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Tomasz Tunguz quote, Sep 23, 2026

General Partner, Theory Ventures · Sep 23, 2026 · Post, The Most Important Market in AI is the Middle

Demand for intelligence is not a pyramid with a small, wealthy peak paying for everything beneath it.

Primary source

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

More from Tomasz Tunguz

Quote
AI has removed the typing from software engineering & left the system design.Sep 24, 2026· Post
The craft of fitting code together by hand is over; what remains is designing the loop that decides whether the output is right.Sep 24, 2026· Post
This is the new software engineering: designing the systems that let AI write code correctly at scale.Sep 24, 2026· Post
But the right tail of the market is thinner than almost anyone forecast.Sep 23, 2026· Post
Most business AI use is the messy middle: multi-step workflows that need a smart enough model at a price a company can afford. It is the most important part of the market today, & it is where the competition is fiercest.Sep 23, 2026· Post
If this is the first of many primitives specialized for production, then harnesses are about to capture a lot more margin.Sep 21, 2026· Post
They also highlight the bifurcating economics of AI: state of the art models for discovery & optimized models for production. We use the largest frontier models to train new models, & the most capable models to architect systems. But once a system is engineered & hardened, running it thousands or millions of times through a workflow benefits from narrower AI.Sep 21, 2026· Post
AI customer retention sits between mobile games and social networks. Frontier models keep the crown for about 41 days, and the price of a given level of intelligence falls roughly 10x per year, giving buyers more leverage every cycle.Jul 13, 2026· Post

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We have to hold in our heads that most Americans appear to loathe AI, but businesses and consumers seem to like it enough that Anthropic is well on its way to $100bn in annualised revenue this year. And despite being on track to be the fastest-growing company ever, Anthropic’s leadership believes they might kill all their customers.Azeem AzharSep 19, 2026· Post
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I reckoned he’d love the technology as a productivity tool; he’d be skeptical about companies working together on any issue; and he’d be concerned about giving moral agency to machines.Azeem AzharSep 15, 2026· Post
About this quote
Said by
Tomasz Tunguz, General Partner, Theory Ventures
Where
The Most Important Market in AI is the Middle
Topics
Economics
Company
Theory Ventures
Source
tomtunguz.com/the-most-important-market-in-ai-is-the-middle/

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