HFS Horizons: Generative Enterprise Services, 2025

This HFS Horizons: Generative Enterprise Services, 2025 report is for enterprise and technology leaders evaluating service providers that can move GenAI beyond point solutions into scaled, outcome-driven enterprise transformation.

Overview

HFS Horizons: Generative Enterprise Services, 2025 assesses 40 service providers on the innovation and value potential of their Generative Enterprise offerings, ranking each into one of three Horizons based on the why, what, how, and so what of what it delivers. HFS defines the Generative Enterprise as a wholesale transformation that rewrites operating models, reimagines customer experiences, and drives decisions with intelligence at scale rather than sprinkling AI onto legacy processes. The study also tracks the shift toward Services-as-Software™, in which services firms replace labor arbitrage with AI-powered software as technology arbitrage.

Key findings

1. Horizon 3 Market Leaders include Accenture, Ascendion, BCG, Capgemini, Cognizant, Eviden, EY, Genpact, HCLTech, IBM, Infosys, KPMG, McKinsey & Company, NTT DATA, Publicis Sapient, TCS, Tech Mahindra, Virtusa, and Wipro. Horizon 2 Enterprise Innovators include Birlasoft, Brillio, Ciklum, Coforge, Deloitte, EXL, Firstsource, Hexaware, Hitachi Digital Services, IGT Solutions, Movate, Persistent, PwC, and WNS. Horizon 1 Disruptors include Bain & Company, LTIMindtree, Mphasis, Randstad Digital, Sonata Software, Sutherland, and UST.
2. AI and GenAI metrics grew sharply during 2023 to 2024, with a 142% increase in clients, 220% growth in revenue, a 250% rise in AI-trained employees, and a 62% increase in AI labs.
3. 80% of reference respondents said the value realized today is Horizon 1, functional digital transformation, exposing a gap between enterprise demand for Horizon 2 transformation and current provider offerings.
4. Accenture reported GenAI revenue of $900 million in FY24 and deployed GenAI agents to optimize BMW’s supply chain, reducing delivery delays by 12%, while Ascendion cut technical debt by 60% and project costs by two-thirds for an American bank.
5. Among 130 service provider employees interviewed, 98% received formal GenAI training, yet more than 80% said the training was insufficient.

HFS finds that clients rate providers highly for the basics, averaging 8.3 out of 10 for CSAT, but rate business transformation lower than technology implementation, at 8.1 versus 8.7 out of 10. HFS assesses that the most effective providers will overcome the five debts of tech, data, process, culture, and skills.

Research methodology

This report draws on briefings with GenAI leadership at each participating provider plus reference checks with 71 clients, 75 partners, and 130 employees, alongside a Global 2000 survey of 550 participants, conducted by HFS Research in 2025.

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