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Which Emerging Technologies Are Worth Your Investment in 2026?

The Boston University Center for Computing and Data Sciences, as seen from Commonwealth Avenue.
Photo: Boston University Center for Computing and Data Sciences June 2025 1 by 4300streetcar, CC BY 4.0, via Wikimedia Commons

Two technologies deserve money from a small or mid-sized business this year: AI assistants for specific, measurable tasks, and whatever cloud work reduces your current operating risk. One deserves a diary entry rather than a budget line: migrating your encryption to the post-quantum standards NIST finalised in August 2024. Everything else on the usual list — agents that run unsupervised, edge platforms, blockchain — is either not ready, not yours to solve, or does not apply at your scale.

The Boston University Center for Computing and Data Sciences, as seen from Commonwealth Avenue.
Most emerging-technology decisions come down to whether the thing solves a problem you already have a number for.Photo: Boston University Center for Computing and Data Sciences June 2025 3 by 4300streetcar, CC BY 4.0, via Wikimedia Commons

A triage that takes ten minutes

Before any demonstration, answer four questions in writing. What problem does this solve that we currently solve badly, and what does that cost us today? What is the smallest version we could run for one month? How would we know it worked? What does it cost to stop? A technology that cannot survive those four questions is not an investment, it is a subscription.

The stop-cost question is the one people skip

Anything with a migration, a data lock-in or a two-year contract has a high stop cost. That is not automatically wrong, but it changes how much evidence you should want before signing. A tool you can cancel in a month needs far less certainty than a platform you will rebuild around.

AI assistants: proven, and easy to over-buy

This is the one with the clearest payback and the easiest way to waste money. The economics have moved fast: Stanford’s AI Index 2025 recorded the cost of querying a model at GPT-3.5 level on the MMLU benchmark dropping from USD 20 per million tokens in November 2022 to USD 0.07 by October 2024 — a reduction of more than 280 times in roughly eighteen months. Capability that was a research budget three years ago is now a rounding error.

The trap is buying it per seat for everyone before you know which seats benefit. BCG’s September 2025 research found about 5% of companies generating AI value at scale and 60% reporting hardly any material value. The difference is almost never the model. It is whether somebody defined the task, measured the error rate and kept a human in the loop long enough to trust it. Practical AI for Small Business: Where to Start goes through the starting use cases in detail.

Buy ten licences, measure for a month, then decide about the other ninety. Nobody ever regretted that order.

On rolling out AI assistants

Agentic AI: promising, immature, expensive to get wrong

Agentic AI — software that chains steps together and acts without a human approving each one — is genuinely the interesting frontier, and genuinely not ready for a company without a platform team. Gartner, reported by Computerworld in July 2025, predicted more than 40% of agentic AI projects would be cancelled by the end of 2027 because of escalating costs, unclear business value or inadequate risk controls. The same research noted that out of thousands of vendors claiming agentic capability, only around 130 were judged to be offering the real thing, with the rest rebadging chatbots and older automation tools.

There is also a compliance clock attached. The European Commission’s guidance on high-risk AI systems sets out the enforcement timeline agreed under the AI Omnibus: rules for systems used in certain high-risk areas, including biometrics, critical infrastructure, education and employment, apply from 2 December 2027, and for AI integrated into products such as robotics and industrial machinery from 2 August 2028. If you sell into the EU and an agent touches hiring or credit decisions, that timetable is yours to plan against.

A reasonable position for 2026: use agents in supervised, reversible places — drafting, triage, internal research — where a wrong step costs a minute rather than a customer. Revisit the unsupervised version when the vendors can tell you what it did and why, in writing, after the fact.

Photo of KVH Tokyo Data Center 2 taken by KVH employees
The supervised uses of AI agents are the ones that survive a bad week.Photo: KVH Tokyo Data Center 2 by MylanV, CC BY-SA 3.0, via Wikimedia Commons

Cloud: the boom is real and it is changing your bill

Cloud stopped being an emerging technology years ago, but what is happening to it right now will show up on your invoice. Synergy Research Group reported that enterprise spending on cloud infrastructure services reached USD 143 billion in the second quarter of 2026, up USD 43 billion year on year — a 43% increase and the fastest growth in eight years, driven largely by AI.

Cloud revenue growth, Q2 2026 versus Q2 2025 (year-on-year)
Google Cloud+82%
Overall market+43%
AWS+37%
Microsoft Intelligent Cloud+32%
Synergy Research Group market data and company results as reported by CRN, Q2 2026. Every figure appears in the Sources list.

Market shares moved too. On Synergy’s figures, AWS held 28% of global enterprise cloud infrastructure spending in Q2 2026, down from 30% a year earlier; Microsoft held 20%, flat year on year; and Google Cloud reached a record 15%, up from 13%. For a buyer, the practical read is that competition is improving your negotiating position while AI demand is pushing list prices and capacity constraints the other way.

$143B
Q2 2026 cloud infrastructure spending (Synergy)
43%
Year-on-year market growth, the fastest in eight years
$0.07
Per million tokens for GPT-3.5-level querying by October 2024 (Stanford AI Index 2025)
40%
Agentic AI projects Gartner expects cancelled by end of 2027

The action item is unglamorous: review your cloud bill properly this quarter. Rightsizing, committed-use discounts and deleting things nobody owns will usually free more money than any new technology on this page will earn.

Edge computing: real, but narrower than the pitch

Edge computing means processing data near where it is produced instead of shipping it to a region. It is real and it matters — for factory lines, retail estates with flaky connectivity, camera analytics and anything where a round trip of 80 milliseconds breaks the use case. It is also sold enthusiastically to companies whose workload is a web application and a database, where it adds operational complexity for no measurable gain.

The honest test is latency and bandwidth. If you cannot name a process that fails because the round trip is too slow, or a site that generates more data than its connection can carry, you do not have an edge problem. A content delivery network in front of your website covers the common case and costs a fraction of an edge platform.

Post-quantum cryptography: a deadline, not a trend

This is the item most small businesses have never heard of and the one with an actual deadline. In August 2024 NIST published its first three finalised post-quantum encryption standards — FIPS 203, 204 and 205, covering the ML-KEM key-establishment algorithm and the ML-DSA and SLH-DSA signature schemes — and encouraged system administrators to begin migrating. The concern is data captured today and decrypted later, once a sufficiently capable quantum computer exists.

You are not going to implement a lattice-based key exchange yourself, and you should not try. What you should do is ask: which of our vendors have published a post-quantum migration plan, which of our data has a confidentiality lifetime longer than ten years, and where do we still run TLS termination on equipment the manufacturer no longer updates? Those three answers are the whole of your post-quantum programme for now.

Three questions for your suppliers this year
  • Which post-quantum algorithms do you support today, and in which products?
  • What is your timetable for hybrid key exchange on our connections?
  • Which of the equipment we run from you will not receive post-quantum support, and when do you expect us to replace it?
North Central Telephone Cooperative Corporation (NCTC) Central Office Technician Eddie Blankenship recieved a notification in the Network Operations Center (NOC) that requires him
Post-quantum migration happens in your vendors’ release notes long before it happens in your office.Photo: North Central Telephone Cooperative Rural Broadband keeps TN and KY High-Speed – RUS (20180927-RD-LSC-0933) by USDAgov, Public domain, via Wikimedia Commons

Blockchain, quantum and the rest of the queue

Blockchain has a narrow set of genuinely good uses — multi-party records where no participant will accept another’s database as authoritative — and almost none of them look like a small business’s problem. If a single organisation can be trusted to hold the record, a conventional database with proper audit logging is cheaper, faster and easier to hire for. Be especially wary of pitches where the blockchain is the feature rather than the mechanism.

General-purpose quantum computing is further away still, and the only part of it that should influence your decisions this decade is the cryptography timetable above. Spatial computing, digital twins and most of the remaining buzzwords are a similar story: watch, do not buy, and revisit when the question arrives from a customer rather than from a vendor.

North Central Telephone Cooperative Corporation (NCTC) Central Office Technician Eddie Blankenship installs a fiber optic jumper cable at the Data Center, in Lafayette, Tennessee,
Keeping a watch list is cheaper than keeping a pilot running for something nobody has asked you for.Photo: North Central Telephone Cooperative Rural Broadband keeps TN and KY High-Speed – RUS (20180927-RD-LSC-0988) by USDAgov, Public domain, via Wikimedia Commons
TechnologyEvidence published in 2025-2026Cost to try properlyVerdict for a small business
AI assistants for defined tasksQuery cost for GPT-3.5-level capability fell from USD 20 to USD 0.07 per million tokens by October 2024 (Stanford AI Index 2025)A handful of licences and a month of measurementBuy, narrowly, and measure the error rate before widening
Agentic AI running unsupervisedMore than 40% of agentic projects expected to be cancelled by end of 2027 (Gartner, reported July 2025)A platform engineer and a governance process you do not currently haveWait, or use it only where a wrong step is reversible
Cloud infrastructure and AI servicesMarket reached USD 143 billion in Q2 2026, up 43% year on year (Synergy Research Group)Already in your budget; a review costs days, not moneyOptimise what you have before buying anything new
Edge computingNo published benefit for workloads without a latency or bandwidth constraintNew deployment pipeline, new monitoring, new failure modesSkip unless you can name the process that fails without it
Post-quantum cryptographyFirst three standards finalised in August 2024, with migration encouraged (NIST)Three questions to each vendor and an inventory afternoonPlan now, implement through your suppliers’ roadmaps
Blockchain for business recordsNo published adoption case for single-organisation record keepingSpecialist skills that are hard to hire and harder to keepSkip unless multiple distrustful parties must share one ledger
Emerging technology triage for 2026, scored on published evidence rather than vendor positioning.

What to do with this quarter’s budget

If you have one budget line and one quarter, spend it in this order. Review the cloud bill and fix what is wasteful. Run one AI assistant pilot against a measured task with ten licences, not a hundred. Send the three post-quantum questions to your main suppliers and file the answers. Then stop, because a fourth initiative in one quarter is how the first three fail.

  1. Weeks 1-2. Cloud cost review, with an owner named against every resource.
  2. Weeks 3-6. One AI pilot on one task, with a baseline error rate recorded before you start.
  3. Week 4. Post-quantum questions sent to suppliers; answers filed with your asset inventory.
  4. Weeks 7-12. Decide on the pilot using the numbers, then write a one-page note either way.

That rhythm is the same one we recommend for any technology change, and the reasoning behind it is in Digital Transformation Without the Buzzwords. If you would rather have someone else run the triage, Working With a Remote IT Services Partner: What to Expect explains how that works in practice.

Eudora does this work remotely for clients across several markets: a costed review, a pilot with numbers attached, and an honest recommendation including the times the answer is to do nothing. Our services page lists the areas we cover. For on-site engagements in Sri Lanka, our sister business is at eudora.lk.

Frequently asked questions

Are we falling behind if we skip agentic AI this year?

Unlikely. Gartner’s July 2025 research expects more than 40% of agentic projects to be cancelled by the end of 2027, so a sizeable share of the companies ahead of you are paying for experiments that will be written off. Supervised assistants capture most of the available benefit today with a fraction of the risk.

How much should we spend on an AI pilot?

Enough for ten users and a month of measurement, which for most mainstream business assistants is a modest monthly figure against the hours you are trying to recover. Keep the licence count low and the measurement discipline high; the reverse is how the 60% in BCG’s September 2025 study ended up with nothing to show.

Does post-quantum cryptography affect a small company?

Indirectly, and that is the point. You will receive it through operating system, browser and vendor updates rather than implementing it. Your job is to know which data must stay confidential for more than a decade and which equipment will never get the update, so you can plan the replacement rather than discover it.

Which cloud provider should we pick in 2026?

The one whose managed services match the work you actually run, not the one with the largest market share. On Synergy’s Q2 2026 figures AWS held 28%, Microsoft 20% and Google Cloud 15%, and all three are growing faster than the market was two years ago. Portability of your data matters more than the logo.

How do we tell hype from a real product?

Ask for a reference customer at your scale, a written description of what the system does when it fails, and a price for stopping. Vendors with real products answer all three without a follow-up call. The agent-washing Gartner described in 2025 rarely survives the second question.

Not sure which of these deserves your next budget line? Tell us what you are trying to improve and we will give you a costed, honest answer, including when the answer is to wait. Get in touch with Eudora Technology to talk about your project.

Sources

  1. Cloud market share Q2 2026: Google gains share as AWS falls CRN, reporting Synergy Research Group data · 2026
  2. Q2 cloud market passes $143 billion; highest growth rate in eight years Synergy Research Group · 30 July 2026
  3. AI Index 2025: the state of AI in 10 charts Stanford Institute for Human-Centered AI · April 2025
  4. Nearly half of agentic AI projects will be killed by 2027 Computerworld, reporting Gartner research · July 2025
  5. Guidelines for providers and deployers of high-risk AI systems European Commission · 2026
  6. NIST releases first three finalised post-quantum encryption standards US National Institute of Standards and Technology · August 2024
  7. The Widening AI Value Gap Boston Consulting Group · September 2025
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