CFOs spending heavily on AI

Key insight: Here's why corporate finance leaders are growing increasingly anxious about their artificial intelligence investments.
What's at stake: Corporate finance leaders struggling to protect their bottom lines against unpredictable technology budget overruns.
Expert quote: "The underlying risks remain largely the same..." — Stephen Philipson, U.S. Bank

Corporate finance leaders are feeling bullish about their business's financial prospects, but many are worried about how much they're spending on artificial intelligence, according to a new survey.

The survey, released Tuesday by U.S. Bank, polled 1,000 U.S.-based senior finance leaders on their priorities, risks and sentiment, along with how their companies are benefiting from the AI buildout and whether their spending on AI is tracking above their budget. Over two-thirds (69%) of finance leaders said Al investment had created commercial opportunities or delivered benefits to their business.  But many of them are coping with a related challenge: over half (51%) of the respondents indicated spending on Al tools and platforms had exceeded their budget over the past year.

Half of the U.S. corporate finance leaders (50%) who responded to the survey said they're positive about their business's financial prospects over the next 12 months, up from 45% earlier this year. Meanwhile, 41% have a positive 12-month outlook on the U.S. economy, up from 36% in April 2026. In addition, more than 70% of finance leaders now say geopolitical volatility represents an opportunity as well as a risk, up from 61% earlier this year.

In terms of priorities for finance leaders, cutting costs ranks first at 37%, while driving revenue growth comes in a close second at 35%. Meanwhile, exploring M&A opportunities rose from the fifth-highest priority in the spring to the third-highest in August (33%).

Deal appetite continues to rise, with 57% of the respondents saying their business was more likely to make acquisitions over the next 12 months than it had been a year earlier, up from 49% in the spring. Bolt-on acquisitions remain the most popular expected deal structure.

The top-cited risk remains geopolitical tension and war (38%), followed by high borrowing costs (35%) and high inflation (34%). But 71% of finance leaders now agree geopolitical volatility represents an opportunity as well as a risk, up from 61% at the start of the year. 

Productivity, not layoffs, is the preferred response to inflation, with 72% of the finance leaders polled indicating they're investing in productivity and automation to manage inflationary pressure. Reducing headcount ranked last among the nine measured responses, at 28%.

"Since our spring CFO survey, we've seen a shift in how finance leaders view the current environment," said Stephen Philipson, U.S. Bank vice chair and head of wealth, corporate, commercial and institutional banking, in a statement. "The underlying risks remain largely the same, but optimism has improved and priorities are adjusting. Finance leaders remain focused on cutting costs, yet they're also placing greater emphasis on revenue growth and pursuing M&A opportunities. Taken together, the findings as well as our client conversations suggest companies are increasingly willing to act rather than allowing uncertainty to delay important strategic decisions."

Introductory bullet points created by AI with editorial review.