The U.S. leads in 14 of 18 industries shaping the future economy — but the lead isn’t guaranteed

Geopolitics are dominating headlines, and trade conflict is accelerating. In this context, countries and companies need to position themselves well in the right industries to sustain profitable growth. What are those industries?

The McKinsey Global Institute (MGI) identified 18 “arenas” in 2024—industries that stand out for their dynamism and future potential in both revenues and profits. They include an “AI foundation” set of industries (semiconductors, cloud services, and AI software and services); digitization (digital advertising, E-commerce, streaming video, cybersecurity, and video games); electrification (EVs, batteries, nuclear fission), hard tech (robotics, space, shared autonomous vehicles, commercial drones, modular construction); and new bio frontiers (drugs for obesity and related conditions and non-medical biotech).  

In research published this spring, MGI tracked the development of those 18 arenas and showed them accelerating sharply. Among them are AI-related industries, digital industries like e-commerce, digital advertising, and video games, and other industries such as obesity drugs, robotics, modular construction, and commercial drones.

Combined, MGI finds that the 18 arenas added $18 trillion in market capitalization from 2022–25 and could generate $29 trillion to $48 trillion in revenues by 2040. The arenas are growing significantly faster than other sectors and deliver higher returns. In short, they are where the economic action is.

Right now, the United States and Greater China are........

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