RoadtoNext

Markettrends

AIdealmakingremainsresilientevenamiddownturn

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Infographic

AregroupingphasemaybeinstoreforAI

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Spotlight

KeysectorsseeincreasingapplicationofAIsolutions

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Executivesummary

Artificialintelligence&machine

learning(AI&ML)lookpoisedto

enteraneweraofproliferation

whilefutureinnovationis

necessary

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Dataprovidedby

2

RoadtoNext|Executivesummary

Executivesummary

Themes&keyfindingsforthisissue:

?DealmakingattheexpansionstageinAI&MLhasslowedafterarecord940transactionswerecompletedin2022,withfinancingmetricsrevealingacoolinglikelyinducedbyaretrenchingamidcompetitivedynamicsinthesector.

?BroadercautionaroundslowinggrowthwithintheUSandtighteningmonetarypolicyalsocontinuetoweighonprivateinvestment.

?NewtechnicalapproachesarewaitingtobeexploredinAIasbenchmarksofperformanceformanycurrentmodelsseemtobelevelingout.1

?Trust,transparency,andnovelapplicabilitybuiltatop

foundational,uniquedatasetswillbekeytothenextwaveofAIinnovation.

DeloitteandPitchBookhavecollaboratedtoproduceauniquemethodologyfortheRoadtoNextseriestobetteranalyzeanewsegmentofcompaniesthatemerged inthe2010s.Dubbingthissegmentthe“expansionstage,”themethodologyuses investmentdatarestrictedtolate-stageVC,PEgrowth,andprivatecorporatefinancing.Inaddition,companiesmuststillbeprivatelyheldbytheaforementioned investmentfirms.

HeatherGates

Audit&AssurancePrivateGrowthLeaderDeloitte&ToucheLLP

Withmorethan30yearsoffinancialservicesexperience,HeatherservesasthenationalPrivateGrowthLeader,withoversightoftheDeloittePrivate,EmergingGrowthCompany,andPrivateEquitybusinesseswithinAudit&Assurance.

RyanHittner

AI&AlgorithmicAssuranceLeaderDeloitte&ToucheLLP

Withover17yearsofriskmanagementexperiencerelatedtomodelsandadvancedalgorithms,RyanleadstheAI&AlgorithmicAssuranceBusiness,whichfocusesonadvisingclientstoresponsiblybuildAItrust.

“Perhapsoneofthebiggestcurrentfactorsinthe

AI&MLlandscapeischangemanagementfromthehumanperspective.ConsiderationssuchaswhereistransparencyintoAIdecision-makingprocessescritical,towhatdegreewillexecutivesbecomfortableoutsourcingwhichtasks,andhowmuchwillthatvaryacrossfunctionswillbenecessary.Manydecisionsstillneedtobemadetoformstandardizedapproaches.”

HeatherGates

Audit&AssurancePrivateGrowthLeader,Deloitte&ToucheLLP

1:“ArtificialIntelligenceIndexReport2023,”AIIndexSteeringCommittee,InstituteforHuman-CenteredAI,Stanford

University,NestorMaslej,etal.,April2023.

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RoadtoNext|Markettrends

Markettrends

AI&MLdealmakingslows,butremainsresilient

E

xpansion-stagedealmakinginAI&MLsoaredinthepastdecade.Evenwithaggregatedealvalues

temperedbytheonsetofcautionatbestandfearsatworstin2022,thetallyofcompletedtransactionshitanall-timehigh.Evenataslowedpacein2023thusfar,asquarterlycountsreveal,thisyearcouldstillplacethird-highestforexpansion-stagedealmakingtalliesonrecord.Thatputsthesegmentamongthefaster-growingarenasacrosstheentireexpansion-stageuniverse,butthisalsoillustratestheresilienceofAI&MLdealmakingevenwithsignificantheadwinds,whichcouldaffecttherateofinvestmentevenmoreinthefuture.

Dealmakingmetricspaint

apictureofmaturingearly

movers,whilethetechnical

frontierneedstopush

Dealmakingmetricsprovidefurtherevidenceastothepacingandresilienceofthisinvestmentsurge.Afterapeakinrecentyears,themedianfinancingsizewithinthespacehasdeclinedtohealthyyetclosertohistoricalaveragesthusfarin2023.Thesignificantvolatilityinaveragefinancingsizes,however,speakstoclassichype-and-declinecyclesofinvestorenthusiasm.Additionally,earlyadoptionofeachsignificanttechnicaladvancementwithinAI&MLbyinitiallysuccessfulexpansion-stagecompanies,

thatthenraisedsignificantsums,contributedtorecentrecord

activity

Expansion-stagedeal

$350

$300

$250

$200

$150

$100

$50

$0

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

201520162017201820192020202120222023*

Dealvalue($B)Dealcount

Source:PitchBook|Geography:US|*AsofMarch31,2023

AI&MLexpansion-stagedealactivity

$50

$45

$40

$35

$30

$25

$20

$15

$10

$5

$0

1,000

900

800

700

600

500

400

300

200

100

0

201520162017201820192020202120222023*

Dealvalue($B)Dealcount

Source:PitchBook|Geography:US|*AsofMarch31,2023

investmentandskewinfinancingmetrics.Lookingatthesetrendsintandem,it’sclearthatrecentmarketvolatilityandconcernshavetakenatollonmediandealsizes.Itisalsolikelythatadvanceswithinthespaceitselfmayalreadybeaffectingdealmaking.Incumbents

aswellasfastermovershavealreadyseizeduponselectbusinessnichesandusecaseswithinAI&ML,garneringfundstodosointheburstoffinancingactivityinthepastfewyears,andnowareprecludingadditionalcompetition.

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RoadtoNext|Markettrends

Thistypicalmarketcyclealsoalignswiththebreakoutofmedianfinancingsizesbyventuredealtype,asthegrowthstagesawagreaterrisethanlate-stageVCinthepastfewyearsbuthasnowconvergedonceagain.Inthemeantime,theAI&MLenvironmenthasseenwidespreaddeploymentoflargelanguagelearningmodelsandothertoolsthathavedebutedawiderarrayofusecasesinbusinessandconsumerapplications.Valuationsmovedinlockstep.Analyzing

“TherehasbeenadistinctshiftintheAI&MLlandscapeinthepastsixto12monthswiththesurgeinAI-poweredtoolsformultiplegeneralusecasesbeingreleasedalongsidemorespecializedprograms.ThisisespeciallytrueofgenerativeAI.Akeyconsiderationstilltobedeterminedisthedegreetowhichtheycanbefullydeployedinrelativelyspecializedapplications.”

RyanHittner

AI&AlgorithmicAssuranceLeader,Deloitte&ToucheLLP

dealmakingbytype,mostAI&ML-focusedbusinesseshavenotyetmaturedtotheextentthatPEgrowthfundsoroutrightPEbuyoutshopshavebecomemoreactivebeyondatrickleofcompletedtransactionseachyear.

Competitionintensifiesin

multipleaspects

Thetechnicalunderpinningsof

AI&MLmodelsandapplicationsthemselveshelpcontextualizethesetrends.Computationalhurdles

andaccesstorelevant,higher-qualitydatacanbesurmounted,yetcompetitivemoatscanbedugaroundfirst-moveradvantageswithinbothofthosespaces.Theyarguablymayalreadyhave,withsignificantinvestmentsmadeindataaggregation,cleaning,andmassivecomputationalthroughput.Fine-tuningbettermodelsinnovelwaystocapitalizeonthepoweroffullycontextualmodelsordeployingmoreinnovationsacrossbias,interpretability,quality,

andfreshness—forexample,howtransformershavehelpedlargelanguagemodels—couldyieldspecializedapplicationsinthenearterm.Yetitisdifficulttosayhowlongsuchatechnicaladvantagecanlast,becauseoftheresourcesbeingdevotedtosuchresearchbycompetingcompanies.WithrecentmovesbytechgiantstoincorporateorlaunchtheirownAI&MLtoolsacrosscurrentproductandservicesuites,thepace,breadth,anddepthofcompetitionisintensifying.

MedianAI&MLexpansion-stagedealvalue($M)bytype

$80

$70

$60

$50

$40

$30

$20

$10

$0

$35.0

$11.6

$10.0

$8.7

201520162017201820192020202120222023*

Late-stageVCVenturegrowth

Source:PitchBook|Geography:US|*AsofMarch31,2023

Note:Samplesizesforventure-growthfiguresin2015,2017,and2023arebelown=30.

MedianAI&MLexpansion-stagepost-moneyvaluation($M)bytype

$1,200$1,000

$800

$600

$400

$200

$0

$585.0

$129.0

$88.5

$94.2

201820192020202120222023*

Late-stageVCVenturegrowth

Source:PitchBook|Geography:US|*AsofMarch31,2023

Note:2023samplesizesforventuregrowthfigureweren=5.

5

2015

2016

2017

2018

2019

2020

2021

2022

2023*

2015

2016

2017

2018

2019

2020

2021

2022

2023*

RoadtoNext|Markettrends

MedianandaverageAI&MLexpansion-stagedealvalue($M)

$70

$60

$50

$39.0

$40

$22.2

$10.0

$12.9

$30

$20

$10

$0201520162017201820192020202120222023*

MedianAverage

Source:PitchBook|Geography:US|*AsofMarch31,2023

“Astheriskspectrumintensifies,thereisstillunderstandablereluctancetodeployAItoolsinunmoderatedcapacitiesuntilthereisbettertransparencyintotherationalefordecisions.Itislikelythatasmodelsgetmoreadvancedandthevarietyanddepthofdatasetsusedfortrainingimprove,therewillbeabettersenseofwherethebestalignmentbetweenhumanandAIprocesseslies.”

HeatherGates

Audit&AssurancePrivateGrowthLeader,Deloitte&ToucheLLP

ShareofAI&MLexpansion-stagedealvaluebytype

100%90%80%70%60%50%40%30%20%10%0%

PEgrowth/expansion

Venture

growthLate-stageVC

Source:PitchBook|Geography:US|*AsofMarch31,2023

ShareofAI&MLexpansion-stagedealcountbytype

100%90%80%70%60%50%40%30%20%10%0%

PEgrowth/expansion

Venture

growthLate-stageVC

Source:PitchBook|Geography:US|*AsofMarch31,2023

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RoadtoNext|Infographic

Highlightsacross

investmenttrends

QuarterlyAI&MLexpansion-stagedealactivity

$16

$14

$12

$10

$8

$6

$4

$2

$0

350

300

250

200

150

100

50

0

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3

2015

2016

2017

TheAI&MLspaceregroupsfornextphaseofinnovation

T

heunveilingofrecentadvancesinAI&MLtoolsandtheirsuddenproliferationintoubiquityhasreinvigorateddiscussionaroundtheirtruepower,anynecessaryregulation,andmore.DealmakinginAI&MLattheexpansionstagepredictedthissurgeofattention,withrecordsfordealvalueandcountsetinthelastfewyears.Although2023thusfarhasseenaslowdowninthepaceofinvestmentgivensoberingmacroeconomictrendsingrowthandmarketvolatility,overalltheyearispacingforresilienttallies.

However,therateoftechnical

achievementswithinthespace

Q4Q1Q2Q3Q4Q1

2018

Dealvalue($B)

Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1

20192020202120222023*

Dealcount

Source:PitchBook|Geography:US|*AsofMarch31,2023

hascreatedtheconditionsforpotentialvariabilityindealmakingandmarketpenetration.Recentprominentplayersinthespacehaveremarkedthatlargemodelswithbillionsofparametersmayhavereachedapinnacleofcapability,andfurtherinnovationsarerequired.Thus,dealmakingmaybecoolingduetotheonsetofaphaseofnecessaryingenuityincreatingnovelapproachestoleveragingdataorentirelynewalgorithmsthatdon’trelyasmuchonrawcomputingpower.

Allthebusinessesthatraisedcapitaltoexpandinthepastfewyearsarenowfocusingondeploymentanddevelopment,whileinvestorsarealsotakingstockofbarrierstoentryandcompetitionfromtech

giantsintroducingtheirowntools.Asaresult,themarketenvironmentmaystaycalmforsometime,butitremainstobeseenwhatthenextwaveofinnovationmayunveil.Intheinterim,however,deploymentofexistingtoolsandmodelsacrossagreaterarrayofapplicationsandusecasesismovingswiftly.

UnforeseenhurdlesmaypreventbroaderadoptioninsomesectorsuntilnewAI&MLtoolsarecreatedfortheiruniquebusinessneeds.Butinothers,anaccelerationofchangeandnewfundamentalsarelikelytooccur.Forexample,stockphotographymarketplacedynamicsarenowconsiderablyshiftedbytheabilitiesofgenerativeAI.

7

2015

2016

2017

2018

2019

2020

2021

2022

2023*

2015

2016

2017

2018

2019

2020

2021

2022

2023*

RoadtoNext|Infographic

ShareofAI&MLexpansion-stagedealvaluebysizebucket

100%90%80%70%60%50%40%30%20%10%0%

$25M+$10M-$25M$5M-$10M$1M-$5M$500K-$1M<$500K

Source:PitchBook

|Geography:US|*AsofMarch31,2023

AI&MLexpansion-stagepost-money

valuation($M)dispersion

$200$180$160$140$120$100$80$60$40$20$0

201520162017201820192020202120222023*

Topandbottomquartilerange

TopdecileBottomdecileAverageMedian

Source:PitchBook|Geography:US|*AsofMarch31,2023

ShareofAI&MLexpansion-stagedealcountbysizebucket

100%90%80%70%60%50%40%30%20%10%0%

$25M+$10M-$25M$5M-$10M$1M-$5M$500K-$1M<$500K

Source:PitchBook

|Geography:US|*AsofMarch31,2023

“MultipleorganizationsarenowhavingteamstackletheapplicationsofgenerativeAIthatcouldbeusefulfortheirbusiness.ItappearsthatmostbusinessesareconsideringgenerativeAIforroughdraftorfirst-mileproblems,whichcanconsiderablyacceleratepreliminaryphasesofmanybusinesscycles.”

RyanHittner

AI&AlgorithmicAssuranceLeader,Deloitte&ToucheLLP

11.3%

940

$130B+

AI&MLexpansion-stage

2022setahigh-watermark

Since2017,wellover$130billion

activityhasfallenmuchless

forAI&MLexpansion-

inexpansion-stagedealvaluehas

thandealvalue,representing

stagedealcount,even

occurredinAI&ML.

over11percentofall

againstatumultuous

expansion-stagedealcount

thusfarrelativetonearly14

marketbackdrop.

percentin2022.

Allcallouts|Source:PitchBook|Geography:US

8

2015

2016

2017

2018

2019

2020

2021

2022

2023*

2015

2016

2017

2018

2019

2020

2021

2022

2023*

RoadtoNext|Markettrends

ShareofAI&MLexpansion-stageexitvaluebytype

100%90%80%70%60%50%40%30%20%10%0%

Secondary

liquidity

event

Public

listingBuyoutAcquisition

Source:PitchBook

|Geography:US|*AsofMarch31,2023

ShareofAI&MLexpansion-stageexitcountbytype

100%90%80%70%60%50%40%30%20%10%0%

Secondary

liquidity

event

Public

listingBuyoutAcquisition

Source:PitchBook

|Geography:US|*AsofMarch31,2023

AI&ML’snascencyleadsto

lumpinessinexits

Anycompetitionamidpubliclytradedtechgiantswithinadevelopingbutfast-growingsectorsuchasAI&MLcanalsoleadtoahigherrateofexitsbyexpansion-stagecompaniesinthatsamespace.Eitherincumbentsornewerentrantslooktoacquirenewtechnicalcapabilitiesorimproveuponexistingproductsandservicesviaacquisitionalinnovation,orsufficientlyrobustcompanieslooktogopublicthemselvestoenteranewstageofgrowthbytappingpubliccapitalmarkets.WithinAI&ML,therateofinnovationhasproceededsoquicklythatprivatelyheldexpansion-stageexitsbeganoccurringatasignificantrateonlysince2018began.

Outlieryearsbolsteredbya

remarkablybullishequities

environmentoccurredsince,

particularlyinaggregatesofannualexitvalueacrosspubliclistings.2021sawarecordpeakof161completed liquidityevents,withnearlyhalfoccurringviaoutrightacquisition,producinganaggregateexitvalueof$107billionthatjustbarelysurpassed2019’s$105.6billion.Suchheightsareunlikelytobereachedforatleasttheshortterm,giventhechilledpublicmarketclimate.“Anotherkeyconsiderationinthewakeofmanyexitsisjusthowlongthetransformationprocesscantakeforanorganizationwhenitcomestoadoptingandimplementingnew,revolutionarytoolsthatreshapemanylegacyprocesses.Thatcantakesometime,whichmightimpacttheacquiringorganization’sappetiteformakingfurtherdeals,”saysRyanHittner,AI&AlgorithmicAssuranceLeader,Deloitte&ToucheLLP.

Ingeneral,exitsaredownsubstantiallyin2023,althoughaquarter’sworthofdatadoesnot

necessarilyindicatehowtherestoftheyearmayturnout.Themajorityofexitsthathaveoccurredwereviaacquisitions,whichcouldbeasignoftheshorttomediumtermfuture.Becauseequitiesmarketsremainvolatile,companiesarenervousaboutgoingpublicandenduringsignificantupsanddownsintheirmarketpricing.Thus,itislikelierthatmostAI&ML-focusedexpansion-stagecompaniesarestilloptingtoremainprivateandworkonsolidifyingtheirbusinesslines,oreveninsomecasesprioritizingdurablerevenuestreams.AsHeatherGates,Audit&AssurancePrivateGrowthLeader,Deloitte&ToucheLLP,notes:“Inthecurrentclimate,evenifthecompany’stechisontheextremecuttingedgeofatopicalindustrysuchasAI&ML,businessesmayneedtoproveouttheirgrowthprospects.”

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RoadtoNext|Markettrends

AI&MLexpansion-stageexitactivity

$120

$100

$80

$60

$40

$20

$0

180

160

140

120

100

80

60

40

20

0

201520162017201820192020202120222023*

Exitvalue($B)Exitcount

Source:PitchBook|Geography:US|*AsofMarch31,2023

Willbuyersgrowmoreacquisitiveinthenearfuture?

Whilemanymajortechcompaniesorothertech-adjacentbusinesseslookingtoexpandtheircapabilitiesdonothavethebalancesheetstheyusedto,somestillhavesignificantcashreservesandhealthierfinancialsthanmanyoftheirpeers.EspeciallyasAI&MLusecasescontinuetobeprovenoutinmultiplesegments,therecouldbeasteadyflowofacquisitionstokeepprovidingliquiditywithinthespaceascompetitorsjockeyforanadvantage.ThisisespeciallylikelytobethecaseshouldthefrontierofAIprogressintonicheandnovelapproachesratherthancapital-intensivecomputationrequirements,asnotedabove.Hittnerobserves:“Itseemslikelythatmoreandmorepretrainedmodelsforedgeusecaseswillcometomarket,whichcouldultimatelyrenderintegrationabiteasier.”O(jiān)ften,buyingbrand-newcapabilitiesoutrightischeaperthandevelopingin-house,especiallywhenitcomes

toprovensolutionsthatarerampingup—asisthecaseforexpansion-stagecompanies.ItremainstobeseenifthiswilloccuroncebroaderconcernsaroundoveralleconomichealthandregulatoryapproachestoAIaresettledwithmorecertainty.

Anymoderationinprivatevaluationscouldalsoaidaramp-upinacquisitions.Aspublicequitiesremainmutedorvolatile,publiccomparables’downgradescouldeventuallyaffectthevaluationsofprivatelyheldcompanies.Insomeexamples,prominentprivatecompanieshavealreadyseensubstantivemarkdowns.Althoughthistypeofmarketshift

takessometimetofullyspread,itcouldeventuallyalsorendersomecompaniesasmoreattractivetargetsformergersiftheirvaluationsdeclineyetunderlyingbusinessfundamentalsremainrelativelyhealthy.

ForAI&MLbusinessesinparticular,itmaybetooearlyformany

enterprisestoconfidentlyknowwhichcapabilitiestheymayneedtoacquireratherthanconstructthemselves,butitisincreasinglylikelythatownershipandusageofauniquedatasettowhichbespokemodelscanbeappliedwillbeacompetitiveadvantage.Thus,aneventualconfluencebetweennormalmarkettrendsintheeventofadownturnandthedevelopmentofAI&ML-poweredmodelsplusuniquedatasetsislikelytooccuratsomepoint,therebyresultinginacquisitions,butitisn’tacertainty.

“Acquisitionasthepotential

pathtowardAI&MLcapabilitiescouldbeviableforsome,butforothers,becausemanyenterprises’competitiveedgecomesfromtheirunique,proprietarydatasetsandtheprocessesandpeopletheyhaveputinplacetobuildoutcapabilities,mayinvestinsteadinutilizingageneralfoundationalAIprogram,”saysHeatherGates,Audit&AssurancePrivateGrowthLeader,Deloitte&

ToucheLLP.

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RoadtoNext|Spotlight

Spotlight:AI&MLcontinuestopenetratemultiplesectors,buthurdlesremain

M

odelsthatareAI-poweredhavebeenaroundlongenoughtopenetratemultiplesectors,butlookingatexpansion-stagedealmakingasaproxyforadoptionandimplementation,thereremainvaryinglevelsofinroadsacrosssegments.Inthissection,threekeyareasarehighlightedamongthemanythatarebeginningtoseebuddingusageofAI&MLtools.Ingeneral,however,thetruismsthathaveemergedfromlessonsacrossAI&MLtoolsremain:First,thequalityandrelevanceoftrainingdatasetsarearguablybecomingevenmorechallengingtoverify;second,transparencyandconfidentialityofinformationutilizedtodeducepatternsremainsignificantconcerns;andthird,thelackofclarityintothedecision-makingprocessbyAIprogramscanattimesmakeitchallengingtoimprovethemiftheymakeerrors,asit’snotalwaysclearwhetheradditionaldata,moretraining,moreparameters,oranovelapproacharenecessary.

Healthcareorganizationscontinuetoinvestinhealthtechastheyseevalueinreducingavastswathofmanualtasks

Expansion-stagedealmakinghitarecordin2022at181dealsacross$5.8billioninaggregatevalue.Althoughthepaceoftransactionclosingsslowedinthefirstquarterof2023,thisarenaisseeingpromisingadoption.Asmoreapproachestoaddresspatientconfidentialityand

privacyconcernsarebeingspunupinresponsetocurrenthealthcareregulations,thereremainsignificantadvantagesindeployingAI-drivensolutionstoexpediteprocessingandpatternrecognitioninthemassivestreamsofdatageneratedbythehealthcaresector.Evenwithouttakingtheaidingofdiagnosesintoaccount,AImodelscanconnectandstreamlinepatientprocessinganddatacleaning,thusproducingdocumentationmorereadilyand

withoutconcernsofhumanerrorsbyoverworkedstaff.However,themostpromisingapplicationsofAIwithinhealthcareservicesmorebroadlyseemtobeconcentratinginmakingpractitionersmoreefficientandfunctionaloverall,thusaidinginquickeningdiagnosesbasedondatasetsthatareimprovinginanonymity,depth,andbreadth.Thishelpsremovemultiplekindsofbiases,aswellasdecreasingrisks,asnotedinapiecebytheDeloitteAIInstitute.2

activity

AI&MLinhealthcareexpansion-stagedeal

$8

$7

$6

$5

$4

$3

$2

$1

$0

200

180

160

140

120

100

80

60

40

20

0

201520162017201820192020202120222023*

Dealvalue($B)Dealcount

Source:PitchBook|Geography:US|*AsofMarch31,2023

“MuchofthecurrentAIlandscapeconsistsofdeploymentinlower-riskareasacrossindustries,suchasfrauddetectionatbanksorprocessingofreportsforcompliance.Pairedwithhumanjudgment,therecanbesignificantpositivebooststoproductivityandexpeditingofmoretedioustasksforpeople.”

RyanHittner

AI&AlgorithmicAssuranceLeader,Deloitte&ToucheLLP

2:“ProactiveRiskManagementinGenerativeAI,”DeloitteAIInstitute,BeenaAmmanath,etal.,2023.

11

RoadtoNext|Spotlight

“Ideally,ablendofAIsolutionsandhumanjudgmentcouldhelpimproveoverallquality

ofdecision-making,whichinmanyfieldsbutparticularlyhealthcarecouldaidinswiftertreatmentsandimprovedoutcomes.”

HeatherGates

Audit&AssurancePrivateGrowthLeader,Deloitte&ToucheLLP

Hypotheticalmodelingandtestingremainalluringasavaluepropositioninbiotech

Someofthekeyadvantagesinbiotech-focusedAIsolutionsalsoresidewithinexpediteddeliveryofactionableinsightsfrommassivedatasets.Asemi-autonomousmodeldeployedonthevastamountsofdatageneratedinclinicaltrialscansignificantlyspeedupoverallprocesses—asevidencedinDeloitte’sConvergeHEALTHCognitiveSparkforClinicalsolution,3forexample,whichtacklesthemosttime-consuming,repetitiveworkflowswithintrialmanagementandautomatesasmuchaspossiblewithintheguidelinesnecessaryperregulationsthatwerecodifiedforthespecificproductsuite.Thisis

justoneexampleofhowthesetoolscouldhelpstreamlinepathwaystodrugdevelopment,thoughmoreadvancedtechniquessuchashypotheticalpatientpopulationresponsesbasedoncross-samplingandcreationoftestrecordsbasedonactualdataremainapotentiality,withdrug-proteininteractionsalreadywidelybeinganalyzedwithAI-drivenaids.4AI-drivenproteinmodeling,ofcourse,isalreadyahugeboontobiochemistryplayersacrosstheentirefield.

Cybersecurityseessmallthoughsteadyflowofdealmakingasincumbencyremainsdaunting

GiventheonsetofusageofAImodelsbycyberattackers,itisnearlyinevitablethatorganizationswill

increasetheirinvestmentinAI-driventoolstocatalog,classify,andcombatthevarietyofattacksthatcanoccur.Beyondaidingwithscaleinknowledgeofpotentialthreats,AImodelsarebeingdevelopedtobettermanageinventoryofendpointsandassets,thusidentifyingpotentialweaknesses,suchasthetypesofconnectionsandnetworksreliantonthepersonaldevicesissuedtoemployeesand

volumeofpublicnetworksaccessedthatcouldrequirenecessaryscreenings.Dealmakingwithinthisarenahasbeenasmallerthoughgrowingsubsetattheexpansionstageduetoitsnascencyandthedegreeofc