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lennysnewsletter.com

Why SaaS freemium playbooks don’t work in AI, and what to do instead

In traditional SaaS, serving an extra free user costs essentially zero. In AI, every time a free user hits "Enter," your GPUs fire, and your cash burns. AI products need to figure out monetization quickly, or compute costs will bankrupt your company.
— Vikas Kansal

1w ago

The difference between a mediocre business and a great business is that the great business finds a way to do the same thing at 1/10th the cost. Most people focus on revenue growth; they should focus on unit economics.

4w ago

Underscored — save the words that stop you in your tracks.

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