The 10 Most Overhyped Technologies in Today’s IT Landscape

CIOs are not immune to getting swept up in the allure of emerging technologies. In this overview, various IT leaders and analysts share their perspectives on which technologies still need to be ready to deliver on their promises.Today’s technology often resembles yesterday’s science fiction: AI, robotics, and spatial computing have become mainstream after decades of speculation and development.

But are they all delivering the desired results? In some ways, yes; in many others, they are still far from the lofty expectations set for them.

It’s a typical trend where expectations for a particular technology exceed what it can achieve at a given moment. Gartner’s Hype Cycle describes this stage as the “peak of inflated expectations,” which occurs just before the inevitable disillusionment.

CIOs often find themselves at the forefront of this, caught up in the excitement but crucially tasked with managing expectations when plans fail to match reality.

“We try to stay realistic by recognizing that there are limits to all these things,” “We need to see beyond the hype to understand what real value a technology can bring.”

Several factors contribute to inflated expectations. Some technologies become overhyped when their actual capabilities fall short of what users want them to do. Others reach this point when they require too much time, effort, and money to reach their full potential.

But which technologies fall into the “overhyped” category today? We asked 10 IT leaders to share their opinions on what is overrated, and here’s what they had to say.

1. Generative AI

For the second year, generative AI tops the list of overhyped technologies. Nearly unanimously, the consensus is that the hopes surrounding it exceed what it is currently capable of achieving—and doing well.

“There’s so much hype around GenAI today that some senior leaders believe it can be applied on a broad scale without fully understanding it or knowing how it might be used in their companies, arguing that people are too quick to implement it without determining if it will deliver returns.

This remains a challenge for many. Gartner points out, “Investments in AI have reached a new peak, with particular attention to its generative subset, which, in most cases, has yet to deliver the expected business value.”

2. Artificial General Intelligence (AGI)

It’s not just Generative AI that is perceived as overhyped.

Artificial General Intelligence (AGI) is another technology that is garnering more excitement than it deserves. Some question whether the imagination around what AGI can do (at least in the short term) has surpassed reality.

IBM describes AGI as “the science-fiction version of AI, where AI, equipped in machines, reaches a level of learning, perception, and cognitive flexibility akin to humans” and reflects on how, while it remains purely theoretical, “it could potentially revolutionize nearly every aspect of human life and work.”

AGI is where AI has the cognitive capabilities of humans, approaching how humans operate, and we’re very far from achieving that.

3. AI in General

The interviewed managers agree that all types of AI — from machine learning to natural language processing to large language models — hold incredible potential and are already delivering groundbreaking returns.

However, they note that AI provides solid returns only in a fraction of its implementations, adding that many businesses need to work extensively before seeing significant (and not just incremental) benefits.

“I think AI in many forms is overhyped and that there are a lot of unrealistic expectations,”

“There’s a lot of promise and a lot of opportunity. But the reality of implementing AI is much more complex and less glamorous than it’s made out to be. We must embrace it, but I must also level-set many expectations.”

4. AI PCs

Similarly, Brian Jackson, research director for CIO activities at Info-Tech Research Group, adds AI PCs to the list of overhyped technologies today.

“It’s a clear case of manufacturers trying to push something they see as a differentiator to persuade people to buy new hardware,” he explains.

Jackson adds that they have good reason to do so. Many CIOs have extended their PC refresh cycles, replacing computers every four or five years instead of every three years, as was done for a long time.

“This is a testament to how good computers are now,” says Jackson.

AI PCs are equipped with selected CPUs, GPUs, and NPUs to efficiently handle AI models locally. They are touted as faster and more powerful, providing better computing and battery life performance.

Jackson notes that such capabilities will be needed in the future, but he believes that “we are at least three years away.” Until then, he thinks, today’s PCs are sufficient for how most people currently consume AI — via cloud-based applications rather than locally on devices.

“Existing computers have enough processing power, memory, and storage to be used for years,” he adds.

5. The Catch-All “Next-Gen”

“What does ‘next-gen’ even mean?” Some vendors apply this label to their products too frequently and too freely. In contrast, others rush to incorporate these new features into their systems before they are ready, slapping on the “magic label” and leaving users with flawed technology. “Or they’ve enabled AI features that nobody wanted, only to have them go unused,” he adds.

6. Quantum Computing

IT leaders acknowledge the potential of quantum computing, which leverages the principles of quantum mechanics to perform calculations and is exponentially faster and more powerful than the current generation of computers.

However, they assert that this technology still needs to be improved, dampening its current excitement and hype.

“It’s still at a theoretical level. It will take a long time to make it commercial, and much more research is needed to make it work,” notes Andy Thurai, Vice President and Principal Analyst at Constellation Research, adding that the costs and resources required to develop and operate quantum computing only add to the challenges of making it a reality.

“There are so many limitations to building a world-class quantum system that, in my view, it is still an experiment to be considered confined to the scientific domain,” he says.

7. Fusion Energy

On a related note, some interviewees also consider nuclear fusion energy an overhyped technology, viewing it—like quantum computing—as further from reality than its proponents make it seem.

Interest in this type of energy production is not new but has been boosted by AI, which researchers believe could help achieve the goal (which would help power energy-hungry AI systems).

Fusion also received collective attention when OpenAI CEO Sam Altman entered the field, backing Helion Energy and its plans to build the world’s first nuclear fusion power plant.

“This will help drive the next tech boom, but it’s not something we’ll see anytime soon.

8. Avatars

AI is powering another area that Jackson of Info-Tech Research Group considers overhyped: the notion of digital humans and avatars.

On the one hand, Jackson acknowledges that the technology for creating and using avatars is mature and does an excellent job of providing digital humans that look real.

Indeed, these systems are already in use today, in legitimate, problematic, and intermediate use cases, with varying degrees of human acceptance, he points out. Many people tolerate a customer service chatbot but are less tolerant of digital counterparts used in entertainment “unless there is a clear artistic reason.” Most agree that deep fakes are a significant area of concern.

“However, the way companies think about these capabilities and their use [for interactions with real humans] is a bit far-fetched,” Jackson adds. “People believe they can create digital twins of themselves and send them to a meeting when they cannot be there.”

He continues, “I’m not saying this isn’t enormous value. But I think we’re going too far and too fast.”

9. The Metaverse and Spatial Computing

Although the hype around these technologies has subsided in recent years, some argue that expectations for spatial computing (whether augmented reality, virtual reality, extended reality, or the metaverse) still exceed its value, making it a worthy entry on the list of overhyped technologies for 2024.

“The metaverse and AR/VR are technologies comparable, in a way, to blockchain, where there was a lot of hype initially, which then quickly faded and was supplanted by AI,” says Thomas Phelps IV, CIO of Laserfiche and a member of the SIM Research Institute advisory board. “In 2022, the metaverse took center stage at one of the biggest tech conferences a major research firm hosted.

10.Humanoid Robots: Hype vs. Reality

According to some experts, humanoid robots, another technology tied to AI, are generating more hype than substance.

“Don’t get me wrong, humanoid robots are on the horizon and already used for specific tasks,” says Brian Jackson. “But they excel at completing tasks, not entire jobs. The idea that ‘these humanoid robots will replace human versatility’ remains an aspiration, not a reality.”

“We are in the early stages; no one relies on these robots for truly autonomous work,” Jackson emphasizes. This technology is far from becoming genuinely autonomous.

“We think it will be like the movies, but we’re not there yet. We don’t even have fully automated lawnmowers and robot vacuums still get stuck under the couch.

He expects their capabilities to fall below expectations when the first models are released.

Conclusion

While emerging technologies like Generative AI, Quantum Computing, and the Metaverse promise revolutionary advancements, they often need to meet the inflated expectations set by their initial hype. As CIOs and business leaders navigate the complexities of technology adoption, it’s crucial to look beyond the buzzwords and critically assess the value these innovations bring to their organizations. Understanding these technologies’ limitations and realistic applications will help companies make informed decisions, invest wisely, and ultimately drive meaningful results. As the digital landscape evolves, staying grounded in reality while remaining open to innovation will be the key to effectively leveraging technology.

Ready to make informed technology decisions? Contact Convergence Consulting’s team of experts to explore how we can help you navigate the ever-changing IT landscape.