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Agentic AI Market Size, Share & Growth Report by 2033

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Agentic AI Market Overview

The global agentic AI market size was valued at USD 5.78 billion in 2024 and is estimated to grow from USD 8.31 billion in 2025 to reach USD 154.84 billion by 2033, growing at a CAGR of 44.21% during the forecast period (2025–2033). Rising demand for intelligent automation, enhanced decision-making, and efficiency across enterprises is driving the agentic AI market. Advanced ML, multi-agent systems, and ready-to-deploy solutions enable scalable operations, improved customer experiences, and reduced operational costs worldwide.

Key Market Trends & Insights

  • North America held the largest market share, over 40% of the global market.
  • By technology, the machine learning segment held the highest market share of over 30.5%.
  • By agent system, the single agent systems segmentis expected to witness the fastest CAGR of 47.14%.
  • By type, the ready-to-deploy agents segment is expected to witness the fastest CAGR of 42.44%.
  • By application, the customer service and virtual assistants segment held the highest market share of over 30%
  • By end-user, the enterprise segment held the highest market share of over 35%.

Market Size & Forecast

  • 2024 Market Size: USD 78 billion
  • 2033 Projected Market Size: USD 84 billion
  • CAGR (2025-2033): 21%
  • North America: Largest market in 2024

Agentic AI refers to artificial intelligence systems capable of acting independently to achieve goals, rather than only responding to human instructions. These AI agents can plan, make decisions, and execute tasks autonomously, often using reinforcement learning, natural language processing, and advanced algorithms. By continuously observing environments, predicting outcomes, and adapting strategies, agentic AI can solve complex problems, manage workflows, or optimize operations with minimal human intervention, effectively functioning as self-directed digital agents.

The growth of agentic AI is fueled by advancements in computational power, cloud infrastructure, and real-time data analytics, enabling faster and more efficient autonomous operations. Industries such as healthcare, logistics, and finance can leverage agentic AI to enhance precision, reduce operational costs, and improve service delivery. Moreover, integration with IoT and robotics presents opportunities for innovative applications, from smart manufacturing to personalized services, allowing organizations to automate complex tasks while gaining insights for strategic decision-making.

Latest Market Trend

Shift toward autonomous decision-making

The global agentic AI market is witnessing a clear shift toward autonomous decision-making, where AI agents are moving beyond simple task execution to making context-aware, strategic choices with minimal human intervention. This trend is fueled by advances in generative AI, reinforcement learning, and multi-agent collaboration systems.

Businesses are increasingly adopting these autonomous agents to handle dynamic operations such as supply chain optimization, financial trading, and customer engagement. The ability of agentic AI to adapt, self-learn, and respond in real time enhances efficiency and scalability. As trust and explainability improve, autonomous decision-making is becoming a defining feature of next-gen AI adoption.


Market Driver

Rising investments in AI research

Rising investments in AI research are a key driver of the global agentic AI market, enabling rapid advancements in autonomy, reasoning, and multi-agent collaboration. Major technology companies, governments, and venture capital firms are increasingly funding projects that push the boundaries of intelligent decision-making systems.

  • For instance, in July 2025, Thinking Machines Lab, founded by former OpenAI CTO Mira Murati, secured a record-breaking $2 billion Series A funding round at a $10 billion valuation, underscoring investor confidence in agentic AI.

Such significant capital inflows accelerate innovation, attract top talent, and drive the commercialization of next-generation AI solutions across industries worldwide.

Market Restraint

High computational and infrastructure costs

High computational and infrastructure costs remain a major restraint in the global agentic AI market. Deploying advanced agentic AI systems requires powerful GPUs, high-performance cloud platforms, and extensive storage to process vast datasets. This leads to significant capital expenditure, making adoption difficult for small and mid-sized enterprises.

Moreover, ongoing expenses for system maintenance, energy consumption, and software updates further strain budgets. These high costs limit large-scale deployment and create disparities between tech giants and smaller players, slowing down overall market penetration.

Market Opportunity

Emerging applications in defense & space

Emerging applications in defense and space present significant opportunities for the agentic AI market, as militaries and space agencies increasingly seek autonomous solutions for complex and high-risk operations. Agentic AI enables real-time decision-making, mission planning, and multi-agent coordination in environments where human intervention is limited or unsafe.

  • For instance, in May 2025, Applied Intuition introduced two defense-focused product lines—Axion and Acuity—designed to accelerate deployment of autonomous systems across air, land, sea, and space. Notably, the company also converted a GM Infantry Squad Vehicle to full autonomous operation within just 10 days, showcasing rapid adaptability.

Such advancements highlight how agentic AI is becoming central to next-generation defense strategies and space exploration initiatives.

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Regional Analysis

North America: Dominant Region

North America remains the dominant region in the agentic AI market, supported by advanced technological infrastructure, strong R&D capabilities, and robust investment in AI-driven innovation. The region leads in enterprise adoption across sectors such as finance, healthcare, and retail, where AI agents streamline operations and customer engagement. For example, major automotive firms in North America are integrating multi-agent systems for autonomous vehicle testing and deployment. With a mature digital ecosystem and significant venture funding, the region continues to set benchmarks for global agentic AI adoption.

  • The United States agentic AI market is witnessing strong adoption across enterprises, driven by demand for automation, customer service enhancement, and intelligent decision-making tools. Companies are deploying ready-to-deploy agents to streamline workflows, improve productivity, and personalize customer experiences. With extensive use cases in sectors such as financial services, healthcare, and defense, the U.S. is rapidly scaling AI-driven innovations.
  • Canada’s agentic AI market is expanding steadily, with enterprises embracing AI to optimize processes, improve service delivery, and enhance decision-making. Industries such as healthcare, logistics, and retail are integrating intelligent agents to manage complex operations more efficiently. Ready-to-deploy solutions are particularly popular, helping businesses achieve faster digital transformation without heavy technical resources.

Asia-Pacific: Significantly Growing Region

The Asia-Pacific region is experiencing significant growth in the agentic AI market, fueled by rapid digitalization, strong government support, and expanding enterprise adoption. Countries across the region are deploying agentic AI in applications like e-commerce, financial services, and manufacturing, driving both efficiency and innovation.

For example, leading telecom operators in Asia-Pacific have integrated virtual assistants to handle large-scale customer service demands, reducing costs while enhancing user satisfaction. With increasing investments in AI infrastructure and rising demand for intelligent automation, the region is emerging as a global growth hotspot.

  • China’s agentic AI market is accelerating, supported by large-scale investments, strong government backing, and an ecosystem of leading tech companies. Enterprises are leveraging multi-agent systems and machine learning-based agents for applications in manufacturing, smart cities, and retail. The rise of AI-powered virtual assistants and robotics in consumer and enterprise sectors highlights China’s leadership in applied innovation.
  • India’s agentic AI market is growing rapidly, driven by digital transformation initiatives across industries such as banking, healthcare, and e-commerce. Enterprises are adopting ready-to-deploy agents for customer service, process automation, and data-driven decision-making. The increasing demand for multilingual virtual assistants is also boosting adoption, catering to the country’s diverse user base. With strong government-led AI initiatives and expanding startup ecosystems, India is positioning itself as a key growth hub.


Market Segmentation

The global agentic AI market is bifurcated by technology, agent system, type, application, and end-user.

Technology Insights

The Machine Learning segment dominates the global agentic AI market, driving advanced predictive capabilities, decision-making, and automation across industries. Its ability to learn from data, adapt to patterns, and optimize outcomes makes it the backbone of intelligent agents. From fraud detection and recommendation engines to autonomous navigation, machine learning algorithms are powering scalable and reliable agentic solutions. With rising adoption in finance, healthcare, and enterprise automation, machine learning remains the key technology propelling innovation and shaping the competitive edge in agentic AI.

Agent System Insights

The multi-agent systems segment dominates the agentic AI landscape, offering collaborative intelligence where multiple agents interact to achieve complex objectives. This approach enables scalability, resilience, and real-time adaptability in dynamic environments. Widely applied in logistics, defense, and smart city infrastructure, these systems enhance decision-making by distributing tasks across interconnected agents. Their ability to manage interdependencies and deliver coordinated outcomes makes them essential for industries demanding efficiency and autonomy.

Type Insights

The Ready-to-Deploy Agents segment dominates the market, offering organizations pre-built, easily integrable solutions that reduce development costs and deployment time. Businesses increasingly favor these agents for applications like customer service, IT helpdesks, and process automation, where quick implementation is crucial. Their plug-and-play nature allows enterprises to scale AI adoption without heavy technical expertise, making them ideal for improving productivity and user experience. As demand for faster time-to-value rises, ready-to-deploy agents continue to capture the largest market share.

Application Insights

The Customer Service and Virtual Assistants segment represents the largest application segment, dominating due to the growing enterprise focus on enhancing customer experience. These AI-driven agents handle inquiries, resolve issues, and provide 24/7 support, reducing operational costs while improving satisfaction. From retail and banking to telecom, virtual assistants streamline interactions and personalize services, making them indispensable for businesses. With advancements in natural language processing and conversational AI, this segment is expanding rapidly in the global market.

End-User Insights

The Enterprise segment dominates the agentic AI market, as organizations adopt intelligent agents to optimize operations, decision-making, and customer engagement. Enterprises leverage these systems for automating workflows, managing resources, and enhancing productivity across multiple departments. From HR and finance to supply chain and marketing, agentic AI enables cost savings, efficiency, and data-driven insights. With the growing demand for scalability, security, and personalization, enterprises are leading adoption, positioning themselves at the forefront of leveraging agentic AI.


Company Market Share

The agentic AI market is characterized by strong competition, with leading companies focusing on diverse strategies to expand their presence. Many are investing heavily in research and development to advance machine learning, natural language processing, and multi-agent system capabilities. Others are concentrating on building ready-to-deploy agents to meet growing enterprise demand for rapid integration and scalability.

OpenAI

OpenAI, started in 2015 as an AI research organization, has evolved from open collaboration to building advanced large language models. With milestones like GPT series, it now pioneers agentic AI, focusing on autonomous systems, reasoning, and safer, scalable intelligence to transform industries while ensuring responsible innovation.

  • In August 2025, OpenAI officially released GPT-5, introducing it as its most advanced and intelligent model to date. Featuring a unified system that swiftly balances quick responses with deeper reasoning, GPT-5 demonstrates expert-level performance across coding, health, writing, and multimodal tasks, significantly reducing hallucinations and boosting usability.


List of key players in Agentic AI Market

  1. Alibaba Group Holding Limited
  2. Amazon Web Services, Inc.
  3. Apple Inc.
  4. Baidu
  5. Google
  6. IBM Corporation
  7. Meta
  8. Microsoft
  9. NVIDIA Corporation
  10. Salesforce, Inc.
  11. Anthropic
  12. C3.ai
  13. CrewAI
  14. LivePerson
  15. Moveworks
  16. NICE Ltd.
  17. OpenAI
  18. Oracle
  19. ServiceNow

Agentic AI Market Share of Key Players


Recent Development

  • February 2025 – GitHub launched Agent Mode for GitHub Copilot, significantly improving its AI-powered coding capabilities. The update enables Copilot to autonomously process high-level instructions, generate code spanning multiple files, detect errors, and apply fixes with minimal human guidance.


Agentic AI Market Segmentations

By Technology (2021-2033)

  • Machine Learning
  • Natural Language Processing (NLP)
  • Deep Learning
  • Computer Vision
  • Others

By Agent System (2021-2033)

  • Single Agent Systems
  • Multi-Agent Systems

By Type (2021-2033)

  • Ready-to-Deploy Agents
  • Build-Your-Own Agents

By Application (2021-2033)

  • Customer Service and Virtual Assistants
  • Robotics and Automation
  • Healthcare
  • Financial Services
  • Security and Surveillance
  • Gaming and Entertainment
  • Marketing and Sales
  • Human Resources
  • Legal and Compliance
  • Others

By End-User (2021-2033)

  • Consumer
  • Enterprise
  • Industrial

By Region (2021-2033)

  • North America

    1. U.S.
    2. Canada
  • Europe

    1. U.K.
    2. Germany
    3. France
    4. Spain
    5. Italy
    6. Russia
    7. Nordic
    8. Benelux
    9. Rest of Europe
  • APAC

    1. China
    2. Korea
    3. Japan
    4. India
    5. Australia
    6. Taiwan
    7. South East Asia
    8. Rest of Asia-Pacific
  • Middle East and Africa

    1. UAE
    2. Turkey
    3. Saudi Arabia
    4. South Africa
    5. Egypt
    6. Nigeria
    7. Rest of MEA
  • LATAM

    1. Brazil
    2. Mexico
    3. Argentina
    4. Chile
    5. Colombia
    6. Rest of LATAM

Frequently Asked Questions (FAQs)

The global agentic AI market size was valued at USD 5.78 billion in 2024 and is estimated to grow from USD 8.31 billion in 2025 to reach USD 154.84 billion by 2033, growing at a CAGR of 44.21% during the forecast period (2025–2033).

Rising investments in AI research are a key driver of the global agentic AI market, enabling rapid advancements in autonomy, reasoning, and multi-agent collaboration.

The Ready-to-Deploy Agents segment dominates the market, offering organizations pre-built, easily integrable solutions that reduce development costs and deployment time.

Top players present globally are Alibaba Group Holding Limited, Amazon Web Services, Inc., Apple Inc., Baidu, Google, IBM Corporation, Meta, Microsoft, NVIDIA Corporation, Salesforce, Inc., Anthropic, C3.ai, CrewAI, LivePerson, and Moveworks.

North America remains the dominant region in the agentic AI market, supported by advanced technological infrastructure, strong R&D capabilities, and robust investment in AI-driven innovation.



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AI Research

Measuring Machine Intelligence Using Turing Test 2.0

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In 1950, British mathematician Alan Turing (1912–1954) proposed a simple way to test artificial intelligence. His idea, known as the Turing Test, was to see if a computer could carry on a text-based conversation so well that a human judge could not reliably tell it apart from another human. If the computer could “fool” the judge, Turing argued, it should be considered intelligent.

For decades, Turing’s test shaped public understanding of AI. Yet as technology has advanced, many researchers have asked whether imitating human conversation really proves intelligence — or whether it only shows that machines can mimic certain human behaviors. Large language models like ChatGPT can already hold convincing conversations. But does that mean they understand what they are saying?

In a Mind Matters podcast interview, Dr. Georgios Mappouras tells host Robert J. Marks that the answer is no. In a recent paper, The General Intelligence Threshold, Mappouras introduces what he calls Turing Test 2.0. This updated approach sets a higher bar for intelligence than simply chatting like a human. It asks whether machines can go beyond imitation to produce new knowledge.

From information to knowledge

At the heart of Mappouras’s proposal is a distinction between two kinds of information, non-functional vs. functional:

  • Non-functional information is raw data or observations that don’t lead to new insights by themselves. One example would be noticing that an apple falls from a tree.
  • Functional information is knowledge that can be applied to achieve something new. When Isaac Newton connected the falling apple to the force of gravity, he transformed ordinary observation into scientific law.

True intelligence, Mappouras argues, is the ability to transform non-functional information into functional knowledge. This creative leap is what allows humans to build skyscrapers, develop medicine, and travel to the moon. A machine that merely rearranges words or retrieves facts cannot be said to have reached the same level.

The General Intelligence Threshold

Mappouras calls this standard the General Intelligence Threshold. His threshold sets a simple challenge: given existing knowledge and raw information, can the system generate new insights that were not directly programmed into it?

This threshold does not require constant displays of brilliance. Even one undeniable breakthrough — a “flash of genius” — would be enough to demonstrate that a machine possesses general intelligence. Just as a person may excel in math but not physics, a machine would only need to show creativity once to prove its potential.

Creativity and open problems

One way to apply the new test is through unsolved problems in mathematics. Throughout history, breakthroughs such as Andrew Wiles’s proof of Fermat’s Last Theorem or Grigori Perelman’s solution to the Poincaré Conjecture marked milestones of human creativity. If AI could solve open problems like the Riemann Hypothesis or the Collatz Conjecture — problems that no one has ever solved before — it would be strong evidence that the system had crossed the threshold into true intelligence.

Large language models already solve equations and perform advanced calculations, but solving a centuries-old unsolved problem would show something far deeper: the ability to create knowledge that has never existed before.

Beyond symbol manipulation

Mappouras also draws on philosopher John Searle’s famous “Chinese Room” thought experiment. In the scenario, a person who does not understand Chinese sits in a room with a rulebook for manipulating Chinese characters. By following instructions, the person produces outputs that convince outsiders he understands the language, even though he does not.

This scenario, Searle argued, shows that a computer might appear intelligent without real understanding. Mappouras agrees but goes further. For him, real intelligence is proven not just by producing outputs, but by acting on new knowledge. If the instructions in the Chinese Room included a way to escape, the person could only succeed if he truly understood what the words meant. In the same way, AI must demonstrate it can act meaningfully on information, not just shuffle symbols.

Image Credit: top images – Adobe Stock

Can AI pass the new test?

So far, Mappouras does not think modern AI has passed the General Intelligence Threshold. Systems like ChatGPT may look impressive, but their apparent creativity usually comes from patterns in the massive data sets on which they were trained. They have not shown the ability to produce new, independent knowledge disconnected from prior inputs.

That said, Mappouras emphasizes that success would not require constant novelty. One true act of creativity — an undeniable demonstration of new knowledge — would be enough. Until that happens, he remains cautious about claims that today’s AI is truly intelligent.

A shift in the debate

The debate over artificial intelligence is shifting. The original Turing Test asked whether machines could fool us into thinking they were human. Turing Test 2.0 asks a harder question: can they discover something new?

Mappouras believes this is the real measure of intelligence. Intelligence is not imitation — it is innovation. Whether machines will ever cross that line remains uncertain. But if they do, the world will not just be talking with computers. We will be learning from them.

Final thoughts: Today’s systems, tomorrow’s threshold

Models like ChatGPT and Grok are remarkable at conversation, summarization, and problem-solving within known domains, but their strengths still reflect pattern learning from vast training data. By Mappouras’s standard, they will cross the General Intelligence Threshold only when they produce a verifiable breakthrough — an insight not traceable to prior text or human scaffolding, such as an original solution to a major open problem. Until then, they remain powerful imitators and accelerators of human work — impressive, useful, and transformative, but not yet creators of genuinely new knowledge.

Additional Resources

Podcast Transcript Download



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UTM Celebrates Malaysia’s Youngest AI Researcher Recognised at IEEE AI-SI 2025 – UTM NewsHub

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KUALA LUMPUR, 28 August 2025 – Universiti Teknologi Malaysia (UTM) proudly hosted the Institute of Electrical and Electronics Engineers (IEEE) International Conference on Artificial Intelligence for Sustainable Innovation (AI-SI) 2025, themed “Empowering Innovation for a Sustainable Future.” The conference gathered global experts, academics, and industry leaders to explore how Artificial Intelligence (AI) can address sustainability challenges. Among its highlights was the remarkable achievement of 17-year-old Malaysian researcher, Charanarravindaa Suriess, who was celebrated as the youngest presenter and awarded Best Presenter for his groundbreaking paper on adversarial robustness in neural networks. His recognition reflected not only individual brilliance but also Malaysia’s growing strength in the global AI research landscape.

Charanarravindaa’s presentation, titled “Two-Phase Evolutionary Framework for Adversarial Robustness in Neural Networks,” introduced an innovative framework designed to improve AI systems’ ability to defend against adversarial attacks. His contribution addressed one of the most pressing challenges in AI, ensuring resilience and trustworthiness of machine learning models in real-world applications. Born in Johor Bahru, his journey into science and computing began early; by primary school, he was already troubleshooting computers and experimenting with small websites. At just 15 years old, he graduated early, motivated by a passion for deeper challenges. Participation in international hackathons, including DeepLearning Week at Nanyang Technological University (NTU) Singapore, strengthened his resolve and provided the encouragement that led to his first academic paper, now internationally recognised at IEEE AI-SI 2025.

Charanarravindaa Suriess, 17, youngest and Best Presenter at IEEE AI-SI 2025

Beyond academia, Charanarravindaa has also demonstrated entrepreneurial spirit by founding Cortexa, a startup dedicated to advancing AI robustness, architectures, and applied AI for scientific discovery. His long-term vision is to integrate artificial intelligence with quantum computing and theoretical physics to expand the boundaries of knowledge. This ambition is a testament to the potential of Malaysia’s youth in contributing to frontier technologies. His recognition at IEEE AI-SI 2025 reflects IEEE’s mission of advancing technology for humanity, where innovation is seen as a universal endeavour not limited by age. By honouring a young researcher, IEEE underscored its commitment to empowering future generations of scientists and innovators to shape technology for global good.

Charanarravindaa Suriess, 17, recognised as the youngest participant and Best Presenter at IEEE AI-SI 2025
Charanarravindaa Suriess, 17, recognised as the youngest participant and Best Presenter at IEEE AI-SI 2025

During the conference, the Faculty of Artificial Intelligence (FAI), UTM, represented by Associate Professor Dr. Noor Azurati Ahmad, extended an invitation to Charanarravindaa to explore possible research collaborations. This initiative aligns with FAI’s vision to be a leader in AI education, research, and innovation, with a particular focus on trustworthy, robust, and sustainable AI. Early discussions centred on aligning his research interests with UTM’s expertise in advanced architectures and digital sustainability. Such collaboration exemplifies how institutions and young talent can come together to accelerate innovation, while also strengthening Malaysia’s position as an emerging hub for AI research and talent cultivation.

At the national level, this achievement resonates strongly with the Malaysia National Artificial Intelligence Roadmap (2021–2025), which identifies talent development as a central pillar in building an AI-ready nation. Prime Minister Datuk Seri Anwar Ibrahim has repeatedly highlighted the urgency of nurturing local talent to enhance competitiveness and leadership in the global digital economy. Charanarravindaa’s success demonstrates tangible progress in this direction, showcasing how Malaysia can produce young innovators capable of contributing to both national aspirations and international scientific advancement. Through platforms such as IEEE AI-SI 2025, UTM reaffirms its role as a catalyst for excellence in AI research and talent development, embodying its mission to prepare the next generation of scholars and innovators who will drive sustainable futures.



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Databricks at a crossroads: Can its AI strategy prevail without Naveen Rao?

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“Databricks is in a tricky spot with Naveen Rao stepping back. He was not just a figurehead, but deeply involved in shaping their AI vision, particularly after MosaicML,” said Robert Kramer, principal analyst at Moor Insights & Strategy.

“Rao’s absence may slow the pace of new innovation slightly, at least until leadership stabilizes. Internal teams can keep projects on track, but vision-driven leaps, like identifying the ‘next MosaicML’, may be harder without someone like Rao at the helm,” Kramer added.

Rao became a part of Databricks in 2023 after the data lakehouse provider acquired MosaicML, a company Rao co-founded, for $1.3 billion. During his tenure, Rao was instrumental in leading research for many Databricks products, including Dolly, DBRX, and Agent Bricks.



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