CEO revenue confidence hits five-year low: PwC survey

There was a sharp divide between those already seeing benefits from AI adoption and those who did not

[DAVOS, Switzerland] Only three in 10 chief executives are confident in their companies’ revenue growth prospects over the next year, the lowest level in five years, according to a global survey by professional services group PwC released on Monday.

The annual survey of over 4,000 CEOs in 95 countries and territories late last year found them grappling with uncertainty over global political developments, increased cyber threats and what technological change meant for their business.

One in five CEOs said their companies were highly exposed to losses from trade tariffs and one third cited cyber risk as a major threat. A greater share - 42 per cent - were worried about what the pace of technological change meant for their companies.

“The biggest question on CEOs’ minds is whether they are transforming fast enough to keep pace with technological change, including artificial intelligence,” the survey concluded.

The survey revealed a sharp divide between those already seeing benefits from AI adoption and those not: while 56 per cent said they had seen no financial benefit to date, 33 per cent reported gains in either costs or revenue, while the remainder said AI had delivered both cost and revenue wins.

PwC said separate analysis showed that those companies which were applying AI widely to products, services and customer experiences were benefiting the most, contrasting that with the lesser benefit seen by those still experimenting with it.

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“It (AI) is working and it is here to stay. AI is now a must for companies around the world to adopt - the question is how,” PwC Global Chairman Mohamed Kande told a news conference on the sidelines of World Economic Forum in Davos. REUTERS

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