What’s Next for Consumer AI? | Josh Elman Joins a16z

The shift toward consumer AI necessitates a transition from productivity-focused tools to personal intelligence that enhances daily life. Retention remains the definitive metric for product success, as true value is measured by whether users integrate a tool into their routines. While large labs currently dominate the landscape, startups can secure market share by delivering "10x" improvements that make traditional methods obsolete. Distribution is evolving from mass-market virality to trust-based creator relationships and organic word-of-mouth, mirroring the successful growth patterns of platforms like Robinhood and TikTok. As AI becomes more capable, the next generation of consumer innovation will likely focus on immersive experiences and agentic workflows that offer users greater control and personalization. Josh Elman, a veteran product leader with experience at Apple and various social platforms, highlights these strategies for building enduring consumer technology in the current AI-driven era.