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How to find your next AI startup idea when everything seems possible

  • The article discusses a mental model called the Critical Frequency Matrix to identify valuable AI startup opportunities within enterprises.
  • It categorizes enterprise tasks based on frequency and criticality to create a simplified fingerprint of the business.
  • Tasks that are low-frequency and high-criticality, like major corporate pivots or crisis management, are where human leadership shines over AI automation.
  • High-frequency, high-criticality tasks offer market opportunities but pose challenges for AI agents, requiring near-perfect reliability and accuracy.
  • Low-criticality, high-frequency tasks, such as routine customer support inquiries, are ideal for automation through AI systems.
  • Low-frequency, low-criticality tasks offer potential through generalized AI assistance but require exceptional adaptability and intelligence.
  • The market value of automating a task increases with frequency and criticality, with tasks being more valuable when they are both frequent and essential to the business.
  • The article suggests focusing on tasks that cause constant pain as they may hold higher business value than solving episodic pain.
  • The framework helps investors focus on enterprise value and identifies areas with potential for new AI-native ventures.
  • It provides a checklist for building an AI-native startup and emphasizes the importance of addressing interconnected tasks effectively.

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