Overproduction in Tech, Internet (SaaS, Apps) and AI
Mike Liang
Minimalist Innovator, Pioneer in AI & Security #EndMMT #MAGA #MASA #DOGE #Prussian
Many remember well past recessions caused by #overproduction of consumer and industrial goods, such as 1929. What few recognize is that overproduction exists in the Internet/Tech/Software/AI world as well. Silicon Valley and the US have a serious overproduction problem - reinventing in parallel and overproducing overlapping apps, SaaS, AI, blockchain, and almost anything you can think of. Easy financial liquidity is the only reason why the implosion hasn't happened yet.
Throughout the past 12 months I discussed this point of view with a large number of startup founders, investors, including one GP at A16Z, and ones alike. The response? Either an indifferent laugh-off by arbitrarily comparing 2025 with 1998/1999/2000/1993, a bitter and pale smile, or in the case of the A16Z investor - agreeing (to some extent) but becoming defensive by asking me what startups I invested in so far ( ?? ). These all seemed like great rewards for my observation and validation so far.
Yes, the tech industry, AI included, as well as Silicon Valley, are about to enter a serious crisis of #overproduction and #recession soon.
I'm not the only one calling it if you really pay attention. Peter Thiel said the same last year about "we have too much SaaS already".
As a minimalist, a contrarian, and someone who prefers doing the minus game, I'm calling for a series of what I call "#Negative Innovations" betting on creating value by embracing the inevitable social-economic negativity that will be essential in the upcoming years or decades. The progressive thought school is wrong, a total scam, by fooling people to believe that the world goes in a direction they prefer and turns brighter day by day. The popular #positive tech startups upon easy financial liquidity and the so called fallacy of "a better world" will either have to adapt to the era of negativity or become obsolete. #MAGA
Here are a list of examples of Negative Innovations that will do well in the upcoming years and decades:
1. Instead of using internet and AI to recruit, use AI to fire and layoff people
2. Instead of using internet and AI to make the world more open and connected, use internet and AI to build walls and segment the world
3. Instead of using internet and AI for higher efficiency in price, use internet and AI to drive disparity
4. Internet for cyber propaganda warfare and AI for mass destructions and thought manipulation
5. Instead of using internet and AI to enhance workplace collaboration and productivity, or to expand into new lines of businesses, use internet and AI to reduce workplace bureaucracy, redundancy, loss-generating lines of businesses.
Minimalist Innovator, Pioneer in AI & Security #EndMMT #MAGA #MASA #DOGE #Prussian
2 天前Sarvesh Karkhanis Shall I make this my first substack post as you recommended me to open a substack account? :-)