"Gartner's study pours cold water on the current state of the industry, however, noting that the "mass proliferation" of agentic tools "far exceeds the present demand"."
""While we see early signs of market correction and consolidation, product leaders should recognize this as a regular part of the product life cycle, not a sign of inevitable economic crisis," said Will Sommer, senior director analyst at Gartner."
""Over the longer term, consolidation will enable industry leaders to develop agentic products that meet the technical and business requirements of customers who are presently struggling to adopt AI agents.""
"Simply put, the industry is awash with options and is becoming unsustainable."
Agentic AI solutions surged in 2025 as major providers like Salesforce, Microsoft, and AWS launched dedicated services enabling automated agents to act on behalf of workers. These agentic systems differ from traditional generative AI assistants or copilots by executing tasks autonomously rather than solely supporting users. Enterprise investment in agentic AI has increased, driving rapid product proliferation. Supply now outpaces demand, creating market saturation that many view as unsustainable. A market correction and consolidation by larger providers is expected, with consolidation seen as a pathway for leaders to build technically and commercially viable agentic products and improve enterprise adoption.
Read at IT Pro
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