KPMG to invest $2 billion in AI, cloud services

(Reuters) -KPMG said on Tuesday it will spend $2 billion on artificial intelligence and cloud services through an expanded partnership with Microsoft (NASDAQ:), closely following Accenture (NYSE:) in betting on the latest technologies to weather a slowdown in advisory deals.

The accounting firm said it will incorporate AI into its core audit, tax and advisory services for clients as part of the five-year partnership.

Professional services firms face a slowdown in business as their customers downsize or hold off on consulting and transformation projects to save costs in a challenging macro economic environment.

The expanded partnership will help support KPMG’s clients and 2,500 customers serviced jointly by KPMG and Microsoft.