AI adoption is reshaping the economics of digital commerce

itim Group

Artificial intelligence is moving rapidly from experimentation into commercial use, and digital retail is becoming one of the clearest areas where that shift is visible.

The technology cycle is increasingly being shaped by the infrastructure needed to deploy AI at scale. Four of the 14 major technology trends identified for 2026 are directly focused on AI, while the technology is also influencing robotics, software development, cybersecurity, semiconductors and scientific research.

Capital spending is rising alongside that adoption. AI infrastructure spending doubled within a year, while investment in energy technologies approached $200 billion during 2025. That matters because AI growth depends on more than software. It requires specialised chips, computing capacity, data centres and reliable electricity supply.

Power availability is becoming a practical constraint. Data centre development is moving faster than parts of the supporting electricity network, including transmission infrastructure, substations and transformer supply. This creates a clear execution issue for companies expanding AI capacity. Access to power, hardware and technical expertise may become as important as access to AI models themselves.

The commercial impact is already becoming visible in retail. US e-commerce sales during the November 2026 to January 2027 holiday period are forecast to increase by between 7.5% and 8.4% year on year, reaching between $316.1 billion and $318.9 billion. Total holiday retail sales are expected to rise by between 4% and 4.8% to roughly $1.7 trillion.

Online sales are expected to grow faster than the wider retail market, reinforcing the importance of digital channels within consumer spending.

AI is also starting to influence how those purchases begin. Around 24% of holiday shoppers are expected to start product discovery using AI tools, up from 2025. Consumers are using AI to research products, compare options and move towards purchase decisions before they reach a retailer’s website or store.

itim Group plc (LON:ITIM) is a SaaS-based technology company that enables store-based retailers to optimise their businesses to improve financial performance and effectively compete with online competitors. Itim adds retail value by helping multi-channel retailers optimise their business and their stores to improve financial performance and compete more effectively with the “Amazons”.

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