By Dr. Ali Azam
The rapid rise of agentic AI—artificial intelligence systems capable of planning, acting, and adapting with minimal human intervention—is transforming how startups are built and scaled worldwide. According to Dr. Ali Azam, the technology is reducing the time, capital, and workforce traditionally required to launch new businesses while creating new challenges for established companies.
In an opinion piece, Dr. Azam argues that autonomous AI systems are changing entrepreneurship by enabling faster product development, automating business operations, and improving capital efficiency. He says these changes are reshaping competitive dynamics across industries and could significantly affect countries that rely on technology outsourcing.
AI Changing the Startup Landscape
Dr. Azam identifies several trends driving the growth of agentic AI, including faster product iteration, AI-assisted marketing, automation of business functions, lower startup costs, and continuous learning systems that improve over time.
He argues these capabilities allow startups to achieve milestones with fewer employees and lower investment than was previously possible.
Pakistan Faces Both Opportunity and Risk
According to the author, Pakistan has demonstrated strong technical talent through international AI success stories, including the acquisition of generative AI startup Jams, co-founded by Pakistanis Asad Awan and Hamza Aftab, by OpenAI in 2025.
However, he says the country’s broader AI ecosystem remains underdeveloped. He cites limited AI adoption among businesses, gaps in digital skills, insufficient industry-aligned education, and the absence of comprehensive national data on AI usage as key challenges.
Outsourcing Model Under Pressure
The article argues that Pakistan’s ICT services industry could face increasing pressure as AI automates routine software development, digital design, and data processing tasks that have traditionally supported outsourcing revenues.
Dr. Azam says companies may need to shift from labor-based service models toward specialized, outcome-driven solutions built on industry expertise and proprietary data.
Call for Policy and Industry Reforms
The author recommends measures including AI training for small and medium-sized enterprises, government-backed digital readiness programmes, stronger collaboration between universities and industry, and wider implementation of data governance frameworks.
He concludes that Pakistan has an opportunity to strengthen its position in the global AI economy if businesses and policymakers accelerate investment in AI capabilities and digital transformation.
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