The Future of AI: What Ethan Mollick Says Awaits Us in 2025

We’re standing at the edge of a technological revolution, and artificial intelligence (AI) is at its heart. Recently, Ethan Mollick , Wharton professor and generative AI expert, shared compelling insights with Azeem Azhar about what organizations must do to thrive by 2025. The conversation highlighted not only AI’s vast potential but also the hurdles companies must overcome to embrace it fully.

Why Companies Are Stuck in Incrementalism

Despite the hype, many companies remain trapped in incremental approaches to AI. They run pilots but focus on automating old processes instead of rethinking their workflows entirely. Mollick compared this to how electric light was initially used—not to reimagine work but to extend working hours.

This “automation-over-innovation” mindset often stems from prioritizing ROI metrics and cost-cutting over creativity and transformation. But playing it safe with AI is a missed opportunity. Mollick believes AI can fundamentally change the way work gets done—but only if companies embrace bold thinking.

AI Agents and Co-Pilots: The Game-Changers

Among the most exciting developments is the rise of AI agents and co-pilots. These tools deliver “intellectual leverage” to employees, democratizing expertise and enabling anyone in an organization to perform like an experienced professional.

For example, imagine a marketing junior using an AI co-pilot to craft campaign strategies, analyze data in real-time, and optimize ad placement—all tasks that once required a senior strategist. This kind of empowerment doesn’t just improve efficiency; it unlocks a culture of innovation where everyone can contribute solutions and ideas.

AI co-pilots don’t just enhance productivity—they shift the balance of power. Expertise becomes accessible to all, and teams are encouraged to take risks and innovate.

The Commoditization of AI

As AI models become cheaper and easier to deploy, organizations will gain unprecedented access to cutting-edge tools. Pre-trained models tailored to specific tasks will save time and resources.

But there’s a catch: commoditized AI levels the playing field. Differentiation will come down to how well companies integrate these tools into their processes. A retail company using AI to predict inventory needs and improve customer satisfaction, for instance, will gain a clear advantage over competitors stuck in reactive mode.

Flattening Hierarchies for AI

AI doesn’t just change workflows—it changes how organizations should be structured. Mollick advocates for flatter hierarchies and cross-functional teams that unite diverse skills to solve complex problems.

This structure fosters collaboration, experimentation, and a mindset of continuous learning—all essential in an AI-driven world. Companies that cling to rigid hierarchies risk missing out on the agility needed to compete.

Leadership’s Role in the AI Revolution

Adopting AI isn’t just about technology; it’s about leadership. Leaders must create a culture where experimentation thrives and teams feel safe to try—and fail.

This means challenging the status quo, investing in tools and training, and encouraging creativity at all levels. Leaders who embrace change inspire their teams to think bigger and push boundaries, unlocking AI’s transformative potential.

Embracing the Revolution

By 2025, AI could fundamentally reshape work. But success won’t come from small improvements; it will come from bold reinvention. Companies that leverage AI co-pilots, flatten hierarchies, and foster innovation will gain the edge.

Ultimately, the future of AI isn’t just about machines—it’s about people. How we choose to harness AI will determine whether we create workplaces that are more innovative, collaborative, and efficient. The journey is just beginning, and the possibilities are boundless.