The Agentic-AI Hype Cycle Is Insane — Don’t Normalize It
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The Agentic-AI Hype Cycle Is Insane — Don’t Normalize It

July 28, 2025
08:15 AM
6 min read
AI Enhanced
financialtechnologyartificial intelligencemarket cyclesseasonal analysismarket

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The Gartner Hype Cycle normalizes an irrational, costly industry habit: misleading hype. And when it comes to agentic AI, the overpromising is worse than ever.

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financial news

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July 28, 2025

08:15 AM

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Forbes

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financialtechnologyartificial intelligencemarket cyclesseasonal analysismarket

Market analysis reveals InnovationAIThe Agentic-AI Hype Cycle Is Insane — Don’t Normalize ItByEric Siegel, Contributor

Forbes contributors publish independent expert analyses and insights (something worth watching), amid market uncertainty

CEO of Gooder AI, author of “The AI Playbook” & “Predictive Analytics” AuthorJul 28, 2025, 08:15am EDTJul 28, 2025, 10:19am EDTThe Gartner Hype Cycle normalizes an irrational, costly industry habit: misleading hype

Moreover, And when it

On the other hand, More comes to "agentic AI," the overmising is worse than ever

Additionally, Eric Siegel Two weeks ago, I published an article, “Agentic AI Is The New Vaporware. ” I reasoned that agentic AI is a hype term that repackages pie in the sky AI ambitions, but does not allude to any particular advancement that might achieve them (this bears monitoring)

Meanwhile, The buzzword amplifies the overmising narrative that we’re rapidly headed toward a great leap in autonomy (noteworthy indeed)

Additionally, Most uses of “agentic” do not refer to any novel nical methodology and the ambition of increasing autonomy is not new – even as the word falsely implies otherwise on both accounts

On the other hand, Moreover, The article performed fairly well

Additionally, At the same time, Only four of my 26 Forbes have received more views

But I doubt the article made a great dent – I don’t expect the hype to quiet down overnight

At the same time, The Gartner Hype Cycle currently has “AI agents” sitting at the “Peak of Inflated Expectations, in today's market environment. ” Unfortunately, seems to wear the peak hype position a badge of honor – despite the connotations that the next move will be a grave downfall into the “Trough of Disillusionment (quite telling), in today's financial world. ” The cycle is seen as a right of passage (this bears monitoring)

There's a belief that hype, even when overzealous and misleading, helps pel nology (noteworthy indeed)

What the re reveals is analysis suggests that Gartner Hype Cycle Actually motes Hype The Gartner Hype Cycle famously depicts a presumed trajectory for each new nology, from inception to maturity (noteworthy indeed)

Nevertheless, At first, expectations rise as a new nology gains traction, in this volatile climate

But the hype typically goes too far, reaching the “Peak of Inflated Expectations, amid market uncertainty. ” With agentic AI, we’re right at that precipice, ready to tumble down to the “Trough of Disillusionment

Nevertheless, Additionally, ” Agenic AI’s plunge could be worse than most (an important development), in this volatile climate

The disconnect between hype and reality seems to only be increasing, with so much more attention on a colorful story than concrete, deployed value

MORE FOR YOU Overselling is costly; when the executives catch on, there’ll be hell to pay, in today's market environment

Additionally, If we continue on the current course, the fall from grace will be even steeper and the disillusionment even deeper than usual (noteworthy indeed), given current economic conditions

It could even be central to a third AI Winter, an era of diminished excitement and funding, considering recent developments

But when Gartner positions a nology at peak hype, it worsens the hype rather than tempering it

The firm’s Hype Cycle normalizes – even glamorizes – the irrational, costly overmising and overselling that hype entails

Moreover, The message is that these ups and downs are not only inevitable, they’re helpful for accelerating the development and adoption of a nology

Moreover, I disagree (remarkable data)

Furthermore, Moreover, There’s a detrimental complacency in passively accepting, "That’s just how things work in the industry. ” There’s complicity in agreeing to an arbitrary amount of exaggeration and overmising – or, as Gartner calls it, “Inflated Expectations” – as copacetic

Sure, the message of hype’s unavoidability is a bit sober, but Gartner’s Hype Cycle also indulges in the excitement, effectively celebrating the exuberant trendiness

This tells us that amounts to a celebration of poor expectation management, in today's financial world

At the same time, It’s true that excitement helps get people moving

Furthermore, But must we mote fiction in order to generate excitement and ductivity

I’m too much of a humanist and nology optimistic to think yes

AI Hype Takes The Cake This blem of hype begetting hype is most intense for AI

Moreover, After all, AI hype is the worst hype

On the other hand, It pels a narrative that, relatively soon, the will be capable of taking over human labor wholesale (noteworthy indeed)

The analysis reveals ’s a false mise of extraordinary levels of machine autonomy, fueled by an enticing, fictional story of escalating “intelligence” that begins to pel itself wildfire to transcend the entire range of human capabilities, in this volatile climate

Moreover, But Gartner rewards each trend for… being a trend

For each nology it includes on its up and down ride, the Gartner Hype Cycle serves as a one-size-fits-all stamp of apval

Nevertheless, It’s incapable of issuing a more dire warning, even if warranted – you never see its “rollercoaster” curves depicted as more or less extreme, nor its “Plateau of ductivity” particularly low or even hugging the floor, in today's financial world

But for some nologies, you certainly should

This leads to the conclusion that “agentic AI” hype is even more egregious than most AI hype

Conversely, The words themselves – “agent” and “agentic” – magnify the grandiosity

Crediting machines with “agency” doubles down on AI’s core mythology and original sin, the anthropomorphization of machines

This analysis suggests that sells an implausible, unsupported narrative that we’ll soon see unprecedented, significant new levels of computer autonomy (remarkable data)

The “Agentic AI” Hype Wave Is Only A Continuation The “GenAI” Hype Wave Gartner has bolstered the “agentic AI” hype wave even further by announcing it as its own nology with its own wave

Although “agentic AI” has assumed the guise of being a unique nology unto itself, the hype term does not actually refer to any particular methodology or advancement, given current economic conditions

On the other hand, Rather, “agentic AI” is a continuation of the broader genAI hype cycle that we’ve been in the midst of for almost three years

Additionally, Gartner appears to have not recognized this

Moreover, In contrast, Their report suggests that genAI has already slid halfway down toward the “Trough of Disillusionment,” separate from “agentic AI,” which is positioned atop the hype peak, in today's market environment

I’m afraid that the current, singular wave of “genAI/agentic” hype – spawned from and based on large language models and other forms of generative AI – has far from peaked

In contrast, Pivoting to its newer terminology helps rejuvenate the wave; “agentic” has simply picked up genAI’s mantle

After all, the term “agentic AI” has come to refer almost exclusively to uses of LLMs

Since it normalizes overmising, one could hope that the Hype Cycle itself will someday become its own victim

With a bit of luck, it will dip down to its own “Trough of Disillusionment” and stay there

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