AI agencies innovatively combine AI technologies with traditional service outsourcing models to offer tailored software development services, harnessing the latest AI capabilities sustainably and profitably. The specialists conceive AI-augmented business ideas—such as models trained on recent forum data for instant online topic engagement—while freelancers execute the development cost-effectively. Initial projects evolve into AI products quickly brought to market as competitive startups, generating revenue that sustains workforce growth and enables the outsourcing of traditional software development to project-specific contractors. In this approach, developing actual products remains central, with outsourcing employed strategically. Employing external production teams affords several advantages: specialization in AI, scalability, rapid tool adoption, alignment with emerging industry standards, and the capacity to establish new industrial baselines. Such innovative business strategies differentiate AI agencies from other specialized software firms, offering a competitive advantage in attracting investment for the AI-powered software economy
(James Keegan et al., 2022). To leverage these benefits effectively, it is essential to examine the current AI marketplace and identify carrier waves created by prevailing trends.
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