Forrester predicts significant disruptions to AI infrastructure sector by 2025

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.

2. 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.

3. 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.