Overview

• Over 40% of agentic AI initiatives are forecast to be abandoned by the end of 2027 owing to high costs, unclear business value.
• Most agentic AI initiatives remain early-stage experiments with minimal measurable returns.
• Many vendors engage in ‘agent washing’ by rebranding existing AI assistants and chatbots, resulting in just 130 providers with genuine capabilities.
• Gartner’s survey of 3,412 vendors finds that 19% of organizations have invested heavily in agentic AI, 42% have taken conservative positions, 31% remain undecided, 8% have made no investments.
• Major tech firms such as Salesforce and Oracle have invested billions in AI agents to boost margins and optimize costs despite doubts over their maturity.