Menlo Ventures Report: Enterprise GenAI Investment Hit $37B in 2025, Tripling in One Year

Summary

On December 9, 2025, Menlo Ventures published its third annual "State of Generative AI in the Enterprise" report, based on a survey of nearly 500 U.S. enterprise decision-makers conducted November 7-25, 2025. The headline finding: enterprise AI investment hit $37 billion in 2025, tripling from $11.5 billion in 2024, making it the fastest-expanding software category in history. AI applications now represent 6% of the entire global SaaS market. The investment breakdown reveals a market splitting