Hyperscalers like AWS, Google, and Microsoft are pushing for leadership in AI amidst slower generative AI growth on their platforms. Agentic AI presents a new architectural framework that prioritizes independent, flexible decision-making and resource management without relying heavily on specialized cloud infrastructures. This challenges expectations for massive cloud adoption, suggesting a hybrid approach where workloads seamlessly shift between on-premises and cloud environments. The evolution of AI toward more autonomous systems necessitates a reconsideration of power dynamics, highlighting efficiency and integration rather than raw computational dominance.
The reality of agentic AI's impact on public cloud growth may not align with ambitious projections, as it represents more of an architectural approach than a resource-intensive technology.
Agentic AI operates like a competent employee rather than a powerful calculator. It thrives in a distributed environment, coordinating across systems without needing centralized cloud resources.
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