Shop Getting Smaller

What a difference 3 years makes. In 2022, I wrote about running Wepala as an agency and celebrating 5 years of building amazing things. Now, in 2025, I find myself reflecting on the evolution of our business and the industry as a whole. Are we witnessing the end of the era of the agency? (TLDR; yes, at least for me.)

Over the last few years, I’ve seen a significant shift in how businesses approach software development. AI has become a game changer in the industry, automating many tasks that were once done by humans. At Wepala, we embraced this change, leveraging GitHub Copilot and other AI tools to enhance our development process. This has allowed us to focus more on architecture and design while AI handles the more mundane tasks. Projects that used to take months can now be completed in weeks, with better code coverage and less technical debt.

On the other hand, macroeconomic factors have also played a role in shaping the industry. With companies sobering up from the pandemic hiring sprees and the subsequent layoffs, many agencies have had to adapt to a new reality. For Wepala, clients have reneged on contracts, and we’ve had to pivot our business model to focus more on product development rather than just agency work. With a glut of developers in the market and competitors using AI tools to spam clients, it’s become increasingly complex to stand out.

I still believe in the power of product development and innovation. The key to success lies in building products that solve real problems and provide value to users. AI offers the opportunity to do just that. I love writing code, building systems, and creating products that make a difference. The challenges mentioned above affected how I go about it (I no longer have a team of developers to work with), but I still love it. I still want to create great products and work with great people without the tedium of running an agency.