[te_chris]

https://a16z.com/2020/02/16/the-new-business-of-ai-and-how-i... a very good take.

Most AI startups are struggling to scale because models are hard to scale and generalize compared to SaaS. There'll be some fortunes made for sure, but we're still very early in building out these businesses and mostly these seem to be VC's who are (were?) desperate for "deep-tech" portfolio items to make them sound "bleeding-edge" at CogX, Davos, that thing in Aspen, etc.

[motohagiography]

Seconded on this article. I shout from the rooftops to anyone who will listen that for ML, "the confusion matrix is the product," which summarizes much of what they say. The only thing I add to that adage now is that a meaningful product is a weighted function of Relationships, Data, and Expertise.

Most ML companies have one, funded ones have two, and profitable ones have the right balance of three. Funding an ML company that isn't 85th percentile on at least two is dumb.