AI’s role in propelling the energy sector

While there are several applications for AI within the energy sector, S&P Global has categorized them into three groups: improving efficiency, managing large and complex systems, and accelerating the innovation cycle. The early returns for AI are impressive — individual assets are realizing 10%-25% operating cost reductions and 3%-8% productivity increases through such approaches. However, implementing these changes on an industry scale is much harder.

AI’s current role in the energy sector primarily consists of automating routine processes or assisting office workers. But AI has the potential for much more, including innovation to reduce emissions and managing power grids.

This is one piece in our latest collection of research, Look Forward: Energy at the Crossroads.

Private equity deals in asset management sector hit 3-year high

Private equity and venture capital firms invested $20.29 billion in asset management deals globally in 2024, a three-year high and an 89% increase year over year. The rapid growth was partially due to private equity’s ongoing consolidation of the fragmented wealth management industry; another factor was firms looking to diversify their investment strategy and investor base. These investments are expected to continue increasing in 2025.

Learn more about our Private Equity and Private Debt Fair Value Services.