In a recent LinkedIn post, Nithin Kamath, the founder of Zerodha, discusses a prevalent trend in startup pitches that he believes is actively harming founders’ chances of securing investment. Kamath highlights that an overwhelming number of investment decks now begin with the assertion that their product utilizes Artificial Intelligence (AI), a tactic he finds increasingly counterproductive.
AI as Table Stakes, Not a Differentiator
Kamath argues that the ubiquity of AI has shifted its status from a unique selling proposition to a fundamental requirement for many modern businesses. He likens the emphasis on AI in pitches to a redundant statement about basic hygiene.
“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 Nithin Kamath, this approach is not only ineffective but can actively work against the founder. He points out that leading with AI can signal a lack of genuine innovation or a misunderstanding of what truly captures investor attention in the current market.
The Risk of Generic Pitches
The founder further elaborates on how the democratization of AI tools, including those for generating presentation decks, has led to a homogenization of startup pitches. Kamath suggests that when every founder uses similar AI-powered tools to create visually appealing decks and to tout AI capabilities, the message becomes generic and indistinguishable.
The Impact on Investor Perception
Kamath expresses concern that this trend is making it difficult for investors to identify truly novel ideas. He stated:
“In fact, opening your pitch with it is a surefire way to get ignored, not just by us, but by most serious VCs.”
In Nithin Kamath’s view, this overreliance on the ‘AI’ buzzword can obscure the core value proposition of a business. He implies that founders should instead focus on articulating the specific problem they solve and the unique value they provide, rather than relying on a technology that is becoming increasingly commonplace.
Moving Beyond the Buzzword
Kamath’s insights suggest a strategic shift is needed for founders seeking venture capital. Instead of leading with AI, he seems to advocate for a more substantive approach that emphasizes the problem, the solution’s efficacy, market potential, and the team’s unique capabilities. As Nithin Kamath notes:
“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.”
His commentary serves as a critical reminder to entrepreneurs that while AI is a powerful tool, its mere inclusion is no longer a compelling reason for investment. True differentiation, according to Kamath’s perspective, lies in how uniquely and effectively a business leverages technology, including AI, to solve real-world problems.
📝 About This Content
This article is based on insights shared by Nithin Kamath on LinkedIn.
📅 Originally posted on August 14, 2026 | View original post on LinkedIn →