AI isn't making agencies useless.
it's making certain agency invoices harder to explain.
if AI makes
first drafts
variations
research
repurposing
basic editing
production
dramatically easier...
you can't keep pretending the labor itself is the moat.
the value has to migrate upward.
taste.
strategy.
distribution.
offers.
experimentation.
customer knowledge.
revenue.
AI doesn't necessarily destroy service businesses.
it forces them to become more valuable.
one reason AI pricing feels weird
companies sell the unit the infrastructure understands
tokens.
credits.
runs.
actions.
seats.
the customer does not wake up wanting 40,000 additional AI actions.
they want:
every qualified lead answered
every call captured
every proposal followed up
every customer issue routed
every important exception surfaced
sell the thing the customer can recognize in their business.
not the thing your API recognizes on the invoice.
Google's Gemini 4 Argon can autonomously find, validate and patch software vulnerabilities in its cyber defense setting.
OpenAI is building persistent agents.
Google is turning reusable instructions into Skills.
the direction is becoming pretty obvious.
we spent the first phase of generative AI asking:
“what can this model tell me?”
the next phase is:
“what responsibility can this system reliably own?”
that is a much bigger question.
because once software can own a recurring piece of work, you're no longer just selling intelligence.
you're redesigning the company around it.
automation without observability is just faster mystery.
this is going to become painfully obvious as companies deploy more agents.
if an agent sends the wrong email at 2:14 AM, I want to know:
what triggered it
what context it saw
what decision it made
what tool it called
what changed
and how to undo it
not:
“huh. that’s weird.”
people obsess over making agents autonomous.
I’m increasingly interested in making them easy to investigate when autonomy goes sideways.
coding agents are creating a hilarious new bottleneck
building internal software is getting easier
knowing what should exist is not
you can give somebody an agent capable of shipping an internal tool incredibly quickly
great
what process should it fix?
where does the process actually break?
which edge cases matter?
what should stay human?
what does success mean?
who owns it afterward?
implementation is getting cheaper
knowing what to implement is becoming more expensive
AI agents are going to make bad lead forms look increasingly absurd
business:
“please enter your company name”
agent already knows domain.
“what industry are you in?”
agent can research it.
“company size?”
researchable.
“what are you interested in?”
you have 4 previous emails from me.
“tell us about your business”
good heavens brother, you have a CRM.
the future of personalization isn't generating a creepily personalized first sentence.
it's stopping customers from repeatedly telling the business things it already knows.
the easiest AI service to sell might be a job somebody already hates doing.
not just “AI transformation.”
not just “agentic infrastructure.”
find the sentence:
“every morning Sarah has to…”
there’s your starting point.
map what Sarah checks.
map the decisions she makes.
map the exceptions.
map what she updates afterward.
automate the predictable middle.
keep Sarah for judgment.
this is significantly less glamorous than building AGI.
it also has the wonderful property of having a customer.
cheap ai model vs expensive ai model is going to become basic business architecture
you don't need frontier reasoning to
extract an email address
categorize a ticket
summarize a call
check a field
route a lead
save the expensive intelligence for:
ambiguous requests
complex research
negotiation prep
high value accounts
hard decisions
cheap model for volume.
strong model for ambiguity.
human for consequence.
that little hierarchy can save an absurd amount of compute.
the early OpenAI Dots reviews contain a lesson every AI agency should tattoo somewhere visible.
Dots reportedly did well on structured projects involving user data and controlled environments.
random consumer errands across the public web?
much messier.
security checks.
login friction.
failed purchasing flows.
human intervention.
this pattern keeps showing up across agents:
the narrower the job
the cleaner the context
the clearer the permissions
the better the system becomes.
“do everything” makes a good demo.
“you own this responsibility” makes a good product.
the AI agent is probably not the product.
the boring stuff around it is.
hosting it.
monitoring it.
fixing integrations.
handling edge cases.
updating rules.
watching costs.
checking logs.
recovering failures.
being there when the client says:
“uhhh why did it do that?”
this is why “clients can just use ChatGPT themselves” misses the point.
technically I can also host my own email server.
I’d rather lick a battery.
Claude Code can now modify Claude Code while it’s running.
Anthropic’s new Mods are TypeScript functions that can:
rewrite prompts
block or rewrite tool calls
approve or deny permission requests
redact secrets
change UI
replace built-in features
and add entirely new functionality.
this is where “prompt engineering” starts looking increasingly small.
the interesting unit is becoming:
behavior + tools + permissions + interfaces.
not clever paragraphs in a textbox.
also worth noting: Anthropic says Mods aren’t sandboxed.
power cuts both ways.
one of the weirdest new questions in business is: what should your software be allowed to know?
not just what it can do.
what it can see.
agents can potentially ingest:
Slack conversations
customer history
internal documents
emails
meeting transcripts
financial information
employee discussions
then reason across all of it.
that’s extraordinarily powerful.
it’s also why “connect everything” is terrible agent design.
give the system the minimum context required to perform the job.
context is capability too.
new AI releases have become so frequent that following them can become procrastination disguised as research
omg new model !!!!
rewrite the stack !!!
new agent!!!!
rewrite the offer!!!
new benchmark!
rethink the business!!!
stop.
your customer still wants roughly the same thing they wanted Wednesday.
more revenue
less cost
less waiting
less repetitive work
fewer mistakes
better service
focus on the thing that matters.
Claude Code can now modify Claude Code while it’s running.
Anthropic’s new Mods are TypeScript functions that can:
rewrite prompts
block or rewrite tool calls
approve or deny permission requests
redact secrets
change UI
replace built-in features
and add entirely new functionality.
this is where “prompt engineering” starts looking increasingly small.
the interesting unit is becoming:
behavior + tools + permissions + interfaces.
not clever paragraphs in a textbox.
also worth noting: Anthropic says Mods aren’t sandboxed.
power cuts both ways.
“trust the AI company” is not an enterprise security policy.
doesn’t matter whether the model underneath your workflow comes from OpenAI, Anthropic, Google or somebody else.
the model provider doesn’t know:
which customer is sensitive
which action is irreversible
which discount requires approval
which database cannot be touched
which mistake costs you $50
and which mistake costs you $50,000
that’s your job.
the lab provides intelligence.
you provide the boundaries.
California's attorney general has now subpoenaed OpenAI as part of an investigation into cybersecurity risks involving its AI models
this is where “agent safety” stops sounding like something only research labs need to care about
because when YOUR agent
sends the email
changes the record
touches customer data
updates the account
or makes the promise
the customer sees your logo
not the model provider's benchmark score
an agent with unlimited API spend is basically a corporate credit card that can operate at machine speed.
please enjoy that sentence for a moment.
then add:
spend ceilings
scoped credentials
rate limits
usage alerts
action logs
credential rotation
kill switches
AI security gets described like some exotic futuristic discipline.
half of it is still:
don't give the robot your fvcking master key.

