Susan Jacek
The urgency for companies to leverage AI effectively has never been higher, according to PwC’s 2024 Global Investor Survey. A staggering 73% of investors believe it’s crucial for businesses to scale their AI solutions., with many anticipating productivity boosts and revenue growth from these technologies within the next year. Particularly, 66% of investors expect AI to enhance productivity, while 63% foresee increases in revenue, and 62% hope for improved profitability.
The survey, taking insights from 345 investors and analysts across 24 countries, highlights that technological advancements stand as the primary agent of change for businesses. This places it ahead of pressures like government regulation and shifting customer preferences. Interestingly, investors see AI not as a threat to employment but as a companion to workforce development. A significant 74% advocate for upskilling employees, and a third foresee AI-driven increases in workforce numbers.
Furthermore, despite the optimism, concerns over cyber threats and geopolitical tensions persist as top investor concerns. As businesses navigate these issues, their crisis management capabilities become increasingly pivotal in investment decisions. An overwhelming 86% of investors regard this ability as vital.
Climate change remains a critical focus. More investors expect companies to face climate-related threats, with 75% willing to bolster investments in businesses pursuing climate action. The call for embedding sustainability directly into corporate strategies echoes strongly again this year. While progress is steady, there remains skepticism about the reliability of corporate sustainability reports, prompting calls for detailed and verifiable information akin to financial audits.
Why Investors Are Betting Big on AI in 2024: A Game-Changer for Business Success
In a recent revelation from PwC’s 2024 Global Investor Survey, the focus on artificial intelligence (AI) as a driver for business growth has reached unprecedented levels. With 73% of investors considering the scaling of AI solutions crucial, there’s a clear signal that the time is now for companies to embrace and integrate these technologies. Investors are not only hopeful for potential productivity enhancements—with 66% anticipating such improvements—but they also expect AI initiatives to unlock new revenue streams, as predicted by 63% of the surveyed investors.
The survey, which gathered insights from 345 investors and analysts from 24 countries, underscores technology as the most potent catalyst for change within businesses, surpassing challenges from governmental regulations and evolving consumer preferences. Notably, investors perceive AI as a developmental ally rather than a job threat, with 74% advocating for robust employee upskilling programs to complement AI integration. Furthermore, a third of these investors predict a rise in workforce numbers driven by AI-related innovations.
Amid this enthusiasm, concerns such as cybersecurity and geopolitical instability continue to weigh on investor minds. The ability of a company to handle crises effectively plays a significant role in shaping investment strategies. A striking 86% of investors deem crisis management an essential capability for businesses to cultivate.
Sustainability remains a parallel concern with growing importance, as 75% of investors express readiness to increase investment in firms committed to climate action. The push for embedding sustainability into corporate frameworks is more prominent than ever, although the reliability of sustainability reports remains under scrutiny. Investors are calling for enhanced transparency and accountability, akin to financial reporting.
This evolving landscape presents profound implications for businesses, investors, and policymakers alike, highlighting a future where AI and sustainability are intertwined as cornerstones of corporate strategy and investor confidence.
For more insights into corporate and business strategies in an evolving tech landscape, visit PwC.
