Overheard in 2023: “A minute not spent building the model is a minute wasted. Build the best model, and users will come.”

But, could the battleground for consumer AI shift from model-centric to user experience-focused in 2024?

Alex Immerman, Partner on the Growth team at a16z, delves into moving beyond the conventional wisdom of "build the best model." While Large Language Models (LLMs) may offer a first-mover advantage today, Alex believes the enduring success may hinge on old-fashioned moats such as network effects, high switching costs, scale, and brand.

Topics covered:
00:00 - Big Ideas in Tech 2024
01:39 - Big Idea: The Consumer AI Battleground Moves from Model to UX
03:41 - How user experience can contribute toward building a moat
05:55 - The commoditization of models
07:35 - How should builders differentiate between model and experience?
10:35 - Breakout examples for 2024
12:57 - Open source vs closed source
15:08 - The impact of applications splitting from the infrastructure layer

Resources:
Find Alex on Twitter:   / aleximm  
View all 40+ big ideas: https://a16z.com/bigideas2024

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Please note that the content here is for informational purposes only; should NOT be taken as legal, business, tax, or investment advice or be used to evaluate any investment or security; and is not directed at any investors or potential investors in any a16z fund. a16z and its affiliates may maintain investments in the companies discussed. For more details please see a16z.com/disclosures.