25 Predictions: A Year of Acceleration and Execution

As we step into 2025, it’s easy to get swept up in endless predictions about “what’s next.” Instead, I’m choosing to step back and focus on overarching trends that are already reshaping the software industry—and are poised to accelerate even further this year.

The focus for 2025 isn’t about chasing novelty but about refining and doubling down on themes that truly matter. With AI advancing so rapidly, pinpointing specific technological predictions is more challenging than ever. However, themes like operational simplicity, increased accountability, and the rising importance of high-quality data stand out as both timely and essential.

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Here are the key areas I believe will define 2025.

1. Simplicity: From Chaos to Unified Interfaces

Lets start with simplicity in the delivery model. Several years ago, as a consultant, I spent countless hours reviewing spreadsheets, sitting in onsite meetings, and building custom solutions. More often than not, the final product looked very different from the initial demo the client saw. It was a process full of complexity, rework, and long hours.

Fast forward to today, and much of that process can now be handled by AI. A customer can upload a spreadsheet into ChatGPT, ask questions, and get fine-tuned processes in real time. What used to take months of consulting can now happen in minutes/days.

Of course, today’s AI tools aren’t perfect—things like security and audit trails aren’t fully enterprise-grade yet. But my prediction is that 2025, those will improve, and companies will integrate AI into seamless interfaces where workflows can be automated with a few clicks or commands. As a result we will have simpler, faster, and more intuitive implementations.

Simplicity isn’t just about implementations. I still remember how overwhelmed I felt when starting at a large company, trying to navigate endless tools: a Confluence for team notes, another site for sales practices, shared folders, saved report searches, and HR platforms. Even now, I waste hours trying to find what I need.

In 2025, we’ll finally see companies adopt centralized, AI-powered systems that consolidate these tools into a single search interface—a one-stop shop for answers. This long-promised simplicity is within reach, thanks to AI. No more cloud hairballs—just one streamlined UI.

2. End of Reports: Just Ask

Coming from a pre-AI world, my instinct when searching for answers was always to build a report, query a database, build a dashboard/excel model or use SQL. I even marketed those skills as a differentiator for my own career.

But the reality today is that those technical tasks are becoming obsolete. You can now ask a natural-language question—“What were our sales trends last quarter?”—and get an answer in seconds. In 2025, we’ll see even less need for creating reports or dashboards, except for compliance-driven needs.

The real skill will be in asking the right questions, recognizing patterns, and turning insights into action. Logical reasoning, spotting patterns and seeing how it all fits into the big picture to ask the right questions are the new marketable skills.

3. AI Accountability: From Experimentation to ROI

Not long ago, AI budgets were treated as “experimentation costs”—essentially a free pass for trying out new tools without worrying too much about results. But that phase is ending. In 2025, companies will demand clear ROI from AI projects.

I recently completed a mandatory AI training course at work. While helpful, it made me wonder: how much time are companies spending on AI training, implementation, and experimentation without tracking results? This year, CFOs will start tallying those costs and demanding measurable KPIs. The shift will be from “let’s try this” to “show me the value.

4. Platform Dominance: AI Consolidation

The cost of training and maintaining large language models (LLMs) is staggering, and only a few companies can afford it. In 2025, I expect to see more consolidation in the AI space. Many of the companies relying on AI with investors with 70%+ margins, will have a tough time. Many AI-first companies generate significant value but often struggle to capture enough of it for themselves—a scenario reminiscent of Peter Thiel’s observation about the airline industry (his book is one of my favorites).

Smaller players will either be acquired or forced out, while platforms that integrate workflows, data, and AI seamlessly will rise to dominance.

These platforms will create ecosystems where smaller companies can only compete by focusing on niche innovations. It’s a shift that will reshape the market, especially as the cost of AI development continues to climb.

5. Fewer Managers, Higher Standards for ICs

When I think about performance reviews, I’ve often questioned how much they rely on managerial discretion. This year, I believe we’ll see companies rethink this dynamic. With fewer managers and flatter hierarchies, the emphasis will shift to individual contributors (ICs) who can deliver measurable results.

Some companies are already reducing middle management, while others, like Meta, are cutting the bottom 5%. I expect these trends to accelerate. For strong ICs, this presents an opportunity to shine. For others, the lack of managerial oversight and mentorship could create challenges. Either way, the traditional path of climbing into management roles is being replaced by a focus on accountability and performance.

6. Accountability: The Defining Theme of 2025

If I had to choose one theme for 2025, it would be accountability. This year, the focus will be on execution, not experimentation. Leaders will set clear goals, define measurable metrics, and demand tangible results from their teams. Whether inspired by Musk’s no-nonsense leadership or the necessity of addressing high-stakes challenges, companies will demand tangible results from their teams.

Accountability isn’t just a buzzword—it’s the baseline for success in an increasingly competitive world.

7. Professionalism Returns

Over the past few years, workplace norms became increasingly informal. Whether it’s the tone of communication, the quality of presentations, or the overall polish in professional interactions, the bar is being raised.

During the pandemic, it was fine to work in sweatpants and have high-stakes meetings on Zoom. But as automation takes over routine tasks, human interactions will need to rise to a higher standard. Customers will expect professionalism and white-glove service where AI isn’t involved.

2025 will see a renewed focus on delivering high-quality and polished interactions.

8. AI will modernize Legacy Systems

Modernizing legacy systems has always been a headache for large companies. In 2025, AI tools will start to change that. Code agents will help re-platform outdated apps, update old codebases, and accelerate digital transformations. What used to take years will now take months, helping companies stay competitive in a fast-moving world.

Unlike the shift from on-premise to cloud—which, while transformative, was a lengthy and resource-intensive process—the transition with AI is different. The buzz surrounding AI, coupled with its tangible competitive advantages, creates urgency.

9. Data Quality as a Competitive Advantage

AI is only as good as the data behind it. In 2025, the focus on clean, reliable data will intensify. I think Data Warehouses like NetSuite’s NSAW, clean pipelines, and robust processes for data in point-of-record systems will become more critical than ever.

Companies that invest in strong data infrastructure will thrive, while those that don’t will struggle. Data isn’t just an asset—it’s the foundation.

10. Outcome-Based Pricing: Redefining SaaS

SaaS is evolving. Outcome-based pricing, where customers pay only when specific results are achieved, will become more prominent. This shifts the focus from selling licenses to delivering measurable value. It’s a big change, but one that aligns vendor success with customer success—a win for both sides. But, it will require a lot of patience. Both parties must work together to define outcomes, set expectations, and establish fair metrics for measuring success.

By aligning incentives, outcome-based pricing has the potential to make software great again—both for those who sell it and for those who use it.

Final Thoughts: From Ideas to Execution

2025 isn’t about chasing trends—it’s about focusing on what works and executing with precision. Simplicity, accountability, and measurable impact will define the winners this year.

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