How Ai Is Redefining Business Models For The Future
by Nohad Ahsan, Last updated: November 19, 2025, Code: As businesses evolve, traditional strategies are no longer enough to stay competitive. This blog explores how AI-driven business models are reshaping industries by enhancing efficiency, innovation, and customer experiences. Discover how AI is driving growth and transforming the way companies operate. Every day, businesses are reinventing themselves using AI. But if you're still relying on traditional models, you're at risk of being left behind.
It’s 2025, and AI is no longer a futuristic concept—it’s a present-day game-changer that’s already redefining the landscape of business. If you’re a business leader, chances are you’ve heard about artificial intelligence, but are you truly aware of its potential to reshape your business model? Let’s walk in the shoes of a business leader navigating digital transformation. They face mounting challenges—rising operational costs, shifting customer expectations, and fierce competition. Without AI business models, keeping up with market trends and delivering personalized experiences becomes increasingly difficult. The pressure to innovate is greater than ever.
Here’s the tough truth: If your business is still running on traditional models—linear, product-focused, or service-oriented—you’re likely missing out on opportunities to leverage AI for growth. AI is the key to unlocking new business models, enhancing operational efficiency, and delivering superior customer experiences. The good news? AI isn't just for tech giants like Google or Amazon. Today, AI is accessible to businesses of all sizes and industries. August 10, 2025This year’s McKinsey Technology Trends Outlook highlights 13 frontier technologies that matter most for companies in 2025.
Not surprisingly, one technology—artificial intelligence—is acting as a foundational amplifier of the other trends, and thoughtful adoption is key. “The time between gen AI capabilities being a competitive advantage and becoming a competitive necessity is dramatically shorter than it was in earlier technological transitions,” write McKinsey’s Bob Sternfels and Yuval Atsmon. “Organizations that master the art of fast adoption will determine the new rules of their industries.” Which industries are adopting AI and how? Explore our latest insights across McKinsey practices and capabilities, including Consumer Packaged Goods, Operations, Business Building, and Life Sciences. The future of AI in the insurance industry
How AI could reshape the economics of the asset management industry The future of customer experience: Embracing agentic AI As you might have sensed, the global AI market is expected to soar. Worldwide spending on AI will reach $632B in 2028 across software, services, and infrastructure (1). As AI features become ubiquitous, product companies are inventing new ways to make money from them. Emerging AI business models are changing how products are priced and sold.
In practice, companies are blending traditional SaaS models with usage fees, premium add-ons, data services, and more, creating creative, AI-driven business models. Below, we explore ten top B2B and B2C models that product leaders are using to monetize AI capabilities. Funnels are fading fast. In this free playbook, Elena Verna, Head of Growth at Lovable, shares why loops powered by AI are the future of growth. AI business models explain how a product captures and grows value from AI capabilities. They apply whether you ship an AI-powered product, use AI to build MVPs, or add AI features to an existing one.
Engine by Starling: From launching a bank to launching a software business AI is fundamentally changing how companies create, customise and scale products and services. Explore what’s ahead and how you can prepare. AI isn’t just improving corporate productivity and efficiency. It’s poised to reshape how value is defined, delivered and captured with its ability to create content, ideas and logic, and solve problems autonomously. The result: new AI-fuelled business models are challenging long-standing business assumptions and further blurring industry boundaries, contributing to massive new value pools and growth opportunities that will emerge over the next decade and beyond.
While past tech shifts—like cloud, mobile and the internet—also enabled new business models and rapid-growth industries, AI is notable in its potential to transform the economics of product and service creation, customisation and scale... In many cases, the large language models at the foundation of GenAI allow companies to create additional units of output—the design of a personalised product, a customer service response or a digital offering—more efficiently,... As a result, companies can create customer value that is less constrained by production costs, including labour. Expanding the scope of how products are produced, distributed and purchased might no longer introduce more operational complexity. And managing all types of capital—financial, physical assets and talent—may no longer be limited by data bottlenecks. Instead, companies can act on data at the speed it’s generated for adaptive decision-making.
Artificial intelligence is no longer a futuristic experiment. It is embedded in systems, shaping insights, customer journeys, and the strategies that separate leaders from laggards. For senior executives, the question is clear: how do you turn AI growth into sustained business advantage? At Simon-Kucher, we see AI not as an add-on technology, but as a catalyst for commercial reinvention. Success lies not just in deploying AI tools, but in aligning pricing, packaging, and governance to capture the value they create. The artificial intelligence market is scaling at unprecedented speed.
By 2030, AI could add over $15 trillion to global GDP, with projections of market size growth through 2025 pointing to consistent double-digit gains. Industries are already feeling the impact. In finance, AI technology enhances fraud detection and enables personalized advice. In healthcare, predictive models accelerate diagnostics and treatment pathways. In consumer markets, personalization engines and dynamic pricing are shaping customer expectations. Across all of these, AI is shifting from a cost lever to a growth engine.AI
In our Global Software Study 2024, software executives reported an average expected revenue uplift of 18% from AI-enabled features within two years of launch. Yet many also acknowledged gaps in monetization discipline. Director, Data Platform Australia and New Zealand Each year, Gartner publishes its Strategic Predictions—forecasts designed not as certainties, but as provocations to help leaders prepare for the forces likely to shape business and society. These predictions provide a useful lens on how AI, governance, sovereignty and productivity trends can intersect with local economic conditions. From skills shortages to sovereign AI debates, the implications are significant.
We explore Gartner’s nine predictions for 2026 and beyond, their impact and how businesses can prepare. By 2027, Gartner predicts that 75% of hiring processes will include certification or testing for AI proficiency. In Australia as in other places, AI literacy will become a baseline requirement for many roles. Universities, TAFEs and employers all need to play a role in bridging the skills gap. Australian banks are already embedding AI literacy into staff development, ensuring employees can adapt to AI-enhanced processes. Driving 10X Growth with Practical AI Expertise (Part 6)
Artificial intelligence (AI) has not only transformed infrastructure but also sparked new business models and boosted productivity. According to McKinsey, generative AI could add $2.6 to $4.4 trillion annually to global economic value. Leading companies have moved beyond simply adopting AI, leveraging it to transform business models, enhance productivity, and create new value streams, achieving exponential (10x) growth. Newsletter Issue 7 emphasizes this shift from basic AI adoption to 10x growth, targeting tenfold improvements in metrics like revenue, productivity, customer base, innovation, and ecosystem value. In a world of unprecedented change, future companies are increasingly adopting adaptive business models powered by AI, enabling real-time responses to market shifts and customer needs. This transformation is not merely a technological trend but the start of a revolution in organizational thinking, decision-making, and innovation.
Consider Amazon, which adjusts prices over 2.5 million times daily, or Tesla, which remotely adds new features to its vehicles. These examples highlight the dawn of an intelligent era where real-time adaptability is no longer a competitive advantage but a necessity for survival. Studies show that in 2025, over 85% of Fortune 500 companies are using AI to optimize operations. However, the greater leap is from optimization to true adaptability. Companies like Salesforce and Google, utilizing agent-centric operating systems, have embraced automated decision-making and dynamic process design. Reports indicate that 20-30% of companies are scaling these adaptive models, with over 80% of senior executives viewing AI as the primary driver of future innovation.
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By Nohad Ahsan, Last Updated: November 19, 2025, Code: As
by Nohad Ahsan, Last updated: November 19, 2025, Code: As businesses evolve, traditional strategies are no longer enough to stay competitive. This blog explores how AI-driven business models are reshaping industries by enhancing efficiency, innovation, and customer experiences. Discover how AI is driving growth and transforming the way companies operate. Every day, businesses are reinventing thems...
It’s 2025, And AI Is No Longer A Futuristic Concept—it’s
It’s 2025, and AI is no longer a futuristic concept—it’s a present-day game-changer that’s already redefining the landscape of business. If you’re a business leader, chances are you’ve heard about artificial intelligence, but are you truly aware of its potential to reshape your business model? Let’s walk in the shoes of a business leader navigating digital transformation. They face mounting challe...
Here’s The Tough Truth: If Your Business Is Still Running
Here’s the tough truth: If your business is still running on traditional models—linear, product-focused, or service-oriented—you’re likely missing out on opportunities to leverage AI for growth. AI is the key to unlocking new business models, enhancing operational efficiency, and delivering superior customer experiences. The good news? AI isn't just for tech giants like Google or Amazon. Today, AI...
Not Surprisingly, One Technology—artificial Intelligence—is Acting As A Foundational Amplifier
Not surprisingly, one technology—artificial intelligence—is acting as a foundational amplifier of the other trends, and thoughtful adoption is key. “The time between gen AI capabilities being a competitive advantage and becoming a competitive necessity is dramatically shorter than it was in earlier technological transitions,” write McKinsey’s Bob Sternfels and Yuval Atsmon. “Organizations that mas...
How AI Could Reshape The Economics Of The Asset Management
How AI could reshape the economics of the asset management industry The future of customer experience: Embracing agentic AI As you might have sensed, the global AI market is expected to soar. Worldwide spending on AI will reach $632B in 2028 across software, services, and infrastructure (1). As AI features become ubiquitous, product companies are inventing new ways to make money from them. Emergin...