Building a startup on an LLM is like building a house on a foundation of quicksand. As the LLM gets better it naturally erodes your moat. It's a completely different dynamic compared to the internet. It's why I'm watching this from the sidelines.
Building a business on top of any SaaS platform is building on quicksand. I know that from experience.
I have a close friend who is trying to build a company entirely on top of Claude. He doesn't know how to program. He can't do basic arithmetic. Yet, the company he's building is a "Data Science AI for the Government" because, according to him, all of the data scientists at NOAA don't know what they're doing.
I have given up on trying to get through to him how bad of an idea this is. He's unemployed and has been working on this for over a year.