Kevin O'Leary believes consultants face an uncertain future as technology advances.

The 'Shark Tank' investor, focused on developing a large-scale AI data center in Utah, explained that firms he supports now prefer AI for tasks previously handled by outside consultants.

'Even the companies that I invest in that used to use a lot of consultants for very specific vertical situations, like changing retail distribution, or should they keep two tiers of distribution versus three, are first going to AI, which they can do for a lot cheaper,' O'Leary said on a recent episode of 'The Founder's Mindset Podcast.'

These organizations direct their own management teams to evaluate such concepts, eliminating the need for external consulting support.

'This has only been the last 24 months,' he said, highlighting the rapid pace of this change.

In recent years, consulting firms have worked to adapt as AI grows more capable by building internal platforms, testing them with clients, recruiting specialized engineers, and forming partnerships with AI-focused startups.

Although AI challenges the consulting model, major firms also recognize significant potential in the technology.

McKinsey reports that roughly 40 percent of its projects now involve AI. BCG indicated that 20 percent of its work was AI-related in 2024. Last year, Accenture reorganized its strategy, consulting, song, technology, and operations groups into one AI-centered division called 'reinvention services.'

These organizations charge clients for assistance with implementing new technology from Silicon Valley while applying it internally as well.

Even if consulting firms endure the AI shift, O'Leary noted that the field has long imposed limits on career growth. Brief experience there can help early professionals explore options, but extended time raises concerns.

'One of the things that you could argue is good about consulting is, if you spend less than two years there, and you're going to search all 11 sectors of the economy to find out where you fit, that makes sense to me,' he said.

Prolonged involvement may result in limited progress or a path of average performance.

'When I see a resume where someone wants to be a CEO of one of my companies, and has been at a consulting firm for seven years, I just tear that up,' he said.

Google CEO Sundar Pichai might see it differently. He began his career at McKinsey, as did former Meta COO Sheryl Sandberg.