Inside the 2025 Language Market: A Fireside Chat with Don DePalma

What happens when you bring together two voices that have lived and breathed the evolution of the localization industry? You get Episode 113 of the Localization Fireside Chat – a conversation between Robin Ayoub and Don DePalma that is anything but ordinary. Don, the founder of CSA Research and a pillar in market analysis for the language services sector, brings a perspective grounded in data, yet open to challenge. In this episode, Robin and Don go far beyond headlines and buzzwords to unpack the real forces shaping localization in 2025.

The Zeitgeist of Mid-2025 The conversation begins with a temperature check on the industry. According to Don, the “zeitgeist” is defined by a mixture of panic and promise. AI looms large over every conversation in localization – but not everyone is asking the right questions. “People are still figuring out what AI means for them. Some are paralyzed. Others are betting the farm,” Don shares. His point? There’s a wide gap between those who are experimenting wisely and those chasing trends without a clear ROI model.

Commoditization, Complexity, and Control A recurring theme in the episode is the “commoditization” of language services. Don warns that many LSPs have leaned too hard into selling words-per-minute or cost-per-word, without building value around strategy, technology, or domain expertise. Robin pushes further on what happens when buyers start to expect MT and AI as a default? Don answers with precision: “If everyone’s selling the same thing, the only thing left to compete on is price. That’s not a sustainable game.” Instead, he encourages language companies to lean into specialization. “Be the expert in a vertical. Be the problem-solver, not just a translator.”

What the Data Is Really Saying Don doesn’t just deal in anecdotes – his insights come from the massive data sets CSA collects. One surprising insight: even in 2025, the majority of enterprises are still relatively immature in their globalization readiness. Few have scalable localization operations. Most still run translation as a reactive function. Robin reflects on this gap with a mix of frustration and optimism. “It’s wild to see how many global companies still don’t think locally.” They discuss how this opens an opportunity for LSPs willing to act as educators – to coach clients on maturity models, digital transformation, and process integration.

The Role of LSPs in an AI World The AI discussion is unavoidable. But instead of speculation, Don focuses on practical framing: where does human expertise still shine? “There’s no replacement for context,” he says. AI might be able to translate technically correct text, but cultural nuance, brand voice, and emotional tone are still elusive. Robin echoes this with an example from the financial sector, where regulatory language has zero room for misinterpretation. “In those environments, AI needs a human editor. Full stop.” They both agree that the future is hybrid, and the winners will be those who know how to orchestrate human and machine workflows without letting either fall flat.

Looking Ahead As the episode wraps, Don offers a final insight: “In every industry evolution, there are a few who lead, many who follow, and too many who resist until it’s too late.” Robin responds with what feels like the unofficial tagline for the Localization Fireside Chat: “We’re not here to sell hype. We’re here to challenge, question, and explore what matters.” This episode wasn’t just informative – it felt like two old friends pulling back the curtain for the rest of us to see how the industry actually works. Watch the full interview here: https://youtu.be/QT1Hvn99lLw

Stay Connected Enjoyed this conversation? Make sure to follow the Localization Fireside Chat for weekly episodes that spotlight leaders shaping the language industry. Contact: Robin Ayoub Website: http://www.robinayoub.blog Email: L10NFiresidechat@gmail.com Subscribe on Spotify or Apple Podcasts YouTube: @L10NFiresideChat

DisclaimerThe Localization Fireside Chat podcast is a personal project. Views shared are those of the host and guests. Content is not sponsored, not an endorsement, and does not represent any organization or affiliation. This episode is shared for informational and community-building purposes only.