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The End of AI Tourism: Tools vs. Toys

2 days ago
  • #Technology
  • #AI
  • #Investment
  • The text discusses the dichotomy between established companies like Adobe integrating AI as a tool versus startups that rely on AI as their sole product.
  • It highlights the issue of 'AI tourists'—users who engage with AI apps for entertainment but lack long-term commitment, leading to high churn rates.
  • The author uses the example of Suno, an AI music generator, to illustrate how companies built on novelty struggle to retain users and pivot to professional markets.
  • Adobe and Google are presented as examples of companies that successfully integrate AI into existing workflows, making AI a feature rather than the product.
  • The conclusion suggests that the best investment opportunities lie in established firms that innovate within their ecosystems rather than in flashy but unsustainable AI startups.