KPMG Survey Finds 29% of Executives Don't Understand AI Costs as Usage Fees Rise
Updated
Updated · Futurism · Jul 8
KPMG Survey Finds 29% of Executives Don't Understand AI Costs as Usage Fees Rise
1 articles · Updated · Futurism · Jul 8
Summary
2,145 senior executives surveyed across 20 countries showed widespread confusion over AI spending, with 29% saying they do not know where rising costs are coming from.
Usage-based pricing is replacing flatter contract models as computing costs climb, leaving many companies struggling to forecast, monitor and control AI budgets.
A third of executives said their limited grasp of AI economics is already hindering workplace deployment, suggesting cost management is becoming a practical barrier to broader adoption.
The findings point to a gap between corporate enthusiasm for AI and the operational planning needed to use it productively as vendors pull back on subsidized pricing.
With AI's sticker shock and low ROI, are companies just paying for expensive hype?
As AI freezes entry-level hiring, is the next generation being locked out of future careers?
AI’s Hidden Costs: Why 58% of Enterprises Struggle with ROI and Financial Visibility in 2026
Overview
The rapid acceleration of AI adoption across industries is creating a new wave of operational complexities, as organizations pour substantial resources into AI initiatives but struggle with hidden costs, limited visibility, and unclear returns on investment. This widespread investment leads to a complex cost landscape that many businesses are ill-equipped to navigate. The sheer volume of AI projects makes it difficult to track true financial outlays and benefits, resulting in unforeseen financial burdens. As a result, businesses face an urgent challenge to harness AI’s potential while maintaining fiscal responsibility and achieving measurable value.