2024回溯过往锚定未来：大型科技公司如何推进人工智能愿景研究报告

SEPTEMBER2024

SQUEEZINGTHEPAST

TOBETONTHEFUTURE

Howbigtechis

advancingAIambitions

Lastyear,AlixPartnersreleaseditsinauguralTechSectorGrowthvs.ProfitabilityStudy,'

TheGreatRebalancingAct

,'which

surveyednearly150technologyexecutivesinNorthAmericatostudyhowindustryleadersareconfrontingthegrowthversusprofitabilityconundrum.

Thisyear,weexpandedourstudytoincludeinsightsfromnearly350techexecutivesacrossbothNorthAmericaandEurope,theMiddleEast,andAfrica(EMEA).The2024surveydigsdeeper

intothestrategicinitiativesthattechcompaniesareprioritizinginresponsetouncertainmarketconditions.Itprovidesactionableinsightsacrosskeytopicsthatcanhelpindustryleadersmake

informeddecisionsinanever-evolvinglandscape.

Withtech'scloudyfuture—especiallyregardingtheevolutionofartificial

intelligence(AI)overthenext5to

10years—leadingplayersmust

experimentandmakecalculatedbetstofindcreativesolutionstogrow.

WhethertheybelieveAIwillbetransformativeismoot,

asthefearofmissingoutisfuelingloftyinvestmentstoavoidbeingleftbehind.Theseinvestmentscomeattheexpenseofotherstrategicinitiativesatatimewhentechcompaniesarealreadynavigatingahigh-interest-rate

environment,ongoingeffortstocourse-correctover-

hiringduringthepandemic,andadecelerationinthe

marketgrowthrate.FreeingupcapitalforAIandother

growthinitiativeswillfirstmeantrimmingexcesscosts

wherefeasibleacrossthebusiness—abetfortheindustrywewillwatchplayoutinyearstocome.

Wehaveidentifiedthreecriticalthemesfromourstudythatwillsignificantlyinfluencetechcompanies’strategicprioritiesfortheforeseeablefuture:

1

2

3

AIREQUIRESACONSIDERABLEINVESTMENT.

Despitelimitednear-termbenefits,companieswill

continuefundinginitiativesorriskgettingleftbehind.

GROWTHATALLCOSTSLOOKSTOBEGONE

FORGOOD.Instead,companieswillemphasize

sustainedprofitabilitytofacilitateinvestmentinfuturegrowthopportunities.

SHIFTINGDEMANDANDMARKETNEEDSareforcingarethinkofproductandgo-to-marketstrategies.

Tonavigatethisever-evolvinglandscape,weconclude

thisreportwithfivestrategicleversthattechnology

companiescanimplementtodaytoboosttheirefficiencyandprofitability.

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions2

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions3

TECHEXECSSAYAIISCRUCIALTOLONG-TERM

GROWTH,BUTINVESTORSAREGROWINGSKEPTICAL

WITHOUTSHORT-TERMRETURNONINVESTMENT(ROI)

ThepushtoimplementAIcapabilities,especiallygenerativeAI(GenAI),isrootedinthewidespreadbeliefthatitwillbeagame-changer—somethingwithwhichwegenerallyagree.

Accordingtooursurvey,AIisseenasthetopcatalystforthenextgenerationofgrowthandfutureprofitabilitygains.Whileonly22%ofexecutivesareraisinggrowthtargetsthisyearduetoAI-enabledproductsandfeatures,76%identifyAIasaprimarydriveroftheircompanies’long-termgrowth.Additionally,22%citedusingAIto

automateinternalprocessesasaprimarydriverofprofitabilitythisfiscalyear(figure1).

FIGURE1:WHATISDRIVINGGROWTHANDPROFITABILITYFORTECHCOMPANIESIN2024?

PercentofrespondentsinNorthAmericaandEMEA

TOPREASON54%OFTECHEXECSRAISEDPROFITABILITYTARGETSFORTHECURRENTFISCALYEAR

PROFITABILITYDRIVERS

22%

20%

21%

19%

9%

18%

6%

9%

5%

5%

Q:Whichofthefollowingbestdescribestheprimaryreasonyourcompanyraisedgrowthtargetsforthecurrentfiscalyear?N=152

Q:Whichofthefollowingbestdescribestheprimaryreasonyourcompanyraisedprofitabilitytargetsforthecurrentfiscalyear?N=186

UsingAItoautomateinternalprocesses

Favorableshiftinproductand/orservicesmix

Undermorepressurefrom

investorstoimproveefficiency

Expectedimprovementsfromcostmanagementmeasures

Optimizingaheadofacquisitionorsale

Inflationarypressureseasing

AI-enabledproductsandfeaturesexpectedtodrivegrowth

Winningshareinnewmarketsandgeographies

Strongdemandand/orcompanyinahigh-growthphase

Newproductsorcapabilityenhancements

Undermorepressurefrom

investorstoaccelerategrowthExecutedcost-cuttingand

reinvestingsavingsingrowthCashforinvestmentsmorereadilyavailable

Leadershipchanges

TOPREASON44%OFTECHEXECSRAISEDGROWTHTARGETSFORTHECURRENTFISCALYEAR

GROWTHDRIVERS

Priceincreases

VS

22%

11%

14%

5%

8%

4

4

3

3

7

8

9

2

2

6

6

5

5

1

1

Theabove,coupledwithincreasingcompetitivepressuretoleverageAI(orriskgettingleftbehind)and

customerexpectationsforintegratedcapabilities,isdrivingtechcompaniestofreeupcapitalandreducecostswherefeasibletoinvestheavilyinAI.

EquityanalystsbroadlybelievethatglobalAI-relatedcapitalexpenditures(capex)willsurpass$1trillioninthecomingyears,asmajortechcompaniesanticipatesignificantfuturereturnsontheirAIinvestments.Accordingtooursurvey,90%oftechexecutivesplantoboostcapexandresearchanddevelopment(R&D)investmentsinAIduringthenextyear,with54%expectingtoincreaseAIinvestmentbymorethan10%(figure2).

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions4

FIGURE2:SHAREOFRESPONDENTSTHATWILLINCREASECAPEXANDR&DINVESTMENTINAIDURINGTHENEXT12MONTHS,BYPERCENTINCREASEANDCOMPANYSIZE

PercentofrespondentsinNorthAmericaandEMEA

4%7%

4%

6%

8%

9%

2%

0%

Unsure

1%

10%

6%

Q:HowmuchdoyouanticipateyourcompanywillincreaseitsCAPEXand/orR&DinvestmentinAIoverthenext12months?N=346

$100-499M$500-999M$1-5B$5B+Totalsurveyed

9%

7%

6%

8%

9%

11%

8%

54%

Increase11-20%

35%

38%

90%

Increase1-10%

31%

Increase>30%

Increase21-30%

31%

35%

39%

36%

34%

35%

39%

16%

9%

8%

FIGURE3:WHICHAIUSECASESARETOPPRIORITIESFORTECHCOMPANIESTOIMPLEMENT?

PercentofrespondentsinNorthAmericaandEMEA

1EmbeddingcommercialAIsolutionsintocurrentofferings27%27%29%12%5%

Softwaredevelopmentand

AI-poweredcustomerservice

Workflowautomationacrossorg(e.g.,multiplefunctions)

marketingoptimization

16%29%30%17%8%

7

Back-officeautomation

8%

31%

39%

15%7%

8

Customerpricingoptimization

5%

28%

35%

20%

12%

9

Enterpriseplanningandforecasting

6%

22%

36%

22%

14%

10

Supplychainoptimization

6%

18%

34%

21%

21%

Automatinglegalprocesses(e.g.,contractreviews)

ToppriorityHighpriorityModeratepriorityLowpriorityNotapriority

Q:WhichofthefollowingpotentialAIusecasesare/willbethekeyarea(s)offocusforyourcompanytoimplement?N=346

6Frauddetectionandcybersecurity

engineeringproductivity

Sales&

39%

38%

34%

36%

36%

32%

38%

29%

29%

28%

12%

13%

13%

12%

16%

15%

17%

10%

14%

13%

4%

4%

8%

5%

5%

11

3

2

4

5

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions5

Although83%ofrespondentsprioritizeintegratingcommercialAIsolutionsintotheirofferings,internalusecasesareatthetopoftechexecutives’near-termagendasforimprovingandscalingoperations.

Accordingtooursurvey,57%oftechexecutivesprioritizetheuseofAItoautomateprocessesandworkflowsinthenext12months.AIrankshigherontheiragendasthananyotherperformanceimprovementleversurveyed(figure4).

FIGURE4:WHICHOFTHEFOLLOWINGOPERATIONALACTIVITIESWILLBETARGETEDAREASOFFOCUSFORPERFORMANCEIMPROVEMENTINTHENEXT12MONTHS?

PercentofrespondentsinNorthAmericaandEMEA

6

19%

oftechexecsarecarving-outorwinding-downnon-coreBUs

7

19%

oftechexecsarefocusedonimprovingworkingcapital

812%oftechexecutivesareinsourcingexternalcapabilities

Q:Whichofthefollowingoperationalactivitieswillbetargetedareasoffocusforperformanceimprovementoverthenext12months?N=346

431%oftechexecsarepursuingstrategicorbolt-onM&A

521%oftechexecsareincreasingoffshoringandoutsourcing

246%oftechexecsarereorganizingoperatingunitstoimproveefficiency

345%oftechexecsareoptimizinghowtheyserviceexistingcustomers

157%oftechexecsareusingAItoautomateworkflows

ThisprioritizationislargelydrivenbyAI’spotentialtostreamlineroutineprocesses,pavingthewayforsignificantoperationaladvances.However,fewquickwinsexist.EvenstraightforwardinternalAIapplicationshaveyetto

deliversubstantialimpactformostcompanies.

ThefundamentalchallengewithinvestinginAIinitiativesisthatreturnsarenoteasytomeasureand,forsome,mayneverevenmaterialize.Eachinitiativedemandsconsiderableefforttosecureinvestment,increasingthepressure

todomorewithlessacrosstheorganization,especiallywhenself-fundingisrequired.MajorgainsfromAIwillonlymaterializewhencoupledwithstructuralchangestooperatingmodels,whicharemuchhardertoexecute.

Todate,fewcompanieshavereportedrevenuesdirectlyattributedtothetechnology,raisingconcernamonginvestorsandWallStreetanalysts."Despiteitsexpensivepricetag,thetechnologyisnowherenearwhereit

needstobeinordertobeuseful,"saidGoldmanSachs'mostseniorstockanalystJimCovelloina

Junerepor

t."Overbuildingthingstheworlddoesn’thaveusefor,orisnotreadyfor,typicallyendsbadly."

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions6

Oursurveyrevealedthat29%oftechexecutivesworrythatproofsofconceptforAIusecasesarenotyetmatureenough,and26%worryaboutachievingsubstantialreturnsontheirAIinvestments(figure5).Theunknowns

forwhenandhowAIinvestmentswillturnintoprofitablerevenuestreamsmakebothoverinvestmentandunderinvestmentriskystrategies.

FIGURE5:WHATISDRIVINGUNCERTAINTYANDDOUBTSURROUNDINGAIUSEANDIMPLEMENTATION?

PercentofrespondentsinNorthAmericaandEMEA

1Dataprivacyandsecurity35%

2BalancingAIinvestmentwithothergrowth&R&Dinitiatives32%

3Usecasereadinessandscalability;Proofofconceptisnotmatureenoughyet29%

Datareadiness/qualityanddataarchitecture

ReturnonAIInvestment(ROI)

Talentacquisitionandupskillingcurrentworkforce

23%

8

PricingforAIsolutions(e.g.,productsandadd-onfeatures)

17%

9

Gaptooperationalizeandscalesuccessfully;ReachingtheMinimumViableProduct(MVP)

16%

10

Shiftsincompanycultureandchangemanagement

16%

11

Ethicalconsiderationsandgovernance

15%19%forEMEArespondentsvs.9%forNorthAmerica

12

End-to-endaccountabilityforAIsolutions(asrequiredbytheEU’s‘AIAct’)

15%

CopyrightInfringement

Q:WhatarethetopconcernssurroundingAIuse/implementationatyourcompanyandthepotentialimplications?N=346

Costofimplementation

26%

26%

23%

5%

13

7

6

4

5

ThegrowingpressuretoinnovateandleadinAImayalsocomeat

theexpenseofothercriticaltechnologiesandstrategicinitiatives

essentialtothecorebusiness.Whileitmaybenecessaryto

deprioritizeotherinitiatives,asubstantialreallocationoffundscouldintroducenewheadwinds,especiallyifresourcesbecomestrained

withoutinvestmentsyieldingnear-termreturns.Oursurveyfoundthat32%oftechexecsnowworryaboutbalancingAIinvestmentswith

othercriticalgrowthandR&Dinitiatives(figure5).

Ascompaniesaimtostrikethiscarefulbalancebetweencompetingpriorities,theyarealsonavigatingongoingeffortstocourse-

correctfromover-hiringduringthepandemic,ahigh-interest-rate

environment,andsignificantdecelerationinthemarketgrowthrate.Collectively,thesetrendsaredrivingtheindustrytomaintainitsfocusonprofitabilitytoenablefutureinvestmentsinbothAIandother

growthinitiatives.

AlixPartnersoffersa

perspectiveonthisbalance,

whichwedetailedinarecent

playbookonhowtorealize

valuefromAIinvestments

andinitiatives.

Tolearnmore,downloadour

'

PracticalAIforCEO

s'

playbook.

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions7

IS'GROWTHATALLCOSTS'GONEFORGOOD?

Abriefreminderofwhatweobservedinlastyear’sstudy:Aftermorethanadecadeofexplosivegrowth,the

technologysectorunderwentapivotalshiftfroma'growth-at-all-costs'mindsettoasharperfocusonprofitability

duringthe2022to2023period.Our2023surveyrevealedthat72%oftechexecutivesinNorthAmericaprioritized

profitabilitymorethanorequaltogrowth,upfrom56%intheprevious24months.Aperfectstormofinflation,higherinterestrates,reducedenterprisespending,andCOVID-19pandemicover-hiringdrovethistransition.Duetothese

macroeconomicuncertainties,companiesscrutinizedtechnologyexpendituresmoreclosely(whichreduceddemandforthetechsector)whiletherisingcostofcapitalputincreasingpressureonliquidity.Asaresult,techmultiples

droppedbynearly50%afteryearsofsteadygains,andtechcompanieswereforcedtoconfronttherealitythattheirrapidgrowthpatternsmightnotbesustainable.

Ourreportlastyearcenteredaroundourhypothesisthattechcompanieswouldneedtorethinktheirstrategic

prioritiesandoperationstosustainlong-termgrowthandeffectivelyrespondtofast-changingmarketconditions.Toachievethis,theywouldhavetostrikeandmaintainanoptimalbalancebetweengrowthandprofitability.

Oursurveythisyearfoundthatover70%oftechexecutivesprioritizeprofitabilityleversoverorequaltogrowthfor2024andthenext12months.Thisunderscoresthatonly30%areinpuregrowthmode.

Thisprofitabilitytrendhasremainedsteadyyear-over-year,whichcouldreflectanewnormalfortheindustry—onethatfavorssustainablegrowthoverrapidexpansion.

It’snosurprisethatlarger,morematureenterprisesmustplaceagreaterpremiumondemonstratingsustained

profitability.However,evenearly-stage,high-growthtechcompanies—whichhavetraditionallyprioritizedrapid

expansionaboveallelse—arenowmaintaininganequalfocusongrowthandprofitabilityaswell.

FIGURE6:HOWTECHEXECUTIVESBALANCEGROWTHVERSUSPROFITABILITY

PercentofrespondentsinNorthAmericaandEMEA

Early-stage

highgrowth

PRIORITIZEPROFITABILITYOVEROREQUALTOGROWTH

46%

54%

49%

PRIORITIZEGROWTHOVERPROFITABILITY

54%

46%

51%

Mid-stage

maturinggrowth

70%

75%

74%

30%

25%

26%

Later-stage

maturegrowth

77%

69%

71%

23%

31%

29%

Totalsurveyed

70%

71%

71%

30%

29%

29%

wPrevious12monthswCurrentwNext12months

Q:Whichofthefollowingbestrepresentsyourcompany’sprimaryfocusoverthepriortwelvemonths/current/nexttwelvemonths?N=346

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions8

Course-correctionfrompandemicover-hiringwillcontinue

Oneexplanationisthepainfullessonlearnedfromover-hiringduringthepandemic,whichcompaniesareeagernottorepeat.Thesurgeinhiringfrom2021to2022,whenmorethanonemillionjobswereaddedtothetechsector,

wasnotsustainable.Subsequentwavesoflayoffs—bothlastyearandthisyear—demonstratetheconsequencesofpoorlymanagedgrowthandunderscorethebroaderneedforcompaniestoensuretheyscaleefficiently.

Ourstudyfoundthat64%oftechcompaniesinbothNorthAmericaandEMEAexecutedsomeformofheadcountreductioninthepast12months,aslightdecreasefromthe72%inNorthAmericafoundbyoursurveylastyear.Amongthosethatlaidoffmorethan5%oftheirstaffthisyear,thetoptworeasonscitedwerecost-cuttingduetorisingoperationalexpenses(opex)andtheneedtoright-sizeafterextensivehiring.

Wefearthistrendmaycontinue.Despitethelayoffsin2023and2024,thenetcorrection(additionaljobsaddedminuslayoffs)hasonlyaccountedforabout20%oftotalpandemichires,accordingtoourestimates.Thismeansthetechindustryhasretainedover80%1ofthecapacityaddedduringthepandemic,suggestingworkforcelevelsmaystillnotfullyalignwithcurrentmarketconditions.

1.Analysisof600publiccompaniesearning>$100MinrevenueinNorthAmericaandEuropeandtheirreportedHCon10-Ksfor2020,2021,2022,and2023

Lookingahead,inNorthAmerica,25%oftech

executivessaytheyexpecttoimplementlayoffsin

thecomingyear,withanadditional37%expressing

uncertaintyabouttheneedforworkforcereduction.

InEMEA,thesituationissimilar,with28%oftech

leadersanticipatinglayoffs.However,there’sslightly

lessuncertaintyinEMEA,whereonly20%ofexecutivesremainunsureaboutwhetherlayoffswillbenecessary.

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions9

Reducedaccesstocapitalispointingcompaniestowardsself-fundingstrategiesandmeasuredinvestments

Obtainingcreditandequityfinancingtofuelgrowthfortechcompaniesremainsbothexpensiveandlimitedbecause

interestratesareexpectedtostartdecliningonlytowardstheendoftheyear.Ourstudyresultsshowedthat59%of

techcompaniesfoundcreditandequityfinancinghavebecomemorelimitedduringthepast12monthsduetothe

currenthigher-for-longerinterestrateenvironment.Thatimpacthasbeenmostpronouncedforearly-stagecompanies,whichrelyheavilyonventurecapitalinvestmenttosustainhighgrowth;66%ofearly-stage,high-growthcompanies

foundfundstobemorelimitedinthepastyear.

FIGURE7:TECHEXECUTIVESNOTICINGACHANGEINCREDITANDEQUITYFINANCINGAVAILABILITYDURINGTHEPAST12MONTHS

PercentofrespondentsinNorthAmericaandEMEA

FUNDSAREMORELIMITED

Mid-stage

maturinggrowth

Late-stage

maturegrowth

17%

SubstantialimpactlimitingfundsavailabilityModerateimpactlimitingfundsavailability

Q:Inthepast12months,haveyounoticedachangeincreditand/orequityfinancingavailabilityduetohigherinterestratesand/orshiftingmarketconditions?N=346

ModerateimprovementinfundsavailabilitySubstantialimprovementinfundsavailability

10%56%

13%46%

11%48%

10%46%

FUNDSAREMOREAVAILABLE…

Allsurveyed

companies

Early-stagehigh-growth

17%10%

16%8%

15%5%

15%5%

NOCHANGE

25%

13%

14%

In2024,venturefundingsawasteepdecline,withcapitalcommitmentsfromlimitedpartners(LPs)reachinganine-

yearlowofonly$80.5billionraisedglobally—downfrom$196billionin2023and$345billionin2022.

Thisincreasesthepressureoncompaniestoachievemorewithlessandfreeupcapitalforself-fundedgrowth.

Inanenvironmentwherecashismoreexpensiveandliquidityisstrained,techexecutivesmustmakedifficult

decisionsaboutwheretoallocatelimitedfunds.ThesedecisionsrequiresmeticulousplanningandgreatervisibilityacrossbusinessoperationstoensurepositiveROI.

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions10

Astechcompetitionintensifies,thesectorisshowingsignsofmarketmaturityandsaturation—causinggrowthratestoslow

AccordingtoAlixPartners’analysis,medianyear-over-yearrevenuegrowthratesforthebroadertechindustryhaveslowedforathirdconsecutiveyearto5%in2024,downfrom7%attheendof2023,16%in2022,and20%in2021.2Evensoftware-as-a-service(SaaS)companies—whichuntilnowcouldcountonhyper-growthof30-40%year-over-yearforannualrecurringrevenue(ARR)—havebeenamongthehardesthitbyshiftingmarketdynamics.In2024,

SaaScompanies’mediangrowthrateshavebeencutinhalf,droppingtoaround20%.3

Slowinggrowthtrendsincreasinglypressuretechcompaniestodelivervalueforinvestorsthroughbothgrowthandmarginexpansion—amajoradjustmentfortheindustry.Accordingtoourstudy,53%ofsoftwarecompaniesworrythattheylacktheoperationalreadinessandagilityneededtobalancegrowthandprofitability.Additionally,over50%oftechcompanieswithrevenuesexceeding$100millionarestrugglingtoachieveprofitablegrowth.

RULEOF40(GROWTH+PROFITMARGIN)

Revenuegrowth%,YOY

55%

50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%

MEDIAN

-5%

-10%

-15%

-20%

-25%

-30%

-35%

-45%-40%-35%-30%-25%-20%-15%-10%-5%0%5%10%15%20%25%30%35%40%45%50%

ProfitablegrowthEBITDAmargin%

Source:Companydata,CapitalIQ,AlixPartnersAnalysis.

Analysisformedianfiguresincludesover600publiccompaniesintheNorthAmericaandEuropeearning>$100Minrevenues;LTMisasofCQ1’24,Notall600companiesaredisplayedinthevisual

MEDIAN

2.Companydata,CapitalIQ,AlixPartnersAnalysis;includespubliccompaniesintheU.S.andEuropeearning>$100Minrevenues;LTMisasofCQ1‘24

3.GoldmanSachsGlobalInvestmentResearch,companydata,includessamplesetof57publicSaaScompaniesduringthelastsixyears

Squeezingthepasttosecurethefuture:HowbigtechisadvancingAIambitions11

Ademandlandscapeintransition,bringingbothnewheadwindsandopportunitiesAfteraperiodofslowdemand,largelyduetodecliningITbudgets,62%ofrespondentssaidtheyexperienceda

re-accelerationindemandlevelsduringthepast12months,whereasonly23%noticedaslowdown.ThisrevivalisinlinewithGartner’sexpectationsthatITspendingwillgrownearly9%in2024,upfrom5%growthin2023.ThisgrowthwillbedriveninpartbyrisingdemandforclassicAI,GenAI,andotheremergingtechnologies.

FIGURE8:TECHEXECUTIVESNOTICINGACHANGEINDEMANDLEVELSDURINGTHEPAST12MONTHS

PercentofrespondentsinNorthAmericaandEMEA

DEMANDACCELERATING62%

14%48%19%

Amongthosewhonoticedaslowdownindemandlevels,percentwhosaiditwasdrivenprimarilyby…

Constrainedcustomerbudgetsduetomacropressures

Shiftincustomer

priorities/preferences

Customersconsolidatingvendors

Longersalescycles

duetopricingnegotiations

Regulationsandgeopoliticalfactors

Oneormoreproduct(s)/service(s)reachingendofproductlifecycle

Supplychainissues

SubstantialaccelerationModerateacceleration

Moderateslowdown

Substantialslowdown

Nochange/remainingflat

DEMANDSLOWINGDOWN23%

3%15%

NOCHANGE

53%

17%

12%

12%

3%

3%

1%

However,somecompaniesarebenefitingmorethanotherswith44%ofcompaniesraisingtheirgrowthtargets,while40%reducedthem.

FIGURE9:HOWSHIFTINGGROWTHTARGETSFORFISCAL2024DIFFERBYCOMPANYSIZE

PercentofrespondentsinNorthAmericaandEMEA

11%

19%

24%

16%

26%

38%

53%

71%