Investors flock to agentic AI amid rising use cases across sectors

WITH RISING USE cases across sectors ranging from customer service to healthcare, agentic AI is emerging as one of the most sought-after segments for venture capitalists in India and globally.

- S SHANTHI

Agentic AI refers to AI systems which can act autonomously and make decisions based on contextual understanding, often across a chain of tasks. Its appeal lies in its ability to enhance productivity by mimicking human-like decision-making in business processes. From front-office automation to complex back-office operations, enterprises are experimenting with agentic layers that promise speed, accuracy, and cost efficiency.

According to startup data platform Tracxn, there are currently around 40 agentic AI startups who have collectively raised $254 million since 2018. So far this year, the space has seen investments of $52.9 million, against a total of $36 million in 2024.