“Agencies have always been crazy hard to scale. Low margins, slow manual work. But AI changes this. Now instead of selling software to customers, you can charge way more by using the software yourself and selling them the finished product at 100× the price. Agencies of the future will look more like software companies, with software margins.”

“Cloud companies sold software ($ / seat). AI companies sell work ($ / outcome). The cloud transition was software-as-a-service. The AI transition is service-as-a-software.”

“Outcome-based pricing is the future of software. With AI we finally have technology that isn’t just making us more productive but actually doing the job. Actually finishing the job. You’re going from selling productivity enhancement to selling outcomes. And outcomes are valuable.”

“AI companies are leading a transition from software-as-a-service to service-as-a-software. Software is no longer simply a tool for organizing work; software becomes the worker itself. The upside is huge — a $4.6 trillion opportunity.”

“We’re seeing routinely YC companies with 10 or 20 people get to $10 or $20 million a year in revenue in 10 or 20 months. Each engineer working on Claude Code is doing the work of 20 people.”

“If AI automates 90% of the economy, then humans become the bottleneck for the remaining 10%. There’s 10× leverage on every unit of economic output that humans contribute. The real opportunity is teaching AI what only humans know — judgment, nuance, and taste.”

“The barriers to entry for creating software are so low now thanks to coding agents, that the build versus buy decision is shifting toward build in so many cases.” — $285B wiped from SaaS stocks in 24 hours on Feb 3, 2026

“Starting in about 2030 — four years away — 80% of all jobs will be capable of being done by an AI. IT services and BPO roles will vanish within five years, with AI tools taking over tasks currently handled by human workers.”