Problems
What will AGI do for Service Commoditization Threats?
Professional service firms—agencies, consultancies, and specialized BPOs—face rapid margin compression as their core deliverables become easily replicable. Outputs that previously commanded premium retainers, such as market reports, code audits, or content generation, are now produced by clients internally using baseline AI models. This strips these firms of their pricing power, forcing them to compete solely on volume and turnaround time rather than specialized expertise.