Las Vegas, NV — (October 20–22, 2025) The Technology & Services Industry Association (TSIA) introduced AI Economics at the TSIA World ENVISION 2025, reframing the industry’s defining question: Is AI the end of tech services, or the era of tech services?
TSIA declared: AI isn’t eliminating services—it’s launching the most service-intensive era technology has ever seen.
“AI is the greatest disruption in over five decades,” said George Humphrey, Senior Vice President of Research at TSIA. “The winners won’t be those with the best AI—they’ll be the ones who retool services to deliver and own outcomes.”
“Serviceless AI is a myth,” added J.B. Wood, President and CEO of TSIA. “Without services, AI is just raw capability. With services, it becomes profitability.”
AI is rewiring value capture. Per-user and per-seat pricing are collapsing, margins are shrinking, and a value paradox has emerged: AI creates more customer value, while eroding legacy revenue streams. AI Economics positions services as the profit engine of the AI era.
TSIA’s AI Economics Declaration provides the roadmap: the AI Pricing Ladder and the Services Continuum—from AI Readiness & Governance Services (ARGS) to Model Optimization Services (MOS) to Outcome-Oriented AI Services (OOAS)—the work that makes AI profitable.
“AI proves what we’ve always known,” said Thomas Lah, TSIA’s Executive Director and EVP. “The more intelligent the product, the more critical the services that make it deliver outcomes.”
The trap is set. And most companies are already in it. They believe AI replaces services when it actually requires more services than ever to deliver outcomes. The winners? They'll retool services to achieve profitability—climbing from usage-based to value and outcome-based pricing. The AI Economics Resource Center offers the research, guidance, and frameworks you need to win.
About TSIA
The Technology & Services Industry Association (TSIA) is the world’s leading research and advisory organization focused on helping technology companies achieve profitable growth and deliver world-class customer experiences. TSIA provides actionable data, expert advice, and community connections that help members solve their most critical business challenges.
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