In a survey conducted with five venture capitalists from the Seattle region, key insights were gathered in terms of the trends, skills, and strategies that will shape the tech industry in 2025. The experts emphasized that AI will continue to dominate, particularly in AI infrastructure that lowers costs. They also predicted that software would be increasingly developed to reduce human work hours through automation.
The most overhyped technology in 2025 was deemed to be crypto and Retrieval-Augmented Generation (RAG). Experts also expressed skepticism towards the core use cases for cryptocurrencies despite their market value increases. Additionally, the term “agentic” was noted to be thrown around without significant meaning. The shift towards AI agents to enhance customer experience and reduce churn was cited as a key emerging trend.
In terms of the most in-demand tech skills in 2025, AI engineering, PhD-level AI skills, back-end infrastructure and data engineers, AI fluency for DevOps, and product managers with domain expertise were highlighted. The convergence of AI with traditional verticals like healthcare and life sciences was also noted as a significant trend for the future. The development of agents using AI for data analytics was seen as crucial for the evolution of tech companies in 2025.
Furthermore, the venture capitalists predicted a pivot towards AI-enabled managed software and services providers, a shift from purchasing SaaS to purchasing agents, and an increased focus on usage or value-based pricing for software businesses. The experts felt that remote work would see minimal changes by 2025 and called for more ambition and risk-taking in the Seattle tech ecosystem to foster innovation and growth.
The need for more early-stage risk capital, local startups, operator or ex-founder angel investors, and ambitious founders was emphasized as essential for the Seattle tech ecosystem. On the other hand, there was a call for fewer taxes, reasons to relocate, and risk-averse behaviors to drive bigger developments in the industry. Additionally, the experts shared their intrigue towards various startups, including Kobayashi Winery, Mira Murati’s new venture, Xaira, Logic.inc, and xAI, showcasing the diverse interests within the tech community.
Finally, the experts advised startup founders to prioritize generating positive EBITDA, fundraising, gaining traction, achieving efficient growth, and focusing on growth in the upcoming year. Companies were urged to concentrate on enabling software to reduce human work hours, enhancing customer experiences, and automating business processes through AI technology to thrive in 2025.
