In a recent talk on AI trends, I observed varying responses from business leaders, highlighting a spectrum of AI adoption that doesn't follow a linear progression. Three distinct states emerged: 1. **AI Confused**: These individuals recognize AI's importance but hesitate due to its complexity, resulting in an "AI lag" that can lead to significant competitive disadvantages. 2. **AI Confident**: They exhibit misplaced assurance in their understanding of AI's limitations, leading to incremental changes instead of transformative ones. This false confidence can result in investment in soon-to-be-obsolete strategies. 3. **AI Curious**: The most advantageous state, where individuals embrace ongoing learning and experimentation. They balance skepticism with openness, allowing for adaptability in a rapidly evolving AI landscape. To thrive in the AI ecosystem, businesses should encourage curiosity, challenge assumptions regularly, and institutionalize learning to maintain competitive advantage, rather than aiming for a fixed mastery of AI.