End users will spend $14,2bn on GenAI models this year

Worldwide end-user spending on generative AI (GenAI) models is projected to total $14,2-billion in 2025, according to Gartner.

End-user spending on specialised GenAI models, which include domain-specific language models (DSLMs), is estimated to total $1,1-billion this year.

Specialised GenAI models are trained or fine-tuned on industry or business process-specific data. The way DSLMs are developed and deployed results in an impact that exceeds the direct spending they generate.

Gartner predicts that by 2027, more than half of the GenAI models used by enterprises will be domain-specific (that is, specific to an industry or business function), up from 1% in 2024.

“Foundation GenAI models (including LLMs) are trained on vast amounts of data and used for many different tasks. They are the first models supporting GenAI and will continue to represent the largest area of spending by organisations in the coming years,” says Arunasree Cheparthi, senior principal research analyst at Gartner.

“However, organisations are also turning to more domain-specific or vertical GenAI models because they offer improved performance, cost, reliability and relevance in targeted enterprise use cases over foundation models.”

Gartner Data Snapshot: GenAI Models End-User Spending by Subsegment, 2024-2025, Worldwide (Millions of US Dollars)

Source: Gartner (July 2025)