People struggle with AI prompts because the model lacks background on their goals and progress. The solution is 'Context Engineering': creating an environment where the AI continuously accumulates user-specific information, materials, and intent, reducing the need for constant prompt tweaking.

The real value of custom AI skills comes from continuous refinement, not initial creation. A skill is only truly effective when it produces results that are 99% accurate with minimal human edits. This iterative process, which can take dozens of hours, is what transforms a novel tool into an indispensable workflow.

The key skill for using AI isn't just prompting, but "context engineering": framing a problem with enough context to be solvable. Shopify's CEO found that mastering this skill made him a better communicator with his team, revealing how much is left unsaid in typical instructions.

With AI agents, the key to great results is not about crafting complex prompts. Instead, it's about 'context engineering'—loading your agent with rich information via files like 'agents.md'. This allows simple commands like 'write a cold email' to yield highly customized and effective outputs.

Building a single, all-purpose AI is like hiring one person for every company role. To maximize accuracy and creativity, build multiple custom GPTs, each trained for a specific function like copywriting or operations, and have them collaborate.

The primary barrier for useful AI agents is not the underlying model but the complex task of 'data wiring'—connecting to a user's real-world context like emails, local files, and support tickets. Products that solve this difficult integration challenge, where most agents currently fail, will gain a significant competitive advantage.

Top-tier language models are becoming commoditized in their excellence. The real differentiator in agent performance is now the 'harness'—the specific context, tools, and skills you provide. A minimalist, well-crafted harness on a good model will outperform a bloated setup on a great one.

Treat AI skills not just as prompts, but as instruction manuals embodying deep domain expertise. An expert can 'download their brain' into a skill, providing the final 10-20% of nuance that generic AI outputs lack, leading to superior results.

When creating "skills" for AI agents, a prescriptive, step-by-step (imperative) approach is brittle. A better method is declarative: teach the agent what tools are available and their nuances. This allows the model to leverage its reasoning abilities to handle exceptions and novel user requests, rather than being dogmatically locked into a predefined process.