> The only way more efficient operations doesn't make margins go up is if prices go down.
But in general, it is not true that more efficient operations + unchanged margins = observable lower prices. Especially when the mere existence of a technology can make non-adopters' processes overall less efficient. For example, if there is a RAM shortage, and storage becomes more expensive, then SaaS subscription prices will increase, even if all vendors adopt AI to make their operations more efficient.
https://www.accelerance.com/blog/2026-outsourcing-rate-trend...
https://www.reuters.com/world/india/ai-reshapes-indias-it-se...
> The only way more efficient operations doesn't make margins go up is if prices go down.
But in general, it is not true that more efficient operations + unchanged margins = observable lower prices. Especially when the mere existence of a technology can make non-adopters' processes overall less efficient. For example, if there is a RAM shortage, and storage becomes more expensive, then SaaS subscription prices will increase, even if all vendors adopt AI to make their operations more efficient.