Perplexity CEO: AI products need recursive effects, not network effects
annbordetsky · x · 2026-10-19
Perplexity CEO Aravind Srinivas argues many AI companies are using the wrong playbook: they treat AI like social media products, assuming AI lacks network effects and stickiness and must chase a billion users. He calls that mentality completely wrong — AI is a recursive product, meant to have recursive effects rather than network effects, so the depth of usage and quality of users matter far more than quantity.
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