America’s Oil & Gas Lean into AI, Cloud to Cut Costs and Carbon
Oil and gas companies across the Americas are ramping up digital platforms, AI-enabled operations and decarbonization technologies as they navigate cost pressure, geopolitical uncertainty and the shift toward new energy sources, according to a new report from Information Services Group. The 2025 ISG Provider Lens Oil & Gas Industry — Services and Solutions report for the Americas finds operators are modernizing core systems to boost efficiency, trim emissions and harden resilience, all while balancing profitability with long-term sustainability targets.
“Oil and gas producers in the Americas are reshaping their operations by embedding digital intelligence into systems and daily decision-making,” said Dale Hearn, partner at ISG. “These investments are practical responses to major changes in technology, regulation and markets.”
In the U.S., shale producers are intensifying their use of AI, advanced analytics and simulation tools to drive down cost per barrel and lift well productivity. Operators in the Permian Basin and Eagle Ford are deploying data-driven models to sharpen drilling accuracy, enhance reservoir management and increase throughput, with an emphasis on maximizing recovery from existing assets rather than greenfield exploration. Those strategies are also helping compress time to market and reduce nonproductive time.
Regionwide, companies are expanding cloud adoption and integrating IT and operational technology environments to gain better visibility and control. Cloud platforms and standardized data models are enabling more consistent workflows from upstream to downstream. In Mexico and Argentina, firms are using digital twins and predictive maintenance to manage risk in remote operations, while GenAI is being rolled out for smarter workflows, faster decision-making and more predictive capabilities.
“Energy strategies differ by region, but the common theme is disciplined investment in technologies to improve efficiency while enabling decarbonization,” said Swadhin Pradhan, principal analyst at ISG and lead author of the report. “Enterprises are aligning digital modernization with adaptability to remain competitive.”