Article
The Complexity Avalanche in the AI Era
Overview
Challenges
The technology and services industries are seeing a widening 'consumption gap,' as customers struggle to adapt to the overwhelming number of features and increasing complexity in technology products. This report discusses how AI further exacerbates the complexity challenge, making it harder for customers to fully adopt and benefit from new technologies.
Summary
The article discusses the TSIA Complexity Avalanche, also referred to as the “Consumption Gap,” highlighting the disparity between the increasing complexity of technology and customers’ capabilities to adopt and derive value from it. It emphasizes how AI exacerbates this complexity and presents frameworks to transition to outcome-based services, ensuring successful adoption and value realization.
Included in the full report
Understanding the Complexity Avalanche:
The gap between the multitude of technology features and customers' ability to consume them leads to technology often becoming unused or 'shelfware.'
Impact of AI on Complexity:
AI introduces significant new layers of complexity, making it challenging for most customers to integrate effectively without being “AI-ready.”
Framework for Change:
TSIA's research advocates shifting from selling complex technologies to providing quantifiable, outcome-based services to address complexity issues.
Focus on AI Readiness:
Organizations need to prioritize readiness, data management, and governance to effectively adopt AI and realize its full potential.
Ownership of Business Outcomes:
Providers should aim to price and contract for the business outcomes enabled by AI, rather than the complexities of the technology itself.
Publication date:
November 21, 2025
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