Technology services and consulting company
The new business, which will be called Cognizant's ServiceNow Business Group, plans to offer AI-based software. The group will attempt to help shared clients challenged by rising costs, growing tech debt, manual processes and sub-optimal customer experiences use AI to enhance development in three central areas: operational effectiveness, customer experience and innovation.
Earlier this year, Cognizant announced its plan to train 25,000 employees on Google Cloud AI technology. Ravi Kumar S, CEO of Cognizant, stated that firms across industries are seeking to improve their competitiveness, optimize operations and deliver a better overall client experience, but are faced with difficulties surrounding platform silos and intensive manual workflows.
The list of 57 early adopters includes large banks like BNY Mellon, JPMorgan Chase and Wells Fargo, as well as large bank technology companies including Jack Henry, FIS and Fiserv.
"Cognizant and ServiceNow are well-positioned to address these challenges through the combination of our deep industry expertise, enterprise AI solutions, and ServiceNow's powerful platform, delivering innovative, cost-effective solutions that enhance the value of our clients' products and services to their end customers," said Kumar in a statement. Cognizant's ServiceNow Business Group will expand on ServiceNow's current platform to address business problems and help clients create solutions using automation.
However, some analysts are skeptical.
"I believe generative AI is simply the next step in the ongoing evolution of businesses to improve productivity through the increased use of technology," wrote Surinder Thind, an equity research analyst at Jeffries, in an email. "Cognizant and other IT consulting firms already embed a significant amount of [machine learning] into the projects they deliver for their clients," for instance with AI-driven data and analytics platforms.
Despite the hype that ensued when OpenAI introduced ChatGPT to consumers, Thind believes that AI technology is too immature to be used in the short-term for anything other than low risk cases. However, it will have a more significant impact on how businesses operate further down the line, when the technology is more developed.
