What’s Next?
While recent central bank rate reductions will of course change the spending outlook for the sector, the question remains: when it does return, where will it go?
We think much of it will be around AI. Our most recent
BFSI buyer behavior study found that
leveraging AI and data analytics to unlock value is a top priority for BFSI leaders. However, to do this, financial services firms need an operating model and a data architecture to support AI use cases
most likely to create value in 2025.
The great news is that BFSI firms are using the IT services sector to support their AI initiatives. Of BFSI firms that are using a service provider to support their AI initiatives, nearly
50% are using them for data analysis and / or data management (tagging, indexing, warehousing, etc.), in addition to more traditional roles like infrastructure support or application management.
Looking forward to 2025 — before we see a rebound in large deal activity, we expect to see an increase in discretionary work in BFSI, much of it focused on AI.
I hope you can join us on the Q3 Index call on October 15th where we’ll dive deeper into what’s happening in BFSI. Register
here.