Original research · Updated November 13, 2026

Which AI tool categories fail most

Not every corner of the AI market dies at the same rate. We rank every category in our catalogue by the share of its tools that have since shut down or been acquired and sunset — measured against the tools we actually tracked, not estimated from the outside.

Failure rate range · 40 categories2.1%–16.7%a 8× spread

Where a tool sits matters more than the market-wide average. The safest category we track is Engineering & Simulation at 2.1%; the riskiest is Coding Assistants at 16.7% — 8 times likelier to be dead. Across the whole catalogue the rate is 13.9%.

Among major categories (50+ tracked tools), Coding Assistants leads at 16.7% — 9 of 54 gone. Smaller categories can post higher rates off a handful of deaths, so read the sample column alongside the rate.

Failure rate by category

40 categories · min sample 12
#CategoryFailure rate
1Coding AssistantsMajor16.7%9 / 54
2Automotive15.6%5 / 32
3E-Commerce14.6%7 / 48
4Music Creation13.0%3 / 23
5Browser Agents12.5%3 / 24
6AI Content WritingMajor12.4%22 / 177
7BI & AnalyticsMajor11.7%16 / 137
8NSFW11.4%4 / 35
9Developer ToolsMajor11.3%38 / 335
10AI Art & Image CreationMajor10.3%20 / 194
11Customer SupportMajor9.4%13 / 139
12LLM Observability & Evals9.4%3 / 32
13AI Audio CreationMajor9.0%8 / 89
14ProductivityMajor8.7%24 / 276
15Marketing & SEOMajor8.3%15 / 181
16Workflow AutomationMajor7.7%18 / 235
17Fitness & Lifestyle7.4%2 / 27
18Gaming & 3D Modeling7.4%2 / 27
19AI App Builders7.1%2 / 28
20AI/ML ModelsMajor7.0%13 / 185
21AI InfrastructureMajor6.8%22 / 324
22Voice AIMajor6.8%5 / 74
23Science & ResearchMajor6.8%4 / 59
24AI SDRs6.7%2 / 30
25HealthcareMajor6.4%7 / 109
26AI AgentsMajor6.2%23 / 369
27No-Code / Low-CodeMajor6.0%5 / 83
28Education & LearningMajor5.9%6 / 102
29Sales & RevOpsMajor5.6%11 / 196
30Social Media ManagementMajor5.0%3 / 60
31Finance & TradingMajor4.7%5 / 106
32AI Presentation Makers4.5%1 / 22
33LLM Gateways & Serving4.4%2 / 45
34Security & GovernanceMajor4.2%7 / 165
35Real Estate3.7%1 / 27
36Legal AssistantMajor3.6%2 / 55
37Video CreationMajor3.5%5 / 141
38Vector DBs & RAG2.9%1 / 35
39HR & Job Search2.3%1 / 44
40Engineering & Simulation2.1%1 / 48

Categories with fewer than 12 tracked tools are excluded: one death in a category of three is a 33% rate that means nothing. Rates are calculated against every tool we have ever catalogued in that category, including the ones still running.

How this is measured

Numerator

Tools in that category that shut down, or were acquired and had the brand retired. Acquired tools still shipping under their own name are not counted as dead.

Denominator

Every tool we have ever listed in that category, at any lifecycle. Both halves come from the same catalogue, so the rate holds regardless of how complete our coverage is.

Provenance

Every retirement is hand-reviewed, sourced and dated by an editor — never auto-scraped. The raw dataset is public at /feed/graveyard.json.

Cite this

ToolDirectory.AI, "Which AI Tool Categories Fail Most" (as of November 13, 2026): AI tool failure rates range from 2.1% (Engineering & Simulation) to 16.7% (Coding Assistants) across 40 categories — a 8× spread. Among categories of 50+ tracked tools, Coding Assistants is highest at 16.7%. https://tooldirectory.ai/research/ai-category-failure-rates

Free to quote with attribution under CC BY 4.0. Figures move as the dataset grows — please cite the date alongside the number.

Questions

Which AI tool category fails the most?

Coding Assistants, at a measured 16.7% failure rate — 9 of the 54 Coding Assistants tools ToolDirectory.AI has catalogued are gone, as of November 13, 2026. Among larger categories (50+ tracked tools), Coding Assistants is highest at 16.7%. Every ranked category clears a floor of 12 tracked tools, but read the sample size alongside the rate: smaller categories move further on a single shutdown.

How much do AI failure rates vary by category?

Substantially — from 2.1% (Engineering & Simulation) to 16.7% (Coding Assistants) across the 40 categories we rank, a 8× spread. The whole-catalogue rate is 13.9%, so a market-wide average understates the risk in the worst categories and overstates it in the safest.

What are the riskiest AI tool categories?

Coding Assistants (16.7%), AI Content Writing (12.4%), BI & Analytics (11.7%), Developer Tools (11.3%), AI Art & Image Creation (10.3%) — ranked by the share of catalogued tools that are now gone, across categories with at least 50 tracked tools. The full table on this page ranks every category down to a floor of 12.

How is the category failure rate calculated?

Dead tools in a category divided by every tool we have ever catalogued in that category, at any lifecycle. A tool counts as dead if it shut down, or was acquired and had its brand retired; acquired tools still shipping under their own name are excluded from the numerator. Categories with fewer than 12 tracked tools are excluded entirely, because rates on tiny samples are noise.

Is this the same as the AI startup failure rate?

No. Commonly cited AI startup failure figures (80–90%) are company-level estimates. This is measured at the product level inside a fixed catalogue: of 2,887 AI tools tracked, 401 (13.9%) are gone. The per-category rates on this page break that number down by what the tool actually does.

Why do some AI categories fail more than others?

The pattern in our data is concentration risk: categories sitting closest to a foundation-model vendor's own roadmap lose tools fastest, either absorbed by acquisition or undercut by a native feature. Categories built on workflow and integration depth retain tools longer. We publish the rates rather than the theory — the underlying dataset is public at /feed/graveyard.json.

How current is this data?

It is computed live from the Graveyard on every rebuild, so it is current as of November 13, 2026. Every entry is hand-reviewed, sourced and dated by an editor rather than auto-scraped.

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