GenAI Adoption Across Industry Verticals: Who's Leading the Charge?

Generative AI (GenAI) is here and seemingly here to stay, but which industry verticals are fast adopters, and where are the patterns heading? In our latest study, we analyzed data from numerous industries, examining real-world applications and activities to reveal tangible trends. Let’s dive into the landscape of GenAI adoption and uncover who’s driving the change.

What’s Happening Out There? Which Verticals Are Being Disrupted?

Some industries have embraced GenAI as the new must-have gadget, while others are just beginning to notice the buzz. Mckinsey's study finds that among the early adopters, the Technology, Media, and Telecommunications (TMT) sector stands out, leading with 14% of GenAI usage for work. Close on its heels are financial services at 8%, and both business, legal, and professional services and consumer goods/retail at 7%.

Other industries, such as retail (62%), aerospace and defense (52%), pharma and healthcare (42%), financial services (42%), energy and utilities (39%), and telecom (36%), are also preparing for GenAI adoption, showing that the excitement is widespread.

When it comes to business functions, McKinsey estimates that around 75% of the value from GenAI use cases will come from customer operations, marketing and sales, software engineering, and R&D. It's like having a Swiss army knife for business, with GenAI providing versatile tools for different challenges.

What Does SPEEDA Edge Data Reveal?

Our data highlights that industries focused on healthcare services, such as Telehealth, Hospital Interoperability, and Hospital Management, are leading the charge in GenAI adoption. These sectors are either developing GenAI technology in-house or leveraging third-party solutions to improve their operations.

Emerging financial services like InsurTech, FinTech Infrastructure, and Neobanks also show high levels of GenAI activity. The most significant potential for value creation is seen in core business operations, research and product development, and customer experience. For instance, in healthcare, GenAI supports patient care administration and diagnostics, while in financial services, it aids in underwriting and fraud detection.

Moreover, companies in various emerging industries are using GenAI for general business functions, like a secret ingredient that enhances everything on the menu. This includes:

• Marketing Automation: Enhancing customer analysis and content creation.
• Next-gen Cybersecurity: Developing security assistants, automating coding, and bridging data silos.
• Supply Chain Tech: Generating item descriptions, recommending suppliers, and summarizing negotiations.

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Quick Look: Slower GenAI Adopters

Some sectors are taking their time to embrace GenAI but show great potential for future growth, for example, food and energy-related emerging industries.

Companies in the Plant-based Meat and Plant-based Dairy & Egg industries, such as NotCo, Shiru, and The Live Green Co, are using GenAI for product formulation and development. Smart Farming leverages GenAI for crop management analytics, grass height measurement, and weather, soil, and crop cycle management.

GenAI is used in Carbon Management Software for carbon accounting and management, and in the Hydrogen Economy for product design and performance optimization.

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Conclusion

While wider studies offer a glimpse into the future, on-the-ground movement, and evidence paint a clearer picture. Our data mirrors global patterns of disruption in knowledge-based industries, reinforcing the notion that GenAI is poised to bring significant value in three core business functions: operations, research, and customer experience.

Since we monitor adoption trends, functions, and pace of generative AI, we can help you keep pace with its developments. Download our free report for a comprehensive look at generative AI adoption across verticals and functions.

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