recreate the athlete–coach relationship, Kotcha delivers adaptive, personalized guidance at scale.

The round is led by Racine², operated by Serena and makesense, with participation from True Global, Motier Ventures and other investors from the consumer, health, running & sports world.

Demand for races is booming. The London Marathon received over 

, twice as many as in 2024. Yet access to personalized coaching remains limited: runners must choose between generic apps (~€20/month) and human coaches (€100/month). Kotcha bridges this gap with an 

 that adapts in real time to each runner’s needs.

Kotcha: when AI meets Olympic champion expertise

, the only person to complete a marathon in under two hours. 

"Without my coaches and teammates, I would never have pushed human limits. With Kotcha, we wanted to share not just the training structure, but the full support system that made it possible."

Kipchoge and the NN Running Team directly contributed to Kotcha’s development. 

"Sharing our knowledge has always been our mission. Creating an app was the next step, but we needed the right partners,

 says Marleen Vink-Rennings, Marketing Director.

“Running is a team sport” is the philosophy that unites Kotcha’s founding team - Eliud Kipchoge, Ben Dupont (CEO), Michel-André Chirita (CTO), Dimitri Dor (CMO) and the NN Running Team - the belief that no one should run alone. The team combined elite running expertise with startup experience. The three tech founders worked with Kipchoge and his team, including time at his Kaptagat training camp, to embed his philosophy into the app.

"We didn’t want another training plan generator,"

"Magazines once offered generic plans, apps later digitized them with basic personalization. Kotcha, is the next generation of training experience: an AI-powered app you can talk to, recreating the relationship between an athlete and his coaching team. This coaching team is the first step in bringing our vision to life, that running is actually a team sport."

Validated with over 300 runners, Kotcha delivers a reliable, adaptive experience for athletes of all levels and ambitions.

Most running apps lock athletes into rigid 12 or 16 week plans. Kotcha recreates the feel of a real coaching team with four AI coaches - 

Head Coach, Nutritionist, Data Analyst and a Personal Trainer

"AI often lacks context and falls short of runners’ expectations,"

"We’re building Kotcha to understand each runner’s goals, training load and patterns, so guidance feels like it comes from a coach who truly knows you.”

That vision translates into very tangible features runners can use every day:

“Our objective is not to replace human coaches, but to make coaching more accessible and to help more people achieve their running goals"

In the coming weeks, the coach will be able to adapt training plans in real time, on demand. If a user only has 30 minutes because they’re working late or their child is sick, the coach will automatically adjust the day’s session and update the following ones to keep them on track toward their goal.

This pre-seed round will allow Kotcha to launch and bring its vision to life in Europe and internationally.

“We raised this round to bring our vision to life: enhancing physical, mental and social well-being through running.”

“Few activities shape both body and mind like running. Kotcha brings that experience into a new era, connecting technology, empathy, and precision in a way that feels genuinely human. It’s the youngest company we’ve ever backed, and one we chose to support from day one because its ambition resonates deeply with our values”

 said Margaux Bussière, Principal at Racine².

Kotcha is available from October 23rd on the App store, worldwide, in French and English, for runners training for races from 10k to marathon. The application has a free trial week and is offered at a launch price of $14.99 / month (€14.99 / month).

Kotcha is the next generation running app, redefining the sport as a team experience. Born from the collaboration of app experts Ben Dupont, Michel-André Chirita and Dimitri Dor with Eliud Kipchoge and the NN Running Team, Kotcha blends Kipchoge’s methods, human-like AI coaching and strong community bonds, so no runner ever runs alone. Website: 

About Eliud Kipchoge and the NNRunning Team

Founded in 2017 by Global Sports Communication and supported by NN Group, the NN Running Team is the world’s first professional running team, uniting many of the planet’s best long-distance athletes under one banner. The team provides its runners with world-class coaching, medical care, and performance support, while promoting values of teamwork, resilience, and excellence.

At the heart of the team is Eliud Kipchoge, the double olympic marathon champion (2016, 2021) and the only human ever to run a marathon in under two hours. Widely regarded as the greatest marathon runner in history, Kipchoge embodies the team’s spirit of discipline, humility, and belief that no human is limited. His leadership and philosophy continue to inspire a generation of athletes within the NN Running Team and beyond.

Racine² is an impact investment fund operated by makesense and Serena for MGEN. With €85 million, it supports innovative and ambitious companies that generate a positive impact on society and its environment. The fund focuses on 4 areas: physical activity and sports, sustainable lifestyles, education for all, and preservation of the environment and health.

French startup Kotcha, co-founded with marathon legend Eliud Kipchoge and the NN Running Team, has raised €3.5 million to make world-class coaching accessible to every runner. Using AI to recreate the athlete–coach relationship, Kotcha delivers adaptive, personalised guidance at scale.

Kotcha raises €3.5 million to make world-class coaching accessible to every runner

--Originally posted on Newswire, October 9, 2025--

Pinpoint, the AI-native social operating system that helps brands convert their social media audiences into customers, today announced the close of a $2.5 million funding round led by 

 (PCV). The funding will enable Pinpoint to expand its core team and accelerate platform development with new features and integrations shaped in collaboration with its growing customer base.

Pinpoint solves a critical pain point for brands and large-scale creators who spend significant resources building audiences on social platforms but struggle to translate that engagement into revenue. Many remain boxed in by outdated tools, fragmented funnels, and limited visibility into how social channels drive their business.

The company's AI-powered operating system allows brands to replicate SMS and email flows, capture audience data, and deliver customer support directly within Instagram and TikTok DMs, seamlessly integrating social media audiences into the broader marketing funnel without leaving the platform.

"We built Pinpoint to address the frustration of brand marketers who want to transform their social audiences into measurable growth," said Joshua Cohen, cofounder and CEO, Pinpoint. "By applying proven marketing principles to social media inboxes, we're enabling brands to create scalable, personalized shopping experiences that connect audience attention to real customer revenue."

Investors joining PCV in this round include 

 and strategic investors from Spotify, Raine Group, Google, and Twilio.

In addition, several early Pinpoint customers have validated the platform by becoming investors themselves, including Alex Febonio (

"At PCV, we invest in the technologies shaping how people play, move, compete, and connect. Across our portfolio, we've seen how challenging it is for brands to convert passionate social audiences into lasting customer relationships," said Adam Lewites, General Partner, PCV. "From our first interactions with the Pinpoint team, it was clear they deeply understood this problem and were executing with incredible speed. Their pace of innovation, product vision, and AI-first approach position them to redefine the future of social commerce."

Since launching its beta just five months ago, Pinpoint has been adopted by more than 100 brands representing a combined social following of over 500 million. Early customers are already seeing measurable impact, with some achieving up to a 30 percent lift in revenue after integrating Pinpoint's platform into their social channels.

"Pinpoint helps us build our brand by turning the community we've built into lifelong customers," said Avery Hairston, VP Marketing, 

. "They've nailed the ability for brands to build personalized 1:1 connections with each customer at scale."

We’re excited to announce our investment in Pinpoint, who’ve just raised a $2.5M Seed round to help brands convert social attention into measurable growth. 

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The GenAI Divide: Why AI Works for People but Not for Companies at Scale (Yet)

News

Kotcha raises €3.5 million to make world-class coaching accessible to every runner

News

Pinpoint Raises $2.5 Million to Grow Leading Social Operating System for Brands