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AI companies are setting impossibly high expectations through hyperbolic claims from CEOs like Sam Altman, Jensen Huang, and Dario Amodei, leading to widespread disappointment. Trust in AI is declining, with only 35% of US respondents trusting AI companies. Corporate adoption shows a 95% failure rate in generating measurable value, while technical issues like hallucinations (up to 82% in legal queries) plague real-world applications. The disconnect stems from executives overselling capabilities to maintain investor confidence despite unsustainable infrastructure costs and narrow paths to profitability. A more realistic approach is needed: treating AI as a statistical prediction engine, starting with small-scale implementations, and demanding transparency about limitations and failure rates.