Tuesday, 02 January 2024 12:17 GMT

Gartner Says Worldwide AI Spending Will Total $1.5 Trillion In 2025


(MENAFN- Mid-East Info) Continuous Demand for AI Is Expected to Fuel Investments in IT Infrastructure


Dubai, United Arab Emirates, September, 2025 - Worldwide spending on AI is forecast to total nearly $1.5 trillion in 2025 according to Gartner, Inc. a business and technology insights company.

Expert Take:

“The forecast assumes continued investment in AI infrastructure expansion, as major hyperscalers continue to increase investments in data centers with AI-optimized hardware and GPUs to scale their services,” said John-David Lovelock, Distinguished VP Analyst at Gartner.“The AI investment landscape is also expanding beyond traditional U.S. tech giants, including Chinese companies and new AI cloud providers. Furthermore, venture capital investment in AI providers is providing additional tailwinds for AI spending.”

Looking towards 2026, overall global AI spending is forecast to top $2 trillion, led in large part by AI being integrated into products such as smartphone and PCs, as well as infrastructure (see Table 1).

Table 1: AI Spending in IT Markets, Worldwide, 2024-2026 (Millions of U.S. Dollars)
Market 2024 2025 2026
AI Services 259,477 282,556 324,669
AI Application Software 83,679 172,029 269,703
AI Infrastructure Software 56,904 126,177 229,825
GenAI Models 5,719 14,200 25,766
AI-optimized Servers (GPU and Non-GPU AI Accelerators) 140,107 267,534 329,528
AI-optimized IaaS 7,447 18,325 37,507
AI Processing Semiconductors 138,813 209,192 267,934
AI PCs by ARM and x86 51,023 90,432 144,413
GenAI Smartphones 244,735 298,189 393,297
Total AI Spending 987,904 1,478,634 2,022,642

Source: Gartner (September 2025)

Gartner clients can read more in Forecast Alert: AI in IT Spending, 2Q25.

Gartner CIO & IT Executive Conference:

Gartner analysts will provide additional insights on the trends shaping the future of IT and business, including accelerating business transformation, application modernization, infrastructure and operations at the Gartner CIO & IT Executive Conference, taking place September 22-24 in São Paulo and October 6-8 in Dubai. Follow news and updates from the conference on X and LinkedIn using #GartnerCIO.

About Gartner AI Use Case Insights:

Gartner AI Use Case Insights is an interactive tool that helps technology and business leaders efficiently discover, evaluate, and prioritize AI use cases to potentially pursue. Clients can search over 500 use cases (applications of AI in specific industries) and over 380 case studies (real world examples) based on industry, business function, and Gartner's assessment of potential business value.

About Gartner for High Tech Leaders and Providers:

Gartner for High Tech Leaders and Providers equips tech leaders and their teams with role-based best practices, industry insights and strategic views into emerging trends and market changes to achieve their mission-critical priorities and build the successful organizations of tomorrow.

About Gartner:

Gartner (NYSE: IT) delivers actionable, objective business and technology insights that drive smarter decisions and stronger performance on an organization's mission-critical priorities.

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