Asparouhov: AI eliminates SaaS moats, driving software marginal returns to zero
Delian Asparouhov · Delian Asparouhov: Inside the Walls of Founders Fund: What the World Does Not See | E1183 · 20VC with Harry Stebbings · Jul 29, 2024 · at 58:23
Delian Asparouhov is a Partner at Founders Fund and Co-Founder of Varda Space Industries. He discusses why traditional software and SaaS startups lack defensibility in the age of AI.
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“People love software because, you know, sort of the marginal distribution costs are zero. Perhaps what people need to realize is also that the marginal returns are zero as well, because there is no moat, because two Stanford kids, especially with today's AI, can replicate your, you know, sort of SaaS for plumbers, you know, effectively in a weekend.”
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