Capital markets firms could see the cost of market data provision increase by more than 50% in 2027, partly as a result of the use of AI, according to newly published research.
The study, conducted by Substantive Research, BCG Expand and TRG Screen, found that changes to pricing structures for 2027 from 12 of the major market vendors include an average increase of 50%.
This would put market data costs considerably above inflation and shows market data costs rising much faster than company budgets — market data spend only increased by around 7% in 2026.
Substantive describes data as the “must-have lifeblood” of buy and sell-side firms, while noting bilateral negotiations in an opaque market where vendors hold significant brand and pricing power.
The research showed considerable variety in additional charges for AI services, ranging from 1 million.
Demand for AI-related services such as model context protocols and direct data feeds into large language models has driven vendors to develop new services, but the report warns some clients face commercial structures that limit flexibility and create technical lock-in.
Mike Carrodus, CEO of Substantive Research, said some supply discussions started from bases up to 300% higher before negotiating down to an average of 50%, highlighting how nascent AI-inclusive data agreements remain.