3. Rising costs are influencing AI strategy
AI costs are no longer an afterthought. They are increasingly shaping strategic decisions about what technologies businesses adopt and how quickly they expand deployments.
KPMG’s Q2 Global AI Pulse survey found that access to lower-cost, high-performance AI models is now one of the fastest-growing influences on AI strategy. Concerns about energy use, sustainability and broader economic conditions are also becoming more important factors in decision-making.
Notably, 49% of organizations say they have delayed, paused or scaled back AI agent deployments because expected costs began to outweigh anticipated benefits. Around a quarter report narrowing deployments, while a similar proportion have delayed further rollout.
These decisions do not necessarily indicate declining confidence in AI. Instead, they suggest organizations are becoming more selective, focusing investment on use cases where business value appears strongest.