Gartner Predicts Massive Drop in Agentic AI by 2027

While the world of artificial intelligence continues to evolve at a breathtaking pace, there are also some sobering warnings emerging from industry experts. According to a recent report by Gartner, more than 40% of Agentic AI projects will be abandoned by the end of 2027.

What is Agentic AI?

Agentic AI refers to autonomous systems capable of setting their own goals and taking action independently to achieve them. Tech giants like Salesforce and Oracle are investing billions in this space, hoping to reduce operational costs and increase profit margins through self-operating intelligent agents.

Expectations vs. Reality

Anushree Verma, a senior analyst at Gartner, notes:

“Most AI projects are still limited to early-stage experiments or proof-of-concept models and are often deployed ineffectively.”

Another growing concern is the rise of “agent washing” — a trend where basic chatbots and digital assistants are being marketed as agentic AI without truly possessing autonomous capabilities.

What the Data Shows

  • By 2028, it is expected that 15% of all business decisions will be made through agentic AI, up from zero in 2024.
  • Additionally, 33% of software applications will include agentic AI features by that time.

These projections raise an important question:
Are small and mid-sized businesses prepared for this technological shift?

What Lies Ahead?

While agentic AI holds immense potential, current models are still far from being able to execute complex commercial objectives independently. Therefore, it is critical for businesses to shift their focus toward:

  • The evolution of intelligent systems
  • And their practical, real-world applications

Exploring how agentic technology is being applied in countries like China, and its actual impact, can offer valuable insights for businesses considering these tools.

If you wish to learn more about trending technologies and the latest innovations in software development, stay ahead of the curve with the Azhar Iqbal.

Related Posts: