In the Age of AI, Build "Platforms," Not "Products"
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Join the discussion on Twitter With AI becoming the latest “THING” in the tech sector, some are predicting an extinction level event for existing software companies. As Dave Yuan of Tidemark points out, this is only partially true. The latest AI tools not only have the power to make software more powerful, but also to greatly decrease its cost of production. With that, many are concerned that legacy platforms unable to leverage AI will be rendered obsolete, and they’re not wrong! If I were a generic workflow product, I would be terrified. The moat around these products is now next to nil as the barriers to entry of software production have been washed away. What were once successful niche software product companies are now being obliterated by new entrants leveraging the functionality of AI models. Perhaps even more daunting is the speed and efficacy of this destruction, with companies that have existed for years and taken millions of dollars to build being dismantled by teams capable of using AI to launch comparable (and arguably better) products in weeks with incredibly lean engineering teams.
In the Age of AI, Build "Platforms," Not "Products"
In the Age of AI, Build "Platforms," Not…
In the Age of AI, Build "Platforms," Not "Products"
Join the discussion on Twitter With AI becoming the latest “THING” in the tech sector, some are predicting an extinction level event for existing software companies. As Dave Yuan of Tidemark points out, this is only partially true. The latest AI tools not only have the power to make software more powerful, but also to greatly decrease its cost of production. With that, many are concerned that legacy platforms unable to leverage AI will be rendered obsolete, and they’re not wrong! If I were a generic workflow product, I would be terrified. The moat around these products is now next to nil as the barriers to entry of software production have been washed away. What were once successful niche software product companies are now being obliterated by new entrants leveraging the functionality of AI models. Perhaps even more daunting is the speed and efficacy of this destruction, with companies that have existed for years and taken millions of dollars to build being dismantled by teams capable of using AI to launch comparable (and arguably better) products in weeks with incredibly lean engineering teams.