**London**: The ongoing AI revolution is set to transform industries, with major companies like IBM, Adobe, and UiPath leading the charge. By 2025, global IT spending is projected to rise by 9.8% as firms invest heavily in AI solutions and technologies.
Artificial Intelligence (AI) is at the forefront of technological innovation across various sectors, with major tech companies actively investing in its potential. The ongoing AI revolution is significantly transforming industries, from mobile applications to healthcare services, thanks to the technology’s sophistication, cost-effectiveness, and efficiency.
According to projections by Gartner, global IT spending is expected to rise by 9.8% in 2025, reaching approximately $5.62 trillion, driven by segments such as data centre systems, devices, software, and generative AI. Leading tech firms, including Meta, Alphabet, Amazon, and Microsoft, are anticipated to invest around $320 billion into AI technologies by 2025. Statista also reports that the worldwide AI market is projected to grow at a compound annual growth rate (CAGR) of 27.7% until 2030, with the United States set to become the largest market.
In light of this promising outlook, investors are advised to consider investing in fundamentally solid tech stocks, particularly International Business Machines Corporation (IBM), Adobe Inc. (ADBE), and UiPath Inc. (PATH).
IBM, a global leader in technology and consulting, recently announced the acquisition of DataStax, a provider of AI and data solutions, on February 25, 2025. This move is expected to enhance IBM’s Watsonx portfolio and accelerate the use of generative AI. Concurrently, IBM has partnered with Riyadh Air to integrate Watsonx and AI solutions into the airline’s operations, aiming to improve guest and employee experiences as it prepares to launch flights in 2025.
In terms of financial performance, IBM reported total revenue of $17.55 billion for the fourth quarter ending December 31, 2024—a 1% increase year-over-year. The company’s non-GAAP net income was reported at $3.70 billion, amounting to an earnings per share (EPS) of $3.92. Analysts project that IBM’s revenue will grow 3% year-over-year to $16.24 billion for the second quarter ending June 2025. The stock has performed well, gaining 30.2% over the previous six months to close at $257.75.
Adobe, known for its suite of creative and marketing software, launched Photoshop for iPhone on February 25, 2025, with plans to release an Android version later in the year. The company also introduced a real-time customer data platform (CDP) collaboration aimed at empowering advertisers and publishers to effectively navigate the changing advertising landscape. For its fourth quarter ending November 29, 2024, Adobe reported a total revenue of $5.61 billion, marking an 11.1% increase from a year earlier. Analysts expect Adobe’s revenue to rise by 9.3% and EPS by 11% in the upcoming quarter, signalling strong performance.
UiPath, which specialises in robotic process automation (RPA), announced a partnership with Omega Healthcare on October 23, 2024, leveraging AI for enhanced operational efficiency. For the third quarter ending October 31, 2024, UiPath reported a revenue increase of 8.8% year-over-year to $354.65 million, with earnings surpassing previous expectations. Analysts anticipate revenue of $355.23 million for the second quarter ending July 2025, alongside significant EPS growth.
Overall, IBM, Adobe, and UiPath have achieved ‘B’ ratings in POWR Ratings, indicating a buy recommendation. This aligns with the increasing recognition of the transformative impact of AI and the ongoing investment in technology sectors. As businesses integrate AI into their operations, the future of these tech companies appears promising, reflecting a broader trend in the rapidly evolving technology landscape.
Source: Noah Wire Services
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