Most people I know have asked themselves some version of “Is AI replacing me?” It’s a fair question.
But, running a solo business, I think the question extends beyond “Is AI replacing the work I do?” It’s also impacted the way clients interact with the people they hire.
Some companies are really moving their budgets away from hiring people to AI. The Ramp Economics Lab tracked how businesses split their spending between freelance marketplaces and AI model providers. Among the companies it studied, the share of spend going to freelance marketplaces dropped from 0.66% in the fourth quarter of 2021 to 0.14% in the third quarter of 2025. Over the same time period, the share going to AI model providers climbed from zero to nearly 3%.
How far that shift goes varies from company to company and the type of service provided. But clients know AI is cheaper (Ramp’s data bears that out). As a result, some clients may expect to pay less for human work. I suspect this is because they think that if AI allows the solopreneur to work faster, then they, the client, should get some benefit.
I don’t think solopreneurs should drop their rates to compete with AI, because that devalues the end result that the client is paying for. If a client’s budget has shrunk, you might cut the scope before you reduce your rates. You could also offer more flexible terms, like ad hoc or on-demand work, so a client with a tight budget can still bring you in when they need you.
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