Viewpoint: Model IQ surpassing workers threatens startup economics

abhiadesai · x · 2026-08-26

A commentary argues that as model IQ exceeds that of the median knowledge worker, AI labs have an incentive to systematically dismantle major profit pools by using AI as a labor substitute, backed by massive token budgets. While labs possess an army of knowledge workers in datacenters, the game-theoretic optimum isn't to replace the entire economy. This trend is described as being fundamentally contrary to the interests of startups.

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