IDC FutureScape: Worldwide Oil and Gas 2025 Predictions
This IDC FutureScape presents the top 10 predictions and key drivers for the oil and gas industry for the next five years. It highlights the midterm and long-term challenges that enterprise business, technology, and IT teams face as they define, build, and govern the technologies required to thrive in the dynamically evolving landscape of oil and gas businesses."The oil and gas industry is moving toward a future in which AI and data-driven operations enhance efficiency and safety, while the energy transition pushes companies to adopt cleaner, more sustainable practices. However, balancing innovation with operational realities and regulatory pressures will be critical for long-term success," said Gaurav Verma, research director, IDC Energy Insights.
IDC FutureScape Figure
Executive Summary
IDC FutureScape Predictions
Summary of External Drivers
Predictions: Impact on Technology Buyers
Prediction 1: To enhance decision-making quality, by 2026, 50% of E&P will invest in GenAI-powered subsurface platforms, enabling G&G stakeholders to access quick and accurate information in natural language.
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Prediction 2: To improve field service–related cost, safety, and sustainability, by 2027, 50% of upstream and OFS orgs will implement connected services and worker programs enabled by IoT, AI, and AR-XR tools.
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Prediction 3: Driven by net-zero goals, by 2026, 2/3 of O&G firms will form CCS alliances operationalizing end-to-end solutions to decarbonize the hard-to-abate sector, thus monetizing low-carbon opportunities.
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Prediction 4: By 2026, half of refiners will bridge the data management gap to leverage AI, driving innovations in product quality, energy efficiency, and process control, yielding an annualized benefit of $50M.
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Prediction 5: Aiming for excellence in LNG operations, safety, and sustainability, 60% of operators will launch digital LNG programs by 2027, spurring adoption of digital twins and APM, reducing O&M cost by 20%.
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Prediction 6: By 2028, 75% of oil majors will utilize drones combined with AI for offshore asset inspections, decreasing carbon emissions related to asset maintenance by 30% and reducing asset downtime by 50%.
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Prediction 7: By 2027, 70% of oil and gas companies will invest in digital supply chain programs streamlining procurement and optimizing inventory and logistics, resulting in reduced associated cost by 40%.
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Prediction 8: By 2029, 60% of operators will implement advanced communication technologies, powered by 5G and edge, in oilfields, increasing employee productivity by 30% and operational efficiencies by 40%.
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Prediction 9: By 2025, 60% of O&G firms will use AI and automation to upgrade and integrate siloed ESG processes into digital ESG & risk management platforms, enhancing reporting tools and cutting legal risks by 75%.
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Prediction 10: By 2028, only 40% of O&G firms will avoid talent shortages by empowering their full workforce with AI tools and learning, leading to enhanced skills, improved safety, and more appealing jobs.
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Advice for Technology Buyers
External Drivers: Detail
AI-Driven Business Models — Moving From AI Experimentation to Monetization
The Drive to Automate — Toward a Data-Driven Future
Future Proofing Against Environmental Risks — ESG Operationalization and Risk Management
AI-Driven Workplace Transformation — Building Tomorrow's Workforce Today
Regulatory Flux — Navigating Compliance Challenges in a Shifting Policy Landscape
Geoeconomic Reordering — Rethinking Globalization, Supply Chains, and Macroeconomic Challenges
Responsible and Human-Centric Technology — Ethics in the Enterprise