Even so, the increased rate of revenue generation cannot be explained by AI features since all the other (read: not skyrocketing) startups also offer AI features.
Did these portfolio companies just get the UX right? That would mean their entire portfolio, across industries, just happens to be filled with exceptional designers of products, who all simultaneosly cracked the UX for their respective industries.
A simpler inquiry:
What if the cause of this revenue growth is not on the startup/VC side but on the buyer side? Why are more companies rushing out there willing to spend more than before?
Here we have some candidates to consider: FOMO, labor efficiency, excitement.
Now, we have economics (behavioral and regular) to form a causal narrative; we have loss aversion and job cuts as incentives.
So, based on this post can we say this is a better time to start a startup than before? I don't think so.
Can we say that if you do start one with the same odds of success as before, grow it to a VC happy size, and have AI somewhere in the offering, you'll probably have more revenue than companies of a similar size from a few years ago? Yes, I think we can say that.
Did these portfolio companies just get the UX right? That would mean their entire portfolio, across industries, just happens to be filled with exceptional designers of products, who all simultaneosly cracked the UX for their respective industries.
A simpler inquiry:
What if the cause of this revenue growth is not on the startup/VC side but on the buyer side? Why are more companies rushing out there willing to spend more than before?
Here we have some candidates to consider: FOMO, labor efficiency, excitement.
Now, we have economics (behavioral and regular) to form a causal narrative; we have loss aversion and job cuts as incentives.
So, based on this post can we say this is a better time to start a startup than before? I don't think so.
Can we say that if you do start one with the same odds of success as before, grow it to a VC happy size, and have AI somewhere in the offering, you'll probably have more revenue than companies of a similar size from a few years ago? Yes, I think we can say that.