Global Opportunity

Welcome and foreword

At Lightspeed, we’ve spent nearly 25 years partnering with visionary founders to navigate the changing landscape of global business. This year, we turn our focus to two powerful and intersecting forces: the rise of AI and the growing regionalization of global politics. At the same time that AI is reshaping industries and redefining competitive advantage, the fragmentation of global trade and the increase of protectionist policies are challenging the flows of capital, talent, and resources needed to fully realize its potential.

How are business leaders assessing the risks and opportunities of the present moment, and what decisions are they making in response? We surveyed nearly 1,000 C-level executives at companies with at least 100 employees in 11 markets around the world. The responses reveal that technology is now about much more than efficiency, the imperatives of globalization are giving way to a new era of regional opportunity, and investing in resilience is no longer optional.

While the pace of technological and geopolitical upheaval has accelerated, Lightspeed’s commitment to working with the world’s most dynamic entrepreneurs and businesses remains constant. We hope this report provides insights that will help builders of all sorts shape the future of global business.

Introduction

The World at an Inflection Point:
a New Era of Global Business

Global business is undergoing a profound rewiring. For decades, growth and globalization were paramount. Today, the new watchwords are resilience and regionalization.

The dual forces of AI transformation and geopolitical regionalization are reshaping business strategies, forcing companies to balance scale with resilience. Geopolitical change is driving innovation in strategic sectors and accelerating technological transformation—particularly where regional or sovereign interests intersect with commercial potential. This was reflected in executives' assessment of key drivers propelling innovation and growth.

40% cite business opportunities arising from geopolitical risk, including in defense tech, biotech, and AI

38% highlight the adoption of AI and automation

35% point to shifts in the global balance of power, such as the dynamics between the G20 and BRICS nations

After a decade of incremental progress, the rate of technological advancement has become exponential. Adapting to this change—in parallel with significant geopolitical shifts—will require a new blend of strategic foresight and operational resilience.

AI Imperatives

Make way for a
new innovation

While AI promises unprecedented efficiency and innovation, it’s also disrupting the foundations of how businesses organize and plan their workforce.

Companies are adapting to a rapidly changing business landscape by making strategic investments and operational shifts for 2025—putting substantial resources towards experimentation or implementation of AI.

Are integrating AI/robotics into their manufacturing or supply chain

Are introducing experimental pilot programs

Are introducing end-to-end automation of specific tasks within their company

Most notably, 39% of business leaders intend to automate away entire departments.

This swift integration of AI is also forcing executives to reimagine traditional organizational structures.

58%

of executives agree AI will collapse traditional career paths and make long-term workforce planning difficult.

19%

More alarming, nearly one in five executives strongly agree AI has the potential to introduce substantial challenges for traditional workforce planning.

Power shift

AI in a regionalizing
world

AI investments are being made amidst a rapidly evolving geopolitical environment—one with broad implications for how the technology is built and deployed.

Governments around the world are increasingly adopting protectionist policies including restrictions on cross-border data sharing and the onshoring of critical industries like chip manufacturing. When asked about their opinions:

71%

of C-level executives agree that governments are becoming more protectionist (with restrictions on cross-border data sharing and onshoring of chip manufacturing).

71%

agree that allied trade blocs will create competing payment networks, leading to the fragmentation of the global financial system into competing spheres of influence.

62%

agree that regional trade blocs could replace globalization in the future.

In response, executives are restructuring international operations and relocating production facilities. These changes are about more than just mitigating risks—they’re part of a proactive strategy to harden vulnerabilities across technology, supply chains, and regulatory compliance.

of C-level executives plan to increase regional focus

are restructuring international operations

are relocating production facilities

The rise of protectionist policies may also have implications beyond trade and company operations. While the global competition for AI expertise is relentless, 61% of executives believe the “brain drain” of highly skilled talent migrating to mature markets will slow as regional hubs develop their own AI ecosystems.

This decentralization of talent is creating new opportunities for regions to establish themselves as innovation leaders, reducing dependence on traditional tech centers.

Degree of difficulty

The regulatory burden
intensifies

Geopolitical fracturing is making the business operating environment more complex.

With regionalization on the rise, business leaders reported that operating and scaling internationally is more complicated than ever.

say the ability to secure foreign direct investment has become more difficult

say ability to secure international government contracts is more challenging

say that international regulatory compliance is becoming harder

These changes are having a surprising effect: 65% of C-level executives agree that the operating environment—and in particular, heavy-handed regulation—will drive rather than hinder industry consolidation. Business leaders see scale as the best way to meet the unique challenges and opportunities posed by the AI imperative and geopolitical regionalization.

Situational Intelligence

Identifying regional
opportunities

Success in the new global economy requires understanding how local regulatory frameworks, infrastructure demands, and security requirements are reshaping each market.

When assessing what makes a market attractive for investment and expansion, business leaders emphasized three key factors.

24%

Customer demand

23%

Market size and growth potential

22%

Infrastructure quality

With these priorities in mind, executives identified the regions with the strongest mix of new business opportunities in 2025. Regions with large growth potential, combined with the technological infrastructure and regulatory framework to support AI investments, came out on top.

EUROPE

SOUTH ASIA

EAST ASIA

NORTH AMERICA

How builders can
respond

The path to resilient growth requires understanding four critical transformations reshaping the global business landscape:

Geopolitical Realignment

The world is moving from efficiency-first globalization to resilience-first regionalization, with business opportunities increasingly defined by local infrastructure.

Strategic Adaptation

Success now requires the ability to operate effectively within and across regional centers, balancing global connectivity with local strategic engagement.

Operational Hardening

Companies are proactively restructuring global operations, diversifying supply chains, and building robust regional foundations to navigate increasing geopolitical uncertainty.

Technological Disruption

Concerns about AI, semiconductors, and digital infrastructure security are driving business investment.

Lightspeed has witnessed this transformation firsthand through our global expansion across three continents. Our experience building regional expertise has shown us how local nuances and geopolitics shape business opportunities.

Are you a builder capitalizing on the opportunities presented by this new business landscape?
Email generativeai@lsvp.com to learn more about working with Lightspeed.

METHODOLOGY

The Lightspeed Survey was conducted by Wakefield Research (www.wakefieldresearch.com) among 970 C-level executives, working at companies with a minimum of 100 employees, in Germany, France, Finland, India, Singapore, Brazil, UAE, Mexico, Sweden, South Korea, and Saudi Arabia, between November 25th and December 8th, 2024, using an email invitation and an online survey. Quotas were set for 100 respondents per market, with the exception of UAE (35) and KSA (35).

Results of any sample are subject to sampling variation. The magnitude of the variation is measurable and is affected by the number of interviews and the level of the percentages expressing the results. For the interviews conducted in this particular study, the chances are 95 in 100 that a survey result does not vary, plus or minus, by more than 3.1 percentage points in the global sample and 9.8 percentage points in all markets – with the exception of 16.6 percentage points in UAE and KSA – from the result that would be obtained if interviews had been conducted with all persons in the universe represented by the sample.

ABOUT LIGHTSPEED

SERVING THE BOLD BUILDERS OF THE FUTURE.

For over twenty years Lightspeed has been the first investor and an early backer of some of the most innovative companies in the world, dedicated to serving bold Founders with big ideas. We stand behind our Founders with high conviction, from Seed to Series F and beyond. We pursue opportunities based on their merits, regardless of where the Founder resides, because the future is global and so are we, with offices in 13 locations across 7 countries, comprising one Lightspeed community.

Visit us at LSVP.COM to learn more.

Opportunity Map