IFS, a leading provider of Industrial AI software, has officially launched IFS Cloud 25R2, a major update designed to address the growing workforce capacity crisis in U.S. manufacturing and industrial sectors. The release, announced on November 27, 2025, introduces a suite of agentic AI capabilities, most notably the IFS Loops Digital Workers, which are engineered to think, decide, and act autonomously across enterprise systems. These digital workers are positioned as integral members of the industrial workforce, capable of handling repetitive, time-consuming tasks that have traditionally consumed up to 60% of field and operations staff capacity.

The launch comes at a critical time for American industry, as labor shortages continue to plague manufacturing, energy, and logistics sectors. According to IFS, over 50% of the industrial workforce is expected to retire within the next five years, taking with them years of experience and expertise. At the same time, billions of dollars in capital are being deployed to modernize infrastructure, rebuild supply chains, and transition to smart factory ecosystems. IFS Cloud 25R2 is positioned as a direct response to these challenges, offering scalable AI-driven solutions that can multiply workforce capacity and ensure continuity of operations.

IFS Loops Digital Workers are designed to automate workflows such as order processing, inventory management, maintenance scheduling, and data entry. By offloading these tasks, frontline technicians and operations staff can focus on higher-value activities that require human judgment and expertise. Pedro Buhigas, CIO at Kodiak Gas Services, shared that if just half of their workforce engages with the IFS Loops agent once per day, the company could realize an annual ROI of $3 million and reclaim 90,000 hours for field service technicians. This demonstrates the tangible impact that applied Industrial AI can have on operational efficiency and cost savings.

The new release also embeds AI throughout the customer journey, with enhancements to enterprise resource planning, manufacturing, aviation maintenance, and finance. In manufacturing, AI-powered MRP simulation enables multi-scenario demand planning, while dynamic pricing accuracy and streamlined compliance workflows improve sales and regulatory processes. In aviation maintenance, the IFS.ai Smart Part Finder uses structured IPC data and AI to deliver context-aware part suggestions, reducing search time and improving accuracy for aircraft return-to-service operations.

Christian Pedersen, Chief Innovation Officer at IFS, emphasized that the strength of their solutions lies in their application to complex industrial processes. He noted that generic, consumer-grade AI tools are insufficient for the realities of industrial work, and that IFS is focused on deeply embedding AI into the workflows that matter most. This approach has attracted world-leading AI partners and has earned the trust of industrial customers seeking to transform their operations.

Cathie Hall, Chief Product and Customer Officer at IFS, highlighted the company’s commitment to embedding industrial-focused AI where it matters most—directly into the daily workflows of field technicians, maintenance planners, and operations teams. The goal is to ensure that new technologies are immediately adopted and deliver measurable impact, with AI at the core of every solution.

IFS Cloud 25R2 represents a significant step forward in the evolution of industrial automation, offering a practical, scalable solution to the workforce capacity crisis facing American industry. By leveraging applied Industrial AI and Digital Workers, manufacturers and industrial operators can streamline operations, reduce costs, and ensure continuity in the face of ongoing labor shortages and workforce transitions.