Happy New Year!
I have looked at various industry prediction for 2025 such as those from Deloitte and Gartner based on that I have drown my own conclusion based on my understanding of the key trends and developments as I see them. It will come as no surprise that I see AI and cybersecurity – in the broadest sense- as the two major issues for the new year.
As in previous years also the technological landscape in 2025 promises profound shifts that will further reshape industries, societies, and how we interact with the world. As emerging innovations converge and mature, this year will not simply be about adopting new tools but about integrating them – in particular AI – meaningfully into our lives and businesses. At the same time, these advances bring challenges, especially in governance and ethics, that demand thoughtful responses. As we have discussed in previous articles.
In 2025, the dominance of artificial intelligence will grow, with its influence extending from back-end operations to customer-facing experiences. The integration of AI with edge computing—where data is processed closer to its source—will enable real-time decision-making across industries. This will revolutionise areas like healthcare, where edge-enabled devices can monitor patients continuously, or logistics, where supply chains can adjust dynamically to disruptions. As mentioned before neuroscience is one of those areas.
But AI’s true potential lies in its orchestration of hyper-automation. We are entering an era where entire workflows, rather than isolated tasks, are automated. Factories, for example, could achieve unprecedented efficiency by connecting IoT devices with AI-driven orchestration, enabling machines to optimise themselves while seamlessly collaborating with human workers. We only discussed this a few weeks ago highlighting yea on then one side global progress but also increased many of society’s challenges.
The rise of immersive technologies, particularly extended reality (XR), will transform how businesses engage with customers. Retailers will create interactive virtual stores, allowing customers to explore products in realistic settings from the comfort of their homes.
The smart phone and apps will be key tools in this development, something we already foreshadowed back in early 2022 in an article I wrote on Facebook.. Reviewing this I always find it fascinating to see that while predictions quite often correctly spot the trend, timeframes are often much longer that what the companies predict.
Training and education will also see dramatic improvements, with lifelike simulations offering safe, effective ways to build skills and knowledge.
However, with greater technological power comes greater responsibility. As AI becomes more pervasive, ethical concerns must take centre stage. Issues such as bias, transparency, and accountability cannot be sidelined if we are to ensure that AI serves humanity equitably. Robust governance frameworks will be critical, as will the development of explainable AI systems that make decisions clear and justifiable. Organisations that fail to address these issues risk losing the trust of their customers and regulators. It is good to follow what is happening in Europe as the EU has taken the leadership role in AI regulations.
While I am not as concerned about AI achieving sentience as many people warn about, I am more worried about our tendency to let AI systems work for us out of convenience, without giving thoughtful attention to potential cascading failures and other vulnerabilities. Recent cascading failures in our telecommunications networks demonstrate the kinds of disruptions this can cause—disruptions that could become much worse with AI. The best way to manage the future is for us deliberately creating it in a responsible, ethical caring and safe way.
Security will also be a significant concern as quantum computing looms on the horizon. Traditional encryption methods may soon be rendered obsolete, and forward-thinking businesses are already preparing for this by adopting quantum-resistant cryptographic techniques. The stakes are high—without proactive measures, sensitive data could be exposed to unprecedented threats. We recently discussed the latest regulatory steps taken by the Australian Government.
Beyond the individual technologies, 2025 will see the lines between the physical and digital worlds blur further. Cities will become smarter, integrating IoT, AI, and spatial computing to create environments that anticipate and adapt to human needs. Infrastructure embedded with sensors will detect and address problems before they escalate, and digital twins will allow industries to optimise operations in virtual spaces before implementing changes in the real world.
Very importantly, all these developments will demand a resilient and adaptable workforce. The skills of yesterday will not suffice for tomorrow. Workers will need to embrace continuous learning and develop interdisciplinary thinking. Companies that invest in their people will be the ones to thrive, as their employees are better equipped to harness the power of these transformative tools.
While the vision for 2025 is undeniably exciting, it is also sobering. Technology alone cannot solve humanity’s challenges. Without ethical responsibility and a focus on people, even the most advanced systems risk exacerbating existing inequalities. As we stand on the cusp of this transformation, the choices we make now will define not only the next year but the decades to come. Technology doesn’t stand in isolation, next year will most likely be even more challenging both on a geo-political level, the new Administration in the USA will have an enormous influence on this as well the potential of the various international conflicts, especially if they get further out of hand. The links above are leading t two articles that you also might find interesting.
Paul Budde