Physical AI: the hidden value pools leaders are missing

By McKinsey & Company · October 2, 2026.

McKinsey presents a new episode of "The McKinsey Podcast," titled "Physical AI: The hidden value pools leaders are missing," adapted from a recent McKinsey Live event. The episode can be watched on YouTube, and the podcast, which McKinsey says now releases new episodes weekly, is also available on Apple Podcasts and Spotify.

The email's central point is that AI is undergoing a fundamental shift: machines are moving beyond simply following instructions to perceiving their surroundings, making decisions and acting in the physical world. According to the text, humanoid robots are the most visible sign of this trend. But McKinsey highlights a striking figure: humanoids are expected to account for only about 2% of the total value of the physical AI sector by 2045. The episode's implied message, reflected in its title, is that the real economic value of physical AI lies in applications and layers of the value chain other than the humanoid robot itself. The email does not say which ones, and refers readers to the full episode for that discussion.

The conversation features Partner Ani Kelkar and Senior Partner Mark Patel, who discuss the economic potential of physical AI and how business leaders can capture the opportunity. The email includes no direct quotes or further figures from Kelkar and Patel's discussion, so the specific arguments they make in the episode cannot be detailed here.

The email also lists other recent episodes of the podcast without describing them: "Democratized superintelligence is coming: The world needs to get ready," "Why transformations stall—and where only CEOs make the difference," "Is progress behind us, or is 'plenty' still possible?" and "Made in America, again? Rethinking US manufacturing resilience."

McKinsey is also promoting an upcoming McKinsey Live event, "The technology shifts every business leader should be watching," scheduled for October 15. In it, Michael Chui and Roger Roberts will discuss the Technology Trends Outlook 2026 report, looking at where technological momentum is building, how the major trends are converging and what these shifts mean for business leaders, workers and society.

In general, the industry uses the term "physical AI" for artificial intelligence systems that combine sensory perception, decision-making and physical action, such as robotics, autonomous vehicles or industrial automation, as opposed to purely digital or conversational AI models. The email presents the concept only as the episode's overall theme and gives no concrete examples beyond humanoid robots.