As artificial intelligence continues to evolve, AI agents are at the forefront of technological discussions, with mentions on corporate earnings calls quadrupling in Q4 2024. This trend is set to double again in the current quarter, signalling a significant shift in how AI applications are perceived and utilised in business.
AI agents represent a leap beyond traditional copilots, capable of executing complex tasks with minimal user intervention. From sales prospecting to compliance decision-making, these large language model (LLM)-based systems are reshaping work processes.
According to CB Insights, over half of the companies in the AI agent space have been founded since 2023, and funding for startups in this domain nearly tripled in 2024.
Here are four key trends to watch in the AI agent landscape for 2025:
- Dominance of Big Tech: Major technology firms and leading LLM developers will dominate general-purpose AI agent use cases. Companies like OpenAI, which boasts 400 million weekly active users, are set to enhance the capabilities of AI agents while also applying pressure on smaller players. Enterprises are increasingly inclined to partner with established vendors, favouring their robust distribution channels and lower risk profiles.
- Move Towards Specialisation: The private AI agent market is pivoting from generalist applications to greater specialisation. Successful companies are carving out niches in areas such as customer support and coding, leveraging deeper integrations with workflows and customer data. Industry-specific solutions are on the horizon, poised for wider deployment as indicated by CB Insights' Commercial Maturity scores.
- Structuring the AI Agent Infrastructure: The previously fragmented landscape is becoming more organised, with specialised solutions emerging for different facets of agent development. Key categories include data curation, web search and tool use, as well as evaluation and observability. Full-stack AI agent development platforms represent the largest segment in terms of company activity.
- From Experimentation to Implementation: Organisations are shifting from merely experimenting with AI agents to actively implementing them. A survey by CB Insights found that 63% of respondents regard AI agents as crucial for their operations in the next 12 months. However, challenges around reliability, security, and the need for human oversight remain significant barriers. Addressing these concerns through robust data infrastructure management can facilitate smoother transitions.
As AI agents continue to evolve, the landscape is ripe with opportunities and challenges. Enterprises that strategically adapt to these trends will be better positioned to leverage AI’s full potential in their operations.