The potential for AI companies to operate at structurally lower gross margins (e.g., 50%) compared to traditional SaaS.
The high opportunity cost of investing in slower-growing traditional software companies when AI-native companies are growing exponentially.
The difficulty in evaluating long-term retention for hyper-growth AI companies, requiring a heavier reliance on leading indicators like user engagement.
Opportunities Identified
Investing in a new wave of AI application companies that are growing three times faster than previous cloud and SaaS leaders.
Capitalizing on the massive, quantifiable productivity gains AI is unlocking in established industries, as exemplified by C.H. Robinson.
The emergence of robotics as a potentially dominant, multi-trillion dollar category within the broader AI landscape.
Capturing significant value creation in the late-stage private markets as companies delay their IPOs.