KPMG: AI Costs Surprising Businesses
A new KPMG report reveals that company executives are taken aback by AI usage expenses. Many did not anticipate the increase in costs.
A recent KPMG survey indicates that numerous businesses are facing unexpectedly high costs for artificial intelligence (AI). Usage-based pricing models, in particular, have surprised executives globally.
The report, based on interviews with over 2,145 business leaders, found that one-third of respondents admitted to having only a limited understanding of AI usage costs. This follows recent shifts by many AI service providers from flat monthly fees to usage-based models.
According to Rob Fisher, global head of advisory at KPMG, AI has become as much a financial management priority as a technological one. "The real risk isn’t investing in AI, but doing so without cost visibility and an understanding of the economics of AI," Fisher stated. He emphasized that organizations with cost visibility and strong oversight are those translating AI investments into measurable value.
Many companies also haven't prepared the necessary capabilities to forecast, monitor, and manage AI spending. The report highlights examples such as Uber, which depleted its entire 2026 AI budget in four months and subsequently had to cap employee usage. Another unnamed company reportedly spent $500 million on AI in a single month.
AI service providers, including OpenAI, have acknowledged rising costs but have not indicated imminent changes to their pricing. Competition and demand continue to drive prices, necessitating more rigorous cost tracking and budgeting by businesses.