Unlike previous tech waves that trickled down from large institutions, AI adoption is inverted. Individuals are the fastest adopters, followed by small businesses, with large corporations and governments lagging. This reverses the traditional power dynamic of technology access and creates new market opportunities.
AI's occasional errors ('hallucinations') should be understood as a characteristic of a new, creative type of computer, not a simple flaw. Users must work with it as they would a talented but fallible human: leveraging its creativity while tolerating its occasional incorrectness and using its capacity for self-critique.
For the first time, a disruptive technology's most advanced capabilities are available to the public from day one via consumer apps. An individual with a smartphone has access to the same state-of-the-art AI as a top VC or Fortune 500 CEO, making it the most democratic technology in history.
The most powerful use of AI for business owners isn't task automation, but leveraging it as an infinitely patient strategic advisor. The most advanced technique is asking AI what questions you should be asking about your business, turning it from a simple tool into a discovery engine for growth.
Contrary to the post-COVID trend of tech decentralization, the intense talent and capital requirements of AI have caused a rapid re-centralization. Silicon Valley has 'snapped back' into a hyper-concentrated hub, with nearly all significant Western AI companies originating within a small geographic radius.
While the West may lead in AI models, China's key strategic advantage is its ability to 'embody' AI in hardware. Decades of de-industrialization in the U.S. have left a gap, while China's manufacturing dominance allows it to integrate AI into cars, drones, and robots at a scale the West cannot currently match.