Tashkent, Uzbekistan (UzDaily.com) — Artificial intelligence (AI) is not considered a priority technology for most companies in the Caucasus and Central Asia regions over the next year.

KPMG Caucasus and Central Asia presented a study on technological trends in the region. The analysis was based on interviews with 70 IT leaders from eight key industries, including financial services, technology and telecom, retail and consumer goods, industrial manufacturing, healthcare and pharmaceuticals, government sector, and energy.

The experts studied the development of the industry in Central Asia and the Caucasus, comparing it with global trends, and analyzed key global and regional trends.

The results showed that approaches to technology investments in these countries differ significantly from global standards. For instance, artificial intelligence (AI) is not a priority technology for most companies in the region next year — only 17% of organizations are actively using AI. Meanwhile, 29% of companies face challenges such as insufficient support from leadership and limited investment, which slow down AI adoption and reduce its impact on business processes. However, 44% of companies plan to use AI for automating routine operations and increasing productivity, compared to 74% globally.

Cloud technologies continue to gain popularity in the region, but their widespread adoption is hindered by several factors, such as a lack of qualified specialists, high integration costs, and the absence of a unified digital infrastructure. Nevertheless, many companies have already started transitioning to cloud solutions, expecting to increase operational efficiency and reduce costs.

Issues related to information security are also becoming more pressing. However, in the region, cybersecurity is often seen as a formal requirement rather than a strategic necessity for business resilience. Unlike global leaders, where 72% of companies consider cybersecurity at the early stages of IT project decision-making, only 6% of IT leaders in Central Asia and the Caucasus include these aspects in their strategic planning.

Konstantin Aushev, Partner and Head of the Technology Practice at KPMG Caucasus and Central Asia, noted that in the face of rapid technological developments such as AI, intelligent automation, cloud computing, and quantum computing, it is crucial to adapt. He added that investment approaches in technology in this region vary significantly from company to company, setting it apart from international practices.

The study’s results show that digital transformation in Central Asia and the Caucasus is still developing in a fragmented manner. Unlike global trends, where digitalization is an integral part of business strategy, its implementation in the region is not always systematic. IT leaders in the region note the lack of comprehensive strategies and emphasize the need for closer integration between business and technology.

Nevertheless, many companies have already recognized the potential of digital solutions and are actively developing internal IT competencies. It is expected that in the coming years, the region will demonstrate accelerated adoption of advanced technologies, especially in data analytics, business process automation, and cloud solutions.

The KPMG study offers companies in the region an opportunity to assess their digital maturity, rethink their technology development strategy, and identify key areas for investment to strengthen their market positions.