In a world with multiple competitors seemingly focused on the big horizontal opportunities, and still rapidly evolving underlying technology, a focused competitor can win and then can expand from that position of strength. T
AI expands horizontal capabilities, but large incumbents remain vulnerable to smaller, focused competitors who can move faster and own a new vertical. Speed and specificity beat scale when the underlying technology is still evolving.I’m most taken by companies where a positive externality of users leveraging their LLM-driven application is the creation of a new, useful data asset that wouldn’t have been possible before at scale. In a way, this externalizes the moat outside of what’s possible with LLMs themselves and creates an even more differentiated offering that can escape competition at scale.
