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I need to be straight with you about this whole AI thing, because I think a lot of business owners are missing what's really happening.

There's a huge difference between companies being built right now with AI baked into everything from day one, and companies trying to bolt AI onto what they've already got. And the first group is going to absolutely destroy the second group.

Here's what I mean. AI-first companies aren't asking "where can we add some AI?" They're asking "what completely new thing can we build because AI exists?" It's like the difference between adding a website to your store versus being Amazon from the start. Same technology, totally different game.

I have a friend who runs a marketing agency. They're trying to add AI writing tools for their team. Meanwhile, I see startups with five people doing what his forty-person team does, because they built everything around AI from scratch. No human-first processes, no resistant employees, no "but we've always done it this way."

(and every day there is a new startup that is AI first)

When you're retrofitting AI into an existing business, you're fighting yourself the whole way. Your systems don't work with it. Your team worries about their jobs. Your customers expect what they've always gotten.

Companies that start with AI have employees and clients that never knew the difference. The economics are completely different too. These AI-first companies can scale things that used to require armies of people.

Those AI first companies and producing things faster and cheaper than you thought possible.

Now, this doesn't mean we're doomed if we didn't start our companies yesterday. But if you're just adding AI like you added social media or cloud storage, you're probably not going far enough.

The companies that survive this will be the ones willing to rebuild from the ground up. I mean really rebuild, not rebrand. Question every assumption about how your business works. Be willing to compete with your own products.

I know this sounds extreme, but in five years, your competition won't be other companies doing what you do with AI added on. It'll be companies that exist because AI made entirely new approaches possible.

The good news? We're early enough that established businesses can transform. You've got customers, data, and distribution. Those are real advantages. But be honest about whether you're actually transforming or just playing around the edges.

Until next week,

—Jared 

I help companies use modern technology to create a competitive advantage.
Text Me: 314.806.3912

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