KPMG survey shows executives believe AI's hype is excessive but its long-term potential is underrated. Learn about investment trends, workforce changes, and security concerns.
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Consulting firm KPMG surveyed top executives at major U.S. corporations to gauge business perspectives on artificial intelligence development. While most respondents believe generative AI has recently received excessive hype, they also think its long-term potential may be underrated. Senior managers expect the technology's real impact to become apparent within the next 5-10 years.
The survey, conducted from late January through mid-February, involved leaders from approximately one hundred large companies. Discussions covered AI implementation, personnel policies, and economic outlooks. Tim Walsh, head of KPMG's U.S. division, noted that corporate enthusiasm for practical AI applications is growing, with many organizations moving from pilot projects to full-scale deployment.
Despite mixed assessments of AI's prospects, companies continue investing heavily. Nearly 80% of executives stated they will allocate at least 5% of their investment budgets to AI-related projects in 2026. At the same time, about two-thirds are increasing cybersecurity spending, recognizing that new technologies also elevate risks to data and corporate systems.
Employee training receives particular focus. Around 60% of leaders plan to dedicate significant budget portions to developing staff AI skills. However, some companies still anticipate workforce reductions: roughly one-fifth of executives believe certain jobs may disappear in coming years. In contrast, about half of survey participants expect AI usage to actually expand their workforce.
Security concerns weigh heavily on executives. Nearly 90% cited data privacy risks and AI-enhanced phishing threats as major worries. Additionally, many companies fear cybersecurity specialist shortages and plan to address this through training existing employees.
Despite economic uncertainty and political risks, businesses remain active in investment and deal-making. About two-thirds of CEOs said their companies plan to aggressively pursue mergers and acquisitions in 2026. This indicates that large corporations continue seeking growth opportunities while adapting to a rapidly evolving technological landscape.