Technology

Artificial intelligence (AI) continues to dominate the spotlight across industries and remains central to technological advancements. Looking ahead to 2025, AI is expected to maintain its trajectory of growth and innovation, with a focus on specialized models, regulatory challenges, environmental sustainability, and more.

Executives and experts from SAS, a global leader in data and AI, have shared their forecasts for key trends and developments shaping AI and business in the coming year.

Key Predictions for AI in 2025

1. Faster Model Training to Reduce AI’s Carbon Footprint

Improved algorithmic efficiency and faster model training are critical to reducing cloud computing consumption and promoting sustainable AI practices. Like the energy efficiency breakthroughs in appliances and automobiles, AI models must also become more energy-efficient to support sustainability efforts, including leveraging clean energy sources such as nuclear power.

"AI needs energy, but with more efficient models, we can support the transition to sustainable energy sources while reducing consumption," said Brian Harris, CTO of SAS.

2. AI Threats to Society and Ethical Challenges

AI’s ability to personalize and scale interactions poses significant risks, including misinformation and social manipulation. These threats impact individuals, groups, and institutions, making it imperative for democratic societies to protect constructive discourse, fair elections, and cultural norms.

"Business leaders must champion ethical AI use by reinforcing core values and implementing clear AI principles and standards," emphasized Steven Thill, Head of Global AI Governance at SAS.

3. Diverging Outcomes from Data Quality

AI success in 2025 will heavily depend on data quality. Companies investing in generative AI will thrive by launching innovative products and creating personalized customer experiences. However, those neglecting accurate data risk setbacks.

"Organizations must address data inaccuracies to fully leverage AI’s potential and remain competitive," noted Marinella Profy, Global Head of Generative AI Strategy at SAS.

4. From AI Hype to Real Business Value

While generative AI continues to generate excitement, 2025 will see a shift toward practical applications delivering tangible business value. Simplified models and targeted usage of large and small language models will drive this transition.

"We are moving beyond AI hype to focus on creating genuine commercial value through streamlined approaches," said Jared Peterson, SVP of Platform Engineering at SAS.

5. Environmental Responsibility for Cloud Providers and AI Users

The rapid adoption of AI has led to resource-intensive models with significant environmental impacts. Both cloud providers and AI users must share the responsibility for reducing energy consumption and improving efficiency through optimized cloud data and AI platforms.

"The joint effort to develop efficient AI models can minimize resource wastage and reduce carbon footprints," explained Jerry Williams, Chief Environmental Officer at SAS.

6. Future Business Leaders Embrace AI Today

Organizations that fully integrate AI will lead in innovation by automating routine tasks and enabling employees to focus on high-value activities. This automation will empower faster decision-making and innovation, giving companies a competitive edge.

"AI-driven businesses will dominate the IT battles of 2025 by unlocking employee potential and accelerating opportunities," Harris concluded.

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