Microsoft Wants to Sell Software Subscriptions—to AI Agents; AWS’ AI Fallback Plan

When AI software sellers pitch their vision of the future, it can start to feel paradoxical.

On one hand, sellers say AI can meaningfully automate large swaths of white collar work, which should in theory help companies save money because they won’t need to pay as many humans. On the other hand, if companies cut jobs while embracing automation, there will be fewer white collar workers buying software subscriptions.

Earlier this week, Microsoft Executive Vice President Rajesh Jha suggested a fascinating way out of that paradox: Microsoft thinks it can keep selling seat-based subscriptions for products like Office 365—to the AI agents working inside Microsoft’s customers.