From Financial Modeling Prep: 2025-02-23 05:40:29

The IT services sector is evolving with the adoption of generative AI (Gen AI) to boost productivity. IT service providers face the challenge of balancing innovation with practical implementation to reap cost savings and efficiency gains.

AI-driven efficiencies are projected to result in cost savings for clients, with IT services firms retaining only 10-15% of productivity gains. Companies like Accenture and Deloitte anticipate revenue growth from AI adoption, with Accenture reporting $500 million in Gen AI revenue and $1.2 billion in bookings for the November 2024 quarter.

Initially focused on large language models (LLMs), the Gen AI investment wave is now shifting towards smaller, industry-specific models (SLMs) tailored for enterprise applications. IT services firms adapting to this trend stand to benefit from long-term growth opportunities.

For a detailed financial analysis of major IT service firms such as Accenture, IBM, and Deloitte, explore the Key Metrics (TTM) API from Financial Modeling Prep for comprehensive insights and statement analysis.



Read more at Financial Modeling Prep:: IT Services at an Inflection Point: Generative AI …