Three-minute explainer on… agentic AI

Tech companies hope agentic AI will deliver on the technology’s productivity promises, but are businesses ready for these autonomous employee substitutes?

Three-minute explainer

Most are now familiar with generative AI platforms, such as ChatGPT and Microsoft Copilot, which respond to text-based prompts from users to answers their questions.

Unlike these tools, AI agents are sophisticated bots that can function autonomously. They require minimal human oversight and are capable of handling more complex tasks.

What is agentic AI?

In theory, agentic systems allow users to set business goals and leave the AI to plan and action them. Research and consulting firm Gartner recently ranked agentic AI as the top strategic technology trend for 2025, predicting that by 2028, at least 15% of day-to-day work decisions will be made autonomously through the tech.

Companies, including Salesforce, Google and IBM, are all betting big on agentic systems. In September this year, Salesforce launched its Agentforce service, which consists of AI agents which customers can give an array of tasks. Google is working on an AI agent that’s capable of completing web-based assignments and Microsoft Copilot offers agents to assist users in performing a variety of tasks.

Microsoft researchers recently revealed Magentic-One, a new agent system that uses one ‘orchestrator AI’ to instruct four other AI agents to complete more complex tasks with multiple steps. Microsoft claims MagenticOne will allow users to “fully realise the long-held vision of agentic systems that can enhance our productivity and transform our lives”.

What does agentic AI mean for business?

Organisations will hope AI can help to drive efficiencies and reduce costs. Big tech is also betting on the success of AI, investing billions of dollars into the infrastructure that powers it. But, so far, the killer use case to drive adoption has been elusive. Could AI agents be the answer?

Agentic AI is at an early stage and it remains to be seen whether the technology will provide real value to organisations. Questions also remain over how employees might react to their new virtual colleagues. While some might welcome the convenience and productivity gains, others may wonder where the automation ends.

Agata Mirowska, assistant professor of HR management and organisational behaviour at Neoma Business School, urged caution. She says: “I worry whether companies are trying to go too far, too fast, without really thinking through the consequences for employees and the workplace experience.”