Is this why the ad industry is getting eaten for lunch by Google/Facebook?
How are agencies threatened by Google and Facebook? They aren't creative ad agencies. They provide publishing media (Google's AdWords, PPC ads, Facebook ads, fan pages, etc) and tools (Google Analytics) that agencies use to advertise more effectively. If anything, I'd say Google, Facebook and the like are helping ad industry grow.
I'm reminded of how in high school and early college, every teenager thinks that the way to get your ideas heard is to shout louder. But if you actually look at effective leaders, ones that change the world, the quality they share is that they listen more. That's what the Internet provides us: a way for brands to listen more to their customers. And when you have that, you don't need an industry that grew up around being able to shout louder.