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2025: The Year of the AI App


The real competition in AI isn’t about foundation models. It’s about apps built on top of those models.

After following the frantic competition between OpenAI, Google, Meta, and Anthropic to churn out brainier and deeper “frontier” foundation models, I settled on a thesis about what’s ahead: In the new year, those mighty trailblazers will consume billions of dollars, countless gigawatts, and all the silicon Nvidia can muster in their pursuit of AGI. “But ask the same 100 people, ‘Do you like ChatGPT?’ and 100 out of 100 will say yes.” That’s why Sierra thinks it can provide the best of both worlds: effective interactions that customers love, with the benefits of a no-downtime robot that’s not on the health plan. A few months later, what appeared to be an update process started on my screen, and I thought, finally I can watch more than two hours of Netflix or Hulu before the image freezes and I have to unplug the television set and reboot.

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