While it’s something of a cliché to describe today’s tech environment as ever-changing, Accenture’s Pulse of Change Index shows that this characterization is merited. The 2024 survey found that 88% of business leaders expect this year’s rate of change to outstrip the 33% seen in 2023.
In my final blogpost of 2024, I’d like to look at five transformative shifts that will drive change in 2025, some of which are also covered by Gartner’s recently published Tech trends for 2025.
It’s Not Just about AI…
Regular readers of this blog won’t be surprised to hear that AI plays a pivotal role in the tech trends for the year ahead. Currently, 97% of executives expect generative AI to transform industries and play a major part in strategies over the coming three to five years. But AI isn’t the only show in town. Let’s take a look at some of the other technologies that will be trending in 2025.
Serverless Computing: The New Standard for Scalability
Our first tech, serverless computing, enables developers and enterprises (especially small enterprises and startups) to dynamically control the provisioning and allocation of servers – with no need to manage infrastructure. As a result, organizations no longer need to worry about server operations or runtimes and can focus squarely on their core projects or products.
But don’t be misled by the term “serverless”: It’s not that servers are no longer involved. Rather, the necessary machines are managed by cloud service providers. As a result, developers can enhance their operational efficiency while enterprises benefit from accelerated time-to-market and lower initial investments – a major plus for startups.
Serverless architectures have particularly appealing benefits for post-merger integrations since they reduce the time-to-value of M&A deals. And while serverless computing is already well established in many sectors, experts predict a growing trend toward the tech in the coming years: Valued at USD 9.84 billion in 2023, the global serverless architecture market is expected to top USD 50 billion by 2031.
Agentic AI: Beyond Generative AI
Unlike traditional AI, agentic AI operates autonomously to achieve predetermined goals, making decisions and executing actions independently of user input. The AI agents that give the tech its name learn to adapt to user expectations by storing past interactions and planning future actions. And by doing so, they also improve their adaptability over time.
Agentic AI holds particular promise for industries where real-time decision-making is a must. For example, it could enable supply chain systems to proactively identify risks, reroute resources as needed, and negotiate supplier terms autonomously.
Of course, a technology of this kind also has its challenges. Ethical questions and governance must be given careful consideration. And as the systems gain autonomy, it will be critical to establish transparency, accountability, and trust. These hurdles notwithstanding, Gartner predicts that by 2028, agentic AI will make at least 15% of day-to-day work decisions autonomously.
Spatial Computing: The Next Dimension of Interaction
By merging augmented reality (AR), virtual reality (VR), and mixed reality (MR), spatial computing offers users immersive experiences that blend physical and digital environments seamlessly. Since last year’s release of Apple’s Vision Pro spatial computer, the technology has made impressive strides toward mainstream adoption – as shown by the examples of immersive shopping and virtual try-ons in the retail sector.
Such is the tech’s potential that it’s also becoming increasingly appealing in M&A. Acquiring AR/VR startups or businesses with established capabilities in this area enables companies to create differentiated customer experiences. One example of this is Meta’s acquisition of Luxexcel, which integrates AR into everyday eyewear, improving the tech giant’s consumer offerings.
But while spatial computing holds considerable promise, it, too, brings challenges – such as high costs, data privacy concerns, and significant computational requirements, to name just a few.
The Rise of Industry 5.0: Human-Centric Automation
Where Industry 4.0 centered on digital technology, Industry 5.0 shifts attention to human-centric automation, with AI and robotics augmenting human creativity and ingenuity. And while the central aim of Industry 4.0 was to create smarter factories, Industry 5.0 underscores sustainability, resilience, and personalization.
This trend is exemplified by collaborative robots (“cobots”), which work alongside humans in shared workplaces. Admittedly, this is not a new development; in fact, we’re already well into the 5.0 era. But sustainable and resilient approaches are now more important than ever before, earning Industry 5.0 its place among the top trends for 2025.
Post-Quantum Cryptography: The Future of Cybersecurity
With quantum computing now predicted to render traditional cryptography unsafe by 2029 and fully breakable by 2034, post-quantum cryptography (PQC) represents the next generation in data protection. Its aim? To future-proof cybersecurity by safeguarding sensitive data against quantum-powered attacks.
Unlike quantum cryptography, PQC methods can be implemented on conventional hardware by means of software updates and hybrid cryptographic approaches. This ensures accessibility for organizations while delivering robust protection.
Right now, we’re in the early stages of the transition phase (2024–2027), during which organizations must make an inventory of their cryptographic assets, gauge vulnerabilities, and adopt quantum-resistant methods.
In Summary…
So, what are the key takeaways from the top-five tech trends for 2025? For one thing, many of them share a human-centric dimension – with AI agents, spatial computing, and Industry 5.0 all focusing firmly on collaboration between tech and humans.
As the technology and M&A landscapes continue to evolve at pace, enhanced scalability – of the kind offered by serverless computing – will become ever more important. Cybersecurity will also be an imperative going forward. This is a topic that organizations must address in depth – as evidenced by the emerging threats posed by quantum computing, the rising number of cyberattacks, both within and outside organizations, as well as the growing number of complaints about losses connected to cybercrime, which rose by USD 2 billion year on year to USD 12.5 billion in 2023.
I hope that this snapshot of my top tech trends for 2025 has piqued your interest. I’ll be devoting entire blogposts to some of these topics over the coming 12 months. In the meantime, if you’d like to find out more about any of these trends, please reach out to me. And, as ever, feel free to share your thoughts in the comments section below.
Season’s Greetings
As 2024 comes to a close, I’d like to thank you, the readers of this blog, for your invaluable feedback throughout the past year. I wish you and your loved ones a relaxing and peaceful holiday season and all the best for 2025.
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