KPMG has announced a strategic partnership with Google Cloud, pledging $100 million over the next four years to enhance its enterprise artificial intelligence (AI) capabilities. The investment aims to support the development of cutting-edge AI tools and workforce training initiatives while leveraging Google Cloud's advanced technologies.
Steve Chase, KPMG's Vice Chair of AI and Innovation, revealed that the majority of the funds will be allocated to internal projects, such as creating AI-powered solutions and upskilling employees to master these technologies. A portion of the funds will also go toward payments to Google for cloud services.
Chase emphasized that businesses are increasingly moving beyond experimental AI projects to full-scale implementation. "Professional services are undergoing the most significant transformation in their history," he stated, underscoring the accelerating demand for AI integration.
A recent KPMG survey of business leaders highlighted this trend, showing that 50% of respondents planned to invest $100 million in AI initiatives within the next year, while 20% expected to exceed $250 million.
KPMG's collaboration with Google Cloud has already shown strong results, with bookings for related services increasing tenfold over the past two years. The firm is also broadening its cloud ecosystem, having committed $2 billion in July 2023 to expand AI and cloud services in partnership with Microsoft.
Matt Renner, President of Revenue for Google Cloud, noted that partnerships with consulting firms are central to Google’s cloud growth strategy. The company’s recent quarterly earnings demonstrated the success of this approach, with cloud revenue surging by 35%.
"We foresee exponential growth as cloud providers like Amazon, Microsoft, and Google deepen their collaborations with professional services firms," Renner said.
While KPMG declined to disclose its total investment in Google Cloud services to date, Chase described this latest $100 million commitment as the firm's largest direct investment with Google Cloud so far. He hinted at future announcements for further investments in AI and cloud technologies.
This partnership signifies a pivotal moment for KPMG as it aims to lead the professional services sector into a new era defined by AI-driven innovation.
