AECOM’s $400M AI Bet: The Most Controversial Move in AEC in Recent Years 

AECOM’s $400M AI Bet: The Most Controversial Move in AEC in Recent Years 

AEC firms are trying different paths in response to AI advancements, including acquiring AI startups. For example, a few weeks ago, AECOM acquired Consigli, an AI startup focused on “autonomous” engineering workflows, for about $400M. This acquisition may become one of the most controversial technology bets we’ve seen in AEC in recent years. Some people view this as an upside for the industry, and some others are watching it closely, expecting it to be another failed attempt to reinvent the industry. 

The Upside: A New Definition of Scale, Expectations, and Power 

For decades, scale in AEC meant headcounts, offices, and geographic presence. But AI changes that definition. With the right intelligent workflows, the same team can deliver more, faster, with fewer errors. AECOM bought the ability to multiply its existing capacity rather than acquiring capacity in the traditional sense. 

If AECOM succeeds, clients will start to expect faster analysis of many alternative solutions, less back-and-forth in design, reduced project risk, and more predictable outcomes. And once clients see that level of quality and speed, every competitor will be under pressure to explain why their process still looks largely manual and long, and carries more risk. 

This is the upside: the chance not just to transform AECOM, but to set a new standard for the entire industry. 

But every bold move creates an opening for backlash. 

The Downside: The Shadow of Katerra and Becoming “Proof AI Doesn’t Work” 

AEC leaders still remember Katerra, a company that promised a technologically transformed future but collapsed under the weight of its own ambition. Many executives concluded, fairly or not, that the industry is simply resistant to reinvention at scale. Those skeptics are already watching AECOM’s move, waiting for signs that AI is just the next hype.  

If integration struggles, adoption slows, or clients don’t feel a tangible difference, this acquisition won’t just be a failed experiment. It’ll become the new case study skeptics cite when they argue that AI can’t fundamentally change AEC. Their narrative will be: “Katerra proved SaaS technology can’t fix AEC. AECOM proved AI can’t fix it, either.” 

My Take on AEC Firms Acquiring AI Startups 

I’ve worked at tech companies that bought successful startups but unintentionally suffocated them. It wasn’t because the tech wasn’t strong, but because the organization wasn’t ready: teams were protective of their existing processes, overloaded with their own project backlogs, or even unwilling to change. Ultimately, those start-ups haven’t gone that far and gradually vanished. 

My point about acquiring AI startups is that organizational readiness, not the acquisition itself, determines whether it becomes a landmark success or an expensive failure. So, for leaders watching AECOM’s move and debating whether to buy AI startups, ask yourself: “How ready is my company culturally, technically, and operationally to absorb and scale a new tech startup?”