The year 2025 brings with it new trends, skills, and strategies that will define the success of startups, especially in the tech industry. Venture capitalists from the Seattle region shared their insights on what will shape the future of technology in the coming years. The consensus among these experts is that AI will continue to dominate, with a focus on AI infrastructure that lowers the cost of training and inference, as well as agents for automating various tasks in software applications. The use of AI is expected to be embedded in daily consumer interactions, benefiting both established companies and startups.
Although AI is a major trend, there are also technologies that are considered overhyped in 2025. Crypto and technologies like Retrieval-Augmented Generation (RAG) are mentioned as being overhyped by some of the experts. However, there are emerging AI use cases such as AI agents to improve customer experience and lower churn, as well as traditional verticals embracing end-to-end GenAI solutions that will increase efficiency and reduce costs. Additionally, skills in AI engineering, PhD-level AI expertise, and product managers with deep domain expertise are expected to be in high demand for hiring in 2025.
In terms of company strategies, there are expected shifts in pricing models and the focus on providing more value with data analytics in 2025. Seat-based SaaS pricing may shift to usage-based pricing, and companies are encouraged to move from purchasing SaaS to purchasing agents that can take action based on data analysis. The Seattle tech ecosystem is said to need more early-stage risk capital, local startup companies, and ambitious founders who think beyond short-term goals. Less focus on playing it safe and more willingness to take risks is necessary for the growth of the tech ecosystem in Seattle.
Regarding remote work, opinions differ on its future in 2025, with some predicting a decline while others expect it to remain largely unchanged. Startup founders are advised to focus on generating positive EBITDA, fundraising, and achieving traction in their businesses. The importance of efficient growth and prioritizing growth over efficiency is highlighted as a key focus for startups in the coming years. Overall, the Seattle tech ecosystem is seen as having potential for growth, but there is a need for more capital, ambitious founders, and a shift towards taking calculated risks to further establish Seattle as a hub for tech innovation.
