The Current Rules: Platform-Mediated Distribution

Before AI agents began reshaping how we interact with products and services, the digital economy was already dominated by another layer of intermediaries: platforms. Companies like Google, Meta, Amazon, and Apple became the gatekeepers of distribution. They controlled access, visibility, and ultimately, business viability.

This era of platform-mediated distribution is what shaped most digital strategies of the past two decades. Understanding it is critical, because it shows both the strengths and weaknesses of the old model—and why AI mediation represents such a radical break.

The User’s Burden: Manual Work

In the platform economy, users shoulder most of the cognitive load.

A typical journey looks like this:

Search on Google.Open 10 different tabs.Compare features and prices.Read dozens of reviews.Cross-check credibility on social media.Decide.Navigate checkout.Complete purchase.

This manual work is time-consuming, cognitively expensive, and shaped entirely by platform design. Platforms don’t optimize for efficiency; they optimize for engagement and ad exposure. The more time you spend searching and comparing, the more value they extract.

The result: users are caught in an endless loop of clicks, reviews, and comparisons.

Businesses in a Platform-Controlled World

On the other side of the equation are businesses, all fighting for visibility within platform-controlled ecosystems. Four archetypes emerge:

Business A: Fights for VisibilityRelies heavily on SEO, ads, and social promotion.Success is algorithm-dependent; a search ranking drop can mean revenue collapse.Business B: Competes for AttentionFocuses on content marketing, influencers, and social engagement.Must constantly feed the algorithm with fresh content to stay relevant.Business C: Platform DependentEntirely tied to marketplaces or app stores.Subject to platform rules, fees, and shifting recommendation engines.Business D: Pays the Platform TaxLeverages paid promotions, commissions, or sponsored listings to survive.Relies on capital more than differentiation.

Each archetype reinforces the same dependency: platforms own the distribution, businesses rent it.

How Platforms Extract Value

The mechanics of value extraction in the platform era are straightforward but brutal:

Ad Spend: Businesses pour billions into Google Ads, Meta Ads, and similar systems just to maintain visibility.SEO Tolls: Ranking requires constant investment in optimization, tools, and content.Commission Cuts: Marketplaces like Amazon skim 15–30% off every transaction.Promotion Fees: Platforms monetize preferential treatment, from sponsored search slots to “recommended” product placements.

This creates a dynamic where businesses are locked in a zero-sum competition—fighting for visibility in a system where the platform always wins.

The Current Rules of Distribution

Three principles define the platform-mediated world:

Visibility = ViabilityIf you’re not visible on search, social, or marketplaces, you’re invisible to customers.Survival depends on playing by platform rules.Users Do the WorkResearch, comparison, and decision-making are manual, slow, and inefficient.Platforms benefit from this inefficiency, since it maximizes engagement.Platform DependencyBusinesses are locked into ecosystems they don’t control.Shifts in algorithms or fees can instantly disrupt entire industries.

These rules created massive industries—SEO, content marketing, performance ads, influencer marketing—but they also concentrated unprecedented power in the hands of platforms.

The Core Problems

The platform-mediated distribution model delivers scale, but at significant cost.

Rising Ad CostsAs competition for visibility intensifies, ad auctions drive costs higher.CAC (customer acquisition cost) increases year after year, squeezing margins.Algorithm DependencyVisibility depends entirely on opaque, constantly changing algorithms.Businesses lack control or predictability.User Cognitive OverloadEndless searching, comparing, and reviewing creates friction.Decision fatigue leads to worse customer experiences.Platform Power ConcentrationA handful of players—Google, Meta, Amazon, Apple—control the majority of digital distribution.They extract disproportionate value from both users and businesses.Zero-Sum CompetitionPlatforms benefit regardless of who wins among businesses.Market participants fight over scraps while the gatekeepers grow stronger.The Attention Economy

All of this rests on the attention economy. Platforms monetized visibility by converting user attention into ad revenue. Businesses fought for attention; users paid with their time.

This explains why engagement metrics—clicks, impressions, dwell time—became the dominant KPIs of the past two decades. Attention was the scarce resource, and platforms were the bottleneck.

But attention is a fragile foundation for value capture. As soon as a new layer emerges that prioritizes outcomes over attention, the entire model begins to crumble.

Why This Model Is Collapsing

The platform-mediated distribution model is still dominant today, but cracks are everywhere:

Ad fatigue is real. Users distrust ads and develop banner blindness.Search inefficiency creates openings for new discovery mechanisms.Subscription fatigue reveals the limits of attention monetization.AI mediation threatens to bypass platforms entirely by collapsing manual user work into automated agent execution.

Platforms thrived by keeping users busy. AI thrives by eliminating busywork.

From Platforms to Agents

This is why understanding platform-mediated distribution is so important. It explains the “old rules” that businesses have internalized—rules that AI agents are about to rewrite.

Where platforms extracted value from attention, agents extract value from computation and outcomes.Where platforms forced users to do the work, agents automate it.Where platforms concentrated power by controlling visibility, agents will concentrate power by controlling execution.

The difference is subtle but profound. Platforms mediated visibility; agents mediate action.

Conclusion

The platform-mediated era taught businesses three survival skills: play by the algorithm, pay the platform tax, and optimize for attention. Those rules defined digital distribution for over 20 years.

But as AI agents rise, the limitations of this model become clear. Users no longer want to do the manual work of browsing, comparing, and deciding. Businesses no longer want to fight for scraps of visibility in a zero-sum attention economy.

The next era won’t be about visibility—it will be about default execution. And that makes the transition from platforms to agents one of the most consequential distribution shifts of our time.

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Published on September 26, 2025 00:15
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