Pegasystems Tackles AI's Unpredictable Cost Explosion

As AI spending surges, Pegasystems is expanding its FinOps strategy beyond cost tracking to measuring real business value. Hunter Harris, director of cloud FinOps at Pegasystems, says AI's infinite scalability makes spending patterns far less predictable than traditional cloud environments, forcing organizations to rethink how they classify and manage AI costs. Pegasystems addressed this by building a unified data model connecting cloud costs, operational data, support data, product data and revenue. This approach allows the company to map AI investment to individual customer contracts, revealing true contribution margins and enabling more accurate forecasting and budget decisions.