Elad Gil quote, Jul 22, 2025

Investor · Jul 22, 2025 · Post, AI Market Clarity

In the future, it is unlikely that many new core LLM companies will get started due to capital moats, barring some new breakthrough that somehow doesn’t spread quickly.

Primary source

Words found on the source page on Sep 25, 2026.

More from Elad Gil

Date	Quote	Context	Source
Apr 20, 2026	AI will first automate away the things that are easier to form a closed loop learning system on. This is why code and AI research may be accelerated and then displaced quickly - you can have testable closed loop systems so machines can learn and iterate quickly.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	Founders running successful AI companies should all take a cold hard look at exiting in the next 12-18 months, which may be a value maximizing moment for outcomes.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	If Anthropic and OpenAI hit $100B of revenue by EOY as many think they might, roughly 1% of GDP run rate will be from AI by end of 2026.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	Multiple later stage CEOs told me that rather then do big layoffs due to AI, they will just stop growing. So if revenue at the company is growing 30%, 50%, or 100%, headcount may be flat or slightly down as they allow attrition to shrink staff.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	The AI engineer of the future will be managing and orchestrating large numbers of agents to build things (systems and product thinking) vs writing a lot of code themselves (the auto-complete tab era).Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	The top AI researchers became post-economic all at once. (Maybe the closest prior analogues is the early crypto HODLRs?).Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	This means countries like India and the Philippines may be the most impacted soonest in terms of employment and AI as they house many of these outsourced services organizations. It also means some developing countries may lose their services ladder to upgrading their economy and work.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Apr 20, 2026	While people will undoubtedly get more efficiency out of the compute they have, this artificial compute constraint may mean no one lab is able to break significantly ahead until 2028 at the soonest - re-enforcing an oligopoly market for LLMs.Apr 20, 2026· Post	PostRandom thoughts while gazing at the misty AI Frontier	Source
Jul 22, 2025	Often, adoption of AI is not a technology problem – it is an organization, process, and people issue.Jul 22, 2025· Post	PostAI Market Clarity	Source
Jul 22, 2025	We are starting to see the shift from selling seats, to selling units of cognition or human equivalent labor.Jul 22, 2025· Post	PostAI Market Clarity	Source
Feb 21, 2024	Cloud providers are easily the biggest funders of foundation models, not venture capitalists.Feb 21, 2024· Post	PostThings I Don't Know About AI	Source
Feb 21, 2024	Things seem to be evolving towards the above: Frontier LLMs are likely to be an oligopoly market.Feb 21, 2024· Post	PostThings I Don't Know About AI	Source

Date	Quote	Context	Source
Sep 19, 2026	I have my doubts that the labs can afford to spend a constant portion of this compute on internal R&D as the total volume goes up, especially with plans to IPO, as they face increased scrutiny on basic economics.Nathan LambertSep 19, 2026· Post	PostWhy I still haven't bought into true RSI	Source
Sep 10, 2026	But in my view, the net effect of the last decade of “Doomer” talk (Coxon appears to be a card-carrying member of that party) has been to make the Frontier AI companies wealthier and more powerful.Gary MarcusSep 10, 2026· Post	PostNo, Anderson Cooper, AI is not going to kill us all	Source
Sep 10, 2026	Everytime they scream that AI is going to kill us all, VCs toss in billions more.Gary MarcusSep 10, 2026· Post	PostNo, Anderson Cooper, AI is not going to kill us all	Source
Sep 8, 2026	That’s a fair question at the dawn of the AI age when an app might take about as much time to build as editing a Youtube video. So this means average product retention will collapse, and the days of seeing >20% D30 will feel like a dream.Andrew ChenSep 8, 2026· Post	PostThe coming product retention crisis	Source
Sep 8, 2026	The future of marketing (and by extension, a large swath of product) is zero-sum and PvP - the abundance of apps/videos/pods/creators/experiences will mean we have infinity times more supply than demand.Andrew ChenSep 8, 2026· Post	PostThe coming product retention crisis	Source
September 2026	The obvious AI variant is to let your users opt in to training your model on their interactions with it. Many will resist that, but if some don't, the model they get to use will outperform the vanilla one used by the others.Paul GrahamSeptember 2026· Essay	EssayMaking Startups Powerful	Source

About this quote

Said by: Elad Gil, Investor
Where: AI Market Clarity
Topics: Investment, Startups
Source: blog.eladgil.com/p/ai-market-clarity

A quote is one moment, not the whole argument. Read it in context at the source.

Sources: the primary source linked on each quote, checked weekly. A quote is one moment; read the source. Logos via logo.dev; trademarks belong to their owners.

More from Elad Gil

On the same topics

New quotes by email