As we approach the end of 2024, it is a perfect opportunity to assess the expectations of the coming year and prepare for new challenges, so this year I decided to share my predictions about the possible technological trends of the coming year.
As the world moves towards 2025, the result of the presidential election in the United States marks the beginning of a period when the resumption of the Trump era will begin to revive the economy.
Every year, sharing my predictions in the fields of markets, technology and business is a source of special pleasure for me. The accuracy of most of my predictions in recent years makes me even more enthusiastic about this topic. In this article, based on my observations, I want to share the main trends of 2025.
1. The expansion of Artificial Intelligence
Artificial intelligence (AI) continues to be one of the most important technologies that continues to change our lives. Considering the changes that the Internet has brought to our lives, the impact of artificial intelligence will be faster and wider. GPT models, especially ChatGPT, act as one of the powerful tools for language-based applications in modern technology. These technologies not only solve existing problems, but also play a key role in the development of language-based systems in the future. The rapid development of GPT models provides wider application opportunities and the emergence of new innovations in this field.
In 2025, Artificial Intelligence (AI) is expected to bring revolutionary changes to the fields of work, life, education and entertainment. The speed and impact of this technology will increase, and the application of innovations will be 5 times faster and 3 times more effective than in previous periods. Automated processes with AI technologies will increase productivity in the workplace. Analytical tools will allow for more accurate and faster decision-making, and digital assistants will lighten workloads. In the field of education, AI will create more effective and personalized learning opportunities. Through virtual learning platforms and smart lesson plans, students will have easier access to educational resources appropriate to their knowledge levels. In short, we should not miss the era of Artificial Intelligence.
The impact of technology on industry and business: As 2025 approaches, artificial intelligence is expected to deliver real and measurable results in various industries. Companies that are currently investing in artificial intelligence and starting to implement this technology are starting to gain a competitive advantage in the market. However, this is not easy for everyone. Many companies are still lagging behind in the implementation of artificial intelligence, both in terms of investment level and speed of implementation.
Some industries, such as the customer service sector, have made the transition to artificial intelligence easier and faster. In these industries, AI tools are already widely used and make customer service faster and more efficient. However, the implementation of artificial intelligence in more complex areas still faces numerous obstacles. However, leading companies such as JPMorgan Chase have started to provide GenAI assistants to their employees, which has led to great success in their strategic implementation. Such innovations bring competitive advantages to companies, and these companies will occupy even stronger positions in the market in the future.
However, the development of artificial intelligence is moving so fast that focusing too much on a particular area may not be the right approach in the long run. A balanced approach between different technologies such as LLMs (large language models), GenAI systems, small language models and AI agents is important. This year's most relevant topic of artificial intelligence may already fall into the background next year. Therefore, these technologies will have an important role not only in this decade, but also in the entire 21st century.
Finally, the impact of artificial intelligence is already recognized by industry experts and this field will develop further. However, the faster and more balanced approach is followed in the application of technologies, the more long-term benefits will be achieved. The future of artificial intelligence will not be limited to this decade, but on the contrary, it will create new opportunities in various industrial sectors throughout the century.
Major Investments and New Projects in Azerbaijan: One of the latest major projects in this field is the implementation of the Socar "Smart Gas Network" Management System project. This project is not only a major step towards the application of artificial intelligence in the energy sector, but also reveals the potential of our country in this field. The total cost of the project is estimated at 480 million US dollars, which indicates the increasing interest and investment in the large-scale application of artificial intelligence in Azerbaijan. Such investments and projects will help our country increase its competitiveness and adapt to technological progress at the global level.
We plan to introduce artificial intelligence technologies on the “mygov” platform of the Innovation and Digital Development Agency, where I work. So, initially, the “mygov LLM” preparation gla will be able to deliver our citizens' requests (questions) to the government through artificial intelligence, either in written (text form) or voice (speech). Mygov LLM will also contribute to the acceleration of digital transformation in public administration and the implementation of innovative solutions.
Impact on the Stock Market: Artificial intelligence (AI) technologies are ready to play an important role in the development of the economy and the stock market. Countries that invest in AI technologies will achieve significant increases in economic indicators in the near future. At the same time, significant improvements are expected in the defense potential of these countries. However, this development is not limited to only positive aspects, but is also accompanied by certain risks and problems. In addition, the negative aspects of the market should also be taken into account. With the widespread application of AI technologies, intense competition is emerging in the market. In this competitive environment, small startups and even some large companies may be forced to exit the market. Successful companies will gain a stronger position in the market and dominate.
2. Data
Data has become one of the most valuable resources in the modern business world and it acts as a key factor in determining the future of companies. As companies move from digital to artificial intelligence and then to a data-driven business model, their database becomes more valuable than their core business.
Creating Competitive Advantage with Data: Data helps companies gain a competitive advantage and strengthen their position in the market. In particular, data about customers or employees can be one of the key factors that make companies different in the market. This data, when applied with the right strategies, serves as a powerful tool to personalize the company's offerings and leave competitors behind.
Playing the Role of Data as a Line of Defense: Data serves as a natural line of defense for companies to protect against competition. When companies manage their data properly, it makes it difficult for competitors to replicate their business model. At the same time, using data effectively helps to strengthen the position of market leader.
Data Ownership and Protection from Competitors: However, leveraging and protecting data is not easy. Companies must be proactive in securing data ownership. Otherwise, competitors can use this data to improve their offerings and seize market leadership. This risk increases, especially when data is not managed within a legal and ethical framework.
The Importance of Data in the Future
In the future, databases will become a key value proposition for companies. Collecting more data and using it wisely will ensure the long-term success of companies. However, data protection and ethical management will be key to ensuring both user trust and legal security.
Data is no longer just a resource; it is a key factor shaping the future of companies. If companies want to gain a competitive advantage and become market leaders, they must take data management seriously, develop strategies to protect this data, and follow ethical rules. Those who make the transition from digital to artificial intelligence and then to a data-driven business model will be the winners of the future.
3. Growing Cybersecurity Threats
Cybersecurity issues will pose more serious risks. Companies will need to increase their security spending as AI further complicates cybersecurity challenges. In addition, the development of Quantum computers increases the risk of cracking existing cryptographic systems. This could jeopardize the confidentiality and integrity of data.
These forecasts indicate that new and more sophisticated cybersecurity threats will emerge in 2025. Therefore, both individual users and organizations must strengthen their cybersecurity measures and implement regularly updated security strategies.
4. Cloud Technology
Most Digital Workloads Are Moving to the Cloud: According to Gartner forecasts, by the end of 2025, more than 95% of new digital workloads will be hosted on cloud platforms, which is a significant increase from 30% in 2021. However, as the impact of generative AI on cloud spending grows, enterprises are expected to invest more in hybrid infrastructure. Enterprises will prefer cloud-based architectures, moving towards more flexible and scalable solutions for storing and processing data. I think that the development of AI at all points of technology, making operations faster and cheaper, will develop Edge solutions. This approach will allow to effectively manage increasing volumes of data.
Traditional Companies Race for Leadership with AI
Technology Giants — Microsoft, Google, Meta, Amazon, and Apple — are investing heavily to become leaders in artificial intelligence (AI). These companies are revamping their business models to maintain their strong positions in the future and adapt to the market.
Big Investments in AI
Microsoft: Invested $10 billion in AI projects in partnership with OpenAI. This supports the development of products like ChatGPT.
Google: Invested $20 billion in AI research and development. Focused on DeepMind and generative AI models.
Meta: Invested $14 billion in Metaverse and AI platforms.
Amazon: Spent $4 billion on AI services and the Alexa platform on AWS.
Apple: Invested $2.5 billion to enhance AI features in Siri and its devices.
2025 will be a year of rapid change and new challenges. The impact of AI will be felt in a wider range of areas this year. The key question for companies and leaders is: how fast and agile will they be able to move to stay afloat in a changing world?
Vurghun Hajiyev