Professional Services Spend Is Double Software Spend

According to the Bureau of Economic Analysis, the contribution to US GDP in Q1 2024 of professional services industries was more than double that of information industries (which includes softare publishing).

That means, technological advancements in artificial intelligence could be a larger disruption than the entire SaaS industry. At least Bessemer seems to think so in their State of Cloud 2024.

From the report BEA report:

In 2024Q1, Professional and business services nominal value added was 12.9 percent of GDP and increased to $3,654.1 billion.

Professional and business services (PROF) is an aggregate of professional, scientific, and technical services (54); management of companies and enterprises (55); and administrative and waste management services (56).

In 2024Q1, Information nominal value added was 5.4 percent of GDP and increased to $1,523.9 billion.

Information (51) includes publishing industries, except internet (includes software) (511); motion picture and sound recording industries (512); broadcasting and telecommunications (513); and data processing, internet publishing, and other information services (514). Establishments produce and distribute information and cultural products, as well as data or communications, and process data.