Every Company will need an AI Strategy
Every company, at some point, will be an AI company. This implies that every startup will need an AI strategy.
With large language models now available to any software team through an API, every startup is now able to utilize AI. There has been a major shift as companies no longer need to develop their own models. It means that rather than competing for a small pool of expert data scientists, the power of AI is available to any software team through an API that connects to foundational models such as OpenAI or Cohere.
User expectations have changed. When a simple customer support bot provides a meaningfully better experience to answer questions, every player will match it. ChatGPT has shown hundreds of millions that we can expect more from software. That expectation will soon transition into demand.
Today, there are three different levels of AI strategy:
Simple feature offering: (For Example, autocompletion of code within a text editor)
Derivatives: (For Example, Large tools or services deployed using LLMs or other systems to handle compute loads)
Core Product: (For Example, a business that builds a proprietary large language model)
Most businesses will likely adopt the first & as the technologies mature, the second. Newer businesses will pursue the third as a competitive advantage as they reimagine workflows, or perhaps even discover new use cases.
Many core software products map real-world workflows to software and these will change. Imagine developing a project charter or a sprint in a conversation with a computer or translating Dictaphone voice notes into custom journal entries. These new user interfaces will change how we perceive and interact with software, which in turn, causes a ripple effect across design and UX, perhaps even at a product or hardware level.
It’s common to dismiss an AI strategy as a fundraising tactic (yet another AI company), but the trope underscores a meaningful shift in what ultimately matters: User expectations have evolved & every business will need to meet their demands to thrive. Ultimately, a well-conceived strategy and technological strength will be the critical elements that determine outcomes in this business. One thing is for sure, it’s an exciting time.