What if the price of prediction decreased? Prediction, as you realize, isn’t just seeing the current but additionally the long run, whether or not 5 seconds from now or 5 years from now.
Synthetic intelligence could be regarded as a prediction machine as a result of it takes data you’ve gotten and delivers data you don’t have.
Traditionally, prediction has been extraordinarily costly, however that’s now not true. On the earth of tech, prediction used to require armies of engineers and proprietary knowledge, however now LLMs provide off-the-shelf options at a fraction of the associated fee. As I shared at Attain Europe 2025, the falling price of prediction – very like the dramatic drop in the price of synthetic gentle a century in the past when the lightbulb was invented – is creating unprecedented alternatives for innovation and entrepreneurship.
To remain aggressive in such a fast-paced atmosphere, European (and international) companies ought to monitor these three AI mega-trends.
1. The agentic AI revolution in Europe
Regardless of issues that privateness laws all through Europe may impede agentic AI adoption, my analysis signifies fairly the other. Enterprise capital corporations particularly in the UK and all through Europe – together with Joint Capital, Octopus Ventures, HP Capital, Runa Capital, Episode One, and Instructor Enterprise Progress – are actively investing in agentic AI startups throughout the area.
There are already practically two dozen promising agentic AI startups in Europe, with a number of rising from Y Combinator. One standout instance is LightOn, a French startup making vital headway in banking, protection, and high-tech markets. These developments sign that the agentic AI explosion is not restricted to Silicon Valley. It is a international alternative that European entrepreneurs are completely positioned to capitalize on.
Understanding the agentic gradient
When discussing agentic AI, I’ve discovered it useful to border the know-how as current on a gradient. This gradient runs from “Waze to Waymo” – from methods that increase human capabilities to people who really rework operations by performing with out people.
On the decrease finish of the gradient are copilots and chatbots, which make suggestions however require people to execute them. Like how Waze makes driving suggestions based mostly on site visitors, however the driver in the end drives the automobile. Transferring up, we see clever assistants with extra reasoning capabilities and entry to exterior instruments. Activity brokers – which might full particular actions independently – symbolize the following degree, with a number of European firms like topo.io out of France creating refined agentic gross sales growth representatives.
Transferring up the gradient, subsequent comes course of brokers that leverage resolution intelligence and might navigate dynamic environments. Lastly, on the prime of the gradient are Programs of Brokers, which might collaborate with different brokers to ship intensive and extremely sophisticated workflows, taking you from must vacation spot. An instance of that is Waymo, the system of vehicles launched by Google that may deploy a fleet of self-driving taxis.
Agentic AI is a pattern I’m notably enthusiastic about. We should always all be watching intently and exploring how we will put these improvements to work for our companies.
2. The reply economic system takes maintain within the UK
Maybe most placing in my latest analysis is how shortly the “reply economic system” is taking root in Europe, notably in the UK. Conventional search – based mostly on search engine marketing and web page rankings – is quickly giving approach to generative AI search that delivers solutions quite than hyperlinks. These LLMs aren’t tuned the identical method conventional search engines like google and yahoo are, and so they don’t have a enterprise mannequin that requires monetizing outcomes and cluttering the consumer expertise.
The statistics are exceptional: site visitors from generative AI sources like ChatGPT and Perplexity to retailers rose tenfold within the UK between July and September 2024 alone. Whereas conventional search nonetheless accounts for 98% of all queries within the UK, this jogs my memory of being at Yahoo when Google emerged – it wasn’t a giant deal till out of the blue it was, disrupting your entire market and taking half our site visitors inside only a few years. And consider software program consumers, who’re normally early adopters of any new instruments that may make them extra productive. G2 analysis discovered {that a} third of them report that search was a bottleneck of their shopping for journey.
For European companies, this shift requires new methods. Implementing Generative Engine Optimization (GEO) to restructure web site content material round answering questions quite than simply advertising and marketing merchandise can be essential. Moreover, being proactive about content material distribution and investing in user-generated content material that comprehensively solutions complicated issues will assist firms present up extra incessantly in giant language mannequin outcomes.
3. AI adoption: Concentrate on utilization
Whereas the alternatives for AI are immense, analysis exhibits that European companies, like their international counterparts, should focus intently on driving utilization to understand their return on funding. In keeping with G2’s evaluation, AI consumers count on to attain ROI inside six months, however the important thing to ROI is not implementing AI quicker – it is growing adoption charges. With this in thoughts, sellers should keep laser-focused on utilization with a purpose to forestall buyer churn.
For this reason at G2, once we overview AI merchandise, we now particularly ask reviewers about their utilization fee for AI instruments. This knowledge helps each consumers and sellers perceive what’s working and what is not. For European companies promoting AI options, making utilization administration a prime precedence – pursuing integrations, leveraging display imaginative and prescient applied sciences, and specializing in decreasing “quitting price” – can be important to success.
keep forward of those tendencies
As the price of prediction continues to fall, European companies have an unprecedented alternative to reinvent themselves. Whether or not it is French startups creating refined brokers for banking or UK retailers embracing the reply economic system, Europe is demonstrating that it will not be left behind within the AI revolution.
For enterprise leaders trying to keep forward of those tendencies, my recommendation is straightforward: make investments now in understanding and implementing agentic AI, put together for the shift to the reply economic system, and focus relentlessly on driving utilization. The businesses that do this stuff properly will not simply survive the AI transformation – they will lead it.
The way forward for AI is not simply being written in Silicon Valley. It is being written in London, Paris, Berlin, and dozens of different European innovation hubs. And at G2, we’re dedicated to being your trusted supply of analysis as this thrilling story unfolds.
In the event you missed it, you’ll be able to view my full session on “The three AI-Mega Developments We’re Watching at G2” and entry each session from Attain on-demand her