How AI Agents are Transforming Business

I was born in 1984, right around the time personal computers and mobile phones started making their way into our homes. I vividly remember the excitement of my family’s first PC. It was a Commodore Amiga 64 - and besides being my parent's office assistant, it was also my first game console. It used floppy disks to play games like Lemmings, Worms and Paperboy. I spent many hours playing those games and it transformed my childhood. That clunky machine opened up a world of possibilities - not just for me, but for my generation.

Growing up with technology shaped who I am today. I saw firsthand how these tools shifted the way we communicate, learn, and work. From typing my first school report on a word processor to navigating the early internet with ICQ and MSN Messenger, those experiences laid the foundation for my personal networks and career in marketing. Now with AI developments rapidly advancing, I find myself reflecting on how this new wave of innovation could have just as profound an impact on our lives, networks and businesses.

The Historical Context

Let’s take a quick detour through tech history. Most of us think of the personal computer as the starting point of the tech revolution, but did you know that the real first wave was all about digitizing back-office operations? While we were busy getting our first home PCs, businesses were quietly transforming how they handled data, accounting, and operations. This laid the groundwork for today’s tech landscape.

Think about it: before we had the fancy apps we use now, companies were manually crunching numbers and maintaining records. The introduction of computers didn’t just speed things up - it changed the entire business model. Our current AI advancements are following a similar trajectory.

Early Computing vs. Modern AI

Interestingly, I often think about how the early days of personal computing mirror today’s AI landscape. The original computers were seen as toys for some, but they quickly became essential tools for business. Younger generations, who grew up with PCs, don’t see using technology as a challenge; it’s just part of life. They dive into tasks with confidence, while older users often approach tech with hesitation and fear of losing control.

Today's employees have a similar relationship to AI as most corporate employees to PCs in the 1980s; sure, they’ll use it if they have to, but they don’t want to transform how they work. My take is that while the personal computer was a generational shift: the true value of computing wasn't just about educating Boomers, but about transforming entire workflows and replacing outdated processes in back offices.While AI has the potential to create similar shifts today, it requires a mindful approach to change management to fully realize its benefits.

The transition from monolithic to compound AI systems represents a move towards greater adaptability, precision, and user-centric design in AI applications. This evolution is paving the way for more advanced, context-aware AI solutions that can effectively meet more complex demands. An example of this is Palantir Foundry - a data integration and analysis platform designed to help organizations make better decisions through data-driven insights.

Enter the LLM Agents: A New Wave of AI

Now, here’s where it gets exciting. The concept of AI agents is emerging as the next big thing. These are not just tools - they’re designed to perform tasks that traditionally required human input. Not only can they "think fast" following a programmatic script, they can also "think slow" reasoning each step of the process, accessing memory before they act. Think of them as the next generation of assistants that can handle everything from customer service to data analysis. But here's the kicker: the real potential lies in how we integrate these agents into our workflows to boost productivity and results.

Just like the first wave of computing revolutionized back-office tasks, AI Agents can reshape our entire business operations. The key is to get buy-in from the top. If executives see the value, they’ll be more willing to invest in the necessary changes. We're still in the?early days of AI Agents. We're seeing rapid progress when you combine the effects of System Design with Agent behaviour.?Of course, there will be human in the? loop in most cases as the accuracy is improving. Adopting AI is not just about the tech - it’s a change management challenge. Getting everyone on board to use new tools effectively can be a heavy lift. But those companies who can navigate this shift will likely be the first to see concrete benefits.

Closing Thoughts

When I think about the evolution of AI, I realize that most comparisons we make tend to focus on the Internet, which makes sense given its monumental impact on our lives. But I believe AI represents a fundamentally new way of computing, and the better analogies are rooted in the history of computing itself. For instance, I see transformers as the equivalent of transistors, while today’s AI models resemble mainframes. The graphical user interface? Well, that’s still a work in progress.

This perspective leads me to conclude that the most significant opportunities for AI lie in top-down implementations within enterprises. The enterprise philosophy is not just about the end user; it’s driven by executive level buyers focused on increasing revenue and cutting costs. These buyers are incredibly rational, often calculating the expected value of AI agents, even when they make mistakes. This bottom-line focus will be crucial for justifying the computational resources needed to scale AI capabilities effectively.

Interestingly, this might mean we’ll see AI in the consumer space evolve more slowly than we anticipate - especially when compared to the rapid adoption of smartphones or social media. While this is great news for early adopters and tech enthusiasts, most everyday users will likely see the biggest benefits in areas like entertainment and gaming for the time being. The true consumerization of AI may well be the legacy of the next generation, who will grow up in a world where AI is just a part of everyday life.

What are your thoughts? How are you planning to integrate AI into your business?

Let’s chat in the comments!