PwC plans overhaul of consulting business

PwC is launching a major overhaul of its global consulting business, aiming to unify its fragmented, nation-based partnership model into a more integrated, standardized service delivery system. The move, driven by the disruptive potential of artificial intelligence and increasing competition from globally integrated firms like Deloitte and Accenture, seeks to ensure consistent consulting offerings across borders and accelerate the global rollout of AI-powered tools. While the changes are less radical than those at some rivals, they represent a significant shift for the Big Four firm, which currently operates like a federation with limited central authority. Meanwhile, insurers are turning to catastrophe bonds to manage the growing risks associated with massive, high-value AI data centers, which are too expensive and complex for traditional insurance to fully cover. These bonds allow insurers to transfer some of the risk to investors, who receive high yields but face potential loss if a major outage or disaster triggers a payout. The episode also highlights the dangers of relying on AI chatbots for medical diagnosis, with a new study showing they misdiagnose over 80% of early cases when lacking full patient data.