AI is rapidly reshaping the public sector, ushering in a new era of intelligent and AI-powered service delivery and mission impact. Chief AI Officers (CAIOs) and other agency leaders play a critical role as AI becomes more pervasive. At Google, we've long believed that AI is a foundational and transformational technology, with the potential to benefit people and society. Realizing its full potential to improve government services, enhance decision-making, and ultimately create a more efficient and effective public sector requires leadership and a clear commitment.

Google recently commissioned IDC to conduct a study that surveyed 161 federal CAIOs, government AI leaders and other decision makers to understand how agency leaders are leading in this new AI era – and the value they are already bringing when it comes to AI governance, collaboration, and building public trust and citizen engagement¹. I recently sat down with Ruthbea Yesner, Vice-President of IDC Government Insights to explore the key findings of this research and what it means for the public sector - see excerpts of our discussion and key insights below.

Key Finding #1: 62% of those surveyed say strengthening cybersecurity is a top motivator for AI investments

Agencies are embracing AI to enhance cybersecurity and protect critical infrastructure - with 60% of respondents indicating that internal cybersecurity protection is their top AI/ML use case. Over 40% of federal agencies surveyed state that protecting critical infrastructure is a key driver for their AI investments going forward. Additionally, respondents believe that applying AI to strengthen cybersecurity and protect critical infrastructure will deliver positive outcomes in just 9 months; the second fastest time to value of any expected outcome of AI.

CAIOs and other agency leaders play a crucial role in driving AI adoption and ensuring that agencies are able to leverage this powerful technology. While 50% of federal agencies have already appointed a CAIO, the rest are expected to follow soon. As adoption accelerates and AI maturity grows, CAIOs need to prioritize robust cybersecurity measures and risk mitigation strategies in all AI initiatives, ensuring the protection of sensitive data and systems.

Key Finding #2: Higher AI maturity increases likelihood to explore other Gen AI use cases by 4x

IDC created a 5-phase approach to assessing AI maturity and the findings are remarkable - 50% of agencies surveyed reported high levels of AI maturity which corresponds to mature behaviors like piloting and implementing generative AI use cases to drive innovation and mission impact. Mature AI agencies are embracing an innovation culture and are focused on AI use cases and projects with high potential for impact.

We’re seeing some agencies solving for one specific problem or use case and creating quick wins and the appetite to do more, and in other cases, they are tackling big, complex challenges head-on. By adopting an AI-first mindset, incorporating AI into their workflows and scaling their use of AI, they are creating the groundswell to do more. This has a compounding effect as AI becomes more pervasive across the agency, and individuals increasingly feel part of its positive cultural change and impact.

Generative AI is the future - attracting 42% of AI investments. Agencies are eager to explore its potential - and innovation will be a key motivator for continued AI investment going forward. As organizations prioritize AI, the CAIO role becomes even more multifaceted, demanding not just technical expertise but also visionary leadership to drive organizational culture change and develop a truly AI-enabled workforce.

We believe that a robust AI maturity model, as outlined in IDC’s The Chief Artificial Intelligence Officer (CAIO) Playbook: A Practical Guide for Advancing AI Innovation in Government, is key to guiding agencies in their adoption of AI and fostering organizational readiness. By providing a clear framework for progress, agencies can strategically navigate the complexities of AI implementation and unlock its full potential.

Key Finding #3: An AI-ready workforce is the key to unlocking AI’s potential

The rapid pace of AI adoption has highlighted a significant challenge: a shortage of AI expertise. 39% percent of survey respondents report that their biggest challenge is a lack of in-house AI skills and expertise, and 68% are focused on training and retaining their workforce.

Google is tackling this skills challenge head-on. We recently announced our Google Cloud Launchpad for Veterans - a no-cost training and certification journey to equip veterans in all roles and at all levels with the cloud knowledge and skills needed to drive innovation, and contribute to their employer’s digital transformation strategy. And we also announced a new AI training initiative through Google.org’s AI Opportunity Fund – with $15 million for AI skills training for US government workers for the Partnership for Public Service and InnovateUS. This also includes a grant to the Partnership for Public Service to establish the new Center for Federal AI to provide AI skills and literacy to federal leaders and workers, including 2,000 senior government officials.

One thing is clear - AI requires leadership, and the CAIO is an important new C-suite role signaling the government’s commitment to harness AI and reach its full potential. CAIOs and other agency leaders are critical to charting this new AI era and providing the expertise and leadership necessary to leverage AI for the public good.

To learn more about how CAIOs are leading in this new AI era, download The Chief Artificial Intelligence Officer (CAIO) Playbook: A Practical Guide for Advancing AI Innovation in Government. By embracing its recommendations, agencies can create their own roadmap to drive AI adoption to accelerate mission outcomes and impact. To hear the full interview with Ruthbea Yesner, Vice-President of IDC Government Insights, please register to join the Google Public Sector Summit On-Demand on December 3rd.

_{¹ IDC Signature White Paper, The Chief Artificial Intelligence Officer (CAIO) Playbook: A Practical Guide for Advancing AI Innovation in Government, sponsored by Google Public Sector, Doc# US52616824, October 2024.}