A new survey by DeepL, a global leader in Language AI, highlights the significant operational challenges faced by US enterprises due to language barriers. The survey, which questioned over 1,000 business decision-makers at US companies with over 500 employees, reveals that language barriers hinder global expansion, damage brand reputation, and increase operational costs. The findings underscore the importance of adopting AI-driven language solutions to overcome these challenges as businesses expand globally.
- The Extent of Language Barriers in US Enterprises
- Widespread Challenges:
- 62% of leaders report encountering language-related challenges at least weekly, and 79% face them monthly.
- 61% of executives admit they have underestimated the impact of language barriers on their operations, particularly in larger companies (67% for companies with 1,000-1,499 employees).
- Consequences for Global Expansion:
- 61% of business leaders say language challenges have delayed or limited their global expansion plans.
- As companies scale, 62% anticipate these barriers will intensify.
- Widespread Challenges:
- The Impact on Operations and Costs
- Daily Operational Disruptions:
- 69% of leaders report unforeseen challenges in daily operations, especially in IT (54%), customer service (39%), and internal collaboration (26%).
- Financial and Reputational Impact:
- 38% of companies experience increased operational costs, while 36% report damage to their brand reputation due to language barriers.
- 31% of businesses face compliance issues because of language misunderstandings.
- Nearly 40% of companies report language barriers cost them between $500,000 and $2 million annually.
- Daily Operational Disruptions:
- Adoption of Language AI Solutions
- The Rise of Language AI:
- 59% of enterprises are already utilizing AI-driven language solutions to address these challenges.
- 96% of companies plan to use AI tools to mitigate language barriers, with 75% adopting them within the next year.
- AI as a Business Imperative:
- 95% of executives believe that AI-powered language tools will be critical for global operations in the next five years.
- The Rise of Language AI:
- AI Adoption Trends and Preferences
- Growing Role of AI Across Enterprises:
- 93% of enterprises are now using AI across various business functions, with 67% adopting it in multiple areas.
- Preference for Specialized AI Tools:
- 52% of leaders prefer specialized AI tools over general-purpose solutions, driven by better quality, time savings, and ease of integration.
- Growing Role of AI Across Enterprises:
- DeepL’s Role in Addressing Language Barriers
- DeepL’s Global Reach:
- DeepL is the preferred Language AI platform for over 200,000 businesses, including major players like Softbank, Mazda, and Panasonic Connect.
- The company continues to expand its customer network, offering AI solutions that enhance multilingual communication for enterprises worldwide.
- DeepL’s Global Reach:
Language barriers remain a significant challenge for US enterprises, especially as they look to expand globally. DeepL’s research highlights the widespread impact on operations, costs, and brand reputation. With businesses increasingly adopting AI-driven language solutions, such as those offered by DeepL, companies can streamline communication, reduce inefficiencies, and position themselves for success in the global market.