AI costs deflated in 3 years as much as PCs did in 15, a16z argues cheap intelligence reshapes software
a16z · x · 2026-10-10
a16z highlights TypeSafe AI founder Diogo Almeida's argument that AI costs deflated in 3 years as much as PCs did in 15, and that cheap intelligence is what finally lets models move out of the chatbot sidebar into software where real work happens.
Almeida notes software has barely changed in a decade — the best we've done is bolt on a chatbot that can take some actions — and TypeSafe aims to build AI powerful enough to construct real software, not just assist humans in the loop. He frames automation as an ROI decision: spending 10 hours to automate a 5-minute task forever should be trivially automatable itself.
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