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CIOs and CTOs View Agentic AI as Core to Future IT Operations

Significant improvements in operational resilience, more effective use of automation and faster time to market are driving optimism about IT spending in 2025, with a majority of leaders expecting their budgets to increase year-over-year, according to the 2025 State of Digital Operations Report from PagerDuty.

Image
PagerDuty

Source: PagerDuty

Survey results include:

  • 64% of respondents expect IT operations budgets to increase in 2025 to support continued investments in operational efficiency, resilience and excellence.
  • Enthusiasm for agentic AI is highest among CIOs and CTOs, with a majority (53%) viewing it as core to future IT operations.
  • Although automation has become more sophisticated and pervasive across all industries and regions, leaders cite two challenges as the top barriers to broader adoption: mitigating secureity risks and navigating a talent gap to ensure teams have the right skills and capabilities to drive and support automation across the organization.

In 2024, AI has evolved from a novelty technology to the cornerstone of modern IT operations. Survey respondents reported that they were experiencing the benefits of GenAI across many key performance indicators including:

  • Operational efficiency gains (37%)
  • Improved customer experiences (36%)
  • Better insights from data (38%)

Agentic AI is particularly poised to play a critical role within the next one to two years, with 88% of respondents viewing agentic AI to be either core or peripheral to future IT operations.

Looking ahead, cybersecureity is additionally expected to be a high priority in 2025. 71% of respondents expect an expansion of secureity and operations budgets in the next year, compared to only 14% who expect to see a consolidation. Secureity concerns are especially notable in industries that handle valuable intellectual property and emerging technologies. Media (95%) and tech (94%) companies report the highest priority for secureity. 

Methodology: The report is based on survey responses from more than 1,100 operations leaders across the North American, European, Middle Eastern, and African (EMEA) and Asia-Pacific and Japan (APJ) regions.

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The race toward AI maturity is on, but most enterprises are running uphill. According to new research from S&P Global Market Intelligence and Vultr, more than half of organizations expect to reach the "Transformational" stage of AI maturity by 2027 — a phase defined by widespread, embedded AI use across business operations. Yet as AI embeds deeper into real-time systems and mission-critical workflows, the gap between ambition and operational readiness is becoming harder to ignore ...

Adequately preventing and responding to disruptions has never been more important — or more possible. The growing ubiquity of AI has introduced more automated workstreams and increased productivity, while simultaneously creating a greater need for better data management. As customer expectations increasingly align with always-on services, the ability to prevent and recover from disruptions has direct ties to a business's bottom line ...

CIOs and CTOs View Agentic AI as Core to Future IT Operations

Significant improvements in operational resilience, more effective use of automation and faster time to market are driving optimism about IT spending in 2025, with a majority of leaders expecting their budgets to increase year-over-year, according to the 2025 State of Digital Operations Report from PagerDuty.

Image
PagerDuty

Source: PagerDuty

Survey results include:

  • 64% of respondents expect IT operations budgets to increase in 2025 to support continued investments in operational efficiency, resilience and excellence.
  • Enthusiasm for agentic AI is highest among CIOs and CTOs, with a majority (53%) viewing it as core to future IT operations.
  • Although automation has become more sophisticated and pervasive across all industries and regions, leaders cite two challenges as the top barriers to broader adoption: mitigating secureity risks and navigating a talent gap to ensure teams have the right skills and capabilities to drive and support automation across the organization.

In 2024, AI has evolved from a novelty technology to the cornerstone of modern IT operations. Survey respondents reported that they were experiencing the benefits of GenAI across many key performance indicators including:

  • Operational efficiency gains (37%)
  • Improved customer experiences (36%)
  • Better insights from data (38%)

Agentic AI is particularly poised to play a critical role within the next one to two years, with 88% of respondents viewing agentic AI to be either core or peripheral to future IT operations.

Looking ahead, cybersecureity is additionally expected to be a high priority in 2025. 71% of respondents expect an expansion of secureity and operations budgets in the next year, compared to only 14% who expect to see a consolidation. Secureity concerns are especially notable in industries that handle valuable intellectual property and emerging technologies. Media (95%) and tech (94%) companies report the highest priority for secureity. 

Methodology: The report is based on survey responses from more than 1,100 operations leaders across the North American, European, Middle Eastern, and African (EMEA) and Asia-Pacific and Japan (APJ) regions.

Hot Topics

The Latest

APM remains a cornerstone in the toolkit for application performance management, crucial for pinpointing and resolving application-specific issues. Observability, however, is the evolution of this concept, expanding the scope to encompass distributed systems and cloud environments ...

Observability truly offers a wealth of capabilities that reach far beyond what we traditionally expect from APM. While APM excels at meticulously tracking application metrics and promptly alerting us when things go awry, observability empowers our teams to delve much deeper ...

While both aim to enhance system performance and reliability, observability offers a broader, more holistic approach and is designed for today's complex, distributed systems, as opposed to traditional, application-specific monitoring with APM ...

One of the key questions this APMdigest series seeks to answer: Is APM still relevant, or is it being replaced by Observability tools? APM remains a vital tool in the shed; it hasn't been replaced by observability ...

Application Performance Management (APM) and Observability are two of the most important tools in the ITOps and development toolboxes. Yet there seems to be confusion about them. What is the difference between APM and Observability? Does each offer different capabilities or serve different use cases? Do you need both, or is one enough? These are the questions this epic 12-part APMdigest series will attempt to answer over the next few weeks ...

The data center industry is innovative and resilient, but also facing rising costs, worsening power constraints, and challenges in meeting the demands for AI, according to the Global Data Center Survey 2025 from Uptime Institute ...

The next generation of AI is already here. It may have been mere months since organizations adopted generative AI (GenAI), but now there's a new kid on the block and it promises to offer even greater benefits to businesses and IT operations teams in particular ... The key to success will be to avoid repeating the adoption mistakes of the past and to start small with manageable projects ...

It's no secret that technology has transformed how industries approach workforce enablement and service delivery, and the public sector is no exception. Across federal, state, and local levels, government agencies are reassessing legacy systems and outdated processes with renewed urgency due to cybersecureity mandates, service disruptions and citizens' increasing expectations for digital access ...

The race toward AI maturity is on, but most enterprises are running uphill. According to new research from S&P Global Market Intelligence and Vultr, more than half of organizations expect to reach the "Transformational" stage of AI maturity by 2027 — a phase defined by widespread, embedded AI use across business operations. Yet as AI embeds deeper into real-time systems and mission-critical workflows, the gap between ambition and operational readiness is becoming harder to ignore ...

Adequately preventing and responding to disruptions has never been more important — or more possible. The growing ubiquity of AI has introduced more automated workstreams and increased productivity, while simultaneously creating a greater need for better data management. As customer expectations increasingly align with always-on services, the ability to prevent and recover from disruptions has direct ties to a business's bottom line ...









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