The Big Four Accounting Firms—Deloitte, PricewaterhouseCoopers (PwC), Ernst & Young (EY), and KPMG—form the ultimate hierarchy in today’s international accounting and professional services arena.
Besides audit services, tax preparation, consulting, and advisory functions, they have marked prestige in serving some of the largest worldwide companies and government entities.
Massive global support systems, unmatched expertise, and commitment to extensive innovation give the Big Four accounting firms the essential power that shapes the financial landscape.
This blog will showcase to you how these big four accounting firms rule the financial industry.
Big Four accounting firms and their market size:
| Sr. No. | Firm Name | Market Size (Revenue) |
| 1 | Deloitte | $67.2 billion |
| 2 | PwC (PricewaterhouseCoopers) | $55.4 billion |
| 3 | EY (Ernst & Young) | $51.2 billion |
| 4 | KPMG | $38.4 billion |
1. Deloitte
- CEO: Joe Ucuzoglu
- Headquarters: London, UK
Deloitte: One of the “Big Four accounting firms” for accounting and consultancy started in 1845 from a small practice in London by William Welch Deloitte. Today, it runs itself globally. More than 150 countries cover that and, together with other big firms, provide the best professional service all over the world.
In the year 2024, Deloitte was crowned number one with annual sales recorded at $67.2 billion, making the highest figure in the consultancy. More than 415,000 employ staff who embody individual financial reports, tax administration, and consulting to individuals and organizations of varied sizes, from the smallest professional startups to giant corporations, including Fortune 500 companies.
Mergers and Acquisitions
Deloitte became a global leader and a top-tier firm in the professional service domain primarily due to mergers and acquisitions.
1. Old Mergers: Deloitte entered a partnership with Haskins & Sells in 1952, thereby enhancing its U.S. presence.
2. Deloitte & Touche (1989): Merged with Touche Ross in 1989, this progressive step inference opened a window of increase in globalization on behalf of Deloitte.
3. Deloitte Touche Tohmatsu (1993): The merger brought the international brand under one name while enhancing its market position.
4. Commercially Specialized Acquisitions: These include acquisition firms in technology, consulting, and risk management to enhance the base of services from within the network.
Deloitte’s merger made it into an international powerhouse that has a presence in more than 150 countries and a slew of different services.
Services provided
Deloitte delivers a host of services, such as audit & assurance, consulting, risk and tax, and legal services, to help organizations overcome challenges and help them grow in different sectors.
Achievements
In 2023, Forbes awarded Deloitte as one of the most innovative companies in America for using cutting-edge AI and blockchain technologies and recognized its leadership for innovation all through the accounting and consulting sectors.
2. PwC (Price Waterhouse Coopers)
- CEO : Robert E. Moritz
- Headquarters: London, UK
PwC is currently one of the largest networks for professional services: a historical account by Price Waterhouse Coopers founded back in 1849: a very fine reputation built on very vast expertise and global reach.
This established accounting firm, headquartered in a minuscule base in the optimistic city of London, has paved its path to becoming a multinational group with offices in more than 150 countries and amongst the other Big Four accounting firms.
Ever since the company has been around, it has boasted about $55.4 billion in revenue for 2024 and employed more than 330,000 worldwide professionals.
Mergers and Acquisitions
PwC has developed into what is now known as a truly global leader in professional services, thanks largely to significant mergers and acquisitions (M&A).
1. Early mergers: The mergers were put to fruition in 1998 when Price Waterhouse merged with Coopers & Lybrand, establishing PwC and taking its operations up a notch in terms of global scope and exposure.
2. Global expansion: PwC continued the effort of acquiring firms globally, one by one further building its infrastructures in strategic markets and service areas.
3. Acquisitions in consulting and tech: Recently, PwC has put the cherry on the cake by acquiring companies in technology, consulting, and cybersecurity to encompass the entire gamut of the offer.
These strategic moves in M&A have helped create what is now very close to the world’s largest professional services network, with operations established in more than 150 countries.
Services provided
PwC provides services in assurance, tax, and auditing to large and small organizations.
It is also relied on by some of the most well-known brands in the world. PwC is a trusted brand globally in accounting. PwC serviced around 84 percent of the Fortune 500 companies across the globe in 2022 in some way.
Achievements
Forbes awarded PwC one of the “World’s Best Employers” in 2022 for its high client satisfaction and great performance in advisory and consulting service delivery, accentuating its global standing as a reliable partner.
3. EY (Ernst and Young)
- CEO: Janet Truncale
- Headquarters: London, UK
Since their combination in 1989, Ernst and Whinney have formed Arthur Young and Co. to become one of the world’s leading providers of professional services. With most new solutions and expertise from around the globe, this company has grown into a powerhouse with offices established in more than 150 countries.
In the year 2024, for its global presence of about $51.2 billion in revenue, more than 365,000 professionals worldwide enable EY to reach any category, from a budding startup to its largest corporation.
Mergers and Acquisitions
1. In 1989, Ernst & Whinney and Arthur Young & Co. rolled over into Ernst & Young. These two great accounting firms in the UK and the US merged to expand their operations globally, enhancing their service delivery.
2. Thereafter, EY would grow by strategizing partnership acquisition and further strengthening its consulting, tax, and advisory practice strengths to retain its status as a long-established global leader in business professional services and one of the top Big Four accounting firms.
Services provided
Ernst & Young offers four major service lines, such as assurance, consulting, strategy, transactions, and tax. It creates a potential environment for innovative solutions through its multidisciplinary teams that understand the complexities of today’s global economy.
Ernst & Young caters to its clients from several sectors, including government, energy, private equity, and finance.
Achievements
EY Fabric was announced as the winner of Transformation with AI in the 2024 DataIQ AI Award. The award is because of the company’s drive for sustainability along with diversity, equity, and inclusion in operation.
4. KPMG
- CEO: William B Thomas
- Headquarters: Amstelveen, Netherlands
KPMG is a highly developed organization that emerged as one of the well-known ‘big four accounting firms in 1987 when Klynveld Main Goerdeler merged with Peat Marwick, then forming a global professional services firm widely known for its audit, tax, and advisory services. Today the organization operates in over 140 countries by giving solutions and answers to business problems around the world.
For its part in 2024, KPMG earned $38.4 billion, targeting clients of all shapes and demographics—from the smallest-sized enterprises through the largest international multinationals employing over 265,000 professionals throughout the globe.
Mergers and Acquisitions
1. The history of the firm started at a remarkable moment in July 1911, when Peat met James Marwick. By the end of the journey, they had laid down plans for establishing Peat, Marwick, Mitchell & Co.
2. In 1978, the company changed its name from Peat, Marwick, Mitchell & Co. to Peat Marwick International. Immediately afterward, in 1979, Klynveld Kraayenhof & Co. merged with DTG and with McLintock Main Lafrentz to form Klynveld Main Goerdeler.
3. By 1987, PMI and KMG had successfully united as one under the name KPMG in what was at that time the biggest mega-merger in the accounting world.
Services provided
KPMG is a professional service firm that offers various services such as auditing, tax, and advisory. Its audit services largely ensure compliance and transparency, while tax services specialize in corporate, indirect, and global mobility taxation. Advisory services include management consulting, risk management, and technology solutions for diversified targeted, and realized business growth and efficiencies of various kinds.
Achievements
KPMG was named by Gartner in its Magic Quadrant for Data and Analytics Services 2024 as topping its Leader list. This meant that this company knew the application of specialized advanced technologies like analytics and machine learning in its offerings.
Conclusion
The Big Four accounting firms—Deloitte, PwC, EY, and KPMG—are globally known for reputation, innovation, and dominance across multiple spaces. They provide their most important services in audit, tax, consulting, and advisory to keep businesses afloat in complexity and develop them further.
A career at the known “big four accounting firms” is extremely fruitful and broad, providing excellent exposure to industries, working with high-profile clients, and learning the methodologies of some of the best companies. The culture is usually extremely demanding. Yet it also develops learning, readership, and innovation, which makes it noble for both clients and professionals.
FAQ about the Big Four Accounting Firms:
1. What is the significance of the Big 4 accounting firms?
Their global footprint, revitalizing clients, and within-discipline expertise have made them masters of professional services and highly influential in business and finance.
2. What careers are possible in the Big Four accounting firms?
Audit, tax, consulting, technology, and advisory encompass roles. Employees shall benefit through industry exposure, training, and growth in their careers.
3. How do you qualify or build skills to join the Big Four accounting firms?
Accounting, finance, or business degrees are common, preferred with certifications like CPA or CFA. Analytical, teamwork and IT skills are wanted.
4. What is the work culture in the Big Four accounting firms?
It demands a lot; however, fast learning-to-learn would also provide space and benefits through operational flexibility and wellness programs.
