Agency and Speed Trump Intelligence in AI-Driven Economy

Key Quotes

"agency is a company that just goes assuming we're talking about marketing agencies but a company that just agencies in general no i'm referring to the word agency like a trait and so you have intelligence or agency so when i when i say agency um someone who is high agency is someone who knows how to figure things out they know how to get shit done okay so in today's day and age what do you think is more important high intellect or high agency uh high agency of just getting stuff done because you can get a lot of the intellect from ai yeah"

Neil explains that "agency" refers to a personal trait of being able to figure things out and get tasks accomplished. He argues that in the current era, this trait of high agency is more valuable than high intellect because artificial intelligence can now provide much of the intellectual capacity needed.

"2026 will be the year when ai starts affecting for real been preparing for this since 2022 suffer dev costs dropping to zero context engineering will be central build will win over buy which is something we can talk about build will win over buy i want to highlight that one for a second in large organizations doing yourself doing things faster yourself versus delegating"

Sebastian Semelksy, CEO of Klarna, predicts that AI's impact will become significant in 2026, with development costs decreasing and "context engineering" becoming crucial. Semelksy also highlights that in large organizations, the trend will shift towards building solutions internally rather than buying them, emphasizing speed and self-sufficiency.

"Wouldn't this also essentially mean the end of large organizations so he's like and then sebastian responds he says yes it very it very well might two trends will meet large org ceo doing founder ai mode small companies growing insanely fast they meet up in the middle and we're already seeing this very quickly there's a lot of companies getting to 20 million arr in like three to six months or so hundreds of millions in arr in in you know one to two years"

Klaus questions whether the rise of AI might signal the end of large organizations, to which Sebastian Semelksy agrees. Semelksy posits that two converging trends--large organizations adopting a "founder AI mode" and small companies experiencing hyper-growth--will reshape the business landscape, with many companies rapidly achieving significant annual recurring revenue.

"The biggest thing you can do right now if you're listening to this and you're 18 20 years old or whatever it is exactly is you go out and you experiment with these things this goes back to what i was saying like if you say you don't have time to learn this even spending 10 to 20 of your time or your working hours learning this stuff um it's crazy to me to not know this and you're going to have such an advantage over other people who have been in the workforce for a very long time who don't want to adapt and think they can get away with this"

The speaker emphasizes the importance of experimentation and continuous learning with new technologies, particularly for younger individuals. They argue that dedicating even a portion of working hours to learning these tools will provide a significant advantage over those who resist adaptation and believe they can maintain their current methods.

"The beautiful thing like i think your team um maybe you're not in the details on this but we're not even going to be saying the word mvp anymore it's just going to be like hey just get a prototype out and a prototype now is just like a vibe coded thing that's designed well or you're using something like alloy app and it takes your screen um you take a screenshot of something that you like neil we used to do this all the time we'll screenshot things that we like and just like hey can you you go to your dev team can you do this or you designers can you just do this now it's just like you just take the screenshot drag it over to alloy and say hey just fold it into my app and boom you have a screenshot and then you just move a lot faster that's where we're going guys things are just going to move a lot faster"

This quote highlights a shift in product development, moving away from the concept of a Minimum Viable Product (MVP) towards rapid prototyping. The speaker explains how tools like Alloy App enable quick creation of functional prototypes by simply dragging and dropping screenshots, significantly accelerating the development process.

"The biggest thing you can do right now if you're listening to this and you're 18 20 years old or whatever it is exactly is you go out and you experiment with these things this goes back to what i was saying like if you say you don't have time to learn this even spending 10 to 20 of your time or your working hours learning this stuff um it's crazy to me to not know this and you're going to have such an advantage over other people who have been in the workforce for a very long time who don't want to adapt and think they can get away with this"

The speaker emphasizes the importance of experimentation and continuous learning with new technologies, particularly for younger individuals. They argue that dedicating even a portion of working hours to learning these tools will provide a significant advantage over those who resist adaptation and believe they can maintain their current methods.

"The impact of ai as well they're probably going to you know probably they're going to become a lot more profitable a lot more efficient and all the money that they have um all the lending that they're going to be doing and so he's just i i think he's just saying that you want to take a look at goldman and jp morgan so not financial advice but i think it was an interesting thesis it is and when you look at the lending side which really helps to make the economy go round and round"

This quote discusses the potential for financial institutions like Goldman Sachs and JP Morgan to become more profitable and efficient due to AI. The speaker suggests that these banks could see significant growth and become major players, akin to the "Mag 7" tech companies, driven by AI's impact on lending and overall operations.