LUCAMEInfosys has warned that AI-driven automation is slowing its revenue growth, because the efficiency gains it's selling to clients are reducing the size and value of the contracts those clients want to sign. The company is essentially caught between winning work on the strength of AI and watching that same AI shrink the fees it can charge.
What this means for your business
For a UK SME this is more of a market signal than a direct concern. It confirms that AI automation is starting to compress the cost of outsourced IT and software work, which is worth bearing in mind if you're currently paying for a managed service or outsourced development contract and haven't reviewed pricing recently. It's not urgent, but it's a reasonable prompt to ask your provider how AI tooling is affecting what they can offer you.