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My First Million

My First Million

The best business ideas come from noticing what's working and doing it better, faster, or for a different audience.

Back to Takes

Most AI startups will get steamrolled by OpenAI model improvements, only workflow-embedded companies will survive

Spiciness
prediction

The Reasoning

OpenAI releases increasingly capable models that commoditize AI features, companies without deep workflow integration lose their differentiation

What Needs to Be True

  • OpenAI continues rapid model improvement pace
  • API access makes AI capabilities broadly available
  • Workflow integration creates meaningful switching costs
  • Enterprise customers prefer integrated solutions over point tools

Counterargument

Specialized models outperform general ones, regulatory requirements favor smaller providers, OpenAI focuses on consumers not enterprise workflows

What Would Change This View

OpenAI development pace slows significantly, specialized AI companies create sustainable moats, enterprise adoption favors best-of-breed over integrated solutions

Implications for Builders

Build 90% workflow, 10% AI rather than AI-first products

Embed deeply in specific use cases rather than general tools

Create switching costs beyond model performance

Assume AI capabilities will commoditize quickly

Example Application

Healthcare AI company focuses on integration with specific EHR systems and regulatory compliance rather than just building better diagnostic models