13:21

Will OpenAI Kill All Startups?

From Y Combinator · Published Jul 21, 2023 · Watch on YouTube

TL;DR

This video argues that OpenAI will not kill startups, drawing historical parallels to major technological shifts (farming, electricity, internet, mobile) that created new opportunities. The speakers distinguish between cargo-culting AI for hype and genuinely using AI to build better features.

Key insights

  • OpenAI and Anthropic aim to build AGI, not to create AI‑powered CRMs or similar applications; this is a fundamental distinction for startup strategy.
  • Major technology changes historically increase the number of businesses and advantage startups over incumbents, especially when change is rapid.
  • There is a clear difference between “cargo culting” AI (adding AI tangentially to raise money) and using AI to measurably improve retention, product quality, and pricing.

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