Vercel's Pranati Perry explains that tools like V0 occupy a new space between static design (Figma) and development. They enable designers and PMs to create interactive prototypes that better communicate intent, supplement PRDs, and explore dynamic states without requiring full engineering resources.

Traditional "writing-first" cultures create communication gaps and translation errors. With modern AI tools, product managers can now build working prototypes in hours. This "show, don't tell" approach gets ideas validated faster, secures project leadership, and overcomes language and team barriers.

The traditional, linear handoff from product spec to design to code is collapsing. Roles and stages are blurring, with interactive prototypes replacing static documents and the design file itself becoming the central place for the entire team to align and collaborate.

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.

Historically, resource-intensive prototyping (requiring designers and tools like Figma) was reserved for major features. AI tools reduce prototype creation time to minutes, allowing PMs to de-risk even minor features with user testing and solution discovery, improving the entire product's success rate.

Product Requirement Documents (PRDs) are often written and then ignored. AI-generated prototypes change this dynamic by serving as powerful internal communication tools. Putting an interactive model in front of engineering and design teams sparks better, more tangible conversations and ideas than a flat document ever could.

For complex features, a 17-page requirements document is inefficient for alignment. An interactive AI-generated prototype allows stakeholders to see and use the product, making it a more effective source of truth for gathering feedback and defining requirements than static documentation.

A prototype-first culture, accelerated by AI tools, allows teams to surface and resolve design and workflow conflicts early. At Webflow, designers were asked to 'harmonize' their separate prototypes, preventing a costly integration problem that would have been much harder to fix later in the development cycle.

The ideal AI-powered engineering workflow isn't just one tool, but a fluid cycle. It involves synchronous collaboration with an AI for planning and review, then handing off to an asynchronous agent for implementation and testing, before returning to synchronous mode for the next phase.