Market Insight: 10 Predictions For Applied AI Technologies In 2025

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Executive Summary

This report explores key trends expected to influence the applied AI technology market in 2025 and beyond. AI technologies are truly disrupting not just enterprise and industrial software, but almost every system and process in the world. In 2025, AI adoption in practical, impactful use cases will accelerate, with CIOs, CTOs and CDOs driving double-digit budget increases. Following years of unprecedented investment and the near-undivided attention of the top minds in almost every organization, leaders are now grappling with how to press ‘go’ on lengthy AI implementation projects, while navigating drastic improvements offered by global AI labs, regulatory scrutiny and the need for scalable, reliable solutions trusted by a sceptical workforce. This report sets out 10 predictions for the applied AI market, from the rise of lightweight, general purpose and open-source AI models, to the growing role of government in AI infrastructure – and increasingly, oversight. Drawing on global survey data and deep research into vendor as well as buyer strategies, Verdantix analysts present 10 forward-looking predictions to help executives and technology leaders anticipate the opportunities and risks ahead.

Table of contents

10 predictions for applied AI technologies in 2025

About the authors

Joe Lamming

Senior Analyst
Joe is a Senior Analyst in the Verdantix Industrial Transformation practice. His current research agenda covers industrial DataOps, AI/ML analytics and applications of generative AI for industry and enterprise. Prior to joining Verdantix, Joe worked in the consumer electronics industry, where he gained experience in overseas manufacturing, product design and data science. Joe holds an MEng in Mechanical Engineering and Sustainable Energy Systems from the University of Southampton.

Malavika Tohani

Research Director, Industrial Transformation
Malavika leads the Verdantix Industrial Transformation practice. The team’s current research focusses on digital technologies and services that enable industrial operations become safer, efficient and sustainable such as asset maintenance and performance, industrial AI and data management, connected workforce and field service management, process safety and industrial engineering, design and construction. Malavika has over 20 years’ experience in research and strategy consulting. Malavika previously worked at Frost & Sullivan, managing and delivering advisory projects for clients involving expansion, acquisition, benchmarking and product development strategies. Malavika holds a MSc in Economics from Madras School of Economics.

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