Google Cloud races to catch up in the AI deployment wars with Accenture deal

3 days ago 17

Google Cloud and Accenture are moving unneurotic connected a associated unit dedicated to sending engineers into enterprises to assistance them amended follow Google’s AI tools and services. 

The caller unit, dubbed Accenture Gemini Enterprise Business Group, is Google’s latest foray into the increasingly competitory world of “forward-deployed engineers,” oregon FDEs. Rivals successful the AI race, including OpenAI, Anthropic, Microsoft and Amazon, person each precocious launched abstracted concern units successful a stake that implementing AI models tin go its ain trillion-dollar business.

It’s the benignant of stake AI companies and hyperscalers progressively request to make. Hyperscalers are committing hundreds of billions of dollars a twelvemonth to GPUs, information centers, and powerfulness capableness adjacent arsenic the gross straight attributable to AI remains a fraction of that investment.

Google Cloud generated $24.8 cardinal successful the 2nd quarter, a large chunk of which was driven by endeavor AI. But the commitments down that maturation are enormous. Google Cloud’s genitor institution Alphabet reportedly accumulated $811 cardinal successful acquisition commitments and contractual obligations arsenic of June 30.

This instrumentality connected concern is not yet materializing successful the mode companies and investors request it to, truthful everything hinges connected whether oregon not AI companies tin make capable request for their services. But that request is not guaranteed, as enterprises themselves are struggling to spot a existent instrumentality connected concern connected their AI spending.

It’s conventionally held that enterprises person simply lacked the expertise to intelligently integrate AI tools and services into their workflows successful a mode that not lone saves them money, but helps them marque much of it successful the agelong run. That’s wherever the FDEs travel successful arsenic a steady, guiding manus that, ideally, possesses the cleanable intelligence cocktail of concern acumen and agentic AI prowess needed to alteration everything. 

As portion of its woody with Accenture, Google volition bid up to 1,000 of the consultancy firm’s FDEs to enactment with enterprises and physique customized AI applications connected the Gemini Enterprise platform. 

According to August information from Ramp, Google accounts for astir 6% of endeavor AI spending among U.S. businesses, compared to Anthropic’s 43.5% and OpenAI’s 39.7%. Google’s caller portion with Accenture, which The Wall Street Journal archetypal reported, is the latest of its assertive expansions of its FDE exemplary this twelvemonth arsenic it attempts to resoluteness endeavor deployment bottlenecks and drawback up to rivals. 

Earlier this year, Google Cloud launched a $750 cardinal spouse ecosystem committedness that embedded Google’s ain FDEs crossed aggregate consultancies, including Capgemini, Cognizant and Deloitte. The tech elephantine besides struck a multi-year concern with CVC Capital Partners to deploy FDEs straight into the concern firm’s portfolio companies.

Google isn’t the lone elephantine astatine hazard of being outpaced by newer firms. Companies that are dedicated specifically to embedding engineers into businesses to physique bespoke AI workflows — similar Ode with Anthropic, oregon OpenAI’s The Deployment Co. — endanger large consultancy firms similar Accenture arsenic well. For the nonrecreational services giant, the Google tie-up adds to its ain question of FDE programs this year, which see a akin Microsoft FDE signifier successful March, an FDE inaugural with ServiceNow successful May, and a joint programme with SAP successful June.

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