The Birth of Solo Micro Entrepreneurs
The rise of generative AI signals a shift towards solo-founded AI startups as the new standard. “I think Cloud+AI is increasingly making the Pieter Levels style model of a scrappy solo serial micro-entrepreneur viable, allowing one person to spin up and run multiple companies that generate income, possibly reaching billion-dollar valuations,” said former OpenAI and Tesla computer scientist Andrej Karpathy, referring to Lex Fridman’s latest podcast with Levels. Levels is a self-taught developer and entrepreneur who has designed, programmed, shipped, and run over 40 startups, many of which are hugely successful. Recently, Karpathy founded Eureka Labs, an AI company he is currently running on his own. He is actively experimenting with various generative AI tools to develop educational content through visual storytelling. Eureka Labs aims to transform education by blending generative AI with traditional teaching methods. Karpathy, who has previously held pivotal roles at OpenAI and Tesla, describes Eureka Labs as “a new kind of school that is AI native.” “We’re entering a world where it’s getting easier and more lucrative to start a company than it is to try and get hired by one,” quipped Dennis Kardonsky, founder of Soverin.ai. This idea is similar to what Sam Altman said in a recent interview. “We’re going to see 10-person companies with billion-dollar valuations pretty soon…in my little group chat with my tech CEO friends, there’s this betting pool for the first year there is a one-person billion-dollar company, which would’ve been unimaginable without AI. And now [it] will happen.” Sam Altman says AI will make it possible for one person to build a billion dollar company very soon. pic.twitter.com/pfScwZ53hp— Andrew (@andrewmichaelio) February 1, 2024 In a recent Lightcone podcast, YC partner Harj Taggar discussed Sam Altman’s idea, saying, “Founders who’ve been doing this (running startups) for a while are obsessed with the idea of having fewer employees, as few as possible, because once you manage a large company with lots of employees, you realise how much it sucks.” Similarly, Anton Osika, founder of Lovable, a Stockholm-based AI platform that claims to enable anyone to build software applications “with just a conversation in plain English,” believes that programs like his will be capable of creating “80% of all SaaS” software by the end of 2025. He adds that soon, “you will see software unicorns with virtually no human involvement—it’s quite likely it will be just one person.” “I do believe that anyone can build most things—not big VC-funded companies, but most things to create a great, multi-million-a-year lifestyle business. And I think, even with AI, we’re seeing a lot of that, where individuals and small teams are building really, really valuable companies that aren’t venture-backed, nor should they be. But it’s still a great business,” said Ben Tossell, founder of the AI-driven newsletter Ben’s Bites. Ben uses a suite of AI tools like ChatGPT to strategise, create content, and analyse business data, allowing him to run his business efficiently without a large team. He said that there is a really simple equation that goes into what it takes to build something that provides value to customers, where you can get thousands or tens of thousands of customers signing up and paying. “I love that,” he added. Linkedin founder Reid Hoffman recently predicted that the 9 to 5 jobs will be extinct by 2034. “You may not only work at different companies, you might work in different industries,” said Hoffman, adding that people may stop working like employees and begin working in a gig economy. The ‘Gig Economy Revolution,’ Hoffman believes, will be more significant than anticipated. According to his prediction, within the next decade, 50% of the population will become freelancers and earn more while working for “3 or 4 gigs,” than those working in traditional employment. Compared to traditional positions, this approach may offer less job security, although it does provide greater flexibility and more opportunities. Solo Entrepreneurs All the Way Arjun Reddy of India is a notable example of a successful solo entrepreneur, having founded several startups and currently focusing on two AI ventures, Nidum.ai and HaiVE. Nidum.ai uses blockchain to create a decentralised AI economy where users can contribute computing power through AI mining software and access a vast network of AI resources on demand, paying only for what they use. Learn: How Data Mining Works On the other hand, HaiVE provides on-premise and custom cloud AI solutions to enterprises that want to turbocharge their operations with AI but are concerned about streaming their data to third parties and creating potential competitors. Another key figure is Ramsri Goutham Golla. He is the founder and solo developer of Questgen.ai, a platform that offers various AI-powered tools for creating quizzes and educational content, such as higher-order question generators and multiple-choice question generators. In a recent video tutorial, Golla explained that big publishers used to outsource quiz creation to companies known as item banks or tutoring chains, which would hire staff to create quizzes. He mentioned that now, with AI tools, you can generate 150 to 200 quizzes with just one click from 300 to 400 pages of content. This is possible because modern LLMs, like Gemini or even OpenAI models, can handle long contexts—up to 100,000 tokens or more. Moreover one can use frameworks like LangChain to split the text into smaller chunks. Another venture by Golla, Supermeme.ai, focuses on using AI to generate memes and other creative content. This platform leverages AI to create engaging and humorous content for social media and marketing purposes. Golla said that both these platforms are currently at $100K ARR (Annual Recurring Revenue), which is approximately INR 83 lakhs in annual revenue. Dhravya Shah, a 19-year-old from India, is busy creating several innovative apps, including OpenSearchGPT as an alternative to SearchGPT, Radish as an alternative to Redis, and SuperMemory for daily reminders. He has also recently applied to Y Combinator. my app supermemory helped me apply to YC. over the years I've saved a LOT of tweets, bookmarks etc. about every small detail of yc applications, people who got in, etc."who can give me a referral?""what are some cool founder videos?"i have …. super-memory.do you? pic.twitter.com/2qcFn1uCIw— Dhravya Shah (@DhravyaShah) August 28, 2024 RIP App Store? Anthropic recently made Artifacts available to all Claude users. Users can now create and view Artifacts on both the Claude iOS and Android apps Deedy Das, Principal at Menlo Ventures, used Artifacts to build a Splitwise-like app. “With Claude launching on iOS today, I can now generate the Splitwise app instead of paying for Pro,” he said. This brings us to question if this is the end of App Stores. Groq’s Sunny Mandra thinks this is the beginning of “The Build Your Own (BYO) era.”
And the end of App Stores?
The rise of generative AI signals a shift towards solo-founded AI startups as the new standard.
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["Anthropic", "ChatGPT", "OpenAI", "AI", "RAG", "LangChain", "Aim", "generative AI", "R", "Redis"]
["AI", "generative AI", "ChatGPT", "OpenAI", "Anthropic", "LangChain", "Aim", "RAG", "Redis", "R"]
Siddharth is a media graduate who loves to explore tech through journalism and putting forward ideas worth pondering about in the era of artificial intelligence.