KPMG US tech report: Technology and telecommunications

Download PDF

Technology and telecommunication organizations are investing heavily in technology transformation, and they’re already seeing returns. But future gains will depend on thinking more radically about their operating models. That means moving from using AI to automate existing use cases to deploying it to gain a 360-degree view of their organization.

According to the KPMG US Technology survey, technology and telecommunications leaders are in a race to innovate, but hidden risks are holding them back. While 90% of technology and telecommunications organizations are prioritizing AI investment, only 25% are successfully deploying it at scale. Legacy systems and tech debt create barriers to innovation, preventing your AI ambitions from delivering true value.

When asked which of the following best describes their organization’s current level of AI adoption, tech and telecom respondents executives indicated the following:

Three critical moves to drive an advantage

To accelerate value and enhance resilience, leaders must move beyond automating old processes and instead redesign their operating model with an AI-first mindset. A tech-enabled approach should focus on three critical actions:

Redesign the AI operating model: Shift from using AI in silos to gaining a horizontal, 360-degree view of the organization to scale innovation effectively

Address foundational weaknesses: Prioritize tackling tech debt and rationalizing fragmented data systems to mitigate risk and unlock future growth

Embed governance to enable innovation: Build robust, cross-functional AI governance with clear guardrails to manage risk while confidently pursuing valuable partnerships.