AI adoption is significantly increasing cloud costs for enterprises, with an average rise of 30% in the past year, primarily driven by spending on AI applications. A report by Tangoe highlights that nearly 75% of IT and finance professionals find their cloud bills unmanageable due to hidden costs and unpredictable invoicing. Over 90% of respondents reported escalating cloud expenses, prompting a need for better expense management practices that include AI. This trend also raises concerns about shadow IT, as many software procurements bypass IT oversight, contributing to unnecessary costs.

Source: https://www.supplychaindive.com/news/generative-ai-drives-unmanageable-cloud-cost-finops/729246/