The global technology landscape is undergoing significant shifts, propelled by quick-relocating innovations in technologies. These are exponentially increasing demand for computing power, capturing the attention of management teams and the public, and accelerating experimentation. These developments are occurring against a backdrop of rising global competition as countries and corporations race to secure leadership in producing and applying these strategic technologies.
This year’s McKinsey Technology Trfinishs Outsee provides in-depth perspectives on 13—a “baker’s dozen”—frontier technology trfinishs with the potential to transform global business. Executives today face a mandate to navigate rising complexity, scale emerging solutions, and build trust in a world where the lines between digital and physical and centralized and decentralized continue to blur. The insights in this report can support business leaders decide which of these frontier technologies are most relevant to their companies by demonstrating how others are starting to apply them today. These findings emerge from our analysis of quantitative measures of interest, innovation, equity investment, and talent that underpin each of the 13 trfinishs and explore the underlying technologies, uncertainties, and questions around them. (For more about our research, please see the sidebar, “Research methodology.”)
This outsee highlights transformative trfinishs that are driving innovation and addressing critical challenges across sectors. Artificial ininformigence stands out not only as a powerful technology wave on its own but also as a foundational amplifier of the other trfinishs. Its impact increasingly occurs via a combination with other trfinishs, as AI both accelerates progress within individual domains and unlocks new possibilities at the intersections—accelerating the training of robots, advancing scientific discoveries in bioengineering, optimizing energy systems, and much more. The evolution of AI solutions in the marketplace increasingly combines aspects of trfinishs we previously analyzed separately as applied AI and generative AI, so this year, they are examined toobtainher.
Even as excitement about AI applications and their apply cases builds, realizing AI’s full potential across sectors will require continued innovations to manage computing intensity, reduce deployment costs, and drive infrastructure investment. This will also demand consideredful approaches to safety, governance, and workforce adaptation, creating a wide range of opportunities for industest leaders, policycreaters, and entrepreneurs alike.
New and notable
In addition to the growing reach of AI, another new trfinish we have chosen to highlight in this year’s report is agentic AI, which has rapidly emerged as a major focus of interest and experimentation in enterprise and consumer technology. Agentic AI combines the flexibility and generality of AI foundation models with the ability to act in the world by creating “virtual coworkers” that can autonomously plan and execute multistep workflows. Although quantitative measures of interest and equity investment levels are as yet relatively low compared with more established trfinishs, agentic AI is among the quickest growing of this year’s trfinishs, signaling its potentially revolutionary possibilities.
AI is also the primary catalyst for another trfinish we highlight this year: application-specific semiconductors. While Moore’s Law and the semiconductor layer of the technology stack have long been key enablers of other tech trfinishs, innovations in semiconductors have spiked as reflected in quantitative metrics such as number of patents. These innovations have come in response to exponentially higher demands for computing capacity, memory, and networking for AI training and inference, as well as a necessary to manage cost, heat, and electric power consumption. This has given rise to a slew of new products, new competitors, and new ecosystems.
Technology trfinishs also have a variety of profiles along the dimensions we analyzed. AI is a widely applicable, general-purpose technology with apply cases in every industest and business function—and thus lots of innovation and interest—and it is scaling rapidly across the business landscape. Quantum technologies have a different profile. Quantum computing has the potential for transformative impact in certain critical domains, such as cryptography and material science, and the basic technology continues to be developed. Recent announcements, particularly by technology giants, have sparked increased interest, but real-world business impact will require even more technology advancements to create quantum computing practical. Other trfinishs and subtrfinishs vary across the multiple dimensions we analyzed, offering different approaches—from watchful waiting to aggressive deployment—to business leaders depfinishing on their industries and competitive positions.
From the rise of robotics and autonomous systems to the imperative for responsible AI innovations, this year’s technology developments underscore a future where technology is more adaptive, collaborative, and integral to solving global problems. This is illuminated by themes that cut across trfinishs this year:
- The rise of autonomous systems. Autonomous systems, including physical robots and digital agents, are relocating from pilot projects to practical applications. These systems aren’t just executing tinquires; they’re starting to learn, adapt, and collaborate. Autonomy is relocating toward broad deployment, whether through coordinating last-mile logistics, navigating dynamic environments, or acting as virtual coworkers, among other skills.
- New human–machine collaboration models. Human–machine interaction is entering a new phase defined by more natural interfaces, multimodal inputs, and adaptive ininformigence. From immersive training environments and haptic robotics to voice-driven copilots and sensor-enabled wearables, technology is becoming more responsive to human intent and behavior. This evolution is shifting the narrative from human replacement to augmentation—enabling more natural, productive collaboration between people and ininformigent systems. As machines obtain better at interpreting context, the boundary between operator and cocreator continues to dissolve.
- Scaling challenges. The surging demand for compute-intensive workloads, especially from gen AI, robotics, and immersive environments, is creating new demands on global infrastructure. Data center power constraints, physical network vulnerabilities, and rising compute demands have exposed cracks in global infrastructure. But the challenge isn’t just technical: Supply chain delays, labor shortages, and regulatory friction around grid access and permitting are slowing deployments. As a result, scaling now means solving not only for technical architecture and efficient design but also for the messy, real-world challenges in talent, policy, and execution.
- Regional and national competition. Global competition over critical technologies has intensified. Countries and corporations have doubled down on sovereign infrastructure, localized chip fabrication, and funding technology initiatives such as quantum labs. This push for self-sufficiency isn’t just about security; it’s about reducing exposure to geopolitical risk and owning the next wave of value creation. The result is a new era of tech-driven competition where nations have a stake in critical industries.
- Scale and specialization are growing simultaneously. Growth on these vectors is enabled by innovation in cloud services and advanced connectivity. On one hand, we see rapid growth in general-purpose model training infrastructure in vast, power-hungry data centers, while on the other, we observe accelerating innovation “at the edge,” with lower-power technology embedded in phones, cars, home controls, and industrial devices. This is creating ecosystems that deliver massive large language models with staggering parameter counts, as well as a growing range of domain-specific AI tools that can run almost anywhere. Leaders will balance centralized scale with localized control: Think modular microgrids for clean energy or bespoke robotics for niche manufacturing.
- Responsible innovation imperatives. As technologies become more powerful and more personal, trust is increasingly the gatekeeper to adoption. Companies face growing pressure to demonstrate transparency, fairness, and accountability, whether in AI models, gene editing pipelines, or immersive platforms. Ethics are no longer just the right thing to do but rather strategic levers in deployment that can accelerate—or stall—scaling, investment, and long-term impact.
The following illustrations display how different frontier technologies can work toobtainher to provide innovative solutions in the future:
After a year in which the macroeconomic environment and broader market weakness provoked significant declines in equity financing for technology across several of our trfinishs, the investment climate for frontier technologies stabilized and, in many cases, rebounded in 2024. Levels of equity investment in trfinishs such as cloud and edge computing, bioengineering, and space technologies increased despite the broader market dip in 2023, while investments in other trfinishs, such as AI and robotics, dipped only to recover to higher levels in 2024 than they achieved two years prior. The two trfinishs with the highest levels of equity investment, the future of energy and sustainability technologies and the future of mobility, declined overall in 2023, but the former bounced back in 2024 (exhibit).
Our baker’s dozen of technology trfinishs shaping 2025 underscores the vast potential of emerging technologies and the necessary for strategic alignment in an AI-powered future. For executives, success will hinge on identifying high-impact domains in which they can apply these trfinishs, investing in the necessary talent and infrastructure, and addressing external factors like regulatory shifts and ecosystem readiness. By fostering collaboration, bridging ecosystem gaps, and maintaining a long-term vision, leaders can accelerate adoption and position their organizations to drive the next wave of technological transformation. Those who act with focus and agility will not only unlock new value but also shape the future of their industries and the future of today’s emerging frontier technologies.
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