[HN Gopher] The only moat left is money?
       ___________________________________________________________________
        
       The only moat left is money?
        
       Author : elliotbnvl
       Score  : 221 points
       Date   : 2026-02-18 16:07 UTC (6 hours ago)
        
 (HTM) web link (elliotbonneville.com)
 (TXT) w3m dump (elliotbonneville.com)
        
       | saubeidl wrote:
       | Capitalism working as intended, shifting more and more resources
       | to the already-rich.
       | 
       | A handful of people doesn't own most of the country by accident.
        
         | andsoitis wrote:
         | Wealth is not a zero sum game. There's more wealth in the world
         | today than 50 years ago, 500 years ago, 5000 years ago.
        
           | lm28469 wrote:
           | That's why we cured hunger in 2012, cured poverty in 2017,
           | fixed healthcare in 2020, working as intended indeed
        
             | saubeidl wrote:
             | You might not be living in the same reality as me if you
             | believe any of those claims.
        
               | lm28469 wrote:
               | That's called sarcasm
        
               | rkomorn wrote:
               | Had us in the first half. And the second half too.
        
           | mothballed wrote:
           | There are a lot of zero-sum things that are being chased by
           | money, and maybe even the most sought after ones. Like
           | political power, sexual partners, and chasing the top % of
           | credentials for your offspring to position them with better
           | access to zero sum things.
        
           | exceptione wrote:
           | A _free_ market is not a zero sum game indeed. Monopolies
           | turn it into a zero sum game. To keep a market free, you have
           | to regulate it.
           | 
           | Wealth _concentration_ is dangerous for democracy, the
           | markets and society.
        
             | mothballed wrote:
             | I think you have it backwards. Regulation is what enables
             | monopolies. There is no monopoly for any of the major
             | industries like cow herding or cellular telephone service
             | in Somalia despite almost no effective regulation. There is
             | not even a monopoly of pirates despite them willing to use
             | violence to try and enforce a monopoly.
             | 
             | If you look at the history of the US, for instance,
             | railroad regulation was brought forth largely by the
             | railroads because they found it impossible to form a cartel
             | to keep up prices (due to "secret" discounting) so instead
             | they created regulation that outlawed the kind of
             | discounting that breaks cartels apart. A similar thing
             | happened in banking where the banks asked for a central
             | bank to cartelize the interest ranks to stabilize their
             | oligopoly. And the same in pharma industry -- big pharma
             | loves high regulatory barriers because it keeps competitors
             | out.
             | 
             | A large portion of the regulation in the US was brought
             | about as regulatory capture by corporations to increase the
             | monopolizing effects and destroy the free market.
        
               | exceptione wrote:
               | This is not a personal opinion of mine, it is pretty much
               | established science. I think only think-tank backed
               | sources would claim the opposite.
               | 
               | One should understand the phenomenon as a common pattern
               | of dynamics in unregulated markets. Not every snapshot
               | will showcase an end state of monopolist dominated
               | markets.
               | 
               | You bring up a valid point though. Regulatory capture is
               | a indeed a weapon in the hands of anti-competitive
               | players to prevent incumbents. Good policy usually
               | applies differently to different strata: the small
               | players are exempt from certain rules, or have to deal
               | with less stringent ones than big players do, to prevent
               | killing the market. At the risk of sounding like an llm:
               | it is not just about policy, it is about _good_ policy.
        
               | pixl97 wrote:
               | > major industries like cow herding
               | 
               | The food industry is filled with regional monopolies.
               | 
               | > cellular telephone service in Somalia
               | 
               | Ah yes, excellent example, all you have to do is
               | completely destabilize your nation and you too can have
               | free market capitalism.
               | 
               | Investors love monopolies, they fix prices and profits so
               | their investments are not at risk. Investors hate too
               | much competition, it lowers profits and puts their
               | investments at risk.
               | 
               | Free markets need investors. Investors hate free markets.
               | I hope you see the problem here.
        
               | bccdee wrote:
               | > Regulation is what enables monopolies
               | 
               | That's patently false. AT&T was a monopoly and they were
               | broken up by antitrust regulation. The absolute most you
               | can say is that _some_ regulations enable monopoly. I
               | contend that we simply should pass the good kind of
               | regulations instead.
               | 
               | Monopoly is enabled by market forces such as economies of
               | scale. Monopolization is a natural market process which
               | happens on its own unless it is actively prevented.
               | 
               | > big pharma loves high regulatory barriers because it
               | keeps competitors out
               | 
               | The FDA, for all the flaws of its current incarnation, is
               | the archetype of necessary regulation. Pre-FDA, the free
               | market did nothing whatsoever to prevent nauseating
               | practices like the adulteration of milk with powdered
               | plaster, lead, and cow brains. The history there is fun
               | but quite gross.
               | 
               | > Somalia
               | 
               | What is notable about Somalia is not its lack of
               | regulation, but the fact that it is perhaps THE least
               | stable country on the planet. It is not the basis for any
               | useful comparison here.
        
               | mothballed wrote:
               | >> Regulation is what enables monopolies
               | 
               | >That's patently false. AT&T was a monopoly and they were
               | broken up by antitrust regulation.
               | 
               | This is patently false in the context of the reply you
               | have made -- after the invention of the telephone more
               | and more and eventually hundreds of telephone services
               | popped up. Then in 1918 (circa WWI), the government
               | effectively quasi- _nationalized_ AT &T by controlling it
               | via a commission and the postmaster general and then AT&T
               | leveraged politicians to create "universal telephone
               | service" provided by AT&T and regulate competitors out of
               | the market while using regulatory capture to use
               | commissions to regulate rates, effectively creating a
               | cartel that drove competitors out of business via
               | regulation.
               | 
               | the whole idea of a "natural market process" here is
               | absolute and utter hogwash. The majority of the market
               | was AT&T competitor up until the regulators stepped in
               | and turned it into an _unnatural monopoly_ enforced by
               | regulatory capture.
               | 
               | >The FDA, for all the flaws of its current incarnation,
               | is the archetype of necessary regulation. Pre-FDA, the
               | free market did nothing whatsoever to prevent nauseating
               | practices like the adulteration of milk with powdered
               | plaster, lead, and cow brains. The history there is fun
               | but quite gross.
               | 
               | You're now arguing why we need regulation rather than
               | whether they create monopolies or not. I see this as a
               | complete red herring, although an interesting topic, that
               | there are some counterpoints to.
               | 
               | > What is notable about Somalia is not its lack of
               | regulation, but the fact that it is perhaps THE least
               | stable country on the planet. It is not the basis for any
               | useful comparison here.
               | 
               | What is notable is that the whole thesis is without
               | regulation it turns into this monopolized hellscape and
               | every inspection of that theory turns out to be false,
               | and sometimes even the opposite.
        
               | bccdee wrote:
               | > the whole idea of a "natural market process" here is
               | absolute and utter hogwash
               | 
               | Might I introduce you to the concept of a "natural
               | monopoly"? https://en.wikipedia.org/wiki/Natural_monopoly
               | 
               | Anyway, what regulation is responsible for Walmart and
               | Amazon putting local retailers out of business?
               | 
               | > the government effectively quasi-nationalized AT&T
               | 
               | After a big merger put AT&T in charge of the majority of
               | telephone lines in the US, the company used its control
               | over infrastructure to drive its competitors out of
               | business and increase its portfolio. The Justice
               | Department tried to break up AT&T but failed; it was in
               | the settlement of this case that AT&T was first federally
               | regulated in 1913. Yes, AT&T's monopoly grew between 1913
               | and 1982, but your causality is backwards. They regulated
               | it _because it was already a monopoly._
        
               | mothballed wrote:
               | >Anyway, what regulation is responsible for Walmart and
               | Amazon putting local retailers out of business?
               | 
               | Walmart + Amazon combined are only ~16% of the retail
               | business. They're not monopolies. The fact they put a
               | small minority of businesses out of business does not
               | mean they're a monopoly. This is likely part efficiencies
               | and also part regulatory capture via the insane
               | zoning/building regulations in this country and tax
               | breaks that can favor large corporations.
               | 
               | > After a big merger put AT&T in charge of the majority
               | of telephone lines in the US, the company used its
               | control over infrastructure to drive its competitors out
               | of business and increase its portfolio. The Justice
               | Department tried to break up AT&T but failed; it was in
               | the settlement of this case that AT&T was first federally
               | regulated in 1913. Yes, AT&T's monopoly grew between 1913
               | and 1982, but your causality is backwards. They regulated
               | it because it was already a monopoly.
               | 
               | ... It was not already a monopoly. Hundreds of phone
               | companies emerged and by shortly before your noted date
               | of "regulation" those competitors held the majority
               | market share. It became a "monopoly" after the government
               | literally quasi-nationalized them (AT&T) to the point the
               | fucking Postmaster General was basically in charge of it,
               | they became intertwined with regulators, and then the
               | drive for "universal telephone service" and regulatory
               | commissions ensured the regulatory compliance pushed
               | exactly into AT&Ts business model. AT&T intertwined
               | lawmakers even brought in economics quacks to talk up
               | _natural monopolies_ to argue for policies to _create_
               | the regulations that made AT &T a monopoly. So you have
               | it backwards -- the regulated it from a minority market
               | holder to an unnatural monopoly and lawmakers _created_
               | this monopoly under the auspices they essentially needed
               | to legislate a  "natural" (misnomer) monopoly into
               | existence.
        
               | bigyabai wrote:
               | > There is no monopoly for any of the major industries
               | like cow herding or cellular telephone service in Somalia
               | 
               | Kinda a terrible example, as cellular telephones are
               | highly regulated in Somalia: https://en.wikipedia.org/wik
               | i/National_Communication_Authori...
        
               | mothballed wrote:
               | This is a crude but misguided attempt to bypass what I
               | say which was "effective regulation." FGS only controls a
               | minority of Somalia -- most of it is controlled by
               | Somaliland, Puntland, Al-Shabaab, directly by xeer
               | (customary) law, or only FGS hanging on by a thread.
               | 
               | Even in cases where FGS is in control -- even then xeer
               | law on property rights and law often supersede written
               | law of FGS. For instance, on occasion Somali population
               | has _straight up killed FGS soldiers /police_ and
               | Somalian government has deferred to xeer courts and said
               | "welp that is fine." Xeer law in particular has a very
               | liberal free-market view on inter-familial
               | entrepreneurism (although with a lot of intrafamilial and
               | tribal dues which hinder it in practice) which is at odds
               | with what outside law has tried to impose upon it.
               | 
               | NCA has rather limited influence in somalia, and
               | definitely not of the sort that could break up a monopoly
               | if one existed.
        
           | saubeidl wrote:
           | Wealth is intently _relative_. Absolute growth of wealth is
           | just inflation.
        
           | bccdee wrote:
           | Power is a zero-sum game. We all live in the same space,
           | exist in the same media ecosystem, and have the same number
           | of hours in the day. The media consumed by the public, the
           | structure of our cities, the investments we make in science,
           | the sources we use for energy, the laws we pass and the way
           | they are interpreted, stewardship of our environment, and the
           | degree to which our tax money is used to drop bombs on
           | civilians are ALL zero-sum.
           | 
           | I am so sick of the pretense that GDP growth means inequality
           | is somehow illusory. Yes, TVs used to be expensive and now
           | they are cheap. Big whoop.
        
       | showerst wrote:
       | This AI boom is just a hyper-version of previous tech booms (web
       | 1.0, VC, crypto, etc). You have an enormous number of people who
       | just want to get in and build something, but the products they
       | are pumping out don't serve anyone's need or solve anyone's
       | problem.
       | 
       | The moat isn't money for out-marketing your idea that 750 other
       | people are building, it's having a good idea that solves a
       | problem that nobody else is solving well.
        
         | billconan wrote:
         | how to prevent others from building a copycat using ai?
        
           | g947o wrote:
           | You don't.
        
           | Daishiman wrote:
           | You work on niches that have very specific requirements that
           | you can only derive from having a good relationship with
           | customers and so you attend to those needs faster than
           | competitors who are out of the loop.
        
             | billconan wrote:
             | > you attend to those needs faster than competitors
             | 
             | I wonder if this type of hustling can be called moat
             | building?
        
           | ativzzz wrote:
           | The same way you prevented this previously. Copying
           | successful products is nothing new, AI just makes it easier.
           | 
           | Marketing, lawyers, good customer support, creating
           | relationships with customers.
        
           | maeln wrote:
           | Knowledge ? For b2c it might be more difficult, but in b2b,
           | understanding your customer and their specifics issue and
           | developing something made for them is one of the big
           | challenge. Being able to spit out code for free is useless if
           | you don't know what and who you are making the code for.
        
           | rvz wrote:
           | Let's just say, building software alone is not enough.
        
           | Bnjoroge wrote:
           | You cant. You can only focus on building your own product and
           | making it durable and just much better
        
           | caminante wrote:
           | The discussion here is going sideways, and I blame the
           | underwhelming blog post.
           | 
           | Having money is NOT an economic moat-- i.e., a durable,
           | structural competitive advantage.
           | 
           | He overlooks broader, true definition of moat attributes like
           | labor supply, infrastructure, PP&E, brand, network, natural
           | monopolies, switching costs, regulation. These don't go away
           | with commoditized CRUD apps.
           | 
           | And quoting someone with decades of experience implying that
           | things are hard now and innovation didn't turn over
           | industries in the last 25+ years is a joke.
        
             | RGamma wrote:
             | The more I think about it the more brainrot the article
             | really is. As if all problems are solved and pumping out
             | soulless shovelware companies is worth anything. It really
             | is "just one more app" all over again.
        
           | elbear wrote:
           | by keeping the how part a secret
        
         | RC_ITR wrote:
         | It's like that FT chart claiming that the rapid rise in iOS
         | apps is evidence of an AI-fueled productivity boom.
         | 
         | I always ask people, in the past year, how many AI-coded apps
         | have you 1) downloaded 2) paid for?
        
           | disgruntledphd2 wrote:
           | > It's like that FT chart claiming that the rapid rise in iOS
           | apps is evidence of an AI-fueled productivity boom.
           | 
           | I mean, there is evidence for some change. Personally, I'm
           | sceptical of what this will amount to, but prior to EOY 2025,
           | there really wasn't _any_ evidence for an app /service boom,
           | and now there's weak evidence, which is better than none.
        
           | sarchertech wrote:
           | In addition to that, what they don't mention is that:
           | 
           | 1. Other app stores like Google Play and Steam haven't seen
           | this rapid rise.
           | 
           | 2. There are thousands maybe tens of thousands of apps that
           | are just wrappers calling OpenAI APIs or similar low effort
           | AI apps making up a large percentage of this increase.
           | 
           | 3. There are billions of dollars pouring into AI startups and
           | many of them launch an iOS app.
        
             | vkou wrote:
             | Has steam not seen a rapid rise in AI-asset shovelware?
             | 
             | I'm not talking about the AAA or the AA or even the A space
             | (where AI is being incorporated into dev processes with
             | various degrees of both success and low effort slop), I'm
             | talking about the actual bottom of the barrel.
        
               | sarchertech wrote:
               | I can't speak to the quality of all the games released,
               | but in January 2025 there were 1,413 games released on
               | Steam and in January of this year there were 1,448.
        
               | Jensson wrote:
               | You never needed AI to make shovelware, you have been
               | able to make a shitty game over a weekend ever since RPG
               | maker was made and there are still games made using that.
               | 
               | AI just helps create some assets for games, it doesn't
               | really make it easier or faster to make games but they
               | might look a bit better.
        
           | _DeadFred_ wrote:
           | Because so much technical functionality has been
           | lost/paywalled/dark patterned/enshitified, I've cut the
           | number of apps I use. I've realized building core personal
           | functionality around the whims of corporations eventually
           | just gets weaponized against me, so I might as well start
           | undoing that on my own terms. Who in 2026 is really bringing
           | in a new app/Saas to do much of anything like we naively did
           | a decade ago? No one I know, we've been shown we will be
           | treated as suckers for doing that.
        
           | esseph wrote:
           | > I always ask people, in the past year, how many AI-coded
           | apps have you 1) downloaded 2) paid for?
           | 
           | In the past 5 years, the only "new" app I've added to my
           | phone has been Claude.ai.
           | 
           | Before that I guess DoorDash. And that probably covers the
           | past 7ish years of phone use.
           | 
           | There's just too much shit in the store, a lot of it is
           | scammy or has dark patterns.
           | 
           | For me, "app stores" are largely dead.
        
         | boplicity wrote:
         | > the products they are pumping out don't serve anyone's need
         | or solve anyone's problem.
         | 
         | This isn't true though.
         | 
         | Yes, there are too many products being build that don't serve
         | anyone's needs or solve anyone's problems.
         | 
         | However, many of the AI products _do_ solve problems and serve
         | needs.
         | 
         | You're right though, to compare this to other booms, which also
         | had the same problem. This is very much a "hyper" version,
         | which is pretty incredible to be in the middle of.
        
           | PaulDavisThe1st wrote:
           | > However, many of the AI products do solve problems and
           | serve needs.
           | 
           | Every solution to a problem comes with its own costs. It is
           | entirely possible that most solutions that are rooted in
           | modern computing technology have actual or perceived costs
           | that exceed the value of "solving the problem".
           | 
           | The problems that most people have that they really want to
           | solve are not addressable by AI, or computers, or software.
        
           | showerst wrote:
           | I don't mean that _all_ AI built stuff is useless, just that
           | the number of products where 'marketing budget' is the
           | bottleneck is dwarfed by the number of tools that aren't that
           | special in the first place.
           | 
           | If you have a product that:
           | 
           | 1. Solves a real problem people would pay for
           | 
           | 2. Is not trivially replicable by your potential customers or
           | competitors
           | 
           | 3. Does not have a natural discovery mechanism by potential
           | customers
           | 
           | Then you need the marketing budget.
           | 
           | That is not most people's problem.
        
             | tjwebbnorfolk wrote:
             | Ok but pick any category of human endeavor and 80% of it is
             | garbage in the beginning. There were 3000 car companies in
             | the 1920s, and most of them sucked, and so they died. The
             | market over time will sort out who survives and who does
             | not.
             | 
             | It will take a few years for investors to figure this out,
             | but in the meantime, everyone is spreading their bets
             | around like peanut butter in order to be in the game.
        
             | arrsingh wrote:
             | I think item #2 in your list is the real kicker here. Given
             | that AI can write code the threshold for "trivially
             | replicable" is going down.
             | 
             | Unless your thing has strong network effects or a large
             | capex requirement (ex: GPU infra) its easily replicated and
             | I think that's really what makes things hard.
        
               | sarchertech wrote:
               | Most business software that was truly trivially
               | replicable with AI, was already trivially replicable with
               | the prototyping tools we had available.
        
         | neom wrote:
         | I worked during the digital revolution in film, I've told the
         | story a zillion times on HN but basically, I went through the
         | first pure digital film program in Canada, by the time I
         | graduated 70% had dropped out, as far as I know I'm the only
         | one who made a proper go at it, and even then when my startup
         | was taking off, a new hot shot would show up every month and be
         | gone the next when they got bored or frustrated when nobody
         | thought they were special. Tools are tools.
        
           | curiouscavalier wrote:
           | yeah this is really a part of it. Both founders and investors
           | get spooked by the rapid entries into a market but persistent
           | not just when it's hard but when it's boring goes so much
           | farther.
        
           | ncphillips wrote:
           | > a new hot shot would show up every month and be gone the
           | next when they got bored or frustrated when nobody thought
           | they were special
           | 
           | I don't know much about film industry, and I have a ton of
           | brainfog from being sick today.
           | 
           | Could you say more? What made them a hotshot? They thought
           | they were like, creative geniuses with digital film or
           | something?
        
             | neom wrote:
             | They often WERE creative geniuses with a digital camera!
             | Brilliant people! In fact they were the ones who came and
             | went the fastest, what makes you _useful_ in industry is
             | very frequently nothing to do with genius or creativity or
             | mastery of the tools. It 's things like reliability,
             | stability, team spirit, open mindedness etc.
             | 
             | Creative genius is one game, but it's far from the only, or
             | even, main one.
             | 
             | Hope you feel better. <3
        
         | Bnjoroge wrote:
         | Eh, there's some truth it both. The truth is somewhere in the
         | middle of the spectrum. Distribution absolutely matters, often
         | times even more than the product. And vice versa
        
         | clickety_clack wrote:
         | This seems to me like the few booms I've seen before.
         | Absolutely crazy valuations with very little behind them,
         | massive hype, everyone's unemployed uncle suddenly becoming a
         | shallow expert. It's probably going to end the same way too,
         | once the upward momentum dissipates and things start to retreat
         | to "fundamentals", we'll find out that there were a lot fewer
         | solid points in the market than we were all told to expect, so
         | the fundamentals are actually pretty far down. After 5 to 10
         | years of regrouping, a more mature and solid version will come
         | about and become such a normal part of life we barely even
         | remember what it was like without it.
        
           | steveBK123 wrote:
           | We are well on our way to the popping of inflated
           | expectations.
           | 
           | Currently people are taking AI hype too seriously and
           | extrapolating its success out in such a way as to discount
           | the value of other businesses.
           | 
           | Example - last week a bunch of trucking stocks crashed 10-20%
           | because a $6M company that pivoted from Karaoke to AI demoed
           | something.
           | 
           | This is just insane. Sure, if say Waymo is pivoting into
           | commercial trucking.. maybe. But people are basically
           | shorting minutemaid lemonade because their neighbors kids
           | opened up a lemonade stand. Demos are easy, products are
           | hard.
        
         | koolba wrote:
         | > The moat isn't money for out-marketing your idea that 750
         | other people are building, it's having a good idea that solves
         | a problem that nobody else is solving well.
         | 
         | An idea is not a moat. Execution is only a moat if being nimble
         | is part of the ongoing offering.
        
           | _DeadFred_ wrote:
           | Historically, during booms like this (for example the
           | industrial revolution), it was, because we had patent
           | protections in order to encourage ideas to be brought to
           | market. I don't see how you can have an AI revolution that
           | doesn't just funnel everything to the top without something
           | similar.
           | 
           | Why invent the cotton gin, find investors, and bring it to
           | market if the steel company with the infinite worker machine
           | can instantly compete with you?
        
         | _DeadFred_ wrote:
         | Not really. It's money/resources. I had some really useful apps
         | I built for myself. I looked at releasing them, but there were
         | companies whose business model was waiting for people like me
         | to release apps that solve a problem, and then just instantly
         | jump on creating a solution and outcompeting the independent
         | app.
         | 
         | It's trivial for competitors with bigger pockets to outcompete
         | you on your idea, and there are companies whose business model
         | is just that. And with AI customers are trying to do it
         | themselves as well. The only startup I wouldn't be nervous
         | about as a small team without large financial backing would be
         | ones where we start out partnered to multiple companies in the
         | targeted industry so that we can leverage that connection.
         | 
         | Historically this is why we have copyright/patent laws. To make
         | it make sense for people to try to bring their ideas to the
         | world. But with everything changing we are back to everyone
         | just sitting on their concepts/solutions unless they have big
         | money behind them.
        
         | PlatoIsADisease wrote:
         | Buddy, my wife vibe coded an app that solves her PTO tracking
         | problem in 1 shot.
         | 
         | Her payroll company was going to charge her an extra $200 a
         | month.
        
         | lelanthran wrote:
         | > The moat isn't money for out-marketing your idea that 750
         | other people are building, it's having a good idea that solves
         | a problem that nobody else is solving well.
         | 
         | This is a very naive take. Any good idea you have can now be
         | cloned trivial in no time at all.
         | 
         | The clones just need to out spend you on marketing even though
         | it is your idea that the LLM cloned.
        
           | prmph wrote:
           | So where are the AI clones of MS Office, JetBrains IDEs,
           | Whatsapp, Obsidian, etc. so far?
        
             | lelanthran wrote:
             | Obsidian has plenty of clones. The others have money as a
             | moat, which is exactly my point.
        
               | prmph wrote:
               | Which clones? And why not the others?
               | 
               | Which is my point: it seems easy to clone something that
               | seems conceptually simple, but is the result of all kinds
               | of UI, UX, performance, etc optimizations. The reason
               | someone might choose Obsidian over these so called clones
               | is not just marketing, I assure you. The reason people
               | attempt Obsidian clones is that they think creating todo-
               | list management tools, etc is all it takes to implement a
               | PKM, and that that is easy. It is not.
               | 
               | Right now there are kinds of tools I wished existed, that
               | I would pay for, but AI does not automatically provide
               | the insight, good taste, technical excellence, and grit
               | needed to create these products. I could do them, with AI
               | assisting, but do not have the time. It is not a simple
               | matter of saying: Claude, create or clone X, Y, Z.
        
               | lelanthran wrote:
               | > Which clones?
               | 
               | Are you seriously contending that apps that have
               | Obsidians functionality don't exist?
               | 
               | Just on HN alone, throughout 2023 - 2025 we were seing
               | like one new TODO app show up on HN _weekly!_
               | 
               | > And why not the others?
               | 
               | Because _money_ is the moat, and _they have it!_
               | 
               | That was my entire point - _money is the moat_.
        
               | prmph wrote:
               | You are not making sense.
               | 
               | > Just on HN alone, throughout 2023 - 2025 we were seing
               | like one new TODO app show up on HN weekly!
               | 
               | This response shows you missed my point entirely. I am
               | saying a todo app does not a PKM make! I'm not interested
               | in a vibe-coded todo app, it is useless to me.
               | 
               | > Because money is the moat, and they have it!
               | 
               | You're sidestepping issue and contradicting yourself. I
               | asked: if cloning is so easy, why has no one cloned the
               | JetBrains IDEs, for example?
               | 
               | Remember, I'm not talking about what happens after the
               | cloning. Are you saying no one has cloned Jetbrains
               | because it takes a lot of money to do so? That would
               | contradict your claim that AI makes it easy.
        
         | casey2 wrote:
         | No, the moat is having a seemingly good "scalable" idea that
         | solves a problem a few people have and most people think they
         | have. Then getting bought out.
         | 
         | The zip2s and OpenClaws of the world
        
         | joe_the_user wrote:
         | Well, if someone could create a drop-in replacement for Oracle-
         | DB, Adobe Creative or AutoCad in a month of vibe-coding, I
         | think they could prosper without having their own good idea. I
         | would like to see something like this.
         | 
         | But if you're just talking the fairly simple apps that a single
         | very talented programmer could pump out before this, sure,
         | yeah.
        
         | cosmic_cheese wrote:
         | > ...it's having a good idea that solves a problem that nobody
         | else is solving _well_.
         | 
         | Added emphasis to the most crucial part, in my opinion.
         | 
         | If you can manage to deliver a product that's meaningfully
         | better than the competition, you still have an edge, so long as
         | you're competent at marketing.
         | 
         | Nothing gets people searching for alternatives as consistently
         | as frustration, and a product that was lazily built with AI
         | (vibe coded or otherwise) is going to be full of bugs and
         | papercuts that make using it a poor experience.
         | 
         | This is particularly true for software that sits in the hot
         | path of peoples' workflows, where thoughtless design,
         | misbehavior, and poor optimization chip away at time the user
         | can't afford to spare.
         | 
         | In short: yes, competition will be plentiful but it will also
         | be almost entirely awful, and capable SWEs can capitalize on
         | that. It won't take much to stand out amongst the mountains of
         | garbage that will be generated in the coming years.
        
       | ge96 wrote:
       | I hope this is true, I'm trying to make a multi-agent
       | orchestration thing that looks at grain futures, satellite
       | imagery, news, etc... to trade crypto. I'll probably lose but
       | yeah.
       | 
       | Maybe the guy doing their 9-5 can run many agents to make them
       | money while they work their day job.
       | 
       | Is that a thing, you get hired at some company then you use an
       | agent to work for you, deep fake video calls, cursor code... that
       | would be crazy. Get another job and split your time between
       | agents for minor corrections.
        
       | clay_the_ripper wrote:
       | Doing hard things has always been, and always will be, hard.
       | 
       | Building a static HTML page was "hard" in the 90's. It took
       | actual skills.
       | 
       | Any piece that gets easier automatically opens up more hard
       | avenues to tackle.
       | 
       | no one is willing to pay you for easy.
        
         | elliotbnvl wrote:
         | Ahhh that lines up with a thought I had recently: you get out
         | of life what you put into it. I am beginning to believe that
         | there's some kind of metaphysical rule here that is true
         | everywhere, all the time.
         | 
         | So maybe the solution is: find the hardest stuff to do and do
         | the crap out of it.
        
           | elliotbnvl wrote:
           | The followup thought / concern that occurs: what if the
           | number of hard things is going down?
        
             | Barbing wrote:
             | I would have imagined it's going up while the percentage of
             | people who are capable of doing the hardest things is going
             | down.
             | 
             | Not that I know much of anything.
        
               | pixl97 wrote:
               | We probably need to split apart things like "hard" and
               | "both hard and useful".
               | 
               | Just because you're doing something hard, doesn't mean
               | anyone wants it.
               | 
               | Just because you're doing something useful doesn't mean
               | you're going to get paid much for it.
               | 
               | Just because something is hard and useful doesn't mean
               | someone is going to pay you for the cost of the effort.
        
           | AntiDyatlov wrote:
           | I really don't think that's true, you can put a lot of effort
           | into a wrongheaded strategy, netting you no or bad results.
           | 
           | Conversely, a good strategy can get you good results without
           | that much effort.
        
             | ahnick wrote:
             | Wrongheaded strategies that net you bad results, often
             | result in lessons and ideas that can be further pursued on
             | their own merits.
        
         | danny_codes wrote:
         | The entire pitch of LLM companies is that that's not true. The
         | LLM does the hard work, and you pay the LLM company for the
         | tokens. So the gate is just, can you afford enough tokens.
         | 
         | Not saying that's what will happen in reality, but that is the
         | marketing pitch
        
         | moregrist wrote:
         | I was there in the 90s. I built a few bad static HTML pages. It
         | wasn't hard. There are lots of stories of non-CS / non-
         | technical people making stuff from the dotcom era.
         | 
         | Making a dynamic page was harder. Integrating with a payment
         | system was almost magical; there's a reason PayPal became big.
         | 
         | But what was _truly_ hard, and continues to be hard, is
         | building a page, either static or dynamic, that people actually
         | want to visit.
        
           | bdcravens wrote:
           | Building static pages that worked in both Netscape and IE 4,
           | and could function well with constrained dial up speeds, may
           | not have been "hard", but it did come with a number of
           | challenges.
        
       | tquinn35 wrote:
       | I disagree. I think creativity is still a valid moat. You still
       | need to build good products. Its like a restaurant anyone with
       | some money can open a restaurant but you need to has the
       | creativity to make a good one.
        
         | CGMthrowaway wrote:
         | The only moat that can beat the money moat, in fact
         | 
         | Money (better thought of as credit, since we are talking about
         | fiat here) is an attractor so much as it can stand for or
         | purchase productive energy. If that fails (central bank
         | failure, currency failure, government failure), creativity
         | takes its place
        
         | 52-6F-62 wrote:
         | I think, in time, it will be shown to be the real, persistent
         | differentiator. And far more valuable.
         | 
         | But it's also not a moat in the same way. It's accessible to
         | everyone, but you have to actually disregard the parts of
         | yourself that want to drive hard in some direction just for
         | money or power or external validation.
         | 
         | From the look of things right now, it may take some pain before
         | that really gets to shine.
        
         | HPsquared wrote:
         | What's to stop someone copying your creations? Creativity is
         | the reason a moat is needed.
        
         | giancarlostoro wrote:
         | You don't need a ton of creativity for a good restaurant if you
         | have good staff, and upkeep. I'll take a boring well maintained
         | and staffed restaurant over an overpriced "creative" restaurant
         | where the waiters are terrible and the chef is even worse.
        
           | pixl97 wrote:
           | And you'll still probably get beat by a restaurant in a
           | better location or one with better marketing
        
             | giancarlostoro wrote:
             | I can't remember the last time I ate anywhere because of an
             | ad. I eat out a lot too, used to uber eats nearly every
             | single day. I wont reorder at places that mess up my order,
             | but consistent quality I reward. Chick Fil A gives me the
             | best service out of any fast-food restaurant, so they earn
             | my repeat business.
        
               | boplicity wrote:
               | People almost never admit it when they respond to an ad.
               | Even when they very clearly do.
               | 
               | Don't underestimate the effectiveness of advertising, or
               | its ability to influence you.
        
               | giancarlostoro wrote:
               | I distinctively remember when ads have worked on me to
               | buy something. Sometimes I blacklist a brand if an ad is
               | deceptive and makes me click on something, but I don't
               | watch TV much if at all, and the streaming services I do
               | use I pay to have ads removed.
        
               | Jensson wrote:
               | You don't even see ads for local restaurants, you just go
               | there because its close or a friend recommended it. How
               | could you get influenced by something that doesn't exist?
               | Their marketing is just the storefront, people go there
               | since they are interested in this new place.
        
               | boplicity wrote:
               | Google Ads, especially Google Maps, has tons of paid ads
               | for local restaurants. So does Uber Eats and similar ilk.
               | 
               | I particularly despise these ads in Maps because the ad
               | often obscures the search result I'm looking for -- and I
               | end up accidentally clicking on an advertisement for some
               | other restaurant than the one I was looking up.
        
           | trashb wrote:
           | This assumes the market is not oversaturated. It does not
           | work if there are only a couple of people trying to find a
           | place to eat in a street with 30 similar well maintained and
           | staffed restaurants.
           | 
           | Correct me if I'm wrong but, you may be thinking of
           | restaurants where their defining factor is "having a very
           | creative atmosphere", which will not suit all customers.
           | However it is a differentiating factor which will serve a big
           | audience that is under served in a location filled with
           | "boring well maintained and staffed restaurant".
           | 
           | In my view the creativity comes in in finding solutions to a
           | problem, in a oversaturated market the problem may be "how do
           | I persuade customers to come to my restaurant instead of my
           | competitor?". And following that question may be (in the
           | restaurant example) "what can I offer that is under served in
           | the current market?" The solution to that may be "a biker
           | cafe" or "an overpriced "creative" restaurant where the
           | waiters are terrible and the chef is even worse" (perhaps
           | even rude on purpose).
           | 
           | Additionally I assume you want the restaurant to grow. If you
           | want the restaurant to just survive the bar is lower and you
           | may be able to do that by doing the same everyone else is
           | doing as long as you meet the minimum.
        
           | Jensson wrote:
           | But the argument is that now you have AI for chef, staff and
           | upkeep so its only the recipe writer left. I don't agree with
           | that argument but that is the dream these corporations are
           | selling.
        
         | AstroBen wrote:
         | Your creativity will be copied within days
        
           | fuzzfactor wrote:
           | Some peoples' yes, others no.
        
         | gorgoiler wrote:
         | The claude.ai web UI has a bug right now. If you inline some
         | code by typing an opening backtick then the closing backtick
         | swallows your space, puts the next letter you type after the
         | code, then everything else back inside the code span.
         | 
         | One day we might be able to write software without bugs. That
         | day is clearly not here yet.
         | 
         | (Firefox in Linux if anyone wants to repro. Can't file a bug as
         | it's a closed, proprietary piece of software.)
        
         | sowbug wrote:
         | Creativity is a kind of labor. Like all labor, it never earns
         | pay more than once.
        
           | esseph wrote:
           | Then what are acting and music royalties?
        
             | sowbug wrote:
             | They're the exceptions that prove the rule. For every
             | Taylor Swift, there are probably tens of thousands of
             | songwriters who have never earned a dollar from their
             | creations.
             | 
             | The vast majority of valuable copyrighted/patented
             | creations are works for hire, which is compensated just
             | like other labor. Or the creator signs or licenses the
             | rights away to a publisher and _maybe_ receives contractual
             | royalties, rarely more than the initial advance.
             | 
             | (An alternative answer is "the pay for your creativity is a
             | capital asset. That asset can earn royalties. Usually it
             | doesn't.")
        
               | esseph wrote:
               | Stock photography?
               | 
               | Font/Typography sales?
               | 
               | What about Pluralsight/Udemy courses?
               | 
               | Substack/Patreon membership?
               | 
               | Buying printable art from etsy?
        
         | trashb wrote:
         | I think creativity is still a valid moat. And I think
         | creativity will become a very important moat!
         | 
         | I am a firm believer of "limitation breeds creativity" and
         | being able to make what you want with immediate result will
         | lead to less diverse solutions. In a world of in-diverse
         | products you need more creativity to stand out as it will
         | become harder to conceive of something "outside of the box".
         | 
         | Similarly to how anyone can basically create any image they
         | desire in Photoshop (with some limited training). Leading to a
         | lot of images of a similar style instead of a lot of different
         | styles (ai slop anyone?). This is because between the idea and
         | the result the roadblocks are reduced, the process is smooth
         | (tools aim for 1:1 conversion). In the creative process these
         | roadblocks are usually where you will find interesting new
         | directions or ideas. And very often the original idea was not
         | that interesting to begin with (and perhaps not as original as
         | we would like to believe).
        
         | jonathanstrange wrote:
         | That's my hope, too, since I've had the unfortunate luck of
         | practically being forced to fulfill my lifelong dream and
         | create a software company as a solo dev in 2025. Great
         | timing...
         | 
         | However, I've gotten doubts about the value of creativity and
         | having a vision. Plenty of people have great creativity and a
         | fantastic vision, and we can see already how AI allows people
         | to churn out interesting and useful projects at much faster
         | pace than just a few years ago. The problem is that it seems
         | more and more impossible to actually make a living of that.
         | 
         | Anybody with the money to have access to enough AI will be able
         | to create a clone of software X. We might not be there quite
         | yet but it's just a matter of time. That seems to be a death
         | sentence for any small software business.
        
       | sebstefan wrote:
       | >Every morning a few thousand people wake up and ship something.
       | A tool, a SaaS, a newsletter, an app that does the thing the
       | other app does but slightly differently. They post it on Hacker
       | News. Nobody clicks.
       | 
       | >This is not new. What's new is the scale. An AI can wake up (or
       | whatever it does at 3am) and ship twelve of these before
       | breakfast.
       | 
       | That's fun, I'm sure if somebody actually checked that and
       | graphed it, you would not be able to pinpoint when AI starts on
       | the graph
        
         | francisofascii wrote:
         | Here is the Show HN Graph. I think it is obvious when AI
         | starts. https://petegoldsmith.com/2026/01/26/2026-01-26-show-
         | hn-tren...
        
       | ossa-ma wrote:
       | > The value of human thinking is going down.
       | 
       | Wrong. Creativity, innovation, intuition, taste - all forms of
       | thought solely inherent to humans, all going up.
        
         | elliotbnvl wrote:
         | I used to agree completely, and a part of me still does. But
         | the part of me that's scared that this isn't true is getting
         | louder and louder.
         | 
         | I'm a novelist and software engineer. The value of one of those
         | skills is trending to zero. I'm not seeing much to suggest, in
         | the face of the hockey stick of doom, that the other isn't.
        
           | 52-6F-62 wrote:
           | Depends. Are you still measuring value in dollars?
        
             | elliotbnvl wrote:
             | I got mouths to feed, so... yeah.
        
               | 52-6F-62 wrote:
               | Indeed. But the line of discussion was about the value of
               | human thought.
        
               | ativzzz wrote:
               | If our human thoughts can't be translated to food and
               | shelter, then we'll pick up guns and go steal the food
               | and shelter from someone else.
        
               | 52-6F-62 wrote:
               | Noted.
               | 
               | Sometimes what needs translated to food and shelter isn't
               | your thoughts, however. If you nurture and value thoughts
               | regardless, this point will be understandable.
        
           | trashb wrote:
           | If anyone can create what they want won't coming up with good
           | ideas be the value, therefore the creativity will become more
           | important?
           | 
           | I don't know what you wrote and I agree that it is very sad
           | that the skill of writing is very undervalued at this moment.
           | But I think that trend is not new and in reality not created
           | by AI (just accelerated). But I think value of writing was
           | never in the writing itself but the knowledge and ideas
           | behind the writing. Because mechanics of writing sped up
           | (handwritten, typewriter, word processor). But the process of
           | writing a novel did not speed up significantly as the
           | bottleneck is the ideas and iteration on those ideas not the
           | delivery of the output. Similar to how programming is more
           | then typing code.
           | 
           | So I think the real crisis right now is that people equate
           | typing speed with programming speed (or writing speed) and
           | due to advances in the former undervalue the later.
           | 
           | Sadly the reality is that it won't pay for the bills anymore.
           | 
           | Perhaps in a while people will realize how important the
           | quality of ideas (and the iteration to arrive at them) is.
        
         | danny_codes wrote:
         | why? We have no real evidence to support this claim.
        
         | lelanthran wrote:
         | > Wrong. Creativity, innovation, intuition, taste - all forms
         | of thought solely inherent to humans, all going up.
         | 
         | How do you define value?
         | 
         | I mean, if the demand remains the same and the supply goes
         | stratospheric, the value has to go down.
         | 
         | After all, purchasers don't very well care that your product
         | has creativity, etc and that that other identical product was
         | just an AI cloning your product.
        
       | AstroBen wrote:
       | People here saying creativity or having a good idea is the moat
       | 
       | You know that if anything you build gets traction, it'll be
       | cloned by 100 people, right?
        
         | sowbug wrote:
         | It isn't the moat. But it gives you a head start to build it.
        
         | prmph wrote:
         | So where are the AI clones of MS Office, JetBrains IDEs,
         | Whatsapp, Obsidian, Sublime Text, Claude Code, etc. so far?
        
       | atomicnumber3 wrote:
       | "The value of human thinking is going down."
       | 
       | No! I fundamentally reject this.
       | 
       | The value of _unoriginal_ thinking has gone down. Thinking which
       | is quotidian and pedestrian has become even more worthless than
       | it already was.
       | 
       | The value of true, original human thinking has gone up even
       | higher than it ever has been.
       | 
       | Do we think no new companies will ever succeed now? Of course
       | not. Who, then, will succeed? It will be innovators and original
       | thinkers and those with excellent taste.
       | 
       | Why did stripe make big inroads in developer spaces even if they
       | are in an ultra competitive low margin market? They had excellent
       | taste in developer ergonomics. They won big not because they
       | coded well or fast (though I know pc thinks their speed is a big
       | factor, I think he is mostly incorrect on that) but because they
       | had an actual sense of originality and propriety to their
       | approach! And it resonated.
       | 
       | So many other products are similar. You can massively disrupt a
       | space simply by having an original angle on it that nobody else
       | has had. Look at video games! Perhaps the best example of this is
       | how utterly horribly AAA games have been doing, while indie hits
       | produce instantly timeless entries.
       | 
       | And soon this will be the ONLY thing that still differentiates.
       | Artistic propriety, originality, and taste.
       | 
       | (And, of course, the ever-elusive ability to _actually_ execute
       | that I also don 't think LLMs will help with.)
        
         | elliotbnvl wrote:
         | This is a compelling assertion. But who among us has truly
         | original thoughts? How much new stuff can there be? If all the
         | same-y stuff is losing value (but most stuff has value because
         | it's FOUND not because it's unique) then isn't net value
         | decreasing?
        
         | bossyTeacher wrote:
         | >The value of unoriginal thinking has gone down. Thinking which
         | is quotidian and pedestrian has become even more worthless than
         | it already was.
         | 
         | Imagine American manufacturing industry workers saying the same
         | thing of the (at the time) soon-to-be import only products.
         | Original thoughts are valued more than non-original ones but
         | maybe, the market doesn't require that many original thoughts
         | to extract max profit...
        
         | 999900000999 wrote:
         | You need money to explore ideas.
         | 
         | Or an absurd amount of skill.
         | 
         | Say Amy is a great NodeJS and front end programer.
         | 
         | She can work on her own projects , but her kids can't eat hope
         | and dreams.
         | 
         | Or she can get a job at SoulCrusher Solutions trying to maximum
         | advertising revenue.
        
       | imWildCat wrote:
       | I saw Peter Steinberger whose creativity is huge and made a
       | difference. Yeah you can say he's already rich.
       | 
       | But I also saw many people like him including the author of
       | Flask. Also the author of XcodeBuildMcp, tailwindcss
        
       | cynicalsecurity wrote:
       | Doom and gloom nonsense.
        
       | norbert515 wrote:
       | While building has becomes way cheaper (and probably is going to
       | become even cheaper in the future), is building something
       | exceptional really that much cheaper now?
       | 
       | AI has certainly made it so much simpler to just pump "something"
       | out (slop), but did it actually make building something that went
       | through hundreds and thousands of iterations significantly
       | cheaper?
       | 
       | I also like to think AI is really raising the bar for everybody.
       | In the past, you could easily get away launching a product with a
       | crappy landing page and a couple of bugs here and there, is that
       | still the case? Don't people just expect a perfect landing page
       | at this point (when's the last time anybody specifically talked/
       | thought about responsiveness?) paired with a flawless onboarding
       | etc.?
        
       | mtam wrote:
       | I disagree. Customer relationships, taste, creativity, tenacity,
       | execution excellence, industry relevance, reputation, non-public
       | data, etc... are all hard earned or intrinsic capabilities that
       | matter a lot more than feature development speed/cost.
        
       | rvz wrote:
       | So this is what the VCs were screaming about this bullshit about
       | "abundance".
       | 
       | Abundance of copy cats that cannot make any money as prices are
       | raced to zero.
        
       | thoughtfulchris wrote:
       | > The people winning mostly had a head start. Or they have money.
       | Usually both.
       | 
       | It feels like that doesn't it? But, as one counter-point,
       | OpenClaw. :)
       | 
       | Btw I did a deep-dive into AI moats last week and wrote a blog
       | post about it. Relationships were most likely the strongest moat
       | from my research - but definitely having a large amount of money
       | in reserves helps. https://www.cjroth.com/blog/2026-02-11-moats-
       | in-the-age-of-a...
        
       | dzink wrote:
       | The well is drying. You have less money available for hustling
       | and less small players with money. With layoffs happening
       | everywhere you have more people with ambition and time on their
       | hands, but less of them can afford big expenses or major risks.
       | 
       | The hype machine currently pushing for agents is selling agents
       | ability to do automated marketing. However the bigger companies
       | know better than to create giant security holes and the small
       | players are either not technically skilled, or will balk at the
       | huge per-use fees for the good models, or will be drowned out
       | because of low quality cheap model output.
        
         | ge96 wrote:
         | I had this conspiratorial thought, would a model really just
         | spit out some money-making scheme, or would it be blocked. Made
         | me think to run the model myself on my own GPUs but still a
         | black box, at least you control your prompts/data flow locally.
        
       | bell-cot wrote:
       | I'm no big fan of economists - but if some type of business is
       | seen as highly desirable to be in, and has minimal barriers to
       | entry, then the market will soon be saturated. Expecting
       | otherwise is (at best) wishful thinking.
        
       | maccam912 wrote:
       | I liked the part about attention being the scarce resource now.
       | Everyone is competing for your attention. But then I see a world
       | in which openclaw is managing emails for people and searching the
       | internet for them and shopping in their behalf. How long until we
       | start seeing advertising specifically targeting AI instead of
       | humans?
        
       | lp4v4n wrote:
       | There is an old word for it: saturation.
       | 
       | And let's be honest that's not a new thing. It's been already a
       | long time since you had a revolutionary idea in the shower only
       | to google it(or use an LLM nowadays) and discover that there are
       | already eight different apps that do what you were thinking.
        
       | nsxwolf wrote:
       | Welp guess I'm done then.
       | 
       | Kind of nice to know I don't have to blame myself anymore.
        
       | AJRF wrote:
       | > When creation was hard, skill was the differentiator I don't
       | think people use things because they are hard to make
        
       | dudewhocodes wrote:
       | Have people naturally started sounding like an LLM when they
       | write and talk? To me this article reads not fully human.
        
         | boxedemp wrote:
         | There's multiple things happening here. People are using LLMs
         | to write, for sure. It's only natural to absorb what you
         | consume, so as people read more LLM generated content they can
         | unintentionally emit it.
         | 
         | And then there's classic confirmation bias; a lot of people
         | wrote in dry academic prose.
        
       | kldavis4 wrote:
       | looks like the real tension here is that "money" and "reach"
       | aren't quite the same moat though. I think the post kind of
       | conflates them. existing audience is the actual barrier - money
       | can buy ads but it can't buy trust or distribution, not quickly
       | anyway
       | 
       | the gravitational threshold thing is real ngl. I've seen the same
       | dynamic in product launches - identical quality, completely
       | different outcomes based on whether you're already above the line
       | or not. that part holds up
       | 
       | not sure the "creativity is the moat" counterargument fully lands
       | either. yeah taste matters, but AstroBen's point is valid -
       | anything that gets traction gets cloned basically immediately
       | now. so creativity gets you first mover advantage for like... a
       | week?
       | 
       | maybe the actual moat is just community? people who already trust
       | you before you ship. which is a form of reach I guess, so kind of
       | proves the point
        
         | prmph wrote:
         | So where are the AI clones of MS Office, JetBrains IDEs,
         | Whatsapp, Obsidian, Sublime Text, Claude Code, etc. so far?
        
       | cyrusradfar wrote:
       | I appreciate the conversation the post initiates.
       | 
       | Nevertheless, by counter-example -- OpenClaw's creator was just
       | recruited by people with more capital than countries.
       | 
       | If they could "re-produce" it with their capital, they would've
       | preferred that.
       | 
       | Whatever he has, is still a moat. What that is, is debatable.
       | 
       | Is it brand? Is it his creativity? Is it trust/autheticity? A
       | vision? Ownership of a repo or leadership of that community?
       | 
       | All those are perceived moats (or risks) by these folks that
       | tried to scoop him up.
        
         | plagiarist wrote:
         | It was 100% the brand. The creativity may be a bonus for
         | OpenAI. They saw a shitload of people buying Mac Minis
         | specifically for this software.
         | 
         | I don't find a single counter-example compelling. I guess as
         | evidence that "only moat" is somewhat hyperbolic?
         | 
         | But to counter the counter-example, what would have happened if
         | he did not join? OpenAI can just write and release their own
         | version. They can then do the typical loss-leader and
         | advertising tricks that OpenClaw cannot.
         | 
         | The "simply write and release" is what used to be a barrier.
        
           | tencentshill wrote:
           | He was competition. They can't have people running their own
           | self-hosted LLMs on their own hardware, and realizing it AI
           | be useful without a subscription!
        
         | jerf wrote:
         | Luck has always been a solution to reach. It doesn't scale,
         | though.
         | 
         | In the case of OpenClaw I think you're looking at a fairly pure
         | iteration of luck there, too. It isn't even a case of "I
         | prepared for years until luck finally knocked" or any variant
         | like that. It was just luck.
         | 
         | If that is the only counterexample I'd say it doesn't disprove
         | the point, if anything it just strengthens it. Nobody can build
         | a business plan based on "I plan to be as lucky as OpenClaw".
        
         | r_lee wrote:
         | like another guy said, it's rhe marketing thing. the open claw
         | thing became a hit sensation in the news etc. and now OpenAI
         | can claim it as theirs. they have infinite money anyways, so
         | might as well buy stuff like that I guess.
        
       | supermdguy wrote:
       | I think there's still value in building quality products, but AI
       | makes it easy to build something that appears good but doesn't
       | actually work that well. It's very difficult to communicate the
       | thought and intentionality that went into a well-designed product
       | in a way that stands out amongst the noise.
        
       | turnsout wrote:
       | Difficulty is the only true moat. [Astronaut: always has been]
       | 
       | Current examples: esoteric calculations that are not public
       | knowledge; historical data that you collected and someone else
       | didn't; valuable proprietary data; having good taste; having
       | insider knowledge of a niche industry; making physical things;
       | attracting an audience.
       | 
       | Some things that were recently difficult are now easy, but
       | general perception has not caught up. That means there's
       | arbitrage--you can charge the old prices for creating a web app,
       | but execute it in a day. But this arbitrage will not last
       | forever; we will see downward price pressure on anything that is
       | newly easy. So my advice is: take advantage now.
        
       | abeppu wrote:
       | I think the other moat is access to non-public data. If you can
       | train, measure, or make decisions based on specific data that the
       | vibecoder trying to clone you can't get, you can keep ahead.
        
       | autoconfig wrote:
       | > When creation was hard, skill was the differentiator: you had
       | to actually be good to make something worth showing. Now the
       | barrier is near zero, so you need reach. Reach costs money or it
       | costs years. Probably both.
       | 
       | Creation has progressively been getting easier since the
       | invention of the computer, it is not a new phenomena. This
       | naturally pushes the boundary on what needs to be delivered in
       | order to find paying customers. In other words, creation still is
       | "hard" if you want to succeed.
       | 
       | > I launched something last week. 14 people signed up -- no ads,
       | just a couple of posts. 14 real people who didn't have to. That
       | number is tiny and it felt like something. Then I sat down to
       | think about what it would take to grow it and I couldn't look at
       | that math for very long.
       | 
       | This applies to 90+% of founders that have ever launched
       | something. The hard part comes from continuing to push forward
       | when you experience this (which you will over and over). It
       | sounds like the author expects that what was hard suddenly should
       | be easy.
        
         | apsurd wrote:
         | sounds like the author is discovering business.
         | 
         | I didn't read the article, but yes, going from 0-1,1-10 is
         | really hard and really rewarding. And it got easier with the
         | Internet. Going from 10-1k and 1k-1M is a different ball-game.
         | Always was.
         | 
         | The dream of running my own company got me to learn
         | programming. 20 years later I'm an employee at a company still
         | dreaming of running my own company. But now I can realize that
         | reality and dreams are not the same and that's ok. As in, I
         | probably really don't want to run my own company. We'll see =P
        
           | MichaelRo wrote:
           | >> The dream of running my own company got me to learn
           | programming. 20 years later I'm an employee at a company
           | still dreaming of running my own company. But now I can
           | realize that reality and dreams are not the same and that's
           | ok. As in, I probably really don't want to run my own
           | company. We'll see =P
           | 
           | To me having one own's company was just a means to the end:
           | making enough money to live comfortably without the need to
           | get a job ever again for the rest of my life. I too learned
           | programming as a means to achieve that end but eventually
           | realized that I don't need a company if I can short-circuit
           | the path to money. By switching to the right domain -
           | finance, where what I learn might be eventually put to use
           | directly by investing capital into profitable trading
           | strategies.
           | 
           | Back to OP's article, if there's a domain where money as a
           | moat is not a problem, that's definitely finance:
           | https://www.visualcapitalist.com/all-of-the-worlds-money-
           | and...
           | 
           | I work in this domain since almost 20 years and can tell you,
           | noone's gonna risk a billion dollars on crap vibe coded by
           | AI. I wrote before, I don't know what crack these AI people
           | are smoking but when there's real stakes at play, they don't
           | play around with toys. And AI in programming is a toy. The
           | unlikely triumph of "Can I haz teh codez?" CTRL+C / CTRL+V
           | "prompt experts" (mocking it, lol) strategy on Stack
           | Overflow, along with the people who employ it.
           | 
           | I'm not worried about MY particular future in this industry.
           | I'm not worried that AI is gonna replace me, us, or write
           | anything significant here at all in the foreseeable future
           | until it fucking evolves into AGI which is somewhere 5000
           | years from now, optimistically.
           | 
           | The party's gotta come to an end really soon along with the
           | figures on how much money AI makes versus it's real utility -
           | which is, simply stated, "a toy".
           | 
           | Not necessary but here's my mood while writing this comment:
           | - listening to this song: https://www.youtube.com/watch?v=6EW
           | qTym2cQU&list=RD6EWqTym2c...
        
             | wan23 wrote:
             | It's absolutely wild to see how unevenly distributed the
             | future we're living in is.
        
               | elektronika wrote:
               | Is it any surprise when wealth inequality has been
               | increasing in the USA for the past 50 years? Globally the
               | picture is even more bleak.
        
         | tensor wrote:
         | > Creation has progressively been getting easier since the
         | invention of the computer, it is not a new phenomena. This
         | naturally pushes the boundary on what needs to be delivered in
         | order to find paying customers. In other words, creation still
         | is "hard" if you want to succeed.
         | 
         | Only for developers. Outside of software creation is still
         | hard. Global markets giving access to excellent manufacturing
         | sure does help, but software is a bubble.
        
           | Jensson wrote:
           | Creating marketing material has certainly gotten easier as
           | well, it used to require a lot of work to create these spam
           | pamphlets and company documents but today its trivial. Of
           | course those are worthless to society so didn't help GDP but
           | it filled our society with advertisements and spam and filled
           | companies with worthless documents since now nobody thinks
           | before making one.
        
         | Waterluvian wrote:
         | Something I've noticed a lot with Twitch streamers and
         | YouTubers is that many of them want the outcome and are
         | prepared to do the work, but want some sort of guarantee of
         | success. It's very difficult to really sell to people that you
         | will work very hard for a while and there's absolutely no
         | promise that you'll ever have more than 14 subscribers. That's
         | simply the core risk of entrepreneurship.
        
           | djaro wrote:
           | Also, as someone who's main source of income is a YouTube
           | channel: there is a type of threshold effect, where your
           | videos are not good enough to watch until one day they
           | suddenly are.
           | 
           | This means that until you reach that threshold, it feels like
           | you're not making progress, cause every video just gets the
           | same result (no views). Even if below the surface, you're
           | slowly inching closer to that moment where your videos will
           | actually be watched.
        
           | AlienRobot wrote:
           | I have the impression it's more of a "bait and switch" thing.
           | People get into streaming thinking they can just play games
           | and make money, but then they realize nobody is going to
           | watch someone play game X, they all want to watch game Y,
           | because game Y is popular right now among the people who have
           | the most time to play games and watch streams (kids). So they
           | enter the industry thinking they can just do whatever they
           | want, and quickly realize they have to do infinite things
           | they don't want to actually reach the level of popularity
           | they need.
        
         | jonathanstrange wrote:
         | You've basically chosen to ignore the whole AI argument as if
         | it was just another tool and we had business as usual. Given
         | how pervasive and fast developing it is, there should be an
         | argument why it can be dismissed so easily.
        
         | phil21 wrote:
         | It's just another way of saying "Ideas are worthless, execution
         | is what matters" which has always been largely true.
         | 
         | Yes, you need the idea first of course. But that's truly the
         | easy part. 99% of "ideas" rely on great execution to be worth
         | even looking at - much less paying for - for anyone else.
        
           | miyoji wrote:
           | That isn't what it's saying and I don't think the idea that
           | "execution is what matters" is even true, other than to point
           | out that ideas aren't valuable by themselves.
           | 
           | This is about marketing, about getting people to know and
           | care that the thing you built exists. You can execute
           | perfectly (in terms of making a great product) and not get a
           | single eyeball.
        
         | heathrow83829 wrote:
         | i would argue that reach has already been the biggest limiting
         | factor for the last 10 even 20 years.
        
         | alfalfasprout wrote:
         | The thing is, the barrier _isn 't_ near zero. The time to reach
         | an MVP has just decreased. But you still very much need
         | expertise, strategy, etc. to deliver something worthwhile. The
         | bar has just increased.
        
         | ericmcer wrote:
         | Seriously you can ship in a week things that FAANGs would have
         | paid billions for 10 years ago.
         | 
         | LLMs are just glue between pieces of your code you still need
         | to be able to plug them into a coherent architecture to do
         | something impressive.
        
           | sarchertech wrote:
           | To the extent that's true it has much, much more to do with
           | AWS, open source libraries, and collective knowledge, than it
           | does LLMs.
           | 
           | But I honestly can't think of anything you could do in a week
           | that a company in 2015 would have paid billions for unless
           | it's something like tweaking an LLM. But in that case it's
           | the original model, not the 1 week or work you put in.
        
           | zabzonk wrote:
           | > things that FAANGs would have paid billions for 10 years
           | ago
           | 
           | such as?
        
             | lich_king wrote:
             | I can only assume the grandparent means Google+
        
             | ericmcer wrote:
             | I mean literally anything that leverages modern APIs.
             | 
             | WYSIWG Site Builders, text Chat bots, audio Transcription,
             | voice synthesis.
             | 
             | Yeah building from scratch would take longer, but you can
             | slap a UI, a DB/schema around modern APIs and output
             | something that would be science fiction 10 years ago.
        
               | zabzonk wrote:
               | You think people would pay billions for a site builder???
               | Or that it would have been SF 10 years ago? I take it you
               | were not around much 10 years ago.
        
           | tdrz wrote:
           | OK, say you build a Whatsapp clone in a week. How many
           | Whatsapp users will switch to your app?
        
           | altmanaltman wrote:
           | Apple Pay (launched around 12 years ago, and likely costing
           | billions) is exactly the counter-example here. The 'code' was
           | the easy part. The moat was the decade of hardware R&D and
           | the leverage to force banks to adopt a new standard. An LLM
           | might write the API wrapper in seconds, but it can't
           | hallucinate a relationship with Visa and Mastercard. You
           | literally cannot create a new Apple Pay in a week or even
           | years, no matter how much you vibe code.
           | 
           | I'm sometimes baffled by what people think can pass as a
           | product in a real sense.
        
       | Rapzid wrote:
       | > The value of human thinking is going down. You probably knew
       | this. The corollary is rarely mentioned: the value of a human
       | eyeball is going up, because there are only so many of them and
       | there are now infinite things that want to be looked at.
       | 
       | Hey, so I'm thinking about getting my car washed..
       | 
       | This article reads as overly hyperbolic; cashing in on the AI
       | hysteria. AI derangement.
        
         | elliotbnvl wrote:
         | I am not cashing in on AI hysteria. I am AI hysterical. lol.
         | Kinda joking but kinda not. How do you have chill while the
         | world is crashing down?
         | 
         | I'm young so that's probably part of it, only ~12 years into my
         | career and haven't experienced too many world defining shifts.
        
           | fullStackOasis wrote:
           | I like the idea of you https://joinkith.com/ but I don't see
           | how it can possibly work. These are the issues:
           | 
           | There are people who are sick of social media and will never
           | be convinced to join up again. They've already left the
           | building and aren't looking for anything else. I'm not quite
           | there, but almost.
           | 
           | Other people are using established social media simply
           | because that's where their people and orgs publish. I am
           | eternally frustrated when my local cafe uses Insta or FB for
           | their "web presence", but I'm not going to be the one to
           | convince them to use something else. I hate that my local
           | rock climbing partner finder group is located on FB, but what
           | can I do about it? I also think it sucks that there are
           | thousands of people in that group - I soon realized that this
           | group simply doesn't work for me, since rock climbing
           | requires high trust and I can't trust thousands of people.
           | 
           | Many people resist the idea of signing up for yet another
           | social media account, esp when none of their people/orgs are
           | already there. For example, I've sometimes thought of
           | starting a Heylo group for local rock climbers to find
           | partners - this might actually help me find more climbing
           | partners. But I've never tried it. I just don't think people
           | will join. The barrier to entry is (1) install app (2) create
           | login (3) use app. SFAICT no one wants to do this if they're
           | already on FB and already are a member of the group there.
           | Even people that I know manage finding partners with email
           | lists (gag). Can you imagine how much higher the barrier to
           | entry would be if adding (4) you have to pay a monthly fee?
           | 
           | I do like the idea of "only allowed to invite someone that
           | you know in meatspace" but how is this enforced? I also
           | recognize that requiring payment could help increase the
           | trust level, and I recognize that members have to pay in some
           | way (ads, fees, sponsors, privacy violations) in order to
           | support the platform.
        
           | georgemcbay wrote:
           | > I'm young so that's probably part of it, only ~12 years
           | into my career and haven't experienced too many world
           | defining shifts.
           | 
           | I'm old (52) and a bit AI hysterical despite being well aware
           | of the reasons I supposedly shouldn't be (variations of
           | Jevon's Paradox, the fact that we've had similar disruptions
           | before, etc).
           | 
           | I can't help but think that both the speed and massive
           | breadth of the AI disruption across so many industries all at
           | once makes this a very different risk than anything we've
           | experienced before, in my lifetime or before it.
           | 
           | It also doesn't help that at least here in the US this is all
           | occurring when our government is both openly corrupt and
           | particularly dysfunctional at solving any of the real-world
           | problems facing its own citizens.
        
           | marcosdumay wrote:
           | The world is crashing down for a huge variety of reasons,
           | none of which are LLMs stealing jobs or anything like that.
        
       | rkilanh wrote:
       | And the super rich now even switch to _other people 's money_. A
       | fund makes investments in SpaceX and Anthropic available:
       | 
       | https://finance.yahoo.com/news/retail-investors-access-space...
       | 
       | It would be hilarious if the final "IPOs" will be in SPAC form
       | with the help of SPAC king Chamath.
        
       | sd9 wrote:
       | Not discrediting the post, which I think is worthwhile and
       | generally pointing at the right thing, however:
       | 
       | > I launched something last week. 14 people signed up -- no ads,
       | just a couple of posts. 14 real people who didn't have to. That
       | number is tiny and it felt like something. Then I sat down to
       | think about what it would take to grow it and I couldn't look at
       | that math for very long.
       | 
       | They launched a paid social network, with no content available
       | without joining a waitlist.
       | 
       | This would not have worked 20 years ago either. Bootstrapping the
       | content for a _free_ social network is incredibly hard. But a
       | paid social network where the only differentiating factor is that
       | users are humans, and there is no activity in the network? Not
       | going to work.
        
         | fuzzfactor wrote:
         | >as someone who's been building for the internet for 25+ years,
         | this is the first time that i've ever felt like it's very
         | difficult to make money building _new_ things.
         | 
         | I understand it was already the trend 25 years ago, but way
         | before that you really weren't expected to be able to make
         | money building things _for the internet_.
         | 
         | The internet itself was simply not designed for that to begin
         | with.
         | 
         | Building things where the internet was an _element_ was already
         | getting bad enough.
         | 
         | The force from within to return to "normal" baseline may yield,
         | but probably never go away.
         | 
         | >The people winning mostly had a head start. Or they have
         | money. Usually both.
         | 
         | As said every millennium since institutions and finance have
         | existed.
         | 
         | >Show HN, the one place the internet was supposed to notice if
         | you built something real.
         | 
         | No no no no no. This is for _people_ who want to share with a
         | _much_ more limited audience than the entire internet.
         | 
         | HN readers _did_ notice a lot of times especially when the
         | project is amazing, OTOH sometimes the latest little side
         | project from somebody well-known, or random interest could be
         | shown.
         | 
         | Naturally the most popular things are free since that's
         | inherently the most compatible with the internet anyway.
         | 
         | But real marketing and promotion is supposed to be far away
         | from this site. If you're trying to sell to "the internet"
         | you've got the whole rest of the internet for that.
         | 
         | HN is not supposed to be enough to be widely noticed at all, if
         | you've got something that's worth marketing, YC is there the
         | whole time and might be able to get you making the most of the
         | internet and then some. Especially if you need a moat of money.
         | 
         | But why do so many people think the only business plan is to
         | prepare to be sieged by a small enough horde which can be
         | deterred by a moat anyway?
         | 
         | >if you're not already moving, you might never take off.
         | 
         | >The cost of acting like it isn't true when it is: permanent.
         | 
         | As I first mentioned, the internet being in place so people can
         | make money off of it is the thing that just wasn't true to
         | begin with, lots of people had some pretty good workarounds for
         | a while though.
         | 
         | I've been watching businesses from startups to large
         | corporations lock in high costs the exact same way for decades
         | before the internet ever came around.
        
       | ctoth wrote:
       | No, it's imagination, same as it ever was.
       | 
       | Software to most of this discussion is a web app with a landing
       | page, a pricing tier, and MRR. That's it. The frame is "product,"
       | the metric is "traction," and the canvas is "things people pay
       | $9/month for."
       | 
       | But software is _instructions that make matter and energy do
       | things they wouldn 't otherwise do_. It's the most general-
       | purpose tool humans have ever built. So let's actually think
       | about what's underbuilt:
       | 
       | The whole damn physical world is barely instrumented.
       | Agricultural systems, water infrastructure, building envelopes,
       | soil health, local microclimates. There are farmers making
       | irrigation decisions on vibes. Municipal water systems with no
       | real-time leak detection. Buildings hemorrhaging energy because
       | nobody's modeled their thermal behavior. These aren't apps.
       | They're control systems, and they're mostly missing.
       | 
       | Fabrication and manufacturing are being transformed by CNC/3D
       | printing but the _software_ for designing things to be
       | manufactured is still terrible (and inaccessible!). Generative
       | design that accounts for material properties, toolpath
       | constraints, assembly sequences. CAM software is where word
       | processors were in 1985.
       | 
       | Scientific instruments. A spectrometer is mostly software now. So
       | is a radio telescope. So is a seismograph. Every goddamn thing
       | can be a thermometer (accidentaly!) The gap between "data sensor
       | exists" and "useful scientific instrument" is almost entirely
       | software, and most of that software is written by grad students
       | in unmaintained Python.
       | 
       | Preservation. Some people are doing this with datamuseum.dk. But
       | expand it: there are entire musical traditions, oral histories,
       | craft techniques, ecological knowledge systems that exist in
       | living memory and nowhere else. Software for capturing, encoding,
       | and transmitting that knowledge barely exists. Not "an app for
       | recording grandma," but formal knowledge representation of, say,
       | how a master boatbuilder in Kerala selects wood by sound and
       | flex.
       | 
       | Prosthetics and rehabilitation. This one is big for me
       | personally! The gap between what a modern prosthetic limb _could_
       | do with good software and what it actually does is enormous. Why
       | are my eyeballs still chunks of plastic? Same for cognitive
       | rehabilitation tools, speech therapy systems, physical therapy
       | feedback loops.
       | 
       | Governance and collective decision-making. Every organization
       | above 20 people is making decisions with tools that are basically
       | "email plus meetings plus a shared doc." Formal deliberation
       | systems, preference aggregation, transparent resource allocation.
       | These are hard computer science problems that nobody's building
       | because they don't have obvious MRR.
       | 
       | Tools for thought that aren't note-taking apps with backlinks.
       | Actual reasoning aids. Argument mapping. Assumption tracking.
       | Decision support that makes your _thinking_ better rather than
       | your _typing_ faster.
       | 
       | The entire domain of formal verification applied to things that
       | matter. Bridges, medical devices, voting systems, financial
       | settlement. We have figured out how to prove some? software
       | correct. We almost never do it for the software where correctness
       | actually matters.
       | 
       | And that's me, one person, in five minutes. Every domain expert
       | in the world is sitting on a pile of unsolved problems that
       | software could address, and most of them have never talked to a
       | programmer because programmers are busy building the next task
       | management app.
       | 
       | Go talk to a nurse, a farmer, a building inspector, a food bank
       | logistics coordinator. Ask them what's broken. I promise the
       | answer isn't "nothing" and I promise nobody on ProductHunt is
       | solving it.
       | 
       | PG wrote essays about this ffs! "Make something people want."
       | "Live in the future and build what's missing." That advice didn't
       | stop being true because AI made the building part cheaper. If
       | anything it's more true now, because the building is almost free,
       | which means the _noticing_ is almost the entire game. You are
       | skipping the noticing and going straight to the building, then
       | wondering why nobody cares.
       | 
       | The number of hard things isn't going down. This thread can't see
       | them because it's not looking at the world. It's looking at
       | ProductHunt.
       | 
       | To make things concrete, in the last week I have been working on
       | my open source speech synthesizer, rebuilding Klatt's ideas from
       | the 1980 paper up to modern emotion/prosody work. Did you know
       | the whole field went nuts for neural approaches in ~2018 and
       | there's a whole shitload of interesting papers just sitting out
       | there that nobody has ever implemented in a real system? Did you
       | know that a bunch of people did research into what different
       | human emotions sound like and now I can make a depressed speech
       | synthesizer, or, scarily, one which sounds more honest to people?
        
       | speak_plainly wrote:
       | In Republic I, Socrates distinguishes the art of medicine from
       | the art of wage-earning. One is about the work; the other is
       | about getting paid. Historically, the craft was the primary goal,
       | and the money was an extrinsic side effect.
       | 
       | Today, the money-making side has staged a hostile takeover.
       | 
       | The attention conundrum is just a symptom of a deeper
       | financialization. Multi-billion dollar companies have turned
       | profit into a data-driven science - analytically turning the
       | screws on every script, product, and interaction to optimize for
       | extraction. This is the destruction of the art of making things.
       | 
       | The real issue is that you cannot compete with an entity that has
       | no respect for the art. When a platform replaces the integrity of
       | the work with the logic of a metric, the independent creator is
       | no longer an underdog - they are functionally excluded. You can
       | be the best at any art, but in a system that prioritizes sheer
       | extraction over excellence, your craft effectively ceases to
       | exist.
        
         | stuartaxelowen wrote:
         | It seems that we have forgotten how to distinguish between
         | value and profit, and now celebrate the latter instead of the
         | former. Currency enables ever broader and more niche markets,
         | but the financialization of everything is the Faustian bargain;
         | we gained niche hobbies but lost our souls?
        
       | dzonga wrote:
       | Saturation of channels due to slop content - doesn't mean that
       | created stuff is not scarce
       | 
       | there's more problems then ever before that need empathetic
       | humans to solve - are you up for the challenge - or you're doing
       | a quick cash grab
       | 
       | due to people using machine gun approaches - spray & pray - we
       | haven't forgotten how scalable human touch is -- yeah at first -
       | you've to do things the manual way - reach out have a
       | conversation - but slowly word spreads around without you
       | spending money on ads | content etc
        
         | elliotbnvl wrote:
         | Yeah 100% there's more legit stuff than ever, but there's also
         | just more stuff than ever. So it becomes a discoverability
         | problem.
         | 
         | To be honest this is what is discouraging me from writing more
         | novels right now. The only reason I'm even considering it is
         | because the love of the craft is hooked firmly in my gullet.
         | Were it not for that I'd drop writing faster than a lava
         | potato...
        
       | zhyder wrote:
       | "the value of a human eyeball" / attention is and always will be
       | the limited resource. But I wish the way the economy worked
       | wasn't that attention is sold for money, which makes money the
       | moat, and sets a floor on how low-priced things can get for
       | customers too. Is this really the best the economy can do? Or is
       | it possible to have a fair LLM-based search engine that matches
       | customer need description with stated product descriptions from
       | providers (while weighing customer reviews, etc)?
        
       | thornewolf wrote:
       | For the comment from "Is Show HN dead? No, but it's drowning",
       | the article author editorializes
       | 
       | "One of the great benefits of AI tools, is they allow anyone to
       | build stuff... even if they have no ideas or knowledge.
       | 
       | One of the great drawbacks of AI tools, is they allow anyone to
       | build stuff... even if they have no ideas or knowledge."
       | 
       | into
       | 
       | "One of the great benefits of AI tools is they allow anyone to
       | build stuff, even if they have no ideas or knowledge. One of the
       | great drawbacks is they allow anyone to build stuff."
       | 
       | which removes the rhetorical effectiveness of the comment (and
       | also breaks the promise of a quotation). I recommend that OP
       | represents the source exactly.
       | 
       | ____
       | 
       | I now see that this article contains multiple GPT-isms
        
         | benatkin wrote:
         | It would be better if the article editorialized it thusly:
         | 
         | > One of the great benefits as well as one of the great
         | drawbacks of AI tools, is they allow anyone to build stuff...
         | even if they have no ideas or knowledge.
         | 
         | I'd paraphrase it with "said that" since the quotations indeed
         | present as though verbatim.
        
         | elliotbnvl wrote:
         | Oh good catch, fixed.
        
       | charcircuit wrote:
       | Money is not a moat since you can buy money (debt) or sell equity
       | for money.
       | 
       | >The thing I launched last week is called Kith -- a paid, invite-
       | only social network
       | 
       | Social networks already is an existing competitive space and
       | making it both paid and invite only obviously will hurt its
       | adoption. I wouldn't have been surprised if this failed to get
       | users even if it was free and even if this was preLLM. A brand
       | new social network doesn't truly solve users problems.
        
       | runako wrote:
       | This is certainly one conclusion that could be drawn.
       | 
       | Another conclusion could be that as building software gets easier
       | (like it did for ex in the 90s and again in the 2010s),
       | opportunities are created for new entrants to displace Bad Old
       | Software.
       | 
       | Those expensive Enterprise apps that everybody hates? Are
       | absolutely begging to be replaced by something better for half
       | the money.
       | 
       | We still live in a world where most individuals own more compute
       | power than most universities did in the '80s, yet the only sign
       | of automation is useless push notifications.
       | 
       | Data behind one pane of glass can't easily be moved to data
       | behind a second pane of glass. Simple stuff like "move my
       | Instacart shopping cart to Costco.com same-day" is a manual
       | affair. This is a subset of the general problem that more apps
       | has resulted in more data silos that are generally isolated,
       | without APIs, without automation.
       | 
       | There are zillions of problems out there for which people will
       | pay money, but money chases the same 4-5 problems at a time. Just
       | work on one of the other ones.
        
         | silvestrov wrote:
         | > _as building software gets easier [...] new entrants to
         | displace Bad Old Software_
         | 
         | This didn't happen for music.
         | 
         | It is much easier to create/record music today than in the 70s
         | and 80s, but the music created today is mostly boring AI music
         | and not new exiting/inventing music.
        
           | runako wrote:
           | > the music created today is mostly boring
           | 
           | One thing hasn't changed: people get older and hate on music
           | that the youth like.
        
       | 2001zhaozhao wrote:
       | If you thought things were hard now just wait for the industrial-
       | scale fully automatic fast-follow bots that will nearly-
       | universally nuke the human-created original product to oblivion
       | in a few years...
        
       | derf_ wrote:
       | The way to tell if a business has a moat that I once learned was,
       | "If someone gave you a billion dollars, could you go compete with
       | that business and have a reasonable chance of winning." If the
       | answer is yes, then the business has no moat. The numbers are
       | bigger now, but I think the principle remains the same: money
       | cannot be a moat.
        
         | random3 wrote:
         | A moat is _around something_ that exists, meant to protect it.
         | You 're describing something else, not a moat with your
         | example. OP used moat correctly, creative effort around
         | existing earned skill, brand, etc.
         | 
         | To answer your question. Yes to a player already in a market
         | with lack of funding, a billion dolars could be the necessary
         | moat to win.
         | 
         | Money was, is and likely will be a moat for a while. But as a
         | proxy, it may not be enough as a moat. Scarce resources may
         | require more than money-- e.g. IP classes or, if you're China,
         | ASML machines.
        
         | shimman wrote:
         | I can't think of a single software company that has a moat
         | then. Good rubric to have and makes sense.
        
       | lysace wrote:
       | It's like.. what happens when software becomes a solved problem?
       | Like bricks for construction. There's not 50 million typically
       | highly paid brick design engineers in the world.
        
       | advisedwang wrote:
       | If someone has a problem they need solved:
       | 
       | * Attention span won't stop them recognizing a solution
       | 
       | * Numerous solutions won't stop them adopting one
       | 
       | * That the developer put little effort into building that
       | solution won't put them off.
       | 
       | The real answer is of course that there's a lot of stuff that
       | being built that doesn't solve people's problems people have,
       | either because it targets a problem that doesn't really exist or
       | because it fails to solve the problem it does target.
        
         | AstroBen wrote:
         | Of course people will buy software.. but the 80% margins we had
         | of yesteryear won't be there
         | 
         | The result of the barrier to entry being erased is that prices
         | will also be driven to 0 as products are commoditized
         | 
         | It's hardly worth going into a market when you're 1 of 1000 and
         | profit margins are at 3%
         | 
         | Any creativity you add, new spin you put on it, new features,
         | innovation.. all that has negligible cost to copy
         | 
         | I don't think we're quite there yet, but this is where it's
         | quickly heading
        
       | hoppp wrote:
       | This post was an Ad also for his paid social network, it did
       | reach me because the message resonates with me as a builder but I
       | don't want to sign up to a social network
       | 
       | So the attention was there but not the conversion.
        
       | brandav wrote:
       | Utilizing connections with influencers seems to be the most
       | effective way to break through the noise now. Ironically, that's
       | how it used to be before marketing and product development became
       | so accessible.
        
       | carlosjobim wrote:
       | Is the purpose of space exploration to build rockets? Or is the
       | purpose to deliver things and people into orbit and to other
       | worlds?
       | 
       | Is the purpose of a computer program to use processing, network
       | and memory? Or is it to handle and manipulate information to give
       | results which are useful to people?
       | 
       | Now the moat of having memorized intentionally convoluted and
       | complicated programming languages has been taken away. Exactly
       | like the printing press removed the monopoly on information which
       | was held exclusively by priests and monks.
       | 
       | When tools make a job easier, they open up new markets for people
       | to do and sell things which were too costly to offer before. AI
       | translation alone means that small businesses can open up several
       | markets they didn't have any access to, broadening the number of
       | potential customers immensely.
        
       | seizethecheese wrote:
       | The definition of a moat is what cannot be bought.
        
       | e10jc wrote:
       | I really like this article, particularly the part about the
       | gravitational threshold. My overall thoughts about launching
       | products is that there will just be more products with smaller
       | audiences, similar to how streaming broke down linear cable. As a
       | software entrepreneur, this means going wider not deeper. Use
       | your human skills to build relationships with people who have
       | that gravitational pull. If you don't have those relationships,
       | go create them IRL. For context, I've founded and sold a social
       | network to AOL, helped raise over $100m, and had 2 other
       | acquisitions.
        
         | elliotbnvl wrote:
         | Um... can we talk? :D
        
       | SilverElfin wrote:
       | I think this was already true but it is becoming a lot more
       | obvious now and the effects of this problem are going to affect a
       | lot more people as we see mass white collar worker unemployment.
       | Some people think with lower costs to make software more software
       | is possible. But you can try to get started building a product
       | only to see an improved AI agent build out your idea cheaply, or
       | a bigger company use capital to copy you and enter the same
       | market, and so on. Also, individuals who are richer can take more
       | risks - the loss of money is not existential for them.
       | 
       | The only real fix is incredibly heavy taxation of income and
       | wealth for the ultra rich individuals and ultra large companies.
       | That is what will break through the money moat and create fair
       | competition.
        
       | moomin wrote:
       | It's been true for some time. That moat has been getting
       | shallower and shallower everywhere it isn't inherited wealth. Not
       | entirely shocking, large amounts of human history have been
       | organised that way.
        
       | egonschiele wrote:
       | Coding agents are good, but once the complexity is high they're
       | not good enough. Eventually your agent won't be able to make
       | changes to your code base without introducing bugs with every
       | change. In my experience, the agents aren't very good with
       | abstractions yet, and no amount of testing can completely paper
       | over that problem. So yes, the industry is changing dramatically
       | and at a breathtaking rate, but I don't think money is the only
       | moat left.
        
         | nomel wrote:
         | Not just complexity, but also anything requiring any actual
         | ingenuity. It's impressive how "junior" it can be, with its
         | (current) statistical shackles. Worse, if you flat tell it what
         | to do, if your approach is too far into the statistical weeds,
         | it'll flounder like crazy.
        
           | kardashev8 wrote:
           | what is an example?
        
       | charlie0 wrote:
       | Kith looks interesting, but the main problem there is
       | verifiability. How would it keep bad actors out? How does it
       | verify posts by invitees aren't AI generated?
        
         | aktenlage wrote:
         | It does sound interesting and I signed up for the wait list.
         | But I actually don't like pure chronological order. It feels
         | like I have to look at everything to find the good stuff. Here
         | I probably won't miss out too much if I check the front page
         | once a day.
        
       | pmontra wrote:
       | > Creation used to be the scarce thing, the filter. Now attention
       | is. Most of us are on the wrong side of that trade.
       | 
       | "Wrong side" means that people on that side have to work harder
       | to reach us. The terms of the trade did not change because
       | creators are not starting to pay us to get our attention. Well,
       | it happens sometimes: free trials, free tiers, coupons, etc. but
       | it's a well established practice. The post contains a reference
       | to "do more marketing".
        
       | sampo wrote:
       | > the value of a human eyeball is going up
       | 
       | There must also be some value in advertising to the "eyeballs" of
       | the AI? Even if they don't (yet) make that much decisions about
       | spending, they do influence human decisions.
        
         | Centigonal wrote:
         | It's the new SEO. Enterprise software vendors are already
         | tailoring their marketing pages and docs to influence AI for
         | when some VP asks their chatbot "which XYZ software should we
         | consider buying?" This is something a coworker is facing at
         | work as we try to leverage AI to speed up market discovery/tool
         | selection work.
        
       | arrsingh wrote:
       | This is not new. When I started my first company in 2012 it was
       | bootstrapped and getting anyone to pay attention to what I was
       | building was almost impossible. I had to pound the pavement and
       | meet people in person at coffee shops and pitch to get my first
       | few users.
       | 
       | Then when I raised from a16z and had some money in the bank it
       | didn't get any easier. The money didn't help (maybe it wasn't
       | enough). Ad spend or content marketing or paid channels were all
       | hard regardless of the free vs paid.
       | 
       | Maybe I just wasn't good at it.
       | 
       | That was before AI and you had to manually pound the bits into
       | place.
       | 
       | Now with AI yes there are a lot of people shipping a lot of
       | things but humans can tell when someone's put effort into
       | something vs not and the time to traction is still as high as it
       | always was.
       | 
       | Someone should do some analysis on number of things that go
       | "viral" or gain adoption quickly today vs 5 / 10 years ago.
       | 
       | Getting traction has always been hard. Thats just business.
        
       | japoneris wrote:
       | I partly agree. Yes, the entry level is low. It helps me to gain
       | time on my life, doing other things. But I do not believe that
       | much that more people are going in. Most non coder people i know
       | will not code a thing. Most bad student i got will not start to
       | do side projects. So, yes people wanting to ship something ship
       | more, but for the rest, there is still place.
        
       | amelius wrote:
       | There should be more tax on capital because they are using it
       | against us.
        
       | arbuge wrote:
       | Building was already not the main obstacle before AI.
       | Distribution was, and remains so - more than ever.
        
       | nickelpro wrote:
       | > a paid, invite-only social network where every person is
       | verified human and there's no algorithm
       | 
       | This seems like an incredibly niche product that only a handful
       | of people are interested in to begin with. It isn't an notable or
       | surprising result that building it resulted in little interest
       | from general audiences.
        
         | jrecyclebin wrote:
         | Kind of ironic - the moat is money...
         | 
         | At the same time, I see the appeal. I feel like 10% of the
         | comments I read lately are "is this an AI response?" - would be
         | nice to be free of that. Probably not possible tho.
        
         | rfw300 wrote:
         | It also strikes me as being in competition with, you know, a
         | group chat.
        
           | chasd00 wrote:
           | i was just about to say, what they're describing is an
           | imessage group chat with your friends.
        
       | vadepaysa wrote:
       | One thing I've noticed doing Show HNs recently:
       | 
       | People are flooded by new projects and assume (rightly) that most
       | are low-signal, so they don't engage. Because there's low
       | engagement, new projects get even less visibility. That
       | reinforces the belief that nothing interesting can be built
       | anymore.
       | 
       | I ship earlier now (often free and open source) to learn faster,
       | but it doesn't change the attention dynamics much.
       | 
       | The bottleneck isn't building. it's distribution and who already
       | has an audience. Now dont get me started on getting an audience.
       | thats a whole different pain.
        
         | arionhardison wrote:
         | I commented this earlier and it was instantly downvoted for
         | some reason, but I totally agree with both points; I also think
         | they are intrinsically connected in many ways because using
         | customer-development to understand and build an initial
         | audience often helps identify distribution channels. Here are a
         | few examples I have found
         | 
         | 1) I made a product to help people manage their diets; crowded
         | space so it was hard to find users, following Steve Blank's
         | customer-development process I found that the product should
         | have been made for Dietitians not for end users. This may have
         | been obvious to most but it was but to me at the time.
         | 
         | 2) I made a product for Medicare/Medicaid but it was hard to
         | get my foot in the door to even be considered for any of the
         | Gov. contracts, so following the same model again I found that
         | if I used politicians that had made promises during their
         | campaign that my product could help them to fulfill then I
         | could use them as distribution channels.
         | 
         | One thing I disagree with or don't understand is
         | 
         | > ship earlier now (often free and open source) to learn
         | faster, but it doesn't change the attention dynamics much.
         | 
         | I have found the opposite, it seems like the bar is much higher
         | now and not even the boost in productivity that I have gotten
         | from using AI has allowed me to ship secure/high quality
         | products as fast as I would like to; perhaps I am just too
         | insecure about my work but its all new I guess.
        
       | colinnordin wrote:
       | Everyone now have access to a tool that makes them nearly as
       | powerful as only the most creative builders were before.
       | 
       | But these new builders have a tool, they don't suddenly have a
       | newfound creativity.
       | 
       | I think with time we will stop seeing what we consider AI slop,
       | simply because we know it's not worth sharing. Instead great
       | creative people will share very impressive things that simply
       | wasn't possible to build before.
        
       | scoofy wrote:
       | So, I really felt like more people should be reading Nassim
       | Taleb's _Incerto_ series of books. A lot of the issues that fall
       | out of AI he dealt with in his books like ten years ago.
       | 
       | He gives one the best pieces of advice I've ever heard: _if you
       | are going to do something for a living, make sure it is NOT
       | scalable._
       | 
       | If you do something that isn't really scalable, like being a
       | welder or a tailor, then you only have to compete against the
       | tailors in your neighborhood, and you can easily find a
       | neighborhood that doesn't have a tailor. If you're building a
       | scalable product, you'll always be competing against the best,
       | most well funded, smartest people in the room.
       | 
       | Everyone here has grown up in the birth of the internet -- a once
       | in ever event -- where building something scalable was just there
       | for the taking. That's never going to exist again basically.
        
         | femiagbabiaka wrote:
         | automation makes every job scalable, no?
        
           | pier25 wrote:
           | can you automate a tailor?
        
             | Epa095 wrote:
             | Isn't tailors by and large already outcompeted by cheap new
             | clothes?
        
               | dolebirchwood wrote:
               | A big point of seeing a tailor is getting yourself fitted
               | for custom clothing that is specifically made just for
               | you. As someone who's bought $200 off-the-rack suits and
               | $2,000 tailor-made suits, there's a world of difference
               | between the two, especially when you have an atypical
               | body type.
               | 
               | (Granted, to the main point, I still think a tailor could
               | be automated in some distant future, but we'll need
               | robots to perform physical interactions, not just
               | software.)
        
               | bubblewand wrote:
               | Tailors are a niche thing for weirdos, now. It's not
               | exactly a growth market. Most folks only wear a suit to
               | weddings and funerals, and _maybe_ job interviews. They
               | have basically no need for more than two suits, and many
               | try to get by with just one (in black, probably). Lots
               | don 't own one at all, maybe just a cheap fused-
               | construction blazer or two, if even that. Outright
               | bespoke clothes are a niche of a niche.
               | 
               | Normal people wear clothes containing minimum 2% elastic
               | and perhaps never, ever visit a tailor in their whole
               | lives, except maybe one at a tux rental place or a
               | wedding dress store, for their own wedding. If they
               | repair clothes, it's sewing on the odd button at home or
               | using iron-on denim patches. Past that, it's just not
               | worth fixing, normal folks' clothes are so cheap.
               | 
               | The whole market for tailors is practically an
               | affectation. It's not serving much actual need any more,
               | not from the perspective of the overwhelming majority of
               | people who are happy with stretch-denim jeans and
               | polyester sportswear jackets and such. It's basically 99%
               | of the way to being an obsolete job, kept from total
               | death by a few enthusiasts. Only a bit more lively than
               | the market for, say, authentic regency-era footwear or
               | something like that.
               | 
               | (I am a fellow weirdo, for the record)
        
               | apsurd wrote:
               | I mean, you do you.
               | 
               | Clothing is really _fashion_ for tons of people. Fashion
               | is art. People like art.
        
               | debatem1 wrote:
               | As someone who has tried to make several businesses
               | around art, people generally like art but not enough to
               | pay "at scale" money for it.
        
               | bubblewand wrote:
               | Yes, I am one of the people who has a preferred tailor
               | who can do more than just let trousers waists out. I also
               | know where the nearest cobbler is. That's not normal,
               | though.
               | 
               | A dead industry often doesn't _entirely_ disappear, it
               | just shrinks a bunch and comes to rely entirely on
               | enthusiasts or very rare actual need, rather than broad
               | need or appeal. Consider the draft horse breeder, or the
               | carriage driver. There's a market for both professions!
               | But they're itty-bitty. The day-to-day need for both is
               | gone.
               | 
               | Tailoring is hovering right in the edge of that kind of
               | status, today. It's dying, killed by $10-30 shirts and
               | $20-50 trousers and $50-100 jackets all from largely
               | synthetic materials, and a society that no longer expects
               | anyone to wear anything "fancier" outside certain events.
               | 
               | I mean, outside _very_ unusual circles, dinner jackets
               | are essentially ceremonial costume-wear, and business
               | suits aren't far behind on that track. You gonna wear a
               | tailored wool hacking jacket or breathable linen Norfolk
               | suit on your camping trip, or a bunch of polyester and
               | nylon stuff from REI? LOL. All the situational tailored
               | clothing but the business suit and blazer are near-
               | extinct unless you want to look like a cosplayer, and
               | those are on borrowed time.
        
               | apsurd wrote:
               | Yes, your message is coming from the pov of economics and
               | business, as makes sense in this thread! That's my
               | mistake, I took your message more sentimentally. I've
               | used tailoring probably 5 times in my life, with the only
               | recurring need being to hem pants.
               | 
               | "There is no money in tailoring" seems right. It's the
               | "not all things need to make maximum $$$" that I speak
               | to. You didn't pick this fight though, I did heh.
               | 
               | My (successful) friend tells me all about how amazing it
               | is to collect very expensive watches. I just need to be a
               | "watch guy" and I'll come to understand. Once my eyes
               | returned from rolling out of my head, I did concede a
               | great point he made: there is no reason for watch makers
               | to exist anymore. The fantastically amazing history and
               | evolution of time-keeping and personal time-pieces is now
               | purely supported by rich people that care to subsidize
               | the art form. And so, maybe I really do aspire to be a
               | watch guy after all... hmm.
        
               | layer8 wrote:
               | Not if you want any tailoring to be done.
        
               | bilbo0s wrote:
               | _cheap new clothes_
               | 
               | Uh.. I don't mean to be that guy, but tailors aren't even
               | operating in that market.
               | 
               | People who use tailors aren't interested in off the rack
               | items.
               | 
               | Even when they do purchase off the rack or even
               | secondhand items..
               | 
               | they'll go have some of those items tailored.
        
               | Epa095 wrote:
               | > but tailors aren't even operating in that market.
               | 
               | Not anymore.
        
               | bilbo0s wrote:
               | Not any time that most of us have even been alive.
               | 
               | It's been well over half a century since tailors operated
               | in the "cheap clothing" market.
               | 
               | The clothes tailors make have, pretty much, always been
               | expensive relative off the rack department store options.
               | 
               | Probably because tailor made clothing doesn't "scale".
        
               | UltraSane wrote:
               | Rich people still get suits custom made specifically to
               | their measurements and preferences. They cost about
               | $20,000 USD. It would be cool to have this process
               | automated and affordable to the masses.
        
               | scoofy wrote:
               | A huge part of the tailoring business are making small
               | adjustments to cheap clothing to get them 90% of the way
               | to bespoke.
               | 
               | If you've never done it, I strongly recommend getting
               | your jackets tailored. Even a casual jacket will fit and
               | look non-trivially better for $50-$100 and an afternoon
               | at your local tailor. You can even get things like
               | cycling gear tailored.
        
             | ansgri wrote:
             | Absolutely. Design parametric families of patterns, 3d-scan
             | the person, let customer adjust with live preview, laser
             | cut, then fully automated or low-skill assembly. Probably
             | not currently economical like many things involving
             | physical world manipulation, but without obvious
             | roadblocks.
        
           | kardashev8 wrote:
           | could you automate a BJJ coach?
        
             | AntiDyatlov wrote:
             | I mean, if AI doesn't stall out, maybe there will be BJJ
             | bots in 10 years.
        
             | handzhiev wrote:
             | Who's going to pay for a BJJ coach when nearly everyone is
             | out of job?
        
           | pphysch wrote:
           | Even if it does, there will probably be a prolonged economic
           | period where robots are doing dangerous/messy stuff like
           | welding, plumbing but there is a human master guiding them
           | from a few yards away, via prompts, controllers, etc. More of
           | a semi-autonomous power tool than an fully autonomous master
           | that is delivered by drone on-demand. Scalability is still a
           | ways off.
        
           | layer8 wrote:
           | Do you expect we'll have AGA, artificial general automation?
        
             | lukan wrote:
             | I do. But it will take some time to get there.
        
             | jimbokun wrote:
             | I don't see anything stopping that from happening in the
             | very near future.
        
           | UltraSane wrote:
           | That is the ultimate goal. We are very far from it for many
           | jobs.
        
           | scoofy wrote:
           | If we get AGI and fully autonomous robot assistants, we'll
           | live in a post scarcity world like Star Trek, or somebody in
           | control the robots will use them to enslave all of
           | humanity... so... high variance outcome could go either way.
        
         | agentifysh wrote:
         | This seems overly pessimistic
         | 
         | As scalability becomes more accessible like with coding agents
         | 
         | The less it becomes about money but distribution
         | 
         | While money can buy you the latter it may not compound to
         | something that is sustainable
        
         | pier25 wrote:
         | > _if you are going to do something for a living, make sure it
         | is NOT scalable_
         | 
         | I guess it also means that if you build something for a niche
         | audience then big companies will never be interested in it.
        
           | rwbt wrote:
           | That's not really a bad thing, IMHO. Many people successfully
           | make a living creating niche products.
        
             | InexSquirrel wrote:
             | I wouldn't say it's not really a bad thing, I think it's a
             | very good thing. There are many people now making
             | incredibly niche products that have very good lives -
             | making more than enough money for themselves doing
             | interesting work engaging with customers that are
             | passionate about their field.
             | 
             | Sounds like a great life to me.
        
           | fuzzfactor wrote:
           | I like doing things for big companies that they actually
           | could afford easily, but their costs are so high it's a
           | better deal to have me do it.
           | 
           | One of my favorite niches :)
           | 
           | Some clients are good enough at math to figure it out, and
           | you don't actually need that many of them if they are big
           | enough.
        
             | pier25 wrote:
             | how do you approach big companies to offer them these
             | custom niche services?
        
               | fuzzfactor wrote:
               | Good question.
               | 
               | One early approach when starting to build a reputation is
               | to work as a subcontractor to a less-big company who has
               | already gone through everything to be on the approved-
               | vendor list of the massive corporation.
               | 
               | Even better if the less-big company is a private company
               | and the biggie is public.
               | 
               | A private company will be able to figure out the benefit
               | from your work better than most, and hopefully profit
               | from it.
               | 
               | I like it when every time I invoice a client, they are
               | making money at the same time, whether they are making it
               | from me is not always necessary if I am participating in
               | an overall money-making process they are going through.
               | Especially routinely. It's just fine to be a very small
               | participant in lots of activity going on between the big-
               | shots.
               | 
               | Big companies can have so much work and be able to pay so
               | well that your position can be to merely absorb the
               | overflow from the primary contractor, even if you do not
               | yet have a unique offering.
               | 
               | Then it's good to build into your exclusive-but-related
               | niche, which would be intended for a different division
               | of the biggie and expect it to languish unless your
               | already-established client can use that too.
               | 
               | Eventually after you finally get to meet the right person
               | in the target corporate division, it will be after you
               | have already been doing work for that same corporation
               | through the approved primary contractor.
               | 
               | By this point you've already been doing critical work for
               | that corporation exactly like they need, that you can be
               | proud of and point to, and it can be a whole lot more
               | likely to become an approved vendor yourself. From which
               | position you can finally negotiate fees directly with the
               | most well-heeled corporate source, this would be the
               | first time if you were only working for other primary
               | contractors until then.
               | 
               | Ideally you will then be invoicing a different _office_
               | of the same corporation that you were subcontracting
               | under, there will be no conflict of interest, and you can
               | continue working for the original primary contractor too.
               | 
               | And your most promising niche finally gets to launch with
               | about as much upside as it can get.
        
           | hn_acc1 wrote:
           | I'm sure someone else on Etsy will undercut your price if you
           | sell more than a few.
        
             | ddtaylor wrote:
             | Probably until a copyright vulture comes along and nukes
             | it.
        
               | salawat wrote:
               | Given the success of copyright cultures in fending off
               | the most blatant, unambiguous case of copyright violation
               | in human history, (AI), I would not put your money there.
        
         | gzread wrote:
         | That's also the advice of the founder of this website, but not
         | his investment firm since it's looking for moonshots.
         | https://paulgraham.com/ds.html
        
         | ineedasername wrote:
         | That seems like reasonable advice until you realize you have no
         | idea what will and will not scale in a few years, and there's
         | only so many tailors/plumbers/welders/etc.
         | 
         | What it really comes down to is these options as more work gets
         | automated:
         | 
         | 1) New jobs doing different things that weren't done before
         | 
         | 2) Same jobs but shorter hours so "full time" with a salary to
         | match starts to look more like 4 days, or 5 hours/day, or
         | something.
         | 
         | 3) Lots of unemployment
         | 
         | These can happen in a lot of different combinations, they can
         | come wrapped up in different ways, and unequally for different
         | segments of the workforce, but there's limited elasticity in
         | most areas where additional people piling into the field would
         | create more demand rather than glut the supply to the
         | supplier's detriment.
        
           | scoofy wrote:
           | The _point_ of doing something non-scalable is that you can
           | enter and exit the market fairly easily. You don 't _need_ to
           | be a tailor your whole life. You can make a living as a
           | barber, electrician, teacher, or nurse.
           | 
           | I'm not saying it's _easy_! It 's hard as hell. It sucks when
           | your job gets automated. I'm just saying that aiming for
           | something non-scalable means you're not always tilting at
           | windmills, and the game _can 't_ be rigged against you.
        
             | XorNot wrote:
             | All of those professions you've listed require about half a
             | decade of dedicated training to be legally allowed to
             | practice. For example an electrician takes like 7 years to
             | become qualified, that's a full time apprenticeship, and it
             | pays badly in the meantime.
             | 
             | A fact endlessly annoying to electrical engineers who
             | legally can design their houses power system but not work
             | on it.
             | 
             | (I mean I think a barber is quicker, but one of that list
             | is also not like the others)
        
               | scoofy wrote:
               | I'm not trying to say 'everything is fine, nothing bad is
               | happening a world of recurring technology and industrial
               | revolutions.' It's not. The way things are set up is bad.
               | 
               | My point is the author writes a column about how GPTs are
               | ruining the ability for people to make scalable products,
               | because when everyone can make one, nobody cares... my
               | point is that that's not the result of GPTs. It's a
               | result of survivorship bias skewing how we look at
               | things.
               | 
               | When your business is a flywheel than needs to be running
               | to provide a benefit to each user, then getting that
               | flywheel running is a huge problem. The vast majority of
               | non-scalable businesses, almost by definition, provide
               | each customer with a benefit regardless of whether anyone
               | else uses it. That is how you create basic, word-of-
               | mouth, free "earned" marketing.
        
             | noosphr wrote:
             | Switching jobs from electrician to teacher to nurse will
             | take around 3 to 5 years of education or apprenticeship in
             | most countries. It also requires new licenses or
             | certificates if you ever move country.
        
               | scoofy wrote:
               | I'm trying to respond to this stuff in good faith. Yes, I
               | agree with you. I don't see how this is relevant to the
               | argument. If you are in a non-scalable industry that gets
               | taken over by technology, that sucks. My point was being
               | in the startup game in the first place.
               | 
               | "Becoming a teacher" takes years.
               | 
               | "Becoming a successful scalable business" has no known
               | time frame. It either happens or it doesn't. And whether
               | it does is not particularly correlated to how much time
               | or effort you spend on it.
        
               | fuzzfactor wrote:
               | Almost typed the same thing in different words at the
               | same time :)
               | 
               | Your above point can not be upvoted enough.
               | 
               | You do have to wonder what some people are thinking ;)
               | 
               | Good message from Taleb too, he may not be the most
               | likeable or agreeable person in the world, but he is
               | quite brilliant at synthesizing logical meaning from the
               | inputs he does have.
        
               | scoofy wrote:
               | People not liking Taleb and then dismissing him because
               | he can be rude has always been one of the strangest
               | things that so many people do.
               | 
               | I remember about halfway through _Skin in the Game_ ,
               | after being put off by most of what I'd been reading,
               | that the gestalt shift happened and it finally clicked.
               | It's probably one of the best texts I've ever read on a
               | specific type of conservatism. I don't _like_ that I
               | agreed with it, but the guy makes a very, very convincing
               | argument.
        
               | fuzzfactor wrote:
               | Where would we be without Linus anyway ;)
        
               | fuzzfactor wrote:
               | >Switching jobs from electrician to teacher to nurse
               | 
               | The point is _not_ to do that ever.
               | 
               | Just gain _one_ of the skills _like that_ and plant it
               | firmly on your resume, before trying anything more risky.
               | 
               | Like starting a business, which might not actually cost
               | as much or take as long to get a license.
               | 
               | And with no further delay needed before any future
               | pivots, when you might need quick alternatives most.
               | 
               | Even if you only go back to teaching for a while to
               | regroup.
        
           | throwaway-11-1 wrote:
           | I keep hearing about the potential of "new jobs" coming from
           | ai but can anyone actually describe one? My gut says they
           | will be something similar to converting middle class
           | knowledge workers to do DoorDash drivers or trained artists
           | becoming dog groomers. What a cool future, at least my
           | parent's can watch racist ai slop videos on their iPads.
        
             | Ntrails wrote:
             | It's simply a case of looking back and deciding this
             | technical revolution is identical to the ones preceding it.
             | Thus jobs destroyed will be replaced with new jobs, it
             | always happens that way.
             | 
             | Of course past performance is no guarantee of future
             | success...
        
         | a_better_world wrote:
         | how good was Taleb at following his own advice? Had he tested
         | it? As I recall he is pretty big on "skin in the game' as his
         | differentiator.
        
         | laurex wrote:
         | I'm excited for a future where the technologist is like the
         | tailor in their community. Scaling software has created a host
         | of 'product traps' and there is no need for that for the vast
         | number of activities people do aided by technology.
        
         | Buttons840 wrote:
         | Is providing scalable products at a cheaper price scalable? If
         | so, can it hurry up and scale? This is a bit of a paradox.
        
           | TacticalCoder wrote:
           | Who cares? He's arguing about providing something that is not
           | scalable: so whatever happens to things that are scalable
           | ain't the topic.
        
         | laffOr wrote:
         | Being a tailor is scalable, that's way there are way, way more
         | cheap machine produced clothes today than in the past. Surely
         | he did not miss that the textile industry was at the core of
         | industrial revolution. So being a tailor is more like a post-
         | scaling job - the automation has already happened and now there
         | are only remnants left.
         | 
         | But how can you be sure a job is peak-automated? A few years
         | ago, I would have said musicians are post-scaling - way fewer
         | musicians jobs now that you can play recorded music. But it
         | looks like generative AI will hit musicians again. Can some of
         | welding be automated? Probably.
        
           | scoofy wrote:
           | I mean a tailor who adjusts clothes and occasionally makes
           | something bespoke.
           | 
           | Tailors typically operate a launderette and act as middlemen
           | to a local dry cleaner.
           | 
           | I'm not talking about a fancy man making clothes for rich
           | people, I'm talking about the talented old lady in you
           | neighborhood who adjusts your clothing for $50 and runs a
           | wash and fold.
        
             | fuzzfactor wrote:
             | >Can some of welding be automated?
             | 
             | Huge amounts have been doing it for decades.
             | 
             | Manual work pays better than ever though.
             | 
             | And plenty of alterations going on all the time after all
             | the automation dust had settled manufacturing most
             | fashions, a lot less manual work is of course being done
             | but it's still everywhere. You do have to be good or you're
             | not going to do half as well as you could though.
             | 
             | The thing is, automation should be expected to slow or
             | stall sooner or later, automation's not suitable for every
             | little bit of welding or sewing that needs to keep going
             | on. Only the most suitable, of course ;)
             | 
             | These are just random examples, if you want to make
             | absolutely sure you won't be automated away by the
             | internet, build a valuable skill that doesn't depend on the
             | internet at all, nor look anywhere near the places where
             | automation is emerging that it wasn't doing before.
             | 
             | If you eventually figure out how to automate _that_ skill
             | it would be something.
             | 
             | Just like the internet though, there can be extra credit
             | for being first :)
             | 
             | One of the most valuable things to be able to build single-
             | handedly is something that can not be mass-produced by any
             | stretch of the imagination.
             | 
             | You might stick with that alone, or pivot to something with
             | more of a financial upside, but you would always have
             | something to fall back on if needed. Plus give you less
             | worry about taking financial risks than you would have
             | been, considering the same resources and/or capital to work
             | with.
             | 
             | And on a regular basis revisit how far you can stretch your
             | imagination to see if your baseline fallback still doesn't
             | look like it will ever be automated in a way that would
             | effect you.
        
             | hn_acc1 wrote:
             | My mom altered clothing when I was younger - and she darned
             | socks too. My M-I-L still sews the occasional seam for
             | pants that are too long and were cut for my wife or
             | daughters.
             | 
             | But me? I buy a pair of $30 jeans at Costco. If they don't
             | fit great, I buy a different pair of $30 jeans. I don't
             | spend $50 to have them altered, or take it to a laundrette.
             | If it can't be washed in our home washer/dryer, I don't buy
             | it. And these days, when a sock gets a hole? I throw it
             | away.
        
               | fuzzfactor wrote:
               | Well, that's why there are so few people doing this full-
               | time any more.
               | 
               | But at least they're not going to disappear completely.
               | 
               | And now there's nowhere to go but up :)
               | 
               | They have had the internet a while too, keep in mind a
               | select few have gone viral on Etsy while so many SaaS
               | things don't return a fraction of their potential.
        
               | scoofy wrote:
               | This is an effective strategy if you're a fit model, or
               | close to one. If you're within the standard deviation of
               | the sizing chart, you'll probably do fine most of the
               | time.
               | 
               | I like golf. Most people use a standard shaft. In fact,
               | that shaft length _is standard_ because _most people_ use
               | it. That doesn 't mean there isn't an entire industry for
               | "golf fittings" because "most" people isn't even close to
               | everyone.
        
             | laffOr wrote:
             | Yes, but this is simply the remnants of the old tailor
             | occupation, post automation. The talented old lady would
             | have had a lot more business in clothes making in the past,
             | no need for a wash & fold.
        
           | fuzzfactor wrote:
           | >how can you be sure a job is peak-automated?
           | 
           | Probably the best way is to spend a few years working for a
           | company where you can get a better picture whether it seems
           | that way or not.
        
         | throwaway150 wrote:
         | > if you are going to do something for a living, make sure it
         | is NOT scalable.
         | 
         | Great advice but difficult to action though.
         | 
         | I mean 10 years back I'd have thought programming is that thing
         | which is not scalable. I had every reason to believe that. It
         | required skill, experience, ability to stay current, grit for
         | debugging hard stuff. Much of it can be automated now.
         | 
         | What can I pick now for a living that is not scalable today
         | that some future technology would automate it just as easily.
        
         | HoldOnAMinute wrote:
         | >> you'll always be competing against the best, most well
         | funded, smartest people in the room
         | 
         | What if your goal is for them to buy you out?
        
           | scoofy wrote:
           | There are much less expensive ways of playing the lottery
           | than investing a year of you life into an unprofitable
           | product that must be scaled to be successful, and only then
           | hoping gets bought by a direct competitor.
        
           | fuzzfactor wrote:
           | Don't compete, complement and start building the relationship
           | from the beginning.
           | 
           | Plus, who wants to spend any time competing with the stongest
           | contender anyway, especially to get started :)
        
         | amelius wrote:
         | > He gives one the best pieces of advice I've ever heard: if
         | you are going to do something for a living, make sure it is NOT
         | scalable.
         | 
         | You mean like opening a restaurant?
         | 
         | Too bad delivery services like Uber Eats totally own the market
         | now.
         | 
         | Starting a hotel? Booking.com and Airbnb are there to take your
         | profit margins away!
        
           | InexSquirrel wrote:
           | I think that delivery services give you bigger market, but
           | not intrinsic scale. You're still limited by kitchen size,
           | staff numbers, and raw hours you can put into the food.
           | 
           | You can scale the system (say Subway, or even smaller chains
           | like Burger Fuel), but also reasonably choose _not_ to scale
           | and still do incredibly well (like Michelin star restaurants,
           | or the myriad of hyper-famous-locally Japanese eateries, or
           | Fergburger in Queenstown).
           | 
           | Someone scaling their own restaurant on the other side of the
           | world won't necessarily out compete out (and in the
           | overwhelming majority of cases with have no impact at all).
           | Despite fast food joints all over the place, I still see
           | small cafes, individual eateries, etc performing well (I
           | mean, as well as hospitality can be).
           | 
           | Maybe it's worth expanding the definition of > make sure it
           | is NOT scalable < to include 'make sure it's not
           | automatable'?
        
             | amelius wrote:
             | The problem is that any market can be taken over by someone
             | with deep pockets (or investors making a pile of money).
             | They just make sure they are the "go-to place" for
             | consumers to access the market. By marketing the hell out
             | of it, by making apps, abusing power in other markets (see
             | platforms), etc.
        
         | darth_avocado wrote:
         | > if you are going to do something for a living, make sure it
         | is NOT scalable
         | 
         | You need to consider both horizontal and vertical scaling.
         | Being a bespoke tailor may not scale vertically, but it can
         | scale horizontally. If you have too many people pick up
         | tailoring, you might run out of neighborhoods without
         | competitors.
        
         | mrkpdl wrote:
         | I used to look at my local dry cleaner and think that it had to
         | be the most stable business going - it couldn't be replaced by
         | a computer. Then Covid hit, work from home took off, and the
         | dry cleaner went out of business. Computers came for the dry
         | cleaner, not by cleaning clothes but by eliminating the need
         | for dress codes.
        
         | webel0 wrote:
         | Welding is coming along. Ever heard of Path Robotics? That's
         | high-mix, high-complexity welds. (There are a lot of other,
         | less-sophisticated welding robots out there.) The biggest moat
         | for a welder right now is special certifications to be able to
         | do welds on submarines, etc.
        
       | gorjusborg wrote:
       | These types of takes are getting really tiring. The game isn't
       | over, just the metagame.
       | 
       | I'm not saying I have the next metagame figured out, but AI
       | doesn't magically solve all the worlds problems by existing. It
       | likely even creates a new classes of problems. In such an
       | environment there's going to be opportunity.
       | 
       | Are the software shops and devs who were winning at churning out
       | SaaS products going to be the best suited to this new
       | environment? Maybe not, but adaptation wins over non-adaptation,
       | something that has always been the case.
        
       | johnleblanc wrote:
       | Are you not concerned about getting a copyright strike from the
       | fashion brand?
       | 
       | https://kith.com/
        
       | yodon wrote:
       | The OP should read up on business strategy, probably starting
       | with Porter's Five Forces.
       | 
       | Hint: Money is a nice thing to have but it is very definitely not
       | a moat.
       | 
       | If a company is making above market returns and the only thing
       | stopping a potential competitor from competing with them (aka the
       | company's so-called "moat") is that "it takes money", that
       | company does NOT have a moat.
       | 
       | It's very easy for a potential competitor to calculate that,
       | after x-months or y-years, they will have made enough profits to
       | pay for the cost of building the competing product. As long as
       | that amount of time is finite, there is excess profit for a
       | competitor to take, and the company will find it's so called
       | "moat" wasn't a moat at all.
       | 
       | This isn't a new thing. It's been a fact for centuries or
       | millenia. It's one of the many things that makes success in
       | business hard.
       | 
       | Porter's Five Forces is one distillation of the foundational
       | principles on which moats can be built (and yes, this is a non-
       | trivial subject, so success in this area generally does take more
       | effort than just reading or skimming the Wikipedia page, but if
       | you had to distill it down to one sentence, it's probably "try to
       | build something that has network effects").
        
         | chasd00 wrote:
         | > Hint: Money is a nice thing to have but it is very definitely
         | not a moat.
         | 
         | in this context i think where money becomes a moat is when you
         | consider Google can keep advancing their LLMs and tools while
         | operating at a loss because they have the cash and revenue to
         | do that. They'll just keep going and wait for everyone else to
         | go bankrupt and then the whole AI market is theirs. In that way
         | money, and the ability to out last your competitors, is the
         | moat.
        
       | andrewstuart wrote:
       | Now you have to make something actually new.
        
       | andrewstuart wrote:
       | It still take me months to build sophisticated things with hard
       | problems at their core.
       | 
       | There's not the slightest chance an LLM or less than capable
       | developer is whipping this stuff out in a day.
        
       | readingnews wrote:
       | I thought your blog sofware was interesting, and you have a blog
       | on it from last year. The Git link on this page:
       | https://elliotbonneville.com/building-a-blog-in-90-minutes/
       | however, is broken.
       | 
       | Broken Git link:
       | https://github.com/elliotbonneville/elliotbonneville.com
        
       | chatmasta wrote:
       | Why are HN mods appending a question mark to the original title
       | which is obviously a headline of a blog post, i.e. a thesis of
       | the author, and not an assertion of fact? You may as well suffix
       | every headline with a question mark.
        
       | imglorp wrote:
       | > When someone suggested the answer was marketing: > jUsT dO mOrE
       | mArKeTiNg!!!!!
       | 
       | This is a good point. If there's a problem reaching people
       | because the information channel is saturated, the solution is to
       | increase the information? And then everyone reaches the same
       | conclusion and increases.
       | 
       | This destroys the channel. It's not a zero sum game. If everyone
       | markets, nobody will make the sale because the customer will nope
       | out and see nothing.
        
       | soulchild37 wrote:
       | This article sounds like "I can't make a profitable SaaS, hence
       | others can't too, and those who can, are using absurd amount of
       | money or prior reputation to do so"
       | 
       | I advice to grow up and do some proper research on what problem
       | to solve, and how to build trust with audience before pushing
       | your products.
       | 
       | I dont have much money or prior reputation when starting out, I
       | blogged weekly, then slowly launched technical ebooks, one time
       | utility app, and finally SaaS , took me about 6 years of showing
       | up every day to have a job-replacing income.
       | 
       | Your other post mentioned you gave up and declared failure after
       | 3 weeks of launching your SaaS, I think the timeframe expectation
       | you had might be unrealistic.
        
       | kittikitti wrote:
       | It was always about money. People never cared about new things or
       | innovation. It was always funneled through gatekeepers. The
       | "moat" was a talking point to VC's who are used to 90% of their
       | ventures failing and yet was taken seriously. We seem to forget
       | all the racist jokes about how China will just make a cheaper
       | copy, where were talks about a "moat" then?
        
       | CuriouslyC wrote:
       | Ironically, lots of people are going to get pushed back into
       | agriculture because yields are going to fall and humans can pick
       | marginal/mixed/non-row crops much more efficiently than robots,
       | plus local consumption eliminates logistics costs.
       | 
       | So yeah, techno-feudalism is going to drive us back to agrarian
       | feudalism.
        
       | karma_daemon wrote:
       | Not sure I agree with this - if productivity is going up, then it
       | seems like the value of thinking would _also_ go up
       | 
       | Each thought is just worth so much more
        
       | arathis wrote:
       | This whole thread is classic HN. Someone uses a random example to
       | illustrate a point, and the rest of the post is about that.
        
       | kmeisthax wrote:
       | One thing I've noticed is that there is a very specific set of
       | technologies that attract a very specific set of people. You may
       | have seen these people jump from Bitcoin to altcoins to Ethereum
       | to NFTs; and now to AI. The common thread behind all of these
       | technologies is that they are inherently dehumanizing: as in,
       | they are a means by which ambulatory piles of money can shed the
       | skin they are ordinarily forced to wear and just exist.
       | 
       | AI seems like the odd man out of the group, until you understand
       | the utter horror that is weaponized post-scarcity economics. "The
       | only moat left is money" _is_ the plan. It was _always_ the plan.
       | The goal of AI - or at least, the goal of AI _to the cult of
       | people who mindlessly agree with it_ is to replace humans with
       | pliant digital slaves.
        
       | ghssds wrote:
       | What's wrong with screenshots? Those X widgets are cancer.
        
       | cryptonector wrote:
       | The only real mote was and is mindshare. Build mindshare, don't
       | screw your users, and your competition will have a hard time
       | dethroning you. LLMs will probably force SaaS and software prices
       | to come down, which will be a great opportunity for dethroning
       | reigning champions.
       | 
       | PostgreSQL, for example, has a ton of mindshare. It will be hard
       | to dethrone it.
       | 
       | OpenSolaris was Sun's attempt to recover from the loss of
       | mindshare to Linux. The a company that had become dominant in
       | databases due to _mindshare_ acquired Sun then failed to
       | understand the mindshare play, and it killed OpenSolaris. Explain
       | that one to me.
       | 
       | Even mindshare might not be such a moat now.
        
         | beAbU wrote:
         | AI coding assistants make it trivial to switch between models,
         | and developers will switch to a different model from a
         | different provider if the new model is perceived to be better
         | than the current one even if that perception is completely
         | subjective.
         | 
         | Furthermore, the only users who will actually pay for AI are
         | these assistant-using developers and other power users --
         | people who will not hesitate to switch to something better. We
         | are already used to new model releases being neck in neck and
         | there is no real incumbent/underdog dynamic going on here.
         | 
         | Yes, there is strong mindshare among the normies, who only know
         | about "ChatGPT", but as soon as they graduate into a powe user,
         | then the above applies to them.
        
       | xyzsparetimexyz wrote:
       | > The corollary is rarely mentioned: the value of a human eyeball
       | is going up, because there are only so many of them and there are
       | now infinite things that want to be looked at.
       | 
       | There's an easy fix for this. Agent to Agent SAAS
        
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