FABTECH 2025 Proved Artificial Intelligence Is the Norm, Actual Intelligence Is the Differentiator

FABTECH 2025 broke records as the largest show in the event’s history, drawing more than 45,000 attendees and 1,700 exhibitors. Within the crowded aisles, sessions, and booths, conversations consistently turned toward AI.

Everywhere you looked, AI was front and center. More than a few people who stopped by our booth admitted their boss had sent them over with one directive: “Find out what Paperless Parts is doing about AI.” The fact that conversations are starting there tells you everything about the moment we’re in. AI is no longer optional.

But no matter how flashy some tools may demo on the show floor, what really matters is how they perform when they’re working with your data, tied to real workflows. Shops that want to stay ahead need to focus less on the novelty of AI and more on the foundation: the data they collect, the processes they follow, and the teams they trust to make decisions. That’s where actual intelligence makes the difference.

So how can shops manage the change AI brings and make sure it actually delivers results?

Back to Basics

Paperless Parts Co-Founder and Chief Scientist, Scott Sawyer, reminded attendees during his speaking session that to understand AI, we have to go back to the basics; not all artificial intelligence is equally intelligent. Many solutions marketed as AI don’t even technically qualify. By cutting through the buzzwords, manufacturers can see AI for what it really is (and get a better sense of how to put it to work in their shops).

CMMC and AI Compliance: What Shops Need to Know

Scott also addressed another major headline from the week. In the middle of FABTECH, the Department of Defense published the final CMMC rule, which takes effect on November 10. That date marks the beginning of the “Phased Rollout,” when all new DoD solicitations will include some level of CMMC requirement, and Level 2 certification assessments will begin.

For shops supporting defense work, this raises an important consideration: how your vendors use AI can directly affect your compliance. If an AI tool mishandles data or stores sensitive information in a non-compliant environment, that risk falls on you.

As Scott explained, manufacturers need to treat AI as a technology that requires industry expertise and secure practices to become effective. Used thoughtfully, it can drive progress; used carelessly, it can create compliance roadblocks.

Turning Information into Data (And Data into Decisions)

That theme of preparation carried across the week. While Scott urged shops to strip away the hype and focus on fundamentals, Paperless Parts’ Alex Renner’s session showed how data and systems make or break AI adoption. “If you don’t have a clear handle on your processes and data flow today, layering AI on top will only magnify the blind spots,” he said.

Audience members called out familiar AI use cases: dashboards, meeting transcription, and even models trained on help documentation to deliver instant customer support. These applications reduce friction, but they only work when data is reliable and accessible.

The common denominator in all these cases is information. AI cannot create value without reliable data or systems in place to analyze it. So how do you bridge the gap between raw data and actionable insight?

Too many companies end up stuck in what Alex described as the “prison they have built for themselves,” locked into outdated systems that limit visibility and stall progress. Inside that prison, teams waste time chasing down information that should be readily available. Projects stall because data lives in too many different places, and decision-makers are left guessing instead of acting with confidence. Inaccurate or incomplete data leads to bad quotes, missed requirements, or late deliveries, which only compound the problem.

Manufacturing AI Adoption Starts with Data and Processes

The longer shops operate this way, the harder it becomes to adapt to new opportunities or to respond when technology, their customers, or compliance requirements demand higher standards.

Artificial intelligence may surface data, but without actual intelligence — the ability to interpret, challenge, and act on it — that data never becomes insight. So before expecting AI to transform your shop, you need to first prepare a strong process for collecting your data and invest in the right systems to turn that data into actionable insights.

Strength in Partnerships

Our approach to delivering value has always relied on working with other leaders in the manufacturing ecosystem. At the Paperless Parts booth, we had Scott answering AI questions nonstop, but we also had backup.

This year, we hosted Partner Spotlight hours in our booth. Throughout the week, attendees had the chance to meet directly with representatives from Hexagon, Autodesk, PennEngineering, Fulcrum, and Genius ERP, alongside our own team. These sessions gave attendees a chance to ask candid questions directly to the people building the tools they use every day. Together, we showed how our technologies connect the supply chain—from design to quoting to production—and how collaboration between teams creates smoother, more secure workflows.

No single tool can solve every challenge. By working with other innovators, we can deliver solutions that are more connected, more practical, and closer to the real workflows shops rely on.

Navigating Change with Confidence

AI may have been the headline at FABTECH 2025, but the real story was how shops are preparing for change. Technology will continue to arrive at a faster pace, and regulations like CMMC add even more pressure. The shops that thrive will be the ones that treat data, processes, and teams as the foundation for every new tool they adopt. Without that foundation, the best demo quickly unravels when it’s forced to handle the volume, variability, and pressure of a live shop environment.

Managing change means having the visibility to spot bottlenecks, the systems to reduce errors, and the people to turn insight into action. AI will continue to evolve, but the companies that succeed will be those who prepare for it, not chase it.

That was the real story of FABTECH 2025. Artificial intelligence may be the new norm, but actual intelligence—data, processes, and people working together—will be the true differentiator.

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Quote faster, reduce errors, and boost profitability with secure, AI-powered workflows from Paperless Parts. Visit paperlessparts.com/demo to see how.