IDC FutureScape: Worldwide Artificial Intelligence and Automation 2025 Predictions

IDC FutureScape Figure

• Figure: IDC FutureScape: Worldwide Artificial Intelligence and Automation 2025 Top 10 Predictions

Executive Summary

IDC FutureScape Predictions

• Summary of External Drivers

• Predictions: Impact on Technology Buyers

• Prediction 1: By 2026, 90% of Enterprise Use Cases for LLMs Will Be Dedicated to Training SLMs Because of Cost, Performance, and Expanded Deployment Options

• Associated Drivers

• IT Impact

• Guidance

• Prediction 2: By 2027, AI Adoption Barriers Will Become Indistinct Due to AI Infrastructure Commoditization, Advanced LC/NC Tools, and Security Frameworks, Leading to Reduction of AI Build Costs by Nearly 80%

• Associated Drivers

• IT Impact

• Guidance

• Prediction 3: By 2026, 20% of Frustrated Knowledge Workers With No Development Experience Will Take Charge of Transforming How They Work by Building Their Own Agentic Workflows, Improving Cycle Times by 40%

• Associated Drivers

• IT Impact

• Guidance

• Prediction 4: By 2025, 50% of Organizations Will Use Enterprise Agents Configured for Specific Business Functions, Instead of Focusing on Individual Copilot Technologies to Achieve Faster Business Value from AI

• Associated Drivers

• IT Impact

• Guidance

• Prediction 5: By 2028, 80% of Foundation Models Used for Production-Grade Use Cases Will Include Multimodal AI Capabilities to Deliver Improved Use Case Support, Accuracy, Depth of Insights, and Intermode Context

• Associated Drivers

• IT Impact

• Guidance

• Prediction 6: By 2028, 80% of RAG Implementations Will Be Embedded in Generative AI–Based Features and Products, Increasing Standardization and Transparency About the Use of Contextual Data for Such Applications

• Associated Drivers

• IT Impact

• Guidance

• Prediction 7: By 2028, 80% of Foundation Models Used by Enterprises Will Be From a Maximum of Three Providers as the Market Will Consolidate Due to Unsustainable Business Models

• Associated Drivers

• IT Impact

• Guidance

• Prediction 8: By 2026, 65% of Enterprises Will Adopt Hybrid Edge-Cloud Inferencing as Organizations Fully Integrate Edge into the Cloud Infrastructure and Management Strategy

• Associated Drivers

• IT Impact

• Guidance

• Prediction 9: By 2027, a Third of New AI Applications Will Contain a Diversified Set of Chained Traditional and GenAI Models and Business Rules, Outpacing the Development of New Singular AI Model Applications

• Associated Drivers

• IT Impact

• Guidance

• Prediction 10: By 2027, 80% of Critical AI Decisions Will Require Human Oversight Supported by Visual Explainability Dashboards, Potentially Slowing Processes but Enhancing Accountability

• Associated Drivers

• IT Impact

• Guidance

Advice for Technology Buyers

External Drivers: Detail

• AI-Driven Business Models — Moving from AI Experimentation to Monetization

• The Drive to Automate — Toward a Data-Driven Future

• Future Proofing Against Environmental Risks — ESG Operationalization and Risk Management

• AI-Driven Workplace Transformation — Building Tomorrow's Workforce Today

• Regulatory Flux — Navigating Compliance Challenges in a Shifting Policy Landscape

• Responsible and Human-Centric Technology — Ethics in the Enterprise

• Battling Against Technical Debt — Overcoming Hurdles to IT Modernization

Learn More

• Related Research