Synopsis: Hi, I'm Nick Patience, vice president and AI practice lead at Futurum, and these are some of my predictions for AI in 2025.
Hi, I’m Nick Patience, vice president and AI practice lead at Futurum, and these are some of my predictions for AI in 2025.
Agentic AI will take center stage. This is the evolution of the generative AI revolution that started in late 2022. And now we’re getting to the stage where AI-enabled agents are going to be able to make decisions, they’re going to be able to interact with other agents, they’re going to be able to interact with other kinds of software applications, and interact with humans. And this is the evolution of this, where we actually get to the stage where AI can execute business processes. And that opens up all sorts of new opportunities.
This year we’re going to see a successful IPO of one of the AI-focused companies. The IPO market has been fairly fallow in the last few years. There’s been a lot of venture capital invested, obviously, and that also needs to go somewhere. And we’re expecting the IPO market to open up a little bit in 2025. We’re also expecting one of the smaller large-language model companies to get acquired. OpenAI has obviously stormed ahead here and is the dominant player. But there’s quite a few others that are fairly small in comparison to OpenAI, but might make attractive acquisition targets, probably for application software vendors, but maybe also for infrastructure vendors as well.
Agents and reasoning models, these reasoning models where they kind of act sort of like a human with chain of thought reasoning and show they’re working and show how they’re actually coming to a decision, we think both those kind of trends, A, they’re related, and B, they’re going to drive an increase in need for inference infrastructure. So you have more power at the inference stage because of this chain of thought process going on. This is not just putting in a simple question into an LLM in text and getting the answer back or anything like that. This is going to require more investment, we think.
So those are some of my predictions for 2025. Thanks for taking the time to listen. And if you want to know more about these predictions and all of our predictions, you can check out the Futurum Research eBook, which is available now.
