July 27, 2025
5 min read
Chris Metinko
Agentic AI startups attract nearly B in funding, transforming workflows and boosting productivity across industries.
Pro Rata Premium: Agentic AI is Revolutionizing Enterprise Software
👋 It's Chris Metinko, Axios Pro Deals' enterprise software reporter, with a deep dive into agentic AI, the hottest trend in enterprise tech.1. Agentic AI or bust

- Enterprise AI agents are now applied to long-running workflows that span extended periods and require multiple external actions to complete.
- Vertical AI agents serving specific sectors like legal and tax are attracting more funding than horizontal agents addressing multiple industries. Yes, but: Startups will see how many customers renew over the next 12 months, which will indicate if enterprises find AI agents truly useful, says Bhavan Suri, managing director at William Blair.
- Suri compares this period to late 2021 and early 2022, when many work-from-home collaboration tools faced challenges as the pandemic waned and enterprises cut back on user seats.
- Companies like Zoom saw share price drops, and startups like Hopin eventually sold off assets. What they're saying: Improved training models and enhanced reasoning capabilities will keep agentic AI platforms advancing, says Danel Dayan, principal at Battery Ventures.
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"It's hard to hit the bull's-eye with the pace of change," says Dayan.Reality check: Despite excitement, industry operators say agentic AI is not replacing humans but making them more productive and keeping them informed about what the agents do. Yes, but: It seems very likely to get to that place eventually. What's next:
"There will be upheaval in a world of unlimited agents," says Ted Smith, co-founder and president of investment bank Union Square Advisors. "Business models will change in an unfettered AI agent world, but 'how' is the question."
Originally published at Axios on July 25, 2025.