IDC predicts that digital spending in the EMEA region will record a significant surge, growing at four times the rate of GDP in 2024 – a trend that it says is indicative of ‘the seminal transformation currently reshaping the regional economy.’ It also proclaims that 2024 will bring the dawn of what it defines as the "AI Everywhere" chapter in the digital business era, reflecting a new phase where artificial intelligence becomes a pervasive and integral part of business operations and strategies.
► 72% of EMEA organisations expect or plan to use AI in next two years
► Growth of AI will add $30 billion in net new spending by 2025
Outlining its key predictions for 2024, the firm said that the rapid ascent and sophisticated integration of generative AI (GenAI) technologies will lead to a ‘pivotal shift’ that will see organisations ‘reimagine how they leverage data’. According to the recent IDC EMEA Emerging Tech Survey, 72% of EMEA organisations are either using or planning to use AI in the next two years.
As companies chart their course through this new landscape, IDC highlights the strategic imperative for leaders across the IT industry to recalibrate their operational blueprints and remain at the vanguard of this AI-centric evolution.
Drivers that IDC expects to have a significant influence the next 12-24 months include:
- ‘AI Everywhere’ – by 2026, 85% of the connected population in EMEA will actively benefit from GenAI in their daily lives, by experiencing improved quality of life in areas such as physical health and mental wellbeing.
- AI budget – by 2025, the digital budget share of AI in EMEA organisations will grow by 40%, leading to an additional $30 billion in net new spending.
- C-suite reaction – In 2024, 40% of CIOs in EMEA organisations adopting AI will team up with line-of-business CxOs to ensure a clear ROI on prioritized use cases, as part of a responsible AI strategy.
- Reimagining productivity – by 2025, 45% of large EMEA organisations will use GenAI to augment process automation, doubling desk worker productivity and freeing up time to focus on higher-value activities.
- Reimagining value creation – by 2026, 70% of large EMEA businesses will achieve real-time decision-making by leveraging an AI-driven single view of the customer, increasing the customer lifetime value by 50%.
- Reimagining innovation – by 2026, 50% of EMEA organisations will use GenAI to augment human creativity in product and service co-design, accelerating time to market for new product and service releases by 2X.
- Reimagining responsibility - by 2025, CIOs in at least 60% of large EMEA organisations will have components of their compensation package tied to environment, social, and governance (ESG) targets.
‘For organisations to take advantage of these new opportunities, creating an intelligent architecture that is supported by a cost-effective digital infrastructure and relevant capabilities is a priority,’ said Andrea Siviero, IDC EMEA research director. ‘At the same time, this journey raises ethical and trust-related questions that purpose-driven organisations need to prepare for.’
