By Pawel Czech, Co-Founder at New Native
Pawel Czech,
Everyone’s talking about machine learning. I can almost guarantee you that there are VCs out there that will hit “CTRL +F” on a pitch deck and immediately search for mentions of AI that shape their decision making process when it comes to investing. Valuations are huge and, with almost $300bn being ploughed into AI tech startups in the US alone over the last five years, this is definitely a wave you might want to ride.
However, there’s a persistent myth that’s been making the rounds: you need a technical founder to launch an AI startup. Spoiler alert…you don’t. Well, you sort of do. But it also helps to be business savvy too.
Now, don’t get me wrong. Technical expertise is valuable. But in the AI gold rush we’re experiencing, it’s not the pickaxe that’ll make or break your venture. It’s the vision, the hustle, and the ability to spot opportunities that truly matter.
The AI ecosystem has evolved. Have you?
Remember when building a website meant knowing HTML, CSS, and probably a bit of JavaScript? Those days are long gone. Now, my grandma could whip up a decent-looking site with a few clicks on Wix. The AI world is heading in the same direction, and with it, the role of the technical founder.
The tools and platforms available today have dramatically shifted the landscape for AI startups. While deep technical knowledge is crucial, it’s no longer enough on its own. What you need is the ability to identify problems that AI can solve, implement solutions effectively, and navigate those business problems that might crop up.
Think about it. Did OpenAI’s Sam Altman become a one-man billion-dollar company purely through technical prowess? Nope. He combined technical insight with business acumen and market understanding. The same principle applies to aspiring AI startup founders.
The real technical challenge is bridging tech and business
Here’s the truth. The most crucial skill for an AI startup founder isn’t just programming – it’s the ability to bridge the gap between cutting-edge technology and real-world business applications. You need to know your industry inside out. You need to know where the pain points are. You need to know where AI can make a real difference, and how to communicate that value to potential customers and investors.
This isn’t to say that technical expertise isn’t important. In fact, it’s more critical than ever. But, given the current demands for a startup, AI or not, it’s equally crucial to understand market dynamics, business models, and how to scale a company. It’s about being able to lead both the technical development and the business growth.
Expanding your skillset beyond code
“But wait,” I hear you cry, “how do I transition from a purely technical role to a business-oriented founder?” Glad you asked. Here’s the secret sauce:
Leverage expert communities: Tap into AI engineering networks and open-source projects. Collaborating with other experts can help you build more robust, innovative applications for specific verticals. Remember, even as a technical founder, you don’t have to do it all alone.
Focus on integration: Understand how to integrate advanced AI applications into real business use cases. This is where the real value lies.
Stay ahead of the curve: The speed of technological change means businesses must constantly evolve their software development approaches. As a technical founder, you’re uniquely positioned to lead this change.
Develop business acumen: While others focus solely on algorithms, expand your skills to include business strategy, market analysis, and leadership.
The bottom line? In the AI startup world, the ability to combine deep technical knowledge with business savvy is the real golden ticket. You don’t need to limit yourself to just writing code to build a successful AI company. What you need is the ability to bridge the gap between cutting-edge tech and market needs, and execute relentlessly on both fronts.
If you’ve been sitting on an AI startup idea because you’re not a ‘business person’, it’s time to expand your horizons. The world is waiting for AI solutions to real problems, and you might just be the visionary to provide them. Don’t let the myth of the purely technical founder hold you back. Your most valuable skill will be your ability to translate complex technology into business value.
Remember, every tech giant started with a vision, not a line of code. Your own AI startup journey should begin the same way. Technical skills are your foundation, but business acumen is your rocket fuel. The time to start is now.
Author Bio:Pawel Czech is an equity investor and co-founder of New Native Inc, with the first global product in lablab.ai. Prior to New Native, he founded a Venture Builder Nex.D and worked extensively in business development, operations, and sales capacity actively serving in a governance and leadership role with founders and management teams across Education, Biotechnology, and AI industries.
