A Precursor Ventures speaker argues that established cloud and AI companies have the resources to dominate across categories. Google won't lose search easily despite the hype, but new unknown companies could disrupt settled markets later this year as capital allocation shifts rapidly.
Cloud code. Cloud code's really good. And so I think when I read this piece, I was like, I think we know the circle of companies that have the resources and brand to be competitive in all these categories. I don't think we know who's going to win. And I'd say a lot of people have counted Google out in search. And depending on what you believe about the numbers they put out recently, I don't think Google's going to roll over and seed the search market to AI upstarts. It's just not going to happen. But I think this is an interesting time because these capital allocation decisions are sticky because you can't trade out of these positions. But we' a very dynamic market where the facts on the ground change every day. And I wouldn't be surprised if later this year we're talking about companies we haven't heard of that have broken through in some of these categories that appeared to be settled.
