×
Forrester predicts significant disruptions to AI infrastructure sector by 2025
Written by
Published on
Join our daily newsletter for breaking news, product launches and deals, research breakdowns, and other industry-leading AI coverage
Join Now

AI’s impact on tech infrastructure in 2025: Forrester’s Predictions for 2025 anticipate significant disruption in the technology infrastructure space, driven by an accelerated demand for AI-powered solutions and the need to demonstrate concrete value from AI investments.

  • The report suggests that 2025 will be a pivotal year for businesses to show real return on investment and tangible benefits from their AI initiatives, justifying the hype and expense surrounding these technologies.
  • The devastating CrowdStrike outage in 2024 has underscored the importance of addressing risk, resiliency, and modern security practices in tech infrastructure.

Key predictions for tech infrastructure and operations:

  1. Major tech vendor to scale back AI infrastructure investment: Forrester predicts that a major high-tech vendor will reduce its AI infrastructure investment by 25% in 2025.
  • This decision is expected to be driven by supply shortages, unmet expectations, and investor pressure.
  • The gap between significant AI infrastructure investments and tepid returns will likely lead to this reduction, with potential candidates including Microsoft, Oracle, Amazon, or IBM.
  • This move is anticipated to encourage other companies to follow suit, potentially causing a cascade effect throughout the market.
  1. VMware deployments to shrink in favor of cloud solutions: VMware’s largest 2,000 customers are predicted to reduce their deployment size by an average of 40% in 2025.
  • This reduction is expected to be driven by increased migration to public cloud services, on-premises alternatives, and new architecture solutions.
  • Despite growing interest in private cloud solutions due to digital sovereignty and cost concerns, VMware continues to face challenges in retaining its market share.
  • Broadcom’s price increases and cost-cutting measures are anticipated to boost net profits, as there are limited credible competitors capable of replacing VMware’s virtualization solutions.
  1. Self-service to become the preferred first-contact channel for service desks: Forrester predicts that 50% of businesses will enable self-service help desks as the first point of contact in 2025.
  • This shift is attributed to improved product offerings and increased comfort in working alongside AI systems like ChatGPT.
  • Advancements in digital employee experience-driven automated endpoint troubleshooting and enterprise service management are expanding the capabilities of self-service solutions.
  • The integration of large language models with self-service platforms is enabling these systems to handle complex tasks, such as device troubleshooting.

Implications for tech leaders: The predicted changes in the tech infrastructure landscape will require careful consideration and strategic planning from industry professionals.

  • Tech leaders should anticipate potential strain on the availability of AI services and infrastructure in 2025 due to reduced investments from major vendors.
  • Companies relying on VMware solutions should explore alternatives and reassess their virtualization strategies in light of the predicted reduction in deployments.
  • Organizations should consider implementing or expanding self-service help desk solutions to improve efficiency and user experience.

Looking ahead: As the technology infrastructure space continues to evolve, businesses must remain agile and adaptable to navigate the changing landscape effectively.

  • The focus on demonstrating concrete value from AI investments will likely drive innovation and refinement of AI-powered solutions.
  • The emphasis on risk management and resilience in tech infrastructure will continue to be a priority following high-profile outages.
  • Tech leaders should stay informed about emerging trends and be prepared to adjust their strategies to align with the evolving market dynamics.
Predictions 2025: Accelerated Demand For AI-Powered Infrastructure And Operations

Recent News

Baidu reports steepest revenue drop in 2 years amid slowdown

China's tech giant Baidu saw revenue drop 3% despite major AI investments, signaling broader challenges for the nation's technology sector amid economic headwinds.

How to manage risk in the age of AI

A conversation with Palo Alto Networks CEO about his approach to innovation as new technologies and risks emerge.

How to balance bold, responsible and successful AI deployment

Major companies are establishing AI governance structures and training programs while racing to deploy generative AI for competitive advantage.