Fast moving targets for AI fighter jets — Lightspeed Venture Partners

Full-stack or mid-stack solutions using generative AI are being launched every week. I alluded to this earlier this week in my post on “ Fighter Jets > Copilots.” A question I was asking myself was why are these specific areas coming up as the first ones? What is the market telling us?

A common thing in many of these genAI applications is that they are in areas which have very rational/objective measures of performance, are high volume and are tolerant of some level of lower quality (for a short while, at least). In other words, AI can use private datasets to drive personalized content synthesis/ creation which can then be published, and monitored on objective measures which can in turn drive a better dataset and better personalized content creation. A closed loop.

What are some of these performance-driven high-volume use cases and their corresponding objective measures?

• Performance marketing (click-through rate/ conversion rate/ CAC)
• Search-engine optimization (click-through rate/ leads generated)
• Ecommerce (sales conversion rate, AOV, CAC)
• Feed-driven entertainment (click-through rates, sessions per DAU, share/like rates)
• Gaming (paying user rate, time spent)
• Trading (profit or loss)
• Certain areas of the legal profession (response rate, settlement rate)
• Contact centers (deflection rate)

Originally published at https://lsvp.com on June 1, 2023.