IDC FutureScape: Worldwide Small and Medium-Sized Business 2025 Predictions

IDC FutureScape Figure

• Figure: IDC FutureScape: Worldwide Small and Medium-Sized Business 2025 Top 10 Predictions

Executive Summary

IDC FutureScape Predictions

• Summary of External Drivers

• Predictions: Impact on Technology Buyers

• Prediction 1: By 2025, 70% of SMBs Will Demand Clear Use Cases from Vendors or Managed Service Providers Marketing AI Capabilities Before They Invest In and Implement New AI/GenAI Technologies

• Associated Drivers

• IT Impact

• Guidance

• Prediction 2: By 2027, 50% of SMBs Will Significantly Adjust Their IT Budgets to Factor In AI as the Technology Improves, Vendors Solidify Their AI Pricing Strategies, and AI Becomes Essential to Compete

• Associated Drivers

• IT Impact

• Guidance

• Prediction 3: By 2026, 70% of Medium-Sized Companies Will Accelerate Investments in Digital Platforms for a Majority of Functions to Streamline Operations, Improve Efficiency, and Enhance the Customer Experience

• Associated Drivers

• IT Impact

• Guidance

• Prediction 4: By 2028, 70% of SMBs Will Boost Investments in Hybrid Cloud Due to Rising Security Demands, Including Enhanced Data Protection, Regulatory Compliance, and Support for Remote Work Environments

• Associated Drivers

• IT Impact

• Guidance

• Prediction 5: During 2025, 30% of SMBs Will Refocus Their Sustainability Positioning to Concentrate on Initiatives That Provide Tangible Business Benefits and Demonstrable Cost Efficiencies

• Associated Drivers

• IT Impact

• Guidance

• Prediction 6: During 2025, 50% of SMBs Will Prioritize Tactical AI Use Cases and Investments That Break the Correlation Between Business Expansion and Head Count Growth and Help Them Mitigate Internal Skills Shortages

• Associated Drivers

• IT Impact

• Guidance

• Prediction 7: By 2026, 70% of AI-as-a-Service Technology Vendors Will Provide Dedicated SMB Solutions with Pretrained Models, Limiting Their Need for Heavy Investments in Dedicated Infrastructure

• Associated Drivers

• IT Impact

• Guidance

• Prediction 8: By 2028, 65% of SMBs Will Develop and Manage Digital Business Models as Part of Their Business Corporate Strategy to Create New Revenue Streams and Enable Sustained Growth

• Associated Drivers

• IT Impact

• Guidance

• Prediction 9: By 2027, Due to an Increase in Cyberattacks, 60% of SMBs Will Deploy Sophisticated, AI-Enabled Cybersecurity Solutions, Including Endpoint and Network Security Solutions

• Associated Drivers

• IT Impact

• Guidance

• Prediction 10: By 2027, 60% of SMBs Will Be Investing In Connectivity Technologies That Incorporate AI to Increase Automation of the Network, Accelerate Planning, Improve Experiences, and Optimize Network Security

• Associated Drivers

• IT Impact

• Guidance

Advice for Technology Buyers

External Drivers: Detail

• AI-Driven Business Models — Moving from AI Experimentation to Monetization

• The Drive to Automate — Toward a Data-Driven Future

• AI-Driven Workplace Transformation — Building Tomorrow's Workforce Today

• Regulatory Flux — Navigating Compliance Challenges in a Shifting Policy Landscape

• Expanding Digital Security Frontiers — Fortification Against Multiplying Threats

• Geoeconomic Reordering — Rethinking Globalization, Supply Chains, and Macroeconomic Challenges

• Customer Experience Squared — Consumer and Citizen Expectations for Digital Services

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• Related Research