Geopolitical tensions, cybersecurity and the rapid advancement of AI and automation are currently the dominant issues for companies in the TMT sector. Around three-quarters of the technology, media and telecommunications (telco) companies we surveyed for our TMT Monitor 2026 regard the current geopolitical uncertainty as a matter of existential importance for their business.
Different weightings of the megatrends across the three sub-sectors
Around 80 per cent of technology and telecommunications companies feel they are facing increased risks due to geopolitical conflicts, disrupted supply chains and trade restrictions. Media companies, on the other hand, regard the growing threat to corporate security – for example, through data misuse and loss, as well as cyberattacks – as the development of greatest significance to their business (73 per cent). Notably, only 53 per cent of telecommunications companies regard such security risks as a megatrend of significance for their business development.
Automation using AI and robotics as a driver of value creation
Alongside geopolitical developments, automation – particularly through the use of artificial intelligence – is seen by many companies as a key megatrend. Around two-thirds of respondents (69 per cent) consider this issue to be of great importance to their own business development. Artificial intelligence acts as a driver of efficiency and innovation across all sectors, but is assessed differently depending on the value creation logic. Whilst media and telecommunications companies view AI primarily as an operational lever, technology companies are more likely to regard it as a driver of innovation and new business opportunities.
Strategic priorities: a focus on efficiency, staff and technology
The strategic priorities of TMT companies reflect the megatrends. Across all three sectors, resource and process-related issues are at the heart of the strategic agenda. More than 80 per cent of respondents attach high priority to staff development and the optimisation and automation of workflows. Investments in training, new skills and more efficient processes are intended to strengthen organisational performance whilst stabilising costs.
When it comes to growth, 71 per cent of companies consider the expansion into new markets and target groups, as well as the development of new products and services, to be of the utmost importance. Looking at the sub-sectors, media and telecommunications companies are focusing more on expanding reach and market share, whilst technology companies are driving their growth primarily through innovation and technological differentiation.
The modernisation of their own IT infrastructure is a key priority in terms of technology: 73 per cent of TMT companies view this as a strategic focus. The aim is to migrate existing systems to agile, cloud-based and AI-enabled environments, thereby laying the foundations for further automation and digitalisation.
Overview of the current highest and lowest strategic priorities by sub-sector
Focus on Artificial Intelligence
Artificial intelligence (AI) is the focus of our TMT Monitor 2026. Many TMT companies expect the use of AI to have a positive impact on efficiency, customer service and growth. At the same time, the study shows that AI strategies, governance structures and systematic deployment in supporting areas are often still in the early stages of development. In doing so, the TMT Monitor not only highlights the potential of AI, but also identifies further need for action regarding implementation and management.
Our new TMT Monitor series replaces the previous publication ‘Publishing Trends’. The TMT Monitor provides a nuanced assessment of the current state of play for technology, media and telecommunications companies, highlighting where priorities are shifting and new focal points are emerging. For the TMT Monitor, we surveyed 180 companies in the sector. The survey data is supplemented by a case study from each of the three sectors.
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Katja Modder
Partner, Tax, Head of Technology, Media & Telecommunications (TMT)
KPMG AG Wirtschaftsprüfungsgesellschaft
Michael Niederée
Partner, Consulting, Technology Transformation
KPMG AG Wirtschaftsprüfungsgesellschaft
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