cabecera Arthur Sadoun_Publicis_CoreAI presentation

Publicis, to invest €300 million to move from a AI powered platform to an AI integrated system

Publicis plans to invest €300 million over the next three years to become a true Intelligent System.
For 2024 alone, the group anticipates an investment €100million, with 50% on people, focused on upskilling, training and recruitment, and 50% on technology, through licenses, IT software and cloud infrastructure.

The group began engineering CoreAI in the second half of 2023 and plans to iteratively roll out capabilities in the first half of 2024. It will present MVPs at Viva Tech 2024 this upcoming May.

Arthur Sadoun (CEO & Chairman of Publicis Groupe) commented: “Our journey from a holding company to a platform has not been easy, but it definitely paid off, as you can see with our 2023 organic growth outperforming the industry for the fourth year in a row.
The platform organization we have built over the last decade, our proprietary data of unmatched breadth and accuracy, and the 45,000 engineers, consultants and data analysts at the heart of our model, uniquely position us to push the boundaries even further by leveraging AI.
Putting CoreAI at the heart of our organization and truly becoming an Intelligent System company will make our people more efficient and more productive. But way more importantly, it will allow everyone to do things tomorrow that no one can do today, guided by the highest ethical standards, and at the service of our clients’ growth.
As we enter our second century, we are confident that all of the efforts we have made to transform and the ongoing investment we are making in our people and technology will allow Publicis to continue to outperform its peers on organic growth, sustain the highest financial KPIs, and lead the change in our industry.”

Publicis Groupe today had pre-released its Fourth Quarter and Full Year 2023 net revenue. Full details of the 2023 Audited Annual Results will be published on 8 February 2024, before the market opened.
Full year organic growth came in at +6.3%, above the +5.5% to +6% guidance range last upgraded in October. This included a stronger than anticipated finish to the year, with +5.7% organic growth in the fourth quarter.

The French Ad multinational expects that the investment in AI of €100 million in 2024 announced will be fully funded by internal efficiencies. It will have no dilutive impact on Groupe’s Operating margin in 2024 and it will be slightly accretive on Operating margin in 2025.

One third of net revenue from Media and another third from Data&Tech in 2023

Media, one third of net revenue, grew by double digits organically on the year, accelerating in Q4 supported by a faster ramp up in new business. Data & tech activities, another third, were very solid on the year while seeing contrasting trends. Epsilon recorded circa +10% organic growth in 2023, further accelerating in H2 with double-digit growth in Q4, led by the rise in demand for firstparty data.

As anticipated, Publicis Sapient saw ongoing delays in digital business transformation projects, like all comparable IT consulting firms, posting +3% organic growth on the year despite a modest decline in Q4. Creative was again very resilient in both the full year and Q4, with low singledigit organic growth.

Building CoreAI to become a true ethic and secure intelligent system

Publicis is infusing a layer of AI across its platform organization to connect its enterprise knowledge under one entity: CoreAI.
The group is building this unifying AI-led foundation in-house and across its full enterprise, thanks to Publicis Sapient’s unrivalled AI expertise and partnerships, which span designing chips for Nvidia that are used in the training of AI models like ChatGPT, to developing AI-powered digital consumer journeys across multiple industries.

Publicis_CoreAI_Carla Serrano_Nigel Vaz_Pensky_SamLevine
Carla Serrano (Global CSO Publicis Groupe), Nigel Vaz (CEO Publicis Sapient), Dave Penski (CEO Publicis Media) and Sam Levine Archer (Chief Solutions Architect Publicis North America). Pick taken by Eastwind from the video of the presentation held to unveil the future of AI at Publicis Groupe provided by the French multinational.

Sitting at the center of the group, CoreAI unifies all of Publicis’ proprietary data including the leading consumer data across 2.3 billion profiles of people around the world, with trillions of data points about content, media, and business performance, and almost a petabyte of assets on Marcel, all combined with 35 years of business transformation data and coding owned exclusively by Publicis Sapient.

Tangible benefits and boost both in all services and in internal processes

CoreAI makes those trillions of data points shareable and accessible to everyone at Publicis, super powering them across 5 key disciplines:

1.- Insight: Brilliant strategy, accurate analyses, and business consultant-level intelligence will power all marketing strategy and plans, transforming everyone into intelligence partners who architect client growth.

2.- Media: Media planning, buying and optimization will deliver new levels of accuracy and outcomes positioning clients to win at commerce sooner and faster.

3.- Creative + Production: Personalized content will finally be realized at scale, with efficiencies and highly relevant, desirable creative.

4.- Software: The best software and digitally enabled products will be brought to market at scale in days and weeks not months.

5.- Operations: Groupe operations and client management systems will be boosted with speed, accuracy and efficiency.

Arthur Sadoun_Publicis_CoreAI presentation_02
Arthur Sadoun (CEO & Chairman of Publicis Groupe). Pick taken by Eastwind from the video of the presentation held to unveil the future of AI at Publicis Groupe provided by the French multinational.

The plan is “superpower our people to turbocharge our clients growth” through CoreAI, said Arthur Sadoun during the presentation held today.

Image over the headline.- Arthur Sadoun (CEO & Chairman of Publicis Groupe). Pick taken by Eastwind from the video of the presentation held to unveil the future of AI at Publicis Groupe provided by the French multinational.

Related external links:

Presentation on the future of AI at Publicis groupe held by Arthur Sadoun, Global CEO, Carla Serrano, Global CSO, Nigel Vaz, CEO Publicis Sapient, Dave Penski, CEO Publicis Media and Sam Levine Archer, Chief Solutions Architect Publicis North America (video)

Leave a Comment

Your email address will not be published. Required fields are marked *

Últimas noticias