No single ticker was named. Cloud & software ETFs are one way for retail investors to get exposure. Not a recommendation.
Vertical workflow SaaS resists AI disintermediation
Deeply integrated vertical SaaS applications with complex cross-organizational workflows remain insulated from direct competition by frontier model providers.
Sign in to read the full idea
The argument, what validates it, the risks discussed and hearing it from the source are for signed-in members. Free accounts read 3 ideas in full a day. No card required.
The story so far
- Open source LLMs squeeze frontier lab marginsPROF G MARKETS
- Open source pressures pricing, not TAM growthEXCESS RETURNS
- Open-source models raise data demand baselineTHE TWENTY MINUTE VC
- Second-wave AI shifts focus to cost optimizationTHE TWENTY MINUTE VC
- Vertical workflow SaaS resists AI disintermediation · THIS IDEATHE TWENTY MINUTE VC
- Open source vs closed foundation modelsTHE TWENTY MINUTE VC
- Co-developing research and go-to-market in AIA16Z PODCAST
- Core enterprise infrastructure platforms maintain deep moatsTHE TWENTY MINUTE VC
- Vertical AI workflow gap limits frontier modelsA16Z PODCAST
- Value shifting from models to AI software productsTHE COMPOUND AND FRIENDS
- Enterprise AI's moat is in the application layerA16Z PODCAST
- Open source models outperform frontier for specific tasksA16Z PODCAST
- Frontier models remain essential for exploratory tasksA16Z PODCAST
- Open-source vs closed-source AI market splitALL-IN WITH CHAMATH, JASON, SACKS & FRIEDBERG
- AI industry rhymes with crypto's early hype cycleBANKLESS
- Value in AI will accrue at the application layerBANKLESS
HOW THE SHOWS HAVE DISCUSSED THIS THESIS OVER TIME · NOT A PERFORMANCE RECORD