The Future of Intelligence: Insights for 2026

As we look towards 2026, the integration of intelligence into physical products is set to redefine our interactions with technology. This evolution will be significantly powered by the rise of digital identity technologies, prominently featuring near-field communication (NFC), alongside advancements in artificial intelligence (AI) and agentic AI tools. These innovations promise to automate workflows, enhance efficiency, and drive innovation across the entire product lifecycle.

The Surge of NFC Adoption

The rapid increase in NFC technology adoption—currently projected at 92% among brands—demonstrates a robust appetite for unlocking the potential of the connected world. Brands are eager to bridge physical experiences with digital ones, leading to positive social, commercial, and environmental outcomes. By embedding intelligence into everyday items, companies can create seamless interactions that resonate with consumers on multiple levels.

Regulatory Transformation in the Digital Landscape

Significant regulatory developments, such as the EU’s Digital Product Passport initiative, are positioning transparency and sustainability as key priorities. These regulations not only aim to enhance consumer trust but also encourage brands to adopt item-level AI. Organizations will increasingly feel the pressure to comply with these frameworks, driving a shift towards greater accountability in product lifecycles.

Benefits Across Industries

In the coming year, embedding intelligence—from the edge of networks to individual devices—will yield substantial advantages. Companies can expect to enhance customer experiences, improve sustainability efforts, ensure compliance, and drive supply chain efficiency. By securing item-level data and integrating AI, businesses will be well-equipped to respond to evolving market demands.

Edge AI: The New Frontier in Technology

Edge AI is poised to be one of the fastest-growing segments in the semiconductor industry. The shift from simple inference to on-device training and continuous learning reflects the need for more robust, real-time computational capabilities. Specialised chips—such as low-power machine learning accelerators and sensor-integrated chips—are becoming pivotal in sectors like consumer electronics, smart cities, and Industrial IoT. Innovative packaging methods will further enhance performance and efficiency in these Edge devices.

Item-Level Intelligence Driving Digital Transformation

Intelligence will extend beyond mere devices into individual items, spurred by affordable sensing technologies and edge AI. The shift from batch data to real-time data collection will facilitate automation and personalization across various domains, including smart packaging, healthcare, retail, and logistics. Applications will range from tracking and AI-driven personalization to automated supply chain optimization and predictive maintenance, positioning each item as a vital source of intelligence.

Connected Experiences Fueling NFC Growth

The boom of connected consumer experiences—including wearables, hearables, and smart packaging—is propelling NFC adoption. As consumers demand more interactive and personalized product engagements, the value of NFC as a trust and connectivity enabler becomes apparent. Brands are likely to gravitate towards ultra-low-cost and thin NFC solutions that offer frictionless experiences to meet these growing expectations.

Heterogeneous Integration Revolutionizing Design

Heterogeneous integration, achieved through chiplets, interposers, and die stacking, is emerging as a critical strategy for designing high-density, high-yield products. This technique will enable miniaturization and offer diverse form factors for edge AI applications. Coupled with advanced agentic AI-driven Electronic Design Automation (EDA) tools, design barriers will diminish, fostering agile and efficient innovation, and driving demand for cost-effective foundry services.

Compliance as a Competitive Advantage

Shifting regulatory frameworks—think Digital Product Passports and Extended Producer Responsibilities—demand robust product authentication, traceability, and lifecycle management. However, these obligations can also represent a strategic opportunity. By embedding digital IDs with NFC capabilities, companies can meet compliance needs while enhancing consumer engagement and establishing a competitive edge in the market.

Energy Efficiency in Semiconductor Manufacturing

Amidst rising energy demands from AI, the semiconductor industry is prioritizing power-efficient designs to maintain scalability. The trend is moving from centralized computing to distributed systems that process data locally, minimizing energy consumption. This shift solidifies Edge AI architectures as crucial to sustainable growth, alongside domestic manufacturing efforts focusing on reducing embedded emissions.

The Path to Embedded Intelligence

Collectively, these trends signify a movement toward integrating intelligence into everyday life. The focus on edge computation will facilitate real-time insights and efficiency across various sectors. Semiconductor manufacturing will be integral to this transformation, emphasizing the development of flexible, ultra-thin chip technologies. This new wave of innovation will include emerging form factors and enhanced efficiency, ultimately placing businesses at the forefront of digital transformation.

As we approach 2026, the companies that effectively embed connected technologies into their strategies will not only accelerate innovation but will also be best positioned to leverage the opportunities that the future holds.