For AI products, the quality of the model's response is paramount. Before building a full feature (MVP), first validate that you can achieve a 'Minimum Viable Output' (MVO). If the core AI output isn't reliable and desirable, don't waste time productizing the feature around it.

The barrier to building AI products has collapsed. Aspiring builders should create a one-hour prototype to focus on the truly hard part: validating that they're solving a problem people actually want fixed. The bottleneck has shifted from technical execution to user validation.

Snowflake's CEO advises against seeking a huge ROI on the first AI project. Instead, companies should run many small, inexpensive experiments—taking multiple "shots on goal"—to learn the landscape and build momentum. This approach proves value incrementally rather than relying on one big bet.

AI doesn't replace business fundamentals; it accelerates them. The most successful founders apply timeless frameworks for building valuable companies—like achieving product-market fit—but use modern AI tools to run experiments and learn at a massively compressed time and cost.

Early-stage startups should resist applying AI everywhere. Instead, they should focus on one high-impact area where processes already work. AI is most effective as an amplifier for a solid foundation, not as a shortcut or a fix for fundamental strategic problems. Start small with integrated tools.

In AI, low prototyping costs and customer uncertainty make the traditional research-first PM model obsolete. The new approach is to build a prototype quickly, show it to customers to discover possibilities, and then iterate based on their reactions, effectively building the solution before the problem is fully defined.

The ease of AI development tools tempts founders to build products immediately. A more effective approach is to first use AI for deep market research and GTM strategy validation. This prevents wasting time building a product that nobody wants.

For founders, AI tools are excellent for quickly building an MVP to validate an idea and acquire the first few customers—the hardest step. However, these tools are not yet equipped for the large-scale, big-picture thinking and edge-case handling required to scale a product from 100 to a million users. That stage still requires human expertise.

Since AI agents dramatically lower the cost of building solutions, the premium on getting it perfect the first time diminishes. The new competitive advantage lies in quickly launching and iterating on multiple solutions based on real-world outcomes, rather than engaging in exhaustive upfront planning.