In a recent webcast, Simon Horton, founder of Negotiation Mastery, outlined a transformative vision for how artificial intelligence is reshaping the landscape of business negotiations. His analysis suggests that AI is not merely an incremental tool but a fundamental shift in how organizations can approach deal-making, conflict resolution, and collaborative problem-solving.
From Arm Wrestling to Collaborative Intelligence
Simon began by challenging a pervasive misconception: that negotiation is primarily an “arm wrestle” or haggling contest. “Most people view negotiations as the arm wrestle,” he explained. “This is why we have wars. This is why we have divided societies. This is why we have deals, mergers and acquisitions that could be successful, but break down.”
The research consistently shows that the best negotiators view the process as collaborative problem-solving. AI’s unique strength, Simon argued, is its ability to model this best practice and make it widely accessible. “AI can model the best practice, it can model the very best negotiators, and then it can make that best practice available to everybody.”
The Negotiation Superpowers AI Brings to the Table
Simon identified several distinct capabilities that position AI as a powerful negotiation partner. Unlike human negotiators, AI operates without ego or emotional hijacking from the amygdala. It can maintain focus on outcomes, generate creative solutions humans might not consider, and manage enormous complexity—whether analyzing thousands of contracts in mergers and acquisitions or coordinating input from tens of thousands of stakeholders.
Perhaps most significantly, AI serves as a neutral third party, bringing trust to situations where parties are deeply suspicious of each other. “AI can be that neutral third party that brings trust into the process, because of its neutrality.”
From ChatGPT Guidance to Autonomous Agents
The practical applications span a spectrum of sophistication. At the simplest level, negotiators can use large language models like ChatGPT for preparation, role-playing scenarios, and post-negotiation review.
More advanced applications include autonomous negotiating agents. Simon cited Walmart’s use of Pactum’s platform, which automatically renegotiates hundreds of thousands of low-value supplier contracts, finding win-win solutions without human intervention. “The customers report something like 80% very happy and kind of preferred working with it than a human,” he revealed.
A McKinsey report suggests the B2C agent-to-agent market alone will reach one trillion dollars by 2030—just four years away.
The Critical Guardrails: What Can Go Wrong
Despite his optimism, Simon was emphatic about the limitations. “These tools are extremely helpful, but still unreliable,” he cautioned. His “CEO principle”—Check for hallucinations, Edit accordingly, and Own the outcome—underscores that human judgment remains essential.
He outlined a sobering list of concerns: AI washing (products falsely claiming AI capabilities), hallucinations that can be “exceedingly costly,” embedded biases, confidentiality risks, legal responsibility questions, and the potential for manipulation. “You absolutely have to” verify AI outputs before acting, he stressed repeatedly.
The New Frontier: Many-to-Many Negotiations
Perhaps the most intriguing application discussed was “deliberative technology”—AI platforms like Remesh and Polis that can facilitate agreement among thousands of participants on divisive topics. These systems allow everyone to input opinions in full text, which AI then processes to reach nuanced consensus.
The implications for employee engagement, customer input on product launches, and infrastructure projects plagued by community resistance could be transformative. “Even the people who voted against the final outcome, support it,” Simon explained, because they feel the process was fair and their voices were heard.
The Path Forward: Flexibility Over Perfection
In response to audience questions about corporate reluctance to adopt AI tools, Simon recommended a bottom-up approach: experiment locally, share findings, and build an undeniable case for value while addressing legitimate security and confidentiality concerns.
Looking ahead, he emphasized that human-to-human connection remains irreplaceable, but flexibility in leveraging AI’s rapidly evolving capabilities will become essential. The negotiators who thrive will be those who stay on top of the curve—not necessarily ahead of it but engaged with the possibilities.
Simon painted a picture of negotiation in transition. AI is already delivering tangible value in contract analysis, preparation support, and even autonomous deal-making. While significant guardrails remain necessary, the trajectory is clear: artificial intelligence is becoming an indispensable partner in the art and science of reaching agreement.
