This trend is carrying over to financial services, Moelis said.
"Price transparency and availability of information is changing financial services in a fundamental way like it has every other industry and I do think you're going to continue to see firms struggle with that," he told CNBC's "Squawk on the Street".
Thirty years ago, with information harder to come by, there was a lot of margin when you have price information that is asymmetric to the rest of the world, Moelis noted. "What is a bigger commodity than an interest rate, currency swap, dollar bill and pricing is available on everybody's iPhone."
That has led to price compression on a range of financial products and services and has forced firms to rethink how large they should be and what businesses they should compete in.
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"As you become a commodity, let's look at the other industries, they scaled up," the banker said. "Size matters. Volume matters. That's why you see a big move to large-scale providers of processing transactions."
The alternative is to focus on non-scale relationships where customers will still value judgment and experience – the strategy Moelis & Co. has employed.
Moelis believes that the move to bulk up means relationships often become less important. "All of the firms that disappeared in the early 2000s through mergers were on their way toward scale and when you're on your way toward scale, relationships tend to be undervalued," he said.