Back to Blog
4 min read

AI Predictions for 2024: What to Expect in Enterprise AI

As we enter 2024, the AI landscape is evolving at an unprecedented pace. After a transformative 2023 that brought us GPT-4, the Assistants API, and Microsoft Fabric GA, here are my predictions for what enterprise AI will look like this year.

Prediction 1: Agentic AI Goes Mainstream

2024 will be the year AI agents move from research to production. We’ll see frameworks like AutoGen and LangChain mature to handle complex, multi-step workflows.

# Example: Simple agent pattern we'll see more of
from openai import AzureOpenAI
import json

class AIAgent:
    def __init__(self, client, tools):
        self.client = client
        self.tools = tools
        self.conversation_history = []

    def execute_task(self, task: str, max_iterations: int = 10):
        """Execute a task with tool use and reasoning."""
        self.conversation_history.append({
            "role": "user",
            "content": task
        })

        for _ in range(max_iterations):
            response = self.client.chat.completions.create(
                model="gpt-4-turbo",
                messages=self.conversation_history,
                tools=self.tools,
                tool_choice="auto"
            )

            message = response.choices[0].message
            self.conversation_history.append(message)

            if message.tool_calls:
                # Execute tools and continue
                for tool_call in message.tool_calls:
                    result = self._execute_tool(tool_call)
                    self.conversation_history.append({
                        "role": "tool",
                        "tool_call_id": tool_call.id,
                        "content": json.dumps(result)
                    })
            else:
                # Task complete
                return message.content

        return "Max iterations reached"

    def _execute_tool(self, tool_call):
        """Execute a single tool call."""
        func_name = tool_call.function.name
        args = json.loads(tool_call.function.arguments)

        if func_name in self.tools:
            return self.tools[func_name](**args)
        return {"error": f"Unknown tool: {func_name}"}

Prediction 2: RAG Becomes Table Stakes

Retrieval Augmented Generation will no longer be a differentiator - it will be expected. The focus will shift to:

  • Hybrid search combining vector and keyword approaches
  • Advanced chunking strategies for better context
  • Index optimization for cost and latency
# Azure AI Search with integrated vectorization (expected pattern for 2024)
from azure.search.documents import SearchClient
from azure.search.documents.models import VectorizedQuery

def hybrid_search(query: str, vector: list[float], k: int = 10):
    """Hybrid search combining semantic and vector approaches."""

    vector_query = VectorizedQuery(
        vector=vector,
        k_nearest_neighbors=k,
        fields="content_vector"
    )

    results = search_client.search(
        search_text=query,
        vector_queries=[vector_query],
        query_type="semantic",
        semantic_configuration_name="my-semantic-config",
        select=["title", "content", "source"],
        top=k
    )

    return [
        {
            "content": r["content"],
            "score": r["@search.reranker_score"],
            "source": r["source"]
        }
        for r in results
    ]

Prediction 3: Multi-Modal AI in Production

GPT-4 Vision and similar models will move from demos to production use cases:

  • Document understanding pipelines
  • Visual quality inspection
  • Multi-modal customer support
# Document analysis with GPT-4V
def analyze_document_image(image_base64: str, analysis_type: str):
    """Analyze a document image using GPT-4 Vision."""

    response = client.chat.completions.create(
        model="gpt-4-vision-preview",
        messages=[
            {
                "role": "user",
                "content": [
                    {
                        "type": "text",
                        "text": f"Analyze this document. Extract: {analysis_type}"
                    },
                    {
                        "type": "image_url",
                        "image_url": {
                            "url": f"data:image/png;base64,{image_base64}"
                        }
                    }
                ]
            }
        ],
        max_tokens=4096
    )

    return response.choices[0].message.content

Prediction 4: Cost Optimization Becomes Critical

As AI usage scales, cost management will become a primary concern:

  • Prompt caching to reduce redundant API calls
  • Model routing to use smaller models when possible
  • Token optimization in prompt engineering
# Simple cost-aware model routing
def route_to_model(query: str, complexity_score: float) -> str:
    """Route queries to appropriate model based on complexity."""

    if complexity_score < 0.3:
        return "gpt-35-turbo"  # Simple queries
    elif complexity_score < 0.7:
        return "gpt-4-turbo"   # Medium complexity
    else:
        return "gpt-4"         # Complex reasoning

def estimate_complexity(query: str) -> float:
    """Estimate query complexity using heuristics."""

    complexity_indicators = [
        ("analyze", 0.3),
        ("compare", 0.4),
        ("synthesize", 0.5),
        ("code", 0.4),
        ("multi-step", 0.6),
        ("reasoning", 0.5)
    ]

    score = 0.2  # Base complexity
    query_lower = query.lower()

    for indicator, weight in complexity_indicators:
        if indicator in query_lower:
            score += weight

    return min(score, 1.0)

Prediction 5: Microsoft Fabric Dominates Data + AI

Fabric will become the default choice for organizations wanting unified data and AI:

  • OneLake as the single source of truth
  • Direct Lake for Power BI performance
  • Data Activator for real-time alerts
# Fabric notebook pattern for AI-enhanced analytics
from pyspark.sql.functions import udf, col
from pyspark.sql.types import StringType
import openai

@udf(returnType=StringType())
def classify_feedback(text):
    """UDF to classify customer feedback using Azure OpenAI."""
    response = openai.chat.completions.create(
        model="gpt-35-turbo",
        messages=[
            {"role": "system", "content": "Classify as: positive, negative, neutral"},
            {"role": "user", "content": text}
        ],
        max_tokens=10
    )
    return response.choices[0].message.content

# Apply to Fabric lakehouse data
feedback_df = spark.read.table("customer_feedback")
classified_df = feedback_df.withColumn(
    "sentiment",
    classify_feedback(col("feedback_text"))
)
classified_df.write.mode("overwrite").saveAsTable("classified_feedback")

What This Means for Enterprises

Organizations should prepare by:

  1. Building AI platforms - Not just point solutions
  2. Investing in data quality - AI is only as good as your data
  3. Developing AI governance - Responsible AI frameworks
  4. Upskilling teams - Prompt engineering and AI literacy
  5. Monitoring costs - Token usage and model efficiency

Conclusion

2024 will be the year enterprise AI moves from experimentation to industrialization. The winners will be organizations that can operationalize AI at scale while managing costs and risks effectively.

The technology is ready. The question is: are you?

Michael John Peña

Michael John Peña

Senior Data Engineer based in Sydney. Writing about data, cloud, and technology.