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  • Enterprise AI

CIO-CEO Misalignment Hinders AI Adoption: Netskope Report


CIO-CEO Misalignment Hinders AI Adoption: Netskope Report
  • by: Source Logo
  • |
  • October 14, 2025

In an era where AI promises to redefine business operations, a new Netskope report highlights a critical bottleneck: misalignment between CEOs and CIOs. Surveying over 200 CIOs in the US and UK, the study finds that 39% of CIOs feel disconnected from their CEOs on key decisions, while 31% lack confidence in understanding executive expectations. This disconnect occurs as CIOs assume expanded roles—34% report greater involvement in non-IT priorities like digital innovation and workforce planning—yet 34% do not feel empowered to shape long-term IT strategies. With AI adoption surging, such gaps risk delaying value realization and exposing organizations to competitive disadvantages.

Quick Intel

  • 39% of CIOs report misalignment with CEOs on decision-making, per Netskope's Crucial Conversations report based on 200+ US/UK CIOs.
  • 34% of CIOs lack empowerment from CEOs for long-term IT strategies, hindering AI integration amid expanding CIO roles in business transformation.
  • 41% of CIOs say businesses must invest more in IT infrastructure; 26% struggle with CEO buy-in for modernization.
  • CEOs expect CIOs to balance AI innovation with cost/risk control; 37% of CIOs view business strategy as more vital than technical skills.
  • Report identifies six alignment areas: cost, risk, innovation, people, measurement, and IT estate; offers recommendations from CIOs/CEOs.
  • Broader context: 78% of enterprises use AI in 2025, but misalignment contributes to scaling failures in 69% of projects.

The Evolving CIO Role in AI-Driven Enterprises

AI's rapid ascent is reshaping the C-suite, thrusting CIOs into strategic limelights beyond traditional IT oversight. The Netskope report reveals that 34% of CIOs are now deeply engaged in AI-unlocking initiatives, from human capital planning to operational resilience. Yet, this evolution amplifies the need for CEO alignment: 39% of CIOs cite decision-making disconnects, with 31% unsure of CEO priorities, leading to hesitation in bold AI moves. Such friction not only slows AI pilots to production—where only 31% of use cases scale successfully per ISG's 2025 report—but also exacerbates infrastructure gaps, as 41% of CIOs call for increased IT investments.

CEOs, per the study, seek CIOs who temper AI hype with pragmatism: prioritizing outcomes, governance, and ethics while curbing costs and risks. This expectation aligns with broader trends; McKinsey notes that misaligned goals contribute to 70% of AI failures, often due to fragmented data or poor cross-functional buy-in. For CIOs, the report's six focus areas—cost, risk, innovation, people, measurement, and IT estate—offer a blueprint for productive dialogues, backed by insights from C-suite peers.

Bridging the Alignment Gap for AI Success

Misalignment's toll is evident: 26% of CIOs face CEO resistance to modernization, stalling cloud migrations essential for AI scalability—where 67% of supply chain leaders plan 2025 deployments. Moreover, 37% of CIOs now prioritize business acumen over tech skills, reflecting AI's cross-functional demands. Effective strategies include joint planning sessions, shared metrics on AI ROI, and informal interactions to build rapport, as recommended in the report.

Netskope's Chief Digital and Information Officer Mike Anderson emphasizes, "CIOs need to navigate complex stakeholder relationships... and act as a nuanced strategic partner." Echoing this, Harvard Business Review advocates distributed AI leadership to avoid single-point failures, with CIOs as integrators. Aligned duos could unlock AI's projected $15.7 trillion global economic boost by 2030, per PwC, by fostering innovation without unchecked risks.

The Netskope report, drawing from CEO interviews and expert validation, equips leaders with actionable guidance to catalyze AI strategies. As 78% of enterprises adopt AI in 2025—up from 42% in 2024—closing the CIO-CEO divide will determine who leads the transformation. In volatile markets, alignment isn't optional—it's the accelerator for resilient, AI-fueled growth.

About Netskope

Netskope, a leader in modern security and networking for the cloud and AI era, addresses the needs of both security and networking teams by providing optimized access and real-time, context-based security for people, devices, and data anywhere they go. Thousands of customers, including more than 30 of the Fortune 100, trust the Netskope One platform, its Zero Trust Engine, and its powerful NewEdge network to reduce risk and gain full visibility and control over cloud, AI, SaaS, web, and private applications—providing security and accelerating performance without trade-offs.

  • NetskopeCIOCEO AlignmentAI EraDigital TransformationEnterprise AI
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