Thanks in large part to the increased use of artificial intelligence, high-tech, media, and communications companies, home to AI, will account for 53% of the S&P 500’s market capitalization by late 2025, up from 19% in 2008. But the biggest story for the TMT industry next year may be the dawn of a quieter, more mature era for AI, one focused on making AI work at scale rather than flashy breakthroughs.
Deloitte predicts that the gap between AI promise and actual value is likely to narrow from 2026 onwards, driven by steady advances behind the scenes in how organizations meet their AI inference computing needs, derive operational benefits from the orchestration of AI agents, and address workforce shortages with AI-enabled industrial robots and drones. But growth and innovation come with challenges. Geopolitical tensions are exposing vulnerabilities in semiconductor supply chains and driving countries to pursue technological sovereignty. Generated AI videos on social media run the risk of promoting misinformation, potentially leading to calls for regulation and content labeling. Telecommunications providers may also struggle to attract consumers with ever-faster internet speeds and may have to shift to other incentives.
Read the full report to learn more about the opportunities and challenges facing the TMT industry.
