In this episode of Lenny's Podcast, host Lenny interviews Brian Balfour, founder and CEO of Reforge, about a new distribution channel emerging around AI, specifically ChatGPT. Brian argues that traditional growth channels are saturated, making it harder for startups to gain traction. He predicts that ChatGPT will become a new platform for distribution, offering a significant opportunity for companies to grow if they act quickly. Brian outlines a four-step cycle that new distribution platforms follow: market conditions being met, identifying a moat, opening the platform to third parties, and eventually closing it for control and monetization. He advises companies, especially startups, to place focused bets on integrating with emerging platforms like ChatGPT to gain a competitive edge, while also planning an exit strategy for when the platform inevitably closes down. The conversation also touches on the challenges companies face in adopting AI tools and the importance of hard constraints and cultural changes for successful implementation.
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