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FTI Consulting launches AI solutions for legal challenges

Published 10/08/2024, 07:46 PM
FCN
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WASHINGTON - FTI Consulting, Inc. (NYSE: NYSE:FCN) has introduced a new suite of artificial intelligence solutions named IQ.AI by FTI Technology, aimed at addressing complex issues in the realms of disputes, investigations, antitrust, and data breach response. This proprietary offering combines expert-driven workflows and industry-leading AI technologies, designed to assist clients in navigating the intersection of innovation, performance, and risk in legal and regulatory matters.

IQ.AI's solutions are tailored to specific needs. For instance, the IQ.AI for Investigations streamlines document analysis, facilitating swift and defendable overviews, key fact extraction, and case chronology development. The IQ.AI for Data Breach offering is crafted for rapid identification and extraction of sensitive data in breach responses and compliance processes. Additionally, IQ.AI for Antitrust includes monitoring tools to ensure adherence to regulations and customized analytics to mitigate risks across large datasets.

Sophie Ross, Global Chief Executive Officer of FTI Technology, highlighted the company's long-standing commitment to advanced analytics and AI, which has been integral to their client services globally. FTI Technology has made substantial investments in AI research and development, collaborating with trusted software providers and recruiting data scientists with e-discovery expertise to support the IQ.AI offerings.

The launch comes at a time when interest in AI solutions is surging across various industries. Despite the high expectations, a Gartner (NYSE:IT) study reveals that only 9% of organizations are currently AI-mature, with nearly half struggling to demonstrate the value of AI projects. FTI Technology's IQ.AI aims to fill this gap by providing clients with the expertise and frameworks necessary to effectively leverage AI without incurring undue risk.

FTI's team of IQ.AI experts provides advisory services on the application of AI in areas where legal and regulatory risks intersect. They conduct rigorous testing to ensure that large language models from different providers can be customized for unique client needs, thereby saving time and resources that would otherwise go into proprietary AI development.

For example, FTI Technology recently applied IQ.AI in a time-sensitive investigation for a global consumer goods company, combining generative AI with human expertise to streamline the review process, including multilingual materials, maintaining quality control and meeting deadlines efficiently.

Jon Chan, Senior Managing Director within FTI Technology's E-Discovery Consulting & Services practice, noted the uncertainties surrounding the impact, cost, scale, and reliability of large language models, especially in legal and regulatory contexts. He emphasized the importance of expert guidance in navigating the rapidly changing regulatory landscape around AI.

FTI Consulting is a global business advisory firm that aids organizations in managing change, mitigating risk, and resolving disputes. The company, with over 8,000 employees in 33 countries, reported revenues of $3.49 billion in fiscal year 2023. This development is based on a press release statement from FTI Consulting.

In other recent news, FTI Consulting has seen a significant rise in its financial performance, reporting a 12% increase in revenue and a 27% growth in adjusted EBITDA for Q2 2024. The earnings per share also climbed to $2.34. The company has also made strategic hires, including Jeff Wray as the Senior Managing Director and Industry Growth and Strategy Leader, and Juli Saitz as a Senior Managing Director in the Dispute Advisory Services practice.

FTI Consulting has also updated its Code of Ethics and Business Conduct, reflecting changes in labor and human rights laws. Truist Securities upgraded its price target for FTI Consulting to $275, maintaining a Buy rating due to the company's projected growth trajectory. Despite an expected seasonal slowdown in the fourth quarter, FTI Consulting has raised its full-year revenue and EPS guidance.

The firm has also expanded its Global Insurance Services practice by appointing Maria Filipakis as Senior Managing Director within its Forensic and Litigation Consulting segment. Filipakis brings a wealth of experience from her time in government as a litigator, enforcement lawyer, and state securities bureau chief, as well as her role as a banking and insurance regulator. These recent developments highlight FTI Consulting's ongoing efforts to enhance its service offerings and strengthen its global presence.

InvestingPro Insights

FTI Consulting's launch of IQ.AI aligns well with its strong financial performance and market position. According to InvestingPro data, the company's revenue growth stands at an impressive 14.72% for the last twelve months as of Q2 2024, with quarterly revenue growth of 9.78% in Q2 2024. This growth trajectory supports FTI's continued investment in AI technologies and solutions.

The company's financial health appears robust, with an adjusted market capitalization of $7.85 billion USD. An InvestingPro Tip highlights that FTI Consulting operates with a moderate level of debt, which could provide flexibility for further investments in AI and other growth initiatives.

Another relevant InvestingPro Tip indicates that FTI Consulting is trading at a low P/E ratio relative to near-term earnings growth. With a current P/E ratio of 23.65 and a PEG ratio of 0.6, the stock may be attractively valued considering its growth prospects in the AI sector.

For investors seeking more comprehensive analysis, InvestingPro offers additional tips and insights. Currently, there are 11 more InvestingPro Tips available for FTI Consulting, providing a deeper understanding of the company's financial position and market performance.

WASHINGTON - FTI Consulting, Inc. (NYSE: FCN) has introduced a new suite of artificial intelligence solutions named IQ.AI by FTI Technology, aimed at addressing complex issues in the realms of disputes, investigations, antitrust, and data breach response. This proprietary offering combines expert-driven workflows and industry-leading AI technologies, designed to assist clients in navigating the intersection of innovation, performance, and risk in legal and regulatory matters.

IQ.AI's solutions are tailored to specific needs. For instance, the IQ.AI for Investigations streamlines document analysis, facilitating swift and defendable overviews, key fact extraction, and case chronology development. The IQ.AI for Data Breach offering is crafted for rapid identification and extraction of sensitive data in breach responses and compliance processes. Additionally, IQ.AI for Antitrust includes monitoring tools to ensure adherence to regulations and customized analytics to mitigate risks across large datasets.

Sophie Ross, Global Chief Executive Officer of FTI Technology, highlighted the company's long-standing commitment to advanced analytics and AI, which has been integral to their client services globally. FTI Technology has made substantial investments in AI research and development, collaborating with trusted software providers and recruiting data scientists with e-discovery expertise to support the IQ.AI offerings.

The launch comes at a time when interest in AI solutions is surging across various industries. Despite the high expectations, a Gartner study reveals that only 9% of organizations are currently AI-mature, with nearly half struggling to demonstrate the value of AI projects. FTI Technology's IQ.AI aims to fill this gap by providing clients with the expertise and frameworks necessary to effectively leverage AI without incurring undue risk.

FTI's team of IQ.AI experts provides advisory services on the application of AI in areas where legal and regulatory risks intersect. They conduct rigorous testing to ensure that large language models from different providers can be customized for unique client needs, thereby saving time and resources that would otherwise go into proprietary AI development.

For example, FTI Technology recently applied IQ.AI in a time-sensitive investigation for a global consumer goods company, combining generative AI with human expertise to streamline the review process, including multilingual materials, maintaining quality control and meeting deadlines efficiently.

Jon Chan, Senior Managing Director within FTI Technology's E-Discovery Consulting & Services practice, noted the uncertainties surrounding the impact, cost, scale, and reliability of large language models, especially in legal and regulatory contexts. He emphasized the importance of expert guidance in navigating the rapidly changing regulatory landscape around AI.

FTI Consulting is a global business advisory firm that aids organizations in managing change, mitigating risk, and resolving disputes. The company, with over 8,000 employees in 33 countries, reported revenues of $3.49 billion in fiscal year 2023. This development is based on a press release statement from FTI Consulting.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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