Zerodha founder Nithin Kamath to startup founders: Stop saying ‘we use AI’; ‘Bragging that your product uses AI is like …’
Zerodha founder Nithin Kamath has shared a post with a message for startup founders trying to impress investors with AI. In a post on X, Nithin Kamath said he has become tired of seeing investment pitch decks that begin by highlighting AI, arguing that using AI is no longer a unique selling point. According to Kamath, AI has become so common that leading a presentation with “we use AI” is more likely to turn investors away than attract them. He said that “bragging that your product uses AI is like bragging that you take a bath every day”.
Nithin Kamath says AI is now ‘table stakes’
Sharing his views, Kamath said the number of startup presentations that begin by talking about AI has become excessive. “The number of investment decks I get leading with ‘we use AI’ is ridiculous. It’s reached a point where it automatically makes my eyes roll, and I’ve almost stopped looking at them,” Kamath wrote.He said founders should understand that AI is no longer a competitive advantage by itself. “Founders need to realize that AI is just table stakes now. Bragging that your product uses AI is like bragging that you take a bath every day. It’s not a differentiator.”According to Kamath, simply saying a product uses AI does not explain why customers or investors should care.
‘Opening your pitch with AI’ may hurt startup founders
In the post, Nithin Kamath warned that making AI the first thing investors hear could have the opposite effect. “In fact, opening your pitch with it is a surefire way to get ignored, not just by us, but by most serious VCs,” he said.Kamath also pointed to another trend created by generative AI. He said AI tools have made it easier than ever for founders to create polished-looking presentations, but that has also made many startup pitches look and sound alike.“Especially now that AI has democratized the ability to generate ‘nice-looking’ decks, the last thing you want to do is say the exact same generic things as every other founder using the exact same tools,” he wrote.