Will AI make companies outsource more or less?

The discussion around business dynamism in the U.S. has taken a new turn with the advent of AI, sparking debates on whether AI will lead to increased or decreased outsourcing. Historically, there's been a slowdown in new business formation, raising concerns about economic vitality. AI's capabilities in automation and efficiency might prompt companies to outsource more tasks to external firms specializing in AI-driven services, potentially reshaping the global outsourcing landscape. This shift could have significant implications for job markets and economic structures worldwide.