Research

2025 High-Tech & Software Industry Outlook

4 key trends shaping the software industry in 2025

December 04, 2024

High-Tech & Software Industry Trends in 2025

Shifting from the Years of Efficiency to the Year of Efficient Growth
Tech companies must balance cost management with resource allocation and data-driven product strategies to drive efficient growth.
Navigating the AI Transition
Embracing AI-driven changes to products, workflows, and workforce management unlocks opportunities for innovation and efficiency.
Extracting Maximum Value from Data and Content
Treating data as a core asset enables tech companies to secure competitive advantages and maximize its untapped potential.
Assessing the Investment Climate
Lower interest rates and intensified competition for high-quality assets are shaping a value-driven investment environment.

Advancing with Purpose in 2025

While the “Years of Efficiency” brought streamlined operations, 2025 signals a shift toward purposeful, efficient growth. Companies must refine strategies to deliver measurable impact, rationalizing product portfolios, navigating AI innovation, managing workforce transitions, and maximizing data value.

AI presents both a significant opportunity and a potential threat to tech companies. Incumbents with large data assets have an early-mover advantage but must act quickly, as new entrants seek disruption. Customer adoption of AI is not guaranteed, as the technology challenges traditional workflows. Tech companies must adapt operating models and innovate internal processes to drive focus and efficiency.

This outlook provides actionable insights for software leaders to embrace AI, reimagine data use, and make bold moves. 2025 is an opportunity to redefine high-tech and software, laying the foundation for lasting innovation. - Dhaval Moogimane, Industry Lead, High-Tech & Software