Casetext co-founder Jake Heller shares his framework for how founders should select which markets and job functions to automate with AI.
Prediction Not checkable as stated
Heller: AI startups face mass extinction as enterprise pilots fail to convert
“A lot of those pilots are not converting to real revenue, and there's going to be a mass extinction event as a lot of pilot revenue, it's like, instead of ARR, it's like PRR, like Pilot Recurring Revenue, or something like that, or not even recurring, just Pil…”
Insight
Heller: AI application TAM is 1,000x larger when capturing labor budgets
“Today, the actual amount of money that we already know people and companies are willing to spend is the combined salaries of all the people they're currently paying to do the job. And that number is like a thousand X bigger. You pay 20 dollars a month to solve…”
Disclosure
Heller: Casetext built CoCounsel with plain Python, dismissing frameworks like LangChain
“And to be honest, a lot of the stuff that we built while building co-council was exactly like this. Every time you do this task, you're basically gonna take the same six or seven steps. And you don't need to have, frankly, like fucking Langchain or whatever. J…”
Opinion
Heller: GPT technology is underhyped because GPT-4 operates at postgraduate level
“So this is gonna sound probably insane to most people who hear it, but I think the GPT technology is under hyped because what we see in GPT-IV specifically as a model, and I'm assuming the same will be true as new models come out in the state of the art advanc…”
Opinion
Heller: Most AI app developers fail to run evaluations or study workflows
“If you just do these two things, you'll be like, 90% of your way there to building a better AI app than what most of the crap that's out there, right? Because most people never eval, and they never take the time to figure out how professionals really do the jo…”
Insight
Heller: AI startups with superior UI will lose without strong customer enablement
“Your product isn't just the pixels on the screen. It's not just what happens when you click this button. It's the human interactions with your support, customer success, with the founder it's training, it's, you know, everything around it. If you don't get tha…”