The article also includes a detailed interview with Rick Grinnell, where he discusses the emerging LLM stack, the competition between startups and large tech companies, and the potential for startups to prove defensible in the AI integration climate. He also talks about the technical competence startups can expect from their future enterprise AI customers, and the potential for startups to pursue more traditional SaaS pricing. The article concludes with brief insights from Lisa Calhoun, founding managing partner at Valor VC, on the role of applied AI in solving customer problems.
Key takeaways:
- Startups can find opportunities in the AI market by leveraging large language models (LLMs), a new method of creating AI software.
- While LLM technology is advancing quickly, it is not cheap to run, and there are still many unanswered questions about how startups should approach building tools for AI technologies.
- Most of the opportunity in the new AI tech stack lies in the application layer, where startups can use speed to their advantage to innovate and deploy solutions to customers.
- Despite the dominance of large tech companies in the AI market, there are still significant opportunities for startups to innovate and define new categories in the AI landscape.