Clients are starting to press consulting firms with an awkward question: If AI is doing more of the work, why are we still paying the same fees?
It’s an issue hitting home inside Amazon‘s cloud business, through a consulting arm called ProServe that influences more than $10 billion in annual revenue for the tech giant.
Major customers, including Booking.com and Danske Bank, have “proactively” sought to renegotiate ProServe contracts, pushing for what an internal Amazon document described as “AI-delivered pricing,” along with faster results at lower cost.
“If GenAI enhances or speeds things up, they should get more value faster and shouldn’t pay the same rates,” the document from June stated, summarizing the prevailing sentiment among ProServe clients.
This pressure is reshaping the ProServe unit. Internal documents reviewed by Business Insider show Amazon reorganizing the cloud consulting arm around AI agents it describes as “digital employees,” while…