Wednesday, December 24, 2025

Google researchers unlock some truths about getting AI agents to actually work

Welcome to Eye on AI. In this edition…President Trump takes aim at state AI regulations with a new executive order…OpenAI unveils a new image generator to catch up with Google’s Nano Banana….Google DeepMind trains a more capable agent for virtual worlds…and an AI safety report card doesn’t provide much reassurance.

Hello. 2025 was supposed to be the year of AI agents. But as the year draws to a close, it is clear such prognostications from tech vendors were overly optimistic. Yes, some companies have started to use AI agents. But most are not yet doing so, especially not in company-wide deployments.

A McKinsey “State of AI” survey from last month found that a majority of businesses had yet to begin using AI agents, while 40% said they were experimenting. Less than a quarter said they had deployed AI agents at scale in at least one use case; and when the consulting firm asked people about whether they were using AI in specific functions, such as marketing and sales or human resources, the results were even worse. No more than 10% of survey respondents said they had AI agents “fully scaled” or were “in the process of scaling” in any of these areas. The one function with the most usage of scaled agents was IT (where agents are often used to automatically resolve service tickets or install software for employees), and even here only 2% reported having agents “fully scaled,” with an additional 8% saying they were “scaling.”

A big part of the problem is that designing workflows for AI agents that will enable them to produce reliable results turns out to be difficult. Even the most capable of today’s AI models sit on a strange boundary—capable of doing certain tasks in a workflow as well as humans, but unable to do others. Complex tasks that involve gathering data from multiple sources and using software tools over many steps represent a particular challenge. The longer the workflow, the more risk that an error in one of the early steps in a process will compound, resulting in a failed outcome. Plus, the most capable AI models can be expensive to use at scale, especially if the workflow involves the agent having to do a lot of planning and reasoning.

Many firms have sought to solve these problems by designing “multi-agent workflows,” where different agents are spun up, with each assigned just one discrete step in the workflow, including sometimes using one agent to check the work of another agent. This can improve performance, but it too can wind up being expensive—sometimes too expensive to make the workflow worth automating.

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