The new frontier: the rise of Agentic AI

May 2025  |  FEATURE | BOARDROOM INTELLIGENCE

Financier Worldwide Magazine

May 2025 Issue

Artificial intelligence (AI) has rapidly become almost ubiquitous. As companies prioritise speed and efficiency, AI has surged onto the global stage, with widespread adoption by organisations and individuals alike.

As AI continues to evolve and become more sophisticated, new forms are emerging. Generative AI (GenAI), known for applications like ChatGPT and Google’s Gemini, has been prominent. However, it is now being surpassed by Agentic AI, one of the most advanced forms of AI to date.

GenAI primarily focuses on pattern recognition and predictive analytics. In contrast, Agentic AI introduces a new paradigm where AI systems can independently initiate actions, make decisions and execute complex workflows with minimal human intervention.

Agentic AI can perform complex tasks, make decisions and adapt in real-time with minimal human input. It uses AI agents working together to execute tasks and make independent decisions based on learned datasets, context and interactions with their environment. These agents learn and adapt over time, enabling them to ‘think’ for themselves. Indeed, Agentic AI can independently perceive, reason, act and learn without constant human guidance.

Agentic AI enhances decision making by autonomously selecting actions for desired outcomes, improving performance over time. It quickly analyses complex data, reducing manual modelling and enabling scalable solutions. This technology upskills teams to manage projects through natural language, though it requires robust governance and orchestration tools. Effective implementation necessitates clear guidelines on autonomy, security and data privacy.

The applications for Agentic AI will be multifaceted, impacting various industries, particularly the financial sector. It can enhance finance by rapidly processing data, increasing decision accuracy, personalising customer interactions and adapting to complex market conditions, bringing finance closer to process autonomy.

Considering the potential applications and their likely impact, it is no surprise that investors and companies are taking notice. Gartner predicts that Agentic AI will be one of the most transformative forces reshaping enterprise technology landscapes over the next 24 months.

Similarly, Dataintelo shares a positive outlook regarding the Agentic AI market, projecting that its size is projected to reach $48.5bn by 2032, from approximately $10bn in 2023, demonstrating a robust compound annual growth rate of 19.4 percent. Growth in the Agentic AI market will be driven by technological advancements, increasing demand for automation across various industries, and the rising necessity for efficient and intelligent systems that can autonomously manage complex tasks. Agentic AI is widely adaptable and scalable, and as such, Agentic AI systems can be easily integrated into a wide array of sectors in the coming years.

According to Gartner, by 2028, 33 percent of enterprise software applications will incorporate Agentic AI, a substantial increase from less than 1 percent in 2024. Likewise, 20 percent of digital storefront interactions will be conducted by AI agents, and 15 percent of day-to-day decisions will be made autonomously, fundamentally reshaping decision-making processes. The report also suggests that “Agentic AI will introduce a goal-driven digital workforce that autonomously makes plans and takes actions – an extension of the workforce that doesn’t need vacations or other benefits”.

Despite its potential, Agentic AI, like all cutting-edge technologies, will present challenges that require careful consideration and proactive management. Accountability is a significant concern for all forms of AI, and Agentic AI is no exception. If an AI agent makes a mistake, who is responsible? The AI itself, the company, or the technology provider? Transparency in decision-making processes is also crucial; AI-generated outputs and decisions must be explainable. Additionally, from a security standpoint, AI agents are vulnerable to corruption and hacking, so it is essential to protect Agentic AI systems from malicious actors.

There is also an important human factor to consider. Organisations must ensure that automation enhances rather than diminishes human roles. Robust regulatory frameworks, clear guidelines and guardrails, and continuous oversight are needed to build trust and support the continued adoption of Agentic AI technologies.

The potential for Agentic AI to revolutionise industries and redefine technological innovation is immense. To fully leverage the advantages of Agentic AI, such as better adaptation to the evolving digital landscape and gaining a competitive edge in an increasingly complex world, companies must adopt a balanced approach. This approach should maximise the benefits of the technology while addressing ethical and operational challenges. By investing significant resources in training, infrastructure and governance processes, companies and their employees can responsibly and effectively deploy Agentic AI in the future.

Agentic AI could revolutionise how we approach work and problem solving, transforming industries through enhanced productivity and increased innovation. Embracing the next phase of the AI revolution will create growth opportunities for businesses across all sectors.

© Financier Worldwide

BY

Richard Summerfield