Source page: McKinsey & Company
Commentary
Software’s byte of the gen AI apple
Generative AI | Technology
July 9, 2024 – Generative AI’s (gen AI’s) quick adoption over the past year suggests that the global software sector will undergo a major change, senior partner Jeremy Schneider and coauthors note. But based on a McKinsey survey of software leaders and executives, it is anticipated that gen AI will affect each software category to a different degree. Content creation is one of three areas expected to see a very high level of disruption, while system infrastructure is on the other end of the disruption spectrum. Overall, gen AI could spark almost $300 billion in new software spending over the next few years.
To read the article, see “Navigating the generative AI disruption in software,” June 5, 2024.
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Visual form
Treemap-style market map.
Layout / body structure
The page uses one large partitioned market map where each software category occupies a differently sized polygonal block, and the reader scans the chart by both area and color to compare market size and disruption level at the same time.
What is being compared
It compares software categories by market size and by the expected level of disruption or reimagination from generative AI.
Measurement system
Market size is measured in billions of dollars, printed inside the blocks, while color encodes the disruption level from medium through very high.
Visible structure inside the graphic
Large blocks for customer relationship management and enterprise resource management, content creation, information services and data aggregation, system infrastructure, and data and AI development dominate the map, while smaller cells such as customer service, analytics and visualization, collaboration and communication, and enterprise automation sit closer to the center and lower edge.
Main takeaway from the visual
The visual shows that generative AI reaches across almost the whole software market, but not evenly: some of the biggest categories also sit in the highest disruption bands, while others remain medium or medium-high even at large scale.
Key standout values or extremes
Customer relationship management and enterprise resource management is the largest block at 268, content creation is 130, system infrastructure 129, information services and data aggregation 120, data and AI development 118, cybersecurity 93, and enterprise automation is one of the smallest at 18; several of the darkest blocks – such as content creation and information services/data aggregation – are explicitly tagged as very high disruption.
Controls / sequence, when applicable
This is a static chart image with no in-chart controls to operate.
Companion media, when applicable
There is no separate companion audio or video; the chart image is the full visual on this page.