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McDonald's Boosting AI Investment: Executive Affirms Aim to Double Investment by 2027

McDonald's Intends to Increase Investments in Artificial Intelligence, Eyeing India as a Major Player in Data Management and Technology by 2027, stating this on a recent announcement. The multinational fast-food corporation, having entered the Indian market in 1996, currently manages numerous...

Fast-food giant McDonald's aims to significantly boost AI investments, as per an executive's...
Fast-food giant McDonald's aims to significantly boost AI investments, as per an executive's announcement, with a goal to achieve this milestone by the year 2027.

McDonald's Boosting AI Investment: Executive Affirms Aim to Double Investment by 2027

McDonald's Accelerates AI Investments with India as Key Hub

Fast food giant McDonald's is planning to significantly boost its artificial intelligence (AI) investments by 2027, with a strategic focus on India as a crucial hub for data governance and engineering.

The company, led by Deshant Kaila as the head of Global Business Services operations, aims to double down on AI initiatives. Hyderabad, a city in southern India, is being positioned as a global office for AI and data management functions, supporting McDonald's worldwide technology infrastructure.

This move is a critical step in McDonald's digital transformation strategy, fostering innovation and optimized customer experiences using AI-driven insights. The expansion reflects the company's commitment to embedding AI deeply into its global operations.

McDonald's is leveraging India's talent pool in engineering and data governance to accelerate AI development efforts. The global capability center in Hyderabad is expected to employ 2,000 people, as announced by the southern Indian state of Telangana earlier this year.

The company is using AI tools for a variety of purposes, including verifying orders at 400 restaurants and planning to expand this to 40,000 locations globally by 2027. AI is also being used for sales forecasting, pricing decisions, and product performance assessment.

The focus of McDonald's India push will be on building its AI team. Spending for building the AI team will lean more towards technology and tools, rather than headcount, according to an unnamed source.

McDonald's is also developing a personalized app that will work across countries. The company's global offices in India and other locations are already being used for AI verification of orders, sales forecasting, pricing decisions, and product performance assessment.

Interestingly, McDonald's is not just focusing on India. The company plans to establish a global office in Poland, similar to its offices in India and Mexico. India's global capability centers have evolved to support their parent organizations in various domains, including operations, finance, research, and development.

McDonald's entered India in 1996 and operates hundreds of restaurants across the country. Durga Prakash serves as the head of technology for global offices at McDonald's. The company aims to make its Hyderabad office the largest outside the United States.

The exact investment amount for McDonald's artificial intelligence initiatives is not yet clear. However, it is evident that the company is committed to a future where AI plays a significant role in its operations, supporting its growth plans through 2027 and beyond.

[1] McDonald's to invest heavily in AI by 2027, with India as key hub

[2] McDonald's to build AI team in India, Hyderabad to be global office

[3] McDonald's to use AI for order verification, sales forecasting, and product performance assessment

[4] McDonald's to expand AI use to 40,000 locations globally by 2027

[5] McDonald's to make Hyderabad, India, the largest global office outside the United States

[1] McDonald's is set to invest heavily in artificial intelligence (technology) by 2027, with India as a key hub for this initiative.

[2] In line with this, McDonald's plans to build an AI team in India, with Hyderabad being positioned as a global office for AI and data management functions.

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