Based out of India, Tech Constant is my first attempt at writing. I chose to write on technology, having worked as an analyst, strategy consultant, product manager, and entrepreneur.
Yann LeCun left Meta and raised $3.5B on a radical thesis: autoregressive LLMs are a dead end. The future is world model simulation, not token prediction. Language survives the shift. The current architecture may not.
Waymo can simulate elephants on highways that it's never driven on. The simulation breaks after 60 seconds. Only 2.68% of digital twins close the feedback loop. AI's most important bet isn't about generating pixels—it's about understanding physics.
AI startups command 25–30× revenue multiples. But only 39% of enterprises report any impact on EBIT from AI. Six layers of technical due diligence—from wrapper discounts to inference margin traps—are repricing companies in real time. Most investors aren't looking.
Technical due diligence was built for deterministic software. AI shattered that premise. Agents don't suggest—they act. The new audit must reach into probabilistic reasoning, inference economics, and semantic security. The report on the shelf is dead.
The transition to outcome-based pricing won't save software. It will reclassify it. When every AI action has a real compute cost, 80% margins become 60% — and a 60% margin business isn't software by Wall Street's standards. It is services.