1、ab16 September 2025Global ResearchPowered byUBS Evidence LabYESGlobal IndustrialsAI Insights:How are Industrial Companies Using AI?We are bullish on the outlook for AI usage across all Industrials subsectorsAs part of our recent AI Q-series,we surveyed 33 UBS Industrials analysts globally across Aer

2、ospace&Defense,Airlines,Autos,Business Services,Capital Goods,Homebuilders&Building Products,and Transportation on AI use,how its implementation could impact cost structures,and which stocks are most or least preferred as a result.We find the extent to which AI is in use and delivering measurable re

3、sults differs materially across the subsectors but,with references in earnings calls doubling in the past 2 years,the relevance is clearly growing.We also see AI and ML deals attracting a greater proportion of total Industrials investment in the private markets,with AI/ML VC capital invested as a pe

4、rcentage of total Industrials spend growing to 38%in 1H25 from flattish at c14%2020-22.In particular,Aerospace&Defence has been an important growth driver.We expect a continuation of these trends.Adoption accelerating,notably in Autos and Defence,but P&L impacts unclearThe impetus to offer AI enable

5、d products and services as well as the demand for driving efficiency gains is growing.Across the multiple subsectors surveyed,the adoption of AI varies significantly:Autos:AI presents significant opportunities for automated driving,particularly at higher levels like robotaxis,which offer substantial

6、 monetization potential and value creation.Lower levels of automation,while harder to monetize,are essential for competitiveness.Additionally,AI enhances plant productivity and reduces costs.Longer-term,auto companies development or adoption of humanoid robot applications may unlock further revenue