Knowledge work just became a commodity business

AI has eliminated the scarcity that made basic intellectual labor valuable—memos, analyses, drafts, and strategic outlines now cost near-zero to produce at decent quality. Companies that once paid for human expertise to handle routine cognitive tasks are discovering they can't justify that spend when Claude or ChatGPT handles the same output in seconds, which means the economic moat around entry-level and mid-market professional services has collapsed. Competition has shifted to judgment, editing, and synthesis—the human work of deciding which of AI's 20 ideas actually matters. Skill hierarchies inside organizations will likely steepen as routine knowledge work stops being a career ladder.