“In enterprises right now, even though there's a lot of hype for open source, the sort of share of open source inference is actually Going down right now because people are spinning up all these new use cases.”
quote is from the automated transcript, cleaned for reading:
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More from Jesse Zhang
AssertionNot checkable as stated
Zhang: Decagon's most recent customer churned from competitor Sierra
“Our most recent customer actually turned off of Sierra to come to Decagon”
Jesse ZhangJul 30, 2026▶ 38:36How Decagon Runs 90% of Its Agents on Open-Source Models
Insight
Zhang: Open-source AI is strictly better once production use cases solidify
“But I think the point is that at a certain point, it's strictly better to use open source models because when your use case is solidified and you're in production at scale and you're pretty sure this is the sort of shape of the agent, then there's no reason no…”
Jesse ZhangJul 30, 2026▶ 7:48How Decagon Runs 90% of Its Agents on Open-Source Models
Insight
Zhang: Enterprise procedures must be taught to AI in-context, not fine-tuned
“I'm sort of teaching the AI my own procedures. And again, that doesn't happen through fine tuning. That, that happens like in context, because if you were to fine tune on that, you would have to reverse it every single time. You know, you change your procedure…”
Jesse ZhangJul 30, 2026▶ 17:35How Decagon Runs 90% of Its Agents on Open-Source Models
PredictionNot checkable as stated
Zhang: Vertical AI applications will outperform general lab-built agents
“The labs themselves will have more application capabilities, but those will be fairly general. Like they're, you can maybe build general agents that can do this thing or that thing. But for a lot of these like core verticals, like ours, our thesis is that, you…”
Jesse ZhangJul 30, 2026▶ 18:36How Decagon Runs 90% of Its Agents on Open-Source Models
AssertionNot checkable as stated
Zhang: AI agents allow enterprise customers to drastically reduce or eliminate BPOs
“There are definitely scenarios where people use their BPOs a lot less or Don't need the BPO anymore.”
Jesse ZhangJul 30, 2026▶ 1:18:49How Decagon Runs 90% of Its Agents on Open-Source Models
Insight
Zhang: Fine-tuned small models can match or beat large frontier models
“And if you fine tune it to be really good at that task, it can be just as good or better than the big models.”
Jesse ZhangJul 30, 2026▶ 3:45How Decagon Runs 90% of Its Agents on Open-Source Models
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