Executive Summary
Welcome to an exciting 2026. If the past few years taught us anything, it’s this: In our industry, change isn’t a season—it’s the climate. And right now the temperature is rising. The agency business is undergoing a profound reinvention. Not a refresh. Not a rebrand. A structural shift in how work is produced, value is measured, talent is deployed, and partnerships are priced. AI is compressing timelines, reshaping roles, and turning once-linear workflows into always-on systems. Budgets are tighter, expectations are higher, and the definition of “great” is moving faster than ever. What makes this moment different is that it’s happening quietly, inside operating models—not just in headlines. That’s why, months or years from now, we may look back and realize we’re no longer talking about the same agency industry at all.
This is not a year to simply keep up. This is a year to course-correct, adjust and embrace change as it happens. Google, Meta, and Amazon have built tremendous advertising tech offerings that are the envy of any large advertising holding company. They partnered with holding companies. They built alliances. They are also building capabilities to transform their labor-intensive, time-based commercial models into more profitable, more sustainable businesses that protect their turf while they continue to act as strategic advisors and service providers to large brand advertisers. AI is transforming agencies from creative partners into tech-fueled vendors, such as WPP with its WPP Open Pro self-serve offering, Publicis Groupe’s CoreAI, Havas’s Converged.AI, or Stagwell’s The Machine, to appeal to underserved or low-budget brands. From generative AI to AI agents that can autonomously launch campaigns, the rise of artificial intelligence in agency offerings is undeniable.
The race is on, and agencies are investing fast to stay relevant.
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Newsworthy Reports and Recent Developments
At AMS, we approach the agency management discipline as four distinct but complementary practice areas – Talent, Work and Performance, Financials, and Agency Reviews and Roster Changes – which is how we categorize the following developments.
Table of Contents
Talent……………. page 3
Work and Performance………………… page 8
Financials…………………………. page 10
Agency Reviews and Roster Changes……………… page 12
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Disclaimer: Our bimonthly Industry Updates provide a summary and analysis of noteworthy client-agency developments gathered from recent trade-related publications and news media. The information presented is based on publicly available sources and should not be considered exhaustive.
