What's Happening?
Omdia's latest analysis indicates that agentic AI is significantly outperforming traditional generative AI in terms of market growth. The enterprise agentic AI software market is projected to surge from $1.5 billion in 2025 to $41.8 billion by 2030. This growth is driven by enterprise priorities for automation, with 39% of early adopters citing reduced costs and increased employee productivity as key motivations. Agentic AI's forecasted 5-year compound annual growth rate (CAGR) from 2024 to 2029 is 175%, compared to generative AI's 90% from 2022 to 2027. Automated code development and virtual assistants are identified as major use cases, expected to reach $8.2 billion and $7.7 billion respectively by 2030.
Why It's Important?
The rapid growth of agentic AI highlights a shift in enterprise technology priorities, emphasizing automation and efficiency. This trend could lead to significant changes in workforce dynamics, as businesses increasingly rely on AI to enhance productivity and reduce operational costs. The expansion of agentic AI may also influence investment strategies, as companies seek to capitalize on its capabilities. As agentic AI becomes a larger part of the generative AI market, stakeholders in technology and business sectors must adapt to the evolving landscape, potentially reshaping industry standards and practices.
What's Next?
As agentic AI continues to grow, enterprises are likely to increase their investments in automation technologies. This could lead to further advancements in AI capabilities and integration across various industries. Companies may focus on developing new applications and use cases for agentic AI, driving innovation and competition in the market. Additionally, stakeholders may need to address ethical and regulatory considerations as AI becomes more prevalent in business operations.
