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Gartner Predicts that Over 40% of Agentic AI Projects Will Be Discontinued by 2027

  • Gartner predicts that over 40% of agentic AI projects will be discontinued by the end of 2027 due to rising expenses, vague business benefits, or insufficient risk management.
  • A Gartner poll in January 2025 revealed that only around 130 out of thousands of agentic AI vendors possess legitimate capabilities, with many engaging in 'agent washing' to rebrand existing products as agentic AI.
  • Most agentic AI projects are currently in early stages driven by hype and are often misapplied, leading to challenges in moving projects into production at scale.
  • Despite challenges, the rise of agentic AI signifies a significant advancement in AI capabilities and market potential, with forecasts showing a substantial increase in autonomous work decisions and enterprise software applications integrating agentic AI by 2028.

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