Thinking of building an AI startup? Read this first.
Ben Katz
0 replies
Building an AI startup is the hot new thing right now. Most will fizzle out once the hype starts to die down, but yours doesn't have to. If you understand these strategies you can position your product to win long term.
First, it's important to understand where most people are building: on top of OpenAI's model without model differentiation. It's amazing how easily accessible they made it to entrepreneurs. The downside is all of these products are easily replicated and don't have a moat.
No moat? No problem. Time to start digging. How can you establish a moat for your product while not building your own AI model? There are four primary strategies:
1. Build a superior brand that users love and trust.
2. Have superior distribution. The ability to reach more customers you can also help you bolster your brand.
3. Build proprietary tech around the AI. UX matters. To differentiate, you can also build logic around the AI rather than relying on it exclusively
4. Establish strategic partnerships and integrations. These are difficult for competitors to replicate and can help you on the distribution front as well.
I go deeper on this topic in my latest newsletter article post which you may find helpful:
https://www.bentherebuildingthat.com/p/how-to-build-a-winning-business-in
🤔
No comments yet be the first to help
No comments yet be the first to help