
The dominant trend for 2025 is the transition of Artificial Intelligence from a simple cloud feature to a capability integrated directly into hardware. New flagship products (smartphones, laptops) are equipped with increasingly powerful AI chips for local processing. This ‘Embedded AI’ enables faster and more personalised features, ranging from real-time photo enhancement to productivity tool optimisation. Voice assistants are evolving from simple responders to personal managers capable of planning complex days and controlling an ecosystem of connected objects. Human-machine interaction is becoming more natural, shaping the future of consumer technology.
Augmented Reality (AR) and Virtual Reality (VR) are emerging from their niche to become credible interfaces for work and consumption. Devices such as Apple Vision Pro M5 and the new AR glasses promise total immersion in digital worlds, or real-time display of information about the real environment. These glasses go beyond entertainment to become tools for training and collaboration. At the same time, we are seeing the development of new models of human-machine collaboration, using multimodal and haptic interfaces. These technologies aim to augment humans by providing contextual information that improves human performance.
The wearables market continues to diversify, with a marked focus on health and wellbeing in a more discreet manner. While smartwatches remain popular, new formats such as smart health rings are gaining ground. These pieces of jewellery incorporate sophisticated sensors to monitor sleep, stress levels and physical activity with increased discretion. Innovation can also be found in real-time translation earphones and smart heated clothing. These gadgets integrate seamlessly into everyday life, allowing users to take care of themselves without compromising on aesthetics or portability, illustrating the successful fusion of technology and lifestyle.
The growing demand for computing power, particularly due to generative AI and immersive environments, is putting considerable pressure on global infrastructure. Power supply constraints, the vulnerability of physical networks and the explosion in demand for computing power are creating major challenges for deployment. The challenge is twofold: ensuring the scalability of data centres (for large AI models) and the development of edge computing for less power-hungry devices, such as phones and connected cars. The success of the next wave of innovation will depend on the ability to solve these infrastructure, talent and regulatory issues.
Distributed Cloud and Edge Computing are unavoidable trends. Edge computing is expected to reach a market value of £100 billion by 2025. At the same time, the Internet of Behaviour (IoB) is booming. The IoB uses data collected by connected devices (IoT) to analyse and influence human behaviour. For example, logistics companies use it to optimise driver safety by tracking parameters such as speed and braking. IoB raises important questions about data privacy, but it also represents a massive opportunity for companies to tailor their offerings in real time to consumer needs and habits.
Global competition for mastery of critical technologies is intensifying. Nations and companies are investing in sovereign infrastructure, localised chip manufacturing (such as efforts to etch in 1.6 nm) and funding strategic initiatives (quantum laboratories). This quest for technological self-sufficiency aims to reduce exposure to geopolitical risks and capture the next wave of value creation. At the same time, technology is becoming more specialised: alongside large, general-purpose AI models, we are seeing the emergence of a growing range of domain-specific AI tools that can run on small devices, confirming the need to balance centralised scale with localised control.