[burutthrow1234]

I think the current LLM trend is way overhyped. The thing these companies are doing, crucially, is extracting money from technologically unsophisticated companies and funnelling it into VC pockets. Silicon Valley bubbles are frequently incestuous. You make an HR platform and you sell it to other tech companies. You do sales analytics for tech companies. You make a bank that caters to only tech companies. The problem is that your customers all have the same risk profile as you - if interest rates go up and funding dries up you're all fucked at once. You're all just passing VC dollars back and forth.

The AI trend is luring in a wide range of non-tech businesses that aren't VC backed (ex. car dealerships). This is the golden goose for tech companies in a tough macro climate.

To be clear I think it's not adding real value for these buyers, but there's a tremendous amount of FOMO. The media has been complicit in selling AI as a panacea for small businesses in a tough climate, and the ultimate beneficiaries will be people grifting off AI hype.

[dvfjsdhgfv]

Yeah, there is a kind of hysteria regarding AI and it looks like traditional business fear that if they don't use it somehow they will perish. But there are so many traps here, such as your customers not wanting interaction with your "AI chatbots", the issues of quality (vide the Sports Illustrated scandal), and the question of whether your niche needs any "AI" at all.

[karanveer]

what happened with the sports illustrated scandal?

[dvfjsdhgfv]

https://www.bbc.com/news/business-68035275

In short, it was a series of disasters.

[karanveer]

thanks for this!