(Reuters) - KPMG one of the world's largest accounting and consulting firms, KPMG said on Tuesday it will spend $2 billion on Artificial Intelligence (AI) and Cloud Services through an expanded partnership with Microsoft, closely following Accenture in betting on the latest technologies to weather a slowdown in advisory deals.
The accounting firm said it will incorporate AI into its core audit, tax and advisory services for clients as part of the five-year partnership.
Professional services firms face a slowdown in business as their customers downsize or hold off on consulting and transformation projects to save costs in a challenging macro economic environment.
The expanded partnership will help support KPMG's clients and 2,500 customers serviced jointly by KPMG and Microsoft.
With a vast global workforce of 265,000 employees spread across 143 countries and territories, this investment showcases the rapid adoption of AI technology on a grand scale.
The company's strategic decision stems from the growing demand among its clients for AI-driven solutions. Areas such as supply chain management and cybersecurity defense are now key areas where businesses are turning to AI for support.
Teaming up with Microsoft in a new partnership, KPMG plans to channel its investment into developing generative AI tools. The goal is to equip both its employees and clients with innovative AI solutions that will revolutionize traditional business practices.
For example, AI can help companies analyze market trends and sales data to optimize their product stocking, ensuring inventory meets customer demands. By analyzing historical data and identifying patterns, AI can provide valuable insights that may not be immediately apparent to human analysts.
Furthermore, in the realm of cybersecurity defense, generative AI can swiftly interpret complex data sets, offering rapid threat detection and response strategies.
While AI tools have been successfully implemented within KPMG's workforce in the US, including the use of generative AI chat tools developed in collaboration with OpenAI, the company assures that AI integration has not resulted in employee layoffs. Although KPMG had previously announced plans to reduce its US workforce by 5%, the decision was unrelated to AI implementation.
Both KPMG and Microsoft remain tight-lipped about specific details beyond their joint statement. However, this high-profile partnership speaks volumes about the transformative impact of AI and its integration into the corporate world.
-- Reuters
