When productivity gains do arrive, companies won’t ease into them. They’ll act on them at scale—like Block, cutting headcount, consolidating workflows, and deploying AI agents across functions that once required entire teams. That, in Zandi’s framing, is the Cortés moment: not when companies start investing in AI, but when they commit to it so fully that reverting to the old model becomes unthinkable.
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I close my eyes and picture a boat making its way towards the mainland. Lit only by moonlight, a silhouette walks towards a post box and mails three letters, one by one. Then, the familiar tune of ABBA’s Gimme! Gimme! Gimme! (A Man After Midnight) starts to play, and the musical begins.
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