Previously, compute and data were the limiting factors in AI development. Now, the challenge is scaling the generation of high-quality, human-expert data needed to train frontier models for complex cognitive tasks that go beyond simply processing the public internet.

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Early AI training involved simple preference tasks. Now, training frontier models requires PhDs and top professionals to perform complex, hours-long tasks like building entire websites or explaining nuanced cancer topics. The demand is for deep, specialized expertise, not just generalist labor.

Warp's founder argues that as AI masters the mechanics of coding, the primary limiting factor will become our own inability to articulate complex, unambiguous instructions. The shift from precise code to ambiguous natural language reintroduces a fundamental communication challenge for humans to solve.

LLMs have hit a wall by scraping nearly all available public data. The next phase of AI development and competitive differentiation will come from training models on high-quality, proprietary data generated by human experts. This creates a booming "data as a service" industry for companies like Micro One that recruit and manage these experts.

The era of advancing AI simply by scaling pre-training is ending due to data limits. The field is re-entering a research-heavy phase focused on novel, more efficient training paradigms beyond just adding more compute to existing recipes. The bottleneck is shifting from resources back to ideas.

The era of simple data labeling is over. Frontier AI models now require complex, expert-generated data to break current capabilities and advance research. Data providers like Turing now act as strategic research partners to AI labs, not just data factories.

While compute and capital are often cited as AI bottlenecks, the most significant limiting factor is the lack of human talent. There is a fundamental shortage of AI practitioners and data scientists, a gap that current university output and immigration policies are failing to fill, making expertise the most constrained resource.

For years, access to compute was the primary bottleneck in AI development. Now, as public web data is largely exhausted, the limiting factor is access to high-quality, proprietary data from enterprises and human experts. This shifts the focus from building massive infrastructure to forming data partnerships and expertise.

The value in AI services has shifted from labeling simple data to generating complex, workflow-specific data for agentic AI. This requires research DNA and real-world enterprise deployment—a model Turing calls a "research accelerator," not a data labeling company.

The true exponential acceleration towards AGI is currently limited by a human bottleneck: our speed at prompting AI and, more importantly, our capacity to manually validate its work. The hockey stick growth will only begin when AI can reliably validate its own output, closing the productivity loop.

A critical weakness of current AI models is their inefficient learning process. They require exponentially more experience—sometimes 100,000 times more data than a human encounters in a lifetime—to acquire their skills. This highlights a key difference from human cognition and a major hurdle for developing more advanced, human-like AI.