Why Most AI Businesses Will Fail, According to Noemi Kis✨

In a recent LinkedIn post, Noemi Kis✨ discusses the high failure rate anticipated for many artificial intelligence businesses, even amidst widespread excitement and rapid development in the sector. Kis✨, who recently saw her TEDx talk about this very topic achieve “Editor’s Pick” and garner over 10,000 views in 24 hours, argues that the primary reason for this predicted failure is not a lack of technological prowess or founder intelligence, but rather a fundamental misunderstanding of the problems being solved.

The Problem of Building Before Understanding

Noemi Kis✨ emphasizes a critical pitfall she’s observed in the current AI landscape: founders are often so eager to build and innovate that they create solutions *before* fully grasping the underlying problems. This approach, she warns, can lead to wasted time and resources on ventures that ultimately lack market viability.

“Most founders can now build quickly. But often, they’re building solutions BEFORE they understand the problem.”

Kis✨ draws parallels to successful companies like Airbnb and DoorDash, highlighting their early-stage commitment to manual validation. She points out that these companies didn’t start with complex technology; they began by directly engaging with and serving their target users, often in very basic ways.

Manual Validation as a Foundation

According to Kis✨, the success of these companies stemmed from a strategy of ‘manual validation first, technology second.’ This involves founders personally experiencing and addressing the problem they aim to solve, thereby gaining genuine insights into customer needs and market demands.

“Look at Airbnb. They rented out their extra air mattress own apartment first to strangers. Look at DoorDash. The founders took orders themselves, and literally drove food around Palo Alto. Manual validation first. Technology second. That’s how you find the real problem worth solving.”

This hands-on approach, Kis✨ suggests, is crucial for identifying and validating real-world problems that are worth solving with technology. It’s a stark contrast to the often technology-first mentality prevalent in many new AI ventures.

Overcoming the Fear of Imperfection

Beyond the strategic advice for AI businesses, Kis✨ also shares a personal reflection on her TEDx talk experience. Despite initial nervousness and self-critique about her delivery, she ultimately chose to share her message.

“Was I nervous? Absolutely. Did I rewatch it and cringe at my delivery? 100%. But I showed up. I said what needed to be said. And people are listening.”

This experience leads Kis✨ to offer encouragement to others who may be hesitant to pursue their ideas due to fear of imperfection. She advocates for action over hesitation, asserting that the world needs voices sharing important messages.

In her view, the key takeaway for aspiring entrepreneurs and innovators is to “Do it anyway.” As Noemi Kis✨ concludes, the act of showing up and sharing one’s voice on deeply cared-about topics is more important than achieving immediate perfection. This message resonates strongly, especially for those navigating the competitive and often daunting landscape of AI business development.