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The real AI goldrush

writing, trends, genAI

AI infrastructure is a massive and fast growing market, but it pales in comparison to the TAM at the application layer.

Look at where the money sits: Chips. Cloud. Models. Pure infrastructure.

Every tech wave follows this pattern. Early players build foundations. But the real value always moves to the edges – to what people actually touch and use.

Cloud computing already showed us. AWS built the pipes. Stripe, Dropbox, etc. captured the value.

You can see this happening today in real time at the edges. A factory cuts defects in half. A port moves cargo in minutes instead of hours. A hospital spots cancer before it spreads.

Don't watch who builds AI. Watch who uses it. The next wave won't talk about AI. They'll talk about what they fixed:

  • One clear problem
  • One perfect solution
  • One market nobody saw coming

The infrastructure players will keep making headlines, and application layers will be capturing and unlocking new markets for software.