tgroenwals shared this post · 3d ago

▶️ The AI ROI Fallacy: Unmeasured Infrastructure in Turnaround Assets

David’s Bridal recently claimed asking for AI ROI is “the wrong question” because AI is now “infrastructure.”

For a legacy retail brand fresh out of multiple bankruptcies, that should set off alarms for their board and private equity sponsors.

Infrastructure still consumes capital. Capital has a cost. Warehouses, ERP upgrades, data platforms, and governance programs all require a business case. AI doesn’t get a pass.

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Clark Schnase Exactly. Calling AI "infrastructure" should raise the proof bar, not lower it. Infrastructure still has utilization assumptions, operating costs, control requirements, and a capital allocation thesis. Boards do not need a perfect ROI forecast, but they do need a defensible evidence model for why continued funding is rational. May 29 1 like

Patrick Moran, MBA, CISSP Spot on. What we're still seeing is a lot of subjective AI technologies and people struggling to quantify their business value. Labeling AI as infrastructure is lazy. If you can't tie an AI technology to economic value, it's a hobby not a budget line. May 13 2 likes

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