In 2025, venture capital can’t pretend everything is fine any more – Pivot to AI

Here is the state of venture capital in early 2025:

  • Venture capital is moribund except AI.
  • AI is moribund except OpenAI.
  • OpenAI is a weird scam that wants to burn money so fast it summons AI God.
  • Nobody can cash out.
In 2025, venture capital can’t pretend everything is fine any more – Pivot to AI

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The value is in the difficulty - Annotations

We’ve seen this arc before, and music is the richest analogy.

Like Bruce Sterling always says:

Whatever happens to musicians happens to everybody.

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I knew my writing students were using AI. Their confessions led to a powerful teaching moment | AI (artificial intelligence) | The Guardian

AI writing reminds me of Tennyson’s description of the beautiful Maud in the titular poem:

Faultily faultless, icily regular, splendidly null
Dead perfection; no more

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Expansion artifacts || Matt Ström-Awn, designer-leader

Compression made the information age possible by stripping things down to fit the pipes. Expansion made the AI age possible by blowing data back up again. Both operations leave marks; we’ve learned to spot compression artifacts, but we’ve only just begun to reckon with expansion artifacts. Until we do, there’s a lot of risk to manage.

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AI Might Be Our Best Shot At Taking Back The Open Web | Techdirt

Not sure I buy the argument here, though I do very much look forward to local language models getting better so we can ditch the predatory peddlars of today’s slop. But this trip down memory lane to the early web of the 1990s could’ve been describing my own experience:

But the thing I do remember was the first time I came across Derek Powazek’s Fray online magazine. It was the first time I had seen a website look beautiful. This was without CSS and without Javascript. I still remember quite clearly an “issue” of Fray that used frames to create some kind of “doors” you could slide open to reveal an article inside.

Fray was what made me want to make websites:

I distinctly remember sites like prehensile tales, 0sil8 and the inimitable Fray triggering something in my brain that made me realise what it was I wanted to do with my life.

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I used AI. It worked. I hated it.: Taggart Tech

There’s a fundamental problem with these tools beyond the capacity of any deployment strategy to solve: the tool requires expertise to validate, but its use diminishes expertise and stunts its growth. How does one become an expert? There are no shortcuts; there is only continuous hard work and dedication. I was once told of writing, great writers learn how to break the rules in new and ingenious ways by first learning the rules.

But how is a new developer meant to learn the rules if their day-to-day work is nothing but the babysitting of models? How will they gain the hard-won experience that allows a human in the loop to be a useful safeguard?

These models alter cognition in ways deleterious to human prosperity. In other words, for as much output as they provide, they take something important from us.

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Related posts

Threat models

Compression, transformation, expansion.

Feedback

In the loop.

Magic

Knock, knock! Who’s there? Control freak (now you say “control freak who?”)

Uses

Large language models are big messy brushes, not scalpels.

Tools

A large language model is as neutral as an AK-47.