AI/ML, XR and other enterprise tech trends to watch this year

If data is the new oil, tech is nothing less than magic as said in a popular quote, “Any sufficiently advanced technology is indistinguishable from magic.” As we enter another year of accelerated technological growth, with global tech spending forecasted to hit $5.74 trillion, reflecting a 9.3% rise year-on-year, let’s take a look at the key trends such as artificial intelligence (AI) machine learning (ML), cybersecurity, autonomous systems, and extended reality, which may heavily impact businesses across industries.

AI and Machine Learning 2.0

The next generation of AI and machine learning is set to revolutionize industries by developing advanced models capable of self-learning and decision-making with minimal data. This evolution will enhance efficiency and drive innovation across various sectors.
For instance, AI-driven systems are expected to automate complex tasks, leading to significant productivity gains. AI is anticipated to play a pivotal role in the Fourth Industrial Revolution, driving innovation across sectors like healthcare and manufacturing with the help of AI-powered robots.

Evolution of Cybersecurity with AI

The University of Maryland conducted a study and found that a cyber-attack takes place once every 39 seconds. As cyber-threats become increasingly sophisticated, AI-driven cybersecurity systems are emerging as essential tools for real-time threat identification and mitigation.
By 2025, these systems are expected to proactively detect and neutralize attacks before they occur, reducing reliance on manual processes and enhancing incident response times. This proactive approach is crucial in safeguarding sensitive data and maintaining consumer trust.

Autonomous Systems

The development of AI-driven robots and vehicles capable of independent navigation and functioning is advancing rapidly. Companies like Nvidia are investing heavily in robotics to sustain growth, with plans to release new compact computers for humanoid robots by mid-2025.
The global autonomous mobile robots (AMR) market is expected to reach US$2.25 billion in 2025, with the global autonomous driving software market reaching US$2.30 billion. Additionally, expected to grow at a CAGR of 12.17%, the global robotics market, valued at US$89.68 billion, is projected to reach US$159.28 billion by 2029, indicating significant growth and adoption across various industries.

Extended Reality (XR)

Extended Reality (XR), which includes augmented reality (AR) and virtual reality (VR), is transforming how people interact with both real and virtual environments. By 2030, XR technologies are expected to be US$1.5 trillion in value. AR is a part of XR and it is expected to grow at a CAGR of 37% between 2024 and 2028. North America is expected to lead this market and companies like Qualcomm Technologies Inc., Microsoft Corporation, Accenture PLC, and Tata Elxsi Limited are expected to be the top companies in the XR industry.

How will the new tech trends impact industries?

AI and machine learning are set to revolutionize many industries. For instance, in healthcare, it would improve diagnostics, personalizing treatment plans, and improving patient outcomes. Fields like Urology and Gynaecology have already started using robotic arms in surgeries. The integration of AI in healthcare is expected to lead to more accurate diagnoses and efficient treatment processes. Globally, the AI in healthcare market is projected to grow at a CAGR of 49.1%, from US$14.92 billion in 2024 to US$164.16 billion in 2030.

In the retail sector, AI-driven automation and extended reality technologies are set to enhance customer experiences through personalized recommendations and immersive shopping environments. This technological integration is expected to increase customer engagement and drive sales. Retail investments in AI in India are expected to grow to US$31 billion by 2028. This growth is going to be backed by the increased use of AI-powered chatbots for improving customer experience.

The same transformation can be seen in the manufacturing industry. The adoption of autonomous systems and AI-driven robots in manufacturing is anticipated to streamline operations, reduce costs, and increase productivity. Growing at a CAGR of 37.7% between 2019 and 2032, AI in manufacturing is projected to grow to US$695.16 billion globally. This shift towards automation is expected to lead to more efficient production processes and higher output.

Challenges for adopting new technology

Technological advancements come with many benefits but their adoption can also lead to problems. For example, the fast pace of technological advancements makes it important to have a workforce equipped with new skills. Reducing the skill gap through education and training programs is essential to fully benefit from these technologies.

Additionally, the increased use of AI and data-driven technologies also raises concerns about data privacy and security. Implementing solid data protection measures and adhering to regulations are important for maintaining consumer trust. The distribution of autonomous systems and extended reality technologies may also face regulatory challenges. Coming up with clear guidelines as well as standards is important to ensure safe and ethical use. Businesses will have to make sure that they use tech wisely so that technology becomes a useful servant and not a dangerous master.

Conclusion

In 2025, innovations in tech such as artificial intelligence, cybersecurity advancements, and more are likely to transform every aspect of how businesses work and offer consumer satisfaction. Keeping up with these trends is necessary for businesses to remain competitive. As we move forward this year, we can hope that what Tim O'Reilly said becomes true, “What new technology does is create new opportunities to do a job that customers want done.”

(Bhajan Poonia is Chief Technology Officer at OLX India)

Bhajan Poonia

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Bhajan Poonia is Chief Technology Officer at OLX India