Posted June 10, 2024 Over the past decade, usage-based pricing has soared in popularity because it better aligns cost with value and allows customers to pay only for what they use. But that flexibility comes with operational pain points, especially when it comes to predicting revenue. With the right processes…
Over the past year, generative AI’s capacity for content creation has drawn most of the noisiest headlines: how AI models can instantaneously create Pixar-like shorts starring your pet chihuahua, or drum up the Drake-Kendrick Lamar diss track you never knew you wanted. What gets less attention, but is equally (if…
[simplecast-embed error="JSON parsing data error"] [embedded content]This episode of web3 with a16z is all about pricing strategy. We dive into insights from traditional and web2 businesses and apply them — plus brand new approaches — to startups using crypto and blockchains. Topics of discussion include the importance of understanding consumer…
Editor’s note: This article is based on a workshop created for founders attending a16z crypto’s Crypto Startup Accelerator (CSX). The workshop was hosted by Head of CSX Jason Rosenthal based on his 25-plus years of experience as an entrepreneur and executive, including more than 10 years as a startup CEO.…
“I remember reading an article…where they measured the efficiency of locomotion for all the species on planet Earth. And the condor won. Humans came in about a third of the way down the list, which was not such a great showing for the crown of creation. But somebody had the…
In this episode of the AI + a16z podcast, a16z partners Guido Appenzeller and Matt Bornstein discuss the state of the generative AI market, about 18 months after it really kicked into high gear with the release of ChatGPT — everything from the emergence of powerful open source LLMs to…
This content first appeared in the May 2024 Fintech newsletter. If you’d like more commentary and analysis about news and trends from the a16z Fintech team, you can subscribe here. It didn’t take much to convince Varun Krishna, the Chief Executive Officer of Rocket Companies and Chief Executive Officer of…
Posted May 16, 2024 This content first appeared in the May 2024 Fintech newsletter. If you’d like more commentary and analysis about news and trends from the a16z Fintech team, you can subscribe here. Introducing In the Vault For too long, technology and finance existed in parallel universes. Financial institutions…
As former developers and product managers, we’ve lived the grueling dance between designers and developers, where questions such as “Is this design technically feasible?” and “Can you add another screen for this step?” take place in every meeting. All too often, this aspiring creative exchange resulted in a Jira-filled, time-consuming…
Here’s a math puzzle: A good salesperson can sell 50 widgets a year, earns $100,000 a year, and will not take a pay cut. A company has an amazing new widget that needs to be sold (people will not find it on their own/aren’t looking for it). Prospective customers of…
“Layer 2” rollups are computer networks that are designed to help scale “layer 1” blockchains such as Ethereum — and they’ve been bustling with activity recently, especially since Ethereum implemented its scaling-related EIP-4844 (“Dencun”) upgrade in March. Jesse Pollak, who is Coinbase’s head of protocols and who founded and leads…
In this episode of the AI + a16z podcast, a16z General Partner Zane Lackey and a16z Partner Joel de la Garza sit down with Derrick Harris to discuss how generative AI — LLMs, in particular — and foundation models could effect profound change in cybersecurity. After years of AI-washing by…
If history is a guide, transformative breakthroughs emerge when powerful creative tools reach the masses. That’s why we’re thrilled to lead the $5M seed round for Yellow, a company focused on revolutionizing 3D character creation through generative AI. The potential impact is immense. Despite rapid progress in 2D image generation…
As more workloads and data move to the cloud and generative AI takes over the enterprise, cybersecurity is more critical today than ever. And that’s because with every new paradigm shift—from the internet to cloud computing—the sheer magnitude of digital threats has exploded and threat vectors have become increasingly sophisticated.…
In this episode of the AI + a16z podcast, Socket founder and CEO Feross Aboukhadijeh, and a16z partner Joel de la Garza, discuss the open-source software supply chain. Feross and Joel share their thoughts and insights on topics ranging from the recent xz Utils attack to how large language models…
Another way for projects to avoid legal uncertainty in the U.S. is to eliminate the possibility of the public investing in their tokens. To accomplish this, projects can issue transfer-restricted tokens (TRTs) or use off-chain “points” instead of tokens. TRTs use the ERC-20 standard to limit who can hold a…
I can’t emphasize this enough: Communications, regardless of how inconsequential or innocuous they may appear, can make or break a project. A single errant statement by a CEO can put an entire project at risk. Projects should tailor strict communications policies to the nuances of their token launch strategy. So…
Organizational structure can significantly influence the success of a token launch, and define how the project operates well into the future. There is no one-size-fits-all structure, so the process of choosing one must start several months ahead of a token launch. Even the most straightforward structure needs to be in…
At a16z’s recent Connect/Fintech event, a16z Partner Alex Immerman sat down for a broad conversation with Immad Akhund, co-founder and CEO of Mercury, and René Lacerte, founder and CEO of financial services company BILL. They discussed the wide-ranging implications that generative AI will have across fintech and how it will…
In this episode of the AI + a16z podcast, a16z General Partner Anjney Midha shares his thoughts on how hardware for artificial intelligence might evolve over the years to come as we place more emphasis on AI inference workloads. Improvements in sensors, chips, models, and more could result in remarkably…
I am pleased to announce that we have just raised $7.2B for the following venture strategies: American Dynamism ($600M), Apps ($1B), Games ($600M), Infrastructure ($1.25B), and Growth ($3.75B). This marks an important milestone for us. When Marc and I started the firm in 2009, the conventional wisdom in Venture Capital…
Editor’s note: Field notes is a series where we report on the ground at significant industry, research, and other events. For this edition, Joseph Bonneau, a16z crypto research partner and NYU assistant professor, attended the 11th Zero Knowledge Summit (zkSummit) in Athens on Wednesday, April 10, where he took notes…
Chris Lee is cofounder of IYK, a startup that makes digital experiences tangible through NFC chips. Michael Blau is a deal partner at a16z crypto and part-time generative artist. And Robert Hackett is an editor at a16z crypto. They discuss the merging of the digital and physical, new consumer experiences…
The electric grid, a vast and complex system of wires and power plants, is essential to our economy and underpins our industrial strength. Currently, we face a critical challenge: our electricity demands — expected to nearly double by 2040 due to factors like AI compute, reshoring, and “electrification” — are…
In this conversation, a16z Growth general partner Sarah Wang speaks with Crossbeam CEO Bob Moore about his new book, Ecosystem-Led Growth: A Blueprint for Sales and Marketing Success Using the Power of Partnerships. They dive into how this approach can improve customer acquisition, account expansion, and access to new markets by…
Artificial intelligence is transforming every aspect of technology, from how we code to how we sell to how we build companies. But perhaps more than any other sector, artificial intelligence is transforming the physical world in ways that were recently unimaginable. From supply chains and robotics to advanced factories and…
a16z General Partner Zane Lackey and Partner Joel de la Garza recently sat down with us to discuss the state of security in 2024. They addressed the top concern for CISOs: the impact of generative AI on enterprise security. Here’s what they had to say about the key considerations for…
Posted April 5, 2024 This content first appeared in the April 2024 Fintech newsletter. If you’d like more commentary and analysis about news and trends from the a16z Fintech team, you can subscribe here. Gauging Generative AI x Financial Services Angela Strange (Adapted from a16z General Partner Angela Strange’s March…
Nobody puts Baby in a corner — especially if Baby happens to be fragmented financial services data. Historically, the key to building a successful financial services data company has been to extricate and analyze valuable but difficult-to-access resources like public filings, diligence materials, research reports, conference call notes, and news.…
Ethereum’s scalability end-game is all about rollups—potentially thousands or even millions of rollups, each one a mini-ecosystem or an application that is built on top of Ethereum’s bedrock of security. The ideas behind how this can work were first laid out by Vitalik a few years back in his now-famous…
This conversation is part of our AI Revolution series, which features some of the most impactful builders in the field of AI discussing and debating where we are, where we’re going, and the big open questions in AI. Find more content from our AI Revolution series on www.a16z.com/AIRevolution. CEO of Quora…
Ever since ChatGPT catapulted generative AI into public consciousness over a year ago, we’ve been introduced to thousands of new consumer products that incorporate the magic of AI — from video generators to workflow hacks, creativity tools to virtual companions. Six months ago, we did a deep dive into web…
In this fireside chat from the American Dynamism Summit, a16z Cofounder and General Partner Marc Andreessen sits down with economist, podcaster, and polymath Tyler Cowen to discuss the state of innovation in America, from recent AI advances to growing support for nuclear power. They’ll explain why the future many people…
The games industry has a cost problem. Over the last decade, we’ve seen record growth in player demand driven by several tailwinds, including: the rise of mobile and emerging markets, new business models like free-to-play and subscriptions, transmedia storytelling, and much more. Yet that growth has come with a price…
Though many customers value paying only for what they consume in usage-based pricing, that flexibility also makes it very difficult to predict how much of your product they’ll use. Accurately predicting usage—and therefore cost—is a major sticking point for buyers of usage-based software. We’ve heard from plenty of leaders who…
In this presentation from the American Dynamism Summit, a16z General Partner Martin Casado lays out the case for AI as a driving force behind incredible advancements in technology, creativity, and the human experience — not to mention efficiency improvements on par with, if not greater than, those delivered by the…
California has long been ground zero for the new: new technologies, new frontiers, new arts and culture. In this session from the a16z American Dynamism Summit, moderated by a16z General Partner Katherine Boyle, California Forever CEO Jan Sramek discusses building an ambitious new city between San Francisco and Sacramento, why…
In this talk with a16z General Partner Ben Horowitz, from the a16z American Dynamism Summit, Coinbase President and Chief Operating Officer Emilie Choi discusses, among other things, crypto’s potential to power the next-generation internet and bolster individual freedoms — two major reasons why America should not only embrace crypto, but…
In this session from the a16z American Dynamism Summit, Representatives Mike Gallagher (R-WI) and Jake Auchincloss (D-MA) discuss why the United States must strengthen its technological advantage in areas like AI, develop next-generation manufacturing capabilities domestically, and rethink how Silicon Valley does business with China. Gallagher is Chair of the…
Technology companies have rediscovered their roots as innovators in national security and as critical partners to the Department of Defense. In this session from the a16z American Dynamism Summit, moderated by CNBC anchor Morgan Brennan, Anduril Cofounder and CEO Brian Schimpf lays out the case for how and why technology…
