CHAPTER 6The Future of Business Valuations
No one has a crystal ball, and one thing is for sure: the world will be a completely different place in five years based on the exponential pace of change that is hard to fathom. We are living through a transformation as significant as the Industrial Revolution, but compressed into years, not decades.
I still remember reading What To Do When Machines Do Everything in 2017.1 The book predicted that by 2030 voice call centers would be a thing of the past. At the time, I thought smartphones would shift users from voice support to self-service mobile apps.
Fast-forward to today, and that prediction is potentially partially true; however, voice is about to explode in its usage. It is just that it will be an AI agent on the other end instead of a human being. The prediction was correct about the outcome but wrong about the mechanism. Voice is not disappearing; it is being transformed.
The New Valuation Equation
Businesses that adopt AI agents to support humans in delivering results will see increased valuation multiples as profits increase, revenue scales, and reliable execution of systems differentiate those that go all in from those that dabble or ignore AI. This is not speculation; it is the inevitable result of compounding advantages.
Consider the math: if your organization achieves 3X productivity through AI-enabled workflows and your competitors do not, you are not just 3X more efficient, you are 3X more profitable, 3X faster to ...
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