If you're not doing it already, you're extremely late!

“Reflexive AI usage is now a baseline expectation at Shopify.”

This is the core of a memo Tobi from Shopify published yesterday which is saying:

1. Everyone at Shopify is expected to use AI
2. AI prototyping is the go-to now
3. AI usage and literacy is part of the performance review
4. They’re dedicating time to AI integration in their monthly business reviews and product development cycles
5. Before a team can hire anyone, they have to prove that the work can’t be done by AI. Meaning everyone has to now ask themselves: “What would this area look like if autonomous AI agents were already part of the team?”

Here’s the full memo.

What does this mean for startups?

We only invest in AI native software startups. And have been for a while now.

This doesn’t mean we look to invest in the research labs / foundation model players.

It means that we only invest in software startups where AI is a core part of everything they do - internally and as part of their customer facing product(s).

Why?

Because the technology crossed the chasm a while ago of being so powerful that it’s impossible to keep up - both from a speed and capabilities perspective - with those that are leaning into these tools / the technology if you’re not.

So if you haven’t done so already, then block a big junk of time as soon as you can (and with a regular cadence) to look into “how can we get better at every part of our business / our product with AI”.

If public companies such as Shopify are doing this and you’re not as a startup, you’re extremely late already!