Why the AI Application Layer Still Has Room for Innovation Despite Lab Dominance
By
Joe Schmidt IV
Sesame, salt, and substance. A flagship bake.
Summary
The article addresses the anxiety among founders and prospective employees about whether there is any viable AI application layer left to build, given the dominance of major labs like OpenAI and Anthropic. It explores the "AI psychosis" behind this concern, where some believe the only safe career paths are inside big labs or in robotics/hardtech. The piece argues against the notion that the app layer is dead, suggesting there are still opportunities for innovation beyond the foundational model providers.
Key quotes
· 3 pulledThe question I keep getting from founders and prospective employees: is there any AI application layer left to build, or are OpenAI and Anthropic going to kill everything?
There's a particular flavor of AI psychosis behind the question.
Some people have concluded the only durable places to avoid the permanent underclass are inside a big lab or out on the frontier building in robotics, hardtech, or similar – theoretically anything 'the labs'
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