Microsoft Bets Big on AI Agents: The Demise of Traditional Business Apps?

2025-08-19
Microsoft Bets Big on AI Agents: The Demise of Traditional Business Apps?

Microsoft executives boldly predict that traditional business applications will be a relic of the past by 2030, replaced by AI-powered "business agents." These AI agents will leverage generative AI and vector databases to dynamically adapt to user needs and optimize workflows in a goal-oriented manner. This prediction has sparked industry debate, with some questioning its optimism and the feasibility of rapid enterprise transformation, while others see it as a major shift requiring businesses to embrace AI to avoid obsolescence. Microsoft plans to gradually transition customers to this new model by offering AI agents as add-on services for existing applications.

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