An AI product's job is never done because user behavior evolves. As users become more comfortable with an AI system, they naturally start pushing its boundaries with more complex queries. This requires product teams to continuously go back and recalibrate the system to meet these new, unanticipated demands.
Product-market fit is no longer a stable milestone but a moving target that must be re-validated quarterly. Rapid advances in underlying AI models and swift changes in user expectations mean companies are on a constant treadmill to reinvent their value proposition or risk becoming obsolete.
The most effective users of AI tools don't treat them as black boxes. They succeed by using AI to go deeper, understand the process, question outputs, and iterate. In contrast, those who get stuck use AI to distance themselves from the work, avoiding the need to learn or challenge the results.
AI is not a 'set and forget' solution. An agent's effectiveness directly correlates with the amount of time humans invest in training, iteration, and providing fresh context. Performance will ebb and flow with human oversight, with the best results coming from consistent, hands-on management.
People overestimate AI's 'out-of-the-box' capability. Successful AI products require extensive work on data pipelines, context tuning, and continuous model training based on output. It's not a plug-and-play solution that magically produces correct responses.
Unlike traditional software, AI products are evolving systems. The role of an AI PM shifts from defining fixed specifications to managing uncertainty, bias, and trust. The focus is on creating feedback loops for continuous improvement and establishing guardrails for model behavior post-launch.
Unlike traditional software where PMF is a stable milestone, in the rapidly evolving AI space, it's a "treadmill." Customer expectations and technological capabilities shift weekly, forcing even nine-figure revenue companies to constantly re-validate and recapture their market fit to survive.
A paradox of rapid AI progress is the widening "expectation gap." As users become accustomed to AI's power, their expectations for its capabilities grow even faster than the technology itself. This leads to a persistent feeling of frustration, even though the tools are objectively better than they were a year ago.
The true test for an AI tool isn't its initial, tailored function. The problem arises when a neighboring department tries to adapt it for their slightly different tech stack. The tool, excellent at one thing, gets "promoted into incompetency" when asked to handle broader, varied use cases across the enterprise.
Beyond just using AI tools, the fundamental process of product management is evolving. For every new initiative, PMs must now consider the appropriate level of AI, automation, or customization. This question is now as critical as "what problem are we solving?" and addresses rising customer expectations for adaptive products.
Successful AI products follow a three-stage evolution. Version 1.0 attracts 'AI tourists' who play with the tool. Version 2.0 serves early adopters who provide crucial feedback. Only version 3.0 is ready to target the mass market, which hates change and requires a truly polished, valuable product.