How to Build AI Startups That Truly Scale

"There's this running joke... you don't want to back GPT wrappers... you want to be in a position where as the platforms get better, your solution gets better."

• Build unique value beyond just using foundational AI models.
• Create solutions that improve alongside platform advancements.
• Establish moats through proprietary data and unique workflows.

"I don't think it's radically different today than it was 5 years ago... Maybe what is different is that you can run these experiments and get this data faster through AI."

• Leverage AI to accelerate experimentation and data collection.
• Focus on building products that customers love and use repeatedly.
• Maintain timeless methods while utilizing timely tools.

"They stay at too high a level and they don't do the gritty... the detailed grind of interviewing 150 customers to get to the value proposition that makes most sense..."

• Engage deeply with the hands-on work of startup building.
• Conduct extensive customer interviews to refine your value proposition.
• Avoid seeking shortcuts; embrace the necessary grind.

"There are 3 things that seem to be relatively enduring... Proprietary data... being a system of record... insight into that human AI interface."

• Leverage proprietary data that others can't access.
• Build systems that become essential to users' workflows.
• Focus on intuitive human-AI interfaces for better user adoption.

"Do they have an insight into the business problem, you know, the earned secret... Do they have a really deep understanding from months and months or years and years of customer discovery..."

• Develop a unique insight or 'earned secret' about your market.
• Demonstrate deep customer understanding through extensive research.
• Showcase your ability to be a self-taught AI-native builder.

"Agentic AI is still in the super early innings... we're actually investing... in a lot of agentic AI infrastructure."

• Recognize that AI agents are emerging but not yet mainstream.
• Stay informed about advances in Agentic AI for future opportunities.
• Consider investing in infrastructure that supports AI agents.

"I think there's this idea of being good at identifying tools, bringing tools in, using those tools throughout the organization... always be willing to experiment."

• Integrate AI into every aspect of your operations for efficiency.
• Use AI to enhance your product offerings and customer experience.
• Continuously adopt new AI tools to stay competitive.

"Founders... are leveraging AI tools to be builders and to make progress on startup experiments so much faster, so much more effectively, so much more efficiently..."

• Utilize AI to speed up experimentation and iteration.
• Adopt AI tools to enhance productivity across all functions.
• Create AI-native strategies to stay ahead in the market.

"I was observing that these two populations were operating in a very different way than founders had a few years ago, that they were effectively operating in what I term as 10X founders..."

• Embrace AI to accelerate product development and experimentation.
• Use AI tools to gain a competitive edge and become more productive.
• Integrate AI throughout your organization for maximum impact.

"We have a general philosophy of liquidity windows are rare, when they're there, you should hit them... even 5%, 10% transactions of your position to generate some liquidity along the way."

• Seize liquidity opportunities when they arise, even for partial exits.
• Generate returns to fund growth and satisfy stakeholders.
• Balance between riding winners and securing tangible gains.