Everything is changing everywhere all at once. Executives must track technology and business trends that (a) create opportunities for innovation and growth and (b) may disrupt and reshape entire industries.

The blog post “How Executives Can Avoid Being Disrupted by Emerging Technologies” discusses how to determine which trends will matter and how to experiment with them. Here are the most important emerging trends to watch going into 2025.

Technology Trend 1: Cloud Computing Enables Experimentation and Operations at Scale

Cloud computing is the cornerstone of technological innovation, providing a robust foundation for organizations to build and scale digital transformation initiatives. Cloud infrastructure has become necessary for companies looking to stay competitive and agile.

The ability to rapidly deploy, scale, and manage resources on demand enables organizations to experiment with groundbreaking technologies—AI, generative AI, ML, IoT, edge computing, quantum computing, mixed reality, blockchain, and advanced databases—without significant upfront investment or delays. The cloud democratizes access to these technologies, allowing organizations of all sizes to innovate and compete globally.

The cloud allows developers to build resilient, scalable, and efficient applications faster while facilitating partner integration, remote collaboration, and product and service distribution through SaaS subscriptions and platforms like Amazon Marketplace. And cloud computing use is surging—according to Grand View Research, and market size value will rise from $752 billion in 2024 to $2.39 trillion in 2030 (21.3% CAGR).

Technology Trend 2: AI and ML Become Integral to Operations

AI and ML are increasingly embedded in business processes, from customer service chatbots to supply chain optimization. These technologies drive operational efficiencies, personalize customer experiences, and unlock new revenue streams. Employees can use generative AI to interact with data using natural language, creating high-quality first drafts of tasks like marketing campaigns, legal summaries, and regulatory submissions. A recent McKinsey study reports an average 50% increase in time savings for pharmaceutical companies using generative AI.

Responsible AI development ensures innovations drive value while aligning with ethical standards and social expectations. A commitment to responsible AI can pave the way for more trustworthy and equitable technology solutions that benefit businesses and society.

Technology Trend 3: IoT Provides Durable Value at Scale and Enables Productivity at the Edge

IoT and edge computing are transforming connectivity and large-scale, real-time data processing. As billions of devices become interconnected, organizations gain new opportunities to gather insights, automate processes, and create innovative products and services. Edge computing, where data is collected and often analyzed by sensors in the field, enables faster response times and significantly reduced bandwidth usage, creating new possibilities for autonomous vehicles, smart cities, smart factories, sustainability, and industrial automation.

The rise of digital twins—virtual replicas of physical systems—enables predictive maintenance, experimentation, and optimization. Devices at the edge (e.g., in factories, mines, oil platforms, cars, and aerospace) produce data and send it to the cloud, where it can be analyzed by ML technologies equipped for massive amounts of data. Because a digital twin is a nearly exact representation of the physical environment, you can use it for predictive maintenance and repair, allowing equipment to be replaced when it is least disruptive and least expensive. You can also inject synthetic data and run experiments on the digital twin without risking impacts to the physical system.

Advances in ML algorithms and silicon may enable the next generation of IoT devices to run sophisticated algorithms without an internet connection or local data center, enabling complex systems at unimagined scale and cost efficiency.

Technology Trend 4: Cybersecurity and Data Privacy Are Built In, Not Added On

Organizations will proactively implement robust cybersecurity measures, fostering a security-conscious culture and staying abreast of evolving threats and compliance requirements for data and overall security.

A strong cybersecurity program demonstrates an organization’s commitment to protecting sensitive customer and partner data and building trust, credibility, and confidence.

Technology Trend 5: The Data Explosion—Powering AI and Redefining Business Strategy

Advanced AI technologies simultaneously depend on and drive the data explosion. Organizations can adapt by implementing advanced data integration solutions, including data mesh architectures and AI-powered platforms that combine information from disparate sources.

Real-time analytics and visualization are critical competitive differentiators. Companies that leverage edge computing and streaming analytics gain instant insights and enable rapid decision-making. This capability, coupled with sophisticated visualization tools, empowers executives to navigate complex data landscapes with unprecedented clarity. As data democratization gains momentum through self-service analytics and data literacy programs, employees across all levels can reap the same benefits.

As data’s value soars, so does the importance of robust privacy and security measures. Compliance with regulations like GDPR and the California Consumer Privacy Act (CCPA) is essential. Forward-thinking companies go beyond compliance, implementing innovative security technologies and establishing ethical frameworks for responsible data use.

Business Trend 1: Global Climate Change Impacts All Businesses

Climate change affects business operations universally, requiring new supply chain strategies and location planning based on environmental risks, renewable energy access, and insurance costs. Government initiatives (such as the US CHIPS Act) will increase funding for infrastructure, water desalination plants, batteries, mineral extraction, etc. Natural disaster responders and defense agencies will likely use similar technologies, creating partnership opportunities. Expect governments to lead with carbon credits and penalties and use digital twins to measure and model regional impacts.

Companies are prioritizing sustainability for public benefit and profitability. Amazon met its 100% renewable energy goal in 2023 (seven years ahead of schedule) and has pledged to be carbon neutral by 2040. AWS has committed to being water positive by 2030. Your organization can reduce its carbon footprint by hosting in the cloud—according to 451 Research and Accenture, AWS’s infrastructure is nearly four times more energy efficient than the median of U.S. enterprise data centers.

Business Trend 2: Shifting Global Power Dynamics

Geopolitical realignments create business risks and opportunities while demanding improved security, resilience, and agility. Nations will likely prioritize energy independence, mineral sourcing, digital chip production supplies, and defense. Organizations and government agencies may invest in post-quantum encryption strategies to protect data from future hacking threats. Quantum computers can make computing exponentially faster, and quantum networking enables tamper-evident communications.

Business Trend 3: Data and Operational Sovereignty Concerns

Many countries are worried about digital sovereignty, so selecting technology partners with flexible data sharing and workload management options is paramount. Cloud solutions like AWS European Sovereign Cloud help organizations adhere to local regulations and maintain data control while operating across jurisdictions.

Business Trend 4: Workplace Transformation

Technology and remote work are transforming the workplace. To take advantage of AI- and automation-powered capabilities, your IT department needs to build skills in cloud computing, data science, ML, and cloud architecture. Build technology literacy across your entire organization to foster innovation and encourage collaboration with technical teams. Organizations that rapidly experiment with and implement new technologies can bring products and services to market faster than their less agile competitors.

Industry-Related Trends

Your industry might change in ways you can’t foresee. The medical industry has evolved in response to the COVID-19 pandemic; doctors and patients now communicate via apps and conduct telehealth sessions. Augmented reality enables precise surgical guidance through holographic overlays, and robotics help doctors perform remote operations. As the population ages, medical breakthroughs, including bioengineering, will increase in importance and adoption.

The space industry is also experiencing rapid change. A study by the World Economic Forum predicts the space economy will be worth $1.8 trillion by 2035, up from $630 billion in 2023 (9% annual growth)—well above the growth rate of global GDP. Barriers to entry for commercial companies are dropping as the interest in space surges. Reuters reports an increasing number of space startups. Opportunities for commercial innovation include sustainability monitoring and mineral detection via satellite. Satellites from companies like SpaceX and Amazon’s Project Kuiper will provide internet access to remote locations.

Call to Action

Consider how these converging trends will drive growth, cost reduction, and competitive advantage over the next five to ten years. Each trend comes with potential threats or opportunities for your organization. How will they impact your business?