#artificialintelligence #chamathpalihapitiya #fyp

I think this is a really important week because it starts to show how fast the recursion is with AI. So, in other technologies and in other breakthroughs, the recursive iterations took years, right? If you think about how long did we wait from iPhone 1 to iPhone 2? It was a year. Everything was measured in years, except now these incredibly innovative breakthroughs are being measured in days and weeks. It's not clear to me how you start a company anymore. I don't understand why you would have a 40 or 50-person company. I think you can do that with three or four people. And that has huge implications then to the second actor in this play, which are the investors and venture capitalists that typically fund this stuff. Because all of our capital allocation models were always around writing 10 and 15 and $20 million checks and $100 million checks and $500 million checks into these businesses that absorbed tons of money. But the reality is you're looking at things like mid-journey and others that can scale to enormous size with very little capital, many of which can now be bootstrapped. So, it takes really, really small amounts of money. And so, I think that's a huge implication. So, for me personally, I am looking at company formation being done in a totally different way. And our capital allocation model is totally wrong size. Look, I think the VC job is changing. I think company startups are changing. I had this meeting with Andrej Karpathy. I talked about this on the pod. I challenged him. I said, listen, the real goal should be to go and disrupt existing businesses using these tools, cutting out all the sales and marketing, and just delivering something. And I use the example of Stripe, disrupting Stripe by going to market with an equivalent product with one-tenth the number of employees at one-tenth the cost. What's incredible is that this auto-GPT is the answer to that exact problem. Why? Because now, if you are a young industrious entrepreneur, if you look at any bloated organization that's building enterprise-class software, you can string together a bunch of agents that will auto-construct everything you need to build a much, much cheaper product that then you can deploy for other agents to consume. So you don't even need a sales team anymore. This is what I mean by this crazy recursion that's possible. So I'm really curious to see how this actually affects all of these singular product companies. And then the last thing I just want to say is related to my tweet. I think this is exactly the moment where we now have to have a real conversation about regulation. And I think it has to happen, otherwise it's going to be a shit show.