Rigetti Computing CEO: Quantum advantage 4 years away

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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Rigetti Computing said its 36-qubit multi-chip quantum computer is generally available and outlined a plan to build a 100-qubit system with 99.5% fidelity by the end of 2025, but quantum advantage is likely 4 years away.

The technology milestones and outlook were outlined as Rigetti reported second quarter results that missed estimates.

Rigetti reported a second quarter net loss of $39.7 million, or 13 cents a share, on revenue of $1.8 billion, down from $3.09 million a year ago. Wall Street was expecting Rigetti to report a second quarter loss of 4 cents a share on revenue of $1.87 million

The company said second quarter revenue was impacted by the expiration of the national quantum initiative and pending reauthorization in the US Congress.

Quantum computing is an immature industry that generates a lot of headlines but many pure plays are just building revenue streams. Contracts--often with government agencies--are lumpy and so are the quarterly results. Given the boom in quantum stocks, many of the quantum computing vendors have been able to fortify balance sheets and raise cash.

For instance, Rigetti ended the second quarter with $576.1 million in cash and equivalents. IonQ also fortified its balance sheet with a $1 billion stock offering in July. IonQ, which has been on an acquisition spree, reported second quarter earnings last week with a net loss of $177.5 million on revenue of $20.7 million. IonQ had $1.6 billion of pro forma cash and equivalents as of July 9.

Speaking on a conference call with analysts, Rigetti CEO Dr. Subodh Kulkarni said the company's chiplet approach is scaling.

The company's Cepheus-1-36Q system is generally available on the Rigetti Quantum Cloud Services Platform and coming to Microsoft Azure. The system has reduced error rates from the Ankaa-3 system that preceded it and hits a median two-qubit gate fidelity of 99.5%.

"Just 6 months after our record performance with Ankaa-3, we've once again halved our error rates with Cepheus-1-36Q. We believe quadrupling our chiplet count and significantly decreasing error rates is the clear path towards quantum advantage and fault tolerance. We intend to continue this momentum with our 100 plus qubit system planned for the end of the year," said Kulkarni.

• IBM outlines quantum computing roadmap through 2029, fault-tolerant systems

Rigetti is betting on superconducting qubits as the ultimate leading technology for quantum computing. Other vendors have bet on competing technologies.

Kulkarni has been largely hype free when it comes to quantum computing. He noted that there are multiple challenges before quantum advantage is reached including dilution refrigerators and cabling as well as error correction.

He said:

"At this point, we believe we are still about 3 to 4 years away from getting to the 1,000-plus qubit, 99.9% fidelity with error correction and gate speeds of less than 50 nanoseconds, which is when we achieve quantum advantage. If we can accelerate that time line using our strengthened balance sheet we will obviously look at that. We are still looking at roughly about 4 years to get to that quantum advantage point."

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Key points from the earnings call from Kulkarni:

• "It's our view that superconducting qubits are the leading modality for quantum computers due to their ability to scale and their ability to achieve gate speeds more than 1,000x faster than other modalities like ion traps and pure atoms."

• "Transitioning from a monolithic chip to chiplets enables greater control over chip uniformity, which in turn improves performance. Leveraging chiplets also reduces manufacturing complexity and improves fabrication yield."
• "While we are pleased with our sequential growth in quarterly revenues, we believe achievement of our technology milestones remains a key metric to achieving our long-term success."
• "Our focus continues to be on R&D development. We will obviously look at every opportunity to accelerate our time line. Right now, we believe we are funding R&D adequately to hit the milestones that we have laid out. Our plan for the end of the year is to deliver a multichip 100- plus qubit system with 99.5% 2-qubit gate fidelity. And from there on to continue to increase the fidelity as well as qubit count using chiplet approach. Every opportunity we get to accelerate that time line, we continue to look at it and we will do so."

Coreweave's Q2: Takeaways on AI training, inference demand

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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CoreWeave is building its AI infrastructure so it can easily switch back and forth from training to inference workloads as it works through strong demand and supply constraints.

The AI infrastructure provider reported a second quarter net loss of $290.51 million, or 60 cents a share, on $1.21 billion, up 207% from a year. Wall Street was looking for a loss of 49 cents a share on revenue of $1.08 billion.

The company exited the second quarter with a revenue backlog of $30.1 billion, double the backlog from a year ago. CoreWeave landed a $4 billion expansion deal with OpenAI in addition to a previously announced $11.9 billion contract.

• CoreWeave buys Core Scientific for $9 billion
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• CoreWeave to buy AI developer Weights & Biases for a reported $1.4B

CoreWeave raised its 2025 revenue guidance to $5.15 billion to $5.35 billion. "We ended the quarter with nearly 470 megawatts of active power, and we increase the total contracting power approximately 600 megawatts to 2.2 gigawatts. We are aggressively expanding our footprint on the back of intensifying demand signals from our customers," said CoreWeave CEO Michael Intrator.

Here's a look at the takeaways.

Overall demand. CoreWeave signed expansion contracts with both of its hyperscale customer in the past eight weeks. "Our pipeline remains robust, growing and increasingly diverse, driven by a full range of customers, from media and entertainment to healthcare to finance to industrials and everything in between," said Intrator. "The proliferation of AI capabilities into new use cases and industries is driving increased demand for our specialized cloud infrastructure and services."

Financial services demand. CoreWeave said it inked big bank deals with banking giants Morgan Stanley and Goldman Sachs for proprietary trading.

Healthcare scaling AI. "We're also seeing significant growth from healthcare and life science verticals, and are proud of our partnership with customers like Hippocratic AI who built safe and secure AI agents to enable better healthcare outcomes," said Intrator.

Training and inference. Intrator said CoreWeave is working with customers to easily transition between training and inference. "We're helping these customers redefine how data is consumed and utilized globally as their critical innovation partner, and we are being rewarded for our efforts," said Intrator. "As they shift additional spend to our platform, we continue to execute and invest aggressively in our platform, up and down the stack to deliver the bleeding edge AI cloud services, performance and reliability that our customers require to power their AI innovations."

Intrator said:

"We really build our infrastructure to be fungible, to be able to be moved back and forth seamlessly between training and inference. Our intention is to build AI infrastructure, not training infrastructure, not inference infrastructure."

Storage workloads. CoreWeave said it is gaining storage share for AI-centric workloads. "Customers are shipping petabytes of their core storage to core week in the form of multiyear contracts. We are providing support for additional third party storage systems," said Intrator.

Bleeding edge expansion. Intrator said customers are focused on the latest hardware--Nvidia systems--to remain on the bleeding edge. "Clients are purchasing hardware that is appropriately state of the art for their use case. And as new hardware comes out, as new hardware architectures are released, they tend to come back in and purchase the same top tier infrastructure their next renewal," said Intrator.

Power and supply constraints. Intrator said the AI infrastructure market is "structurally constrained." "It is a market that is really working hard to try and balance and there are fundamental constraints at the power shell through the grid to the supply chains that exist within the GPUs to the mid voltage transformers," said Intrator. "There are a lot of different pieces that are constrained, but ultimately the most significant challenge right now is accessing power shells."

Platform9 aims to migrate entire VMware vSphere clusters in place

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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Platform9 launched the latest release of its Private Cloud Director with AI hardware support and enhanced its vJailbreak migration tool so it can convert entire VMware vSphere clusters in place.

The vJailbreak capabilities can speed up VMware migrations at much lower costs, said Platform9.

Platform9's latest product releases land as VMware's rivals continue to court customers since the acquisition by Broadcom. VMware Explore, a flagship conference for customers Aug. 25 to Aug. 28. Nutanix, which is growing at a rapid clip due, will have more to say on poaching VMware customers when it reports earnings Aug. 27. HPE and Dell have offerings aimed at migrating VMware workloads via alliances and their own technologies. 

And in the meantime, AWS continues to leverage AI agents for VMware migrations via AWS Transform. 

• Platform9 launches community edition for Private Cloud Director
• HPE, Platform9 latest to target VMware customer angst
• VMware still under pressure as customers plot escapes, rivals gain

Madhura Maskasky, co-founder and Chief Product Officer at Platform9, said in a statement that vJailbreak is designed to address concerns about the cost and complexity of migrations. "We can convert cluster nodes in place while workloads are automatically migrated, keeping services online and minimizing business disruption," said Maskasky.

According to Platform9, VMware migrations on average can take 18- to 48 months to complete with costs ranging from $300 to $3,000 per virtual machine. Platform9 said vJailbreak can now turn weeks into days at one-tenth of the cost. Key points:

• vJailbreak can migrate fleets of the underlying hypervisor hosts using full-stack hypervisor migrations.
• The migration tool works in-place on an existing vSphere cluster.
• Hosts are handled one at a time in rolling fashion.
• The tool take down a host, re-images it as a KVM hypervisor, configures storage and network and brings it up as a Private Cloud Director Cluster.
• Virtual machines are migrated into Private Cloud Director via vJailbreak.

Holger Mueller, an analyst at Constellation Research, said the vJailbreak additions are interesting and notable, but the real cost with VMware migrations are the re-testing. Businesses have to re-test applications that are migrated to gain trust. 

The Private Cloud Director updates include:

• The ability to let workloads share AI hardware as customers ramp AI applications.
• Support for both GPU passthrough mode and as vGPUs.
• A Terraform-based app catalog that provides DevOps automation for multi-virtual machine applications.
• Two node high availability cluster support.

Anthropic matches OpenAI $1 deal for US government

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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Anthropic said it is offering Claude for Enterprise and Claude for Government to all branches of the US government for $1 per year in a move that matches OpenAI.

In a blog post, Anthropic said Claude's $1 for one year deal will be available through the General Services Administration. Anthropic said that it will also offer technical support for agencies adopting Claude for productivity and mission workflows.

OpenAI US government deal is also offered through the General Services Administration. That offer included OpenAI for Government for $1 per agency for the next year.

Both Anthropic and OpenAI are betting that near freemium deals today will equate to profitable contracts with the US government in the future. Anthropic, OpenAI and Google are already part of a Department of Defense contract that has a $200 million ceiling.

• Frontier AI companies land Department of Defense deals

What remains to be seen is whether these discounts for the US government result in similar discounting for large enterprises that also have scale. Or whether the discounts lead to larger bundled deals across agencies.

The GSA has been busy squeezing technology vendors in 2025. In addition to the OpenAI and Anthropic deals it announced agreements with Amazon Web Services, DocuSign, Oracle, Elastic, Salesforce, Adobe, Google and Microsoft.

Monday plots product, enterprise expansion for 2025

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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Monday reported strong second quarter results, progress in landing enterprise accounts and AI products that are resonating. But a conservative outlook and other moving parts put the kibosh on the results.

The company reported second quarter earnings of 3 cents a share on revenue of $299 million, up 27% from a year ago. Non-GAAP earnings were $1.09 a share, 23 cents a share better than estimates.

Monday projected third quarter revenue of $311 million to $313 million, up 24% to 25%, vs. Wall Street estimates of $313 million. Non-GAAP operating income will be $34 million to $36 million. For fiscal 2025, Monday projected revenue between $1.224 billion to $1.229 billion, up 26%. Wall Street was looking for $1.22 billion in revenue for the year. Non-GAAP operating income for fiscal 2025 will be between $154 million to $158 million.

Shares fell nearly 30% on Monday.

Monday is expanding its product lineup. In the second quarter, Monday saw 46 million AI driven actions since launching AI products. During the quarter, the company launched Monday Magic, Monday Vibe, and Monday Sidekick, three tools Co-CEO Roy Mann said, "mark a major step forward in our evolution from work management to work execution."

• Monday.com rides large enterprise accounts, AI features to move upstream
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• Asana: AI-driven work orchestration promising, but CEO search, multiple transitions ahead

In July, Monday said the launch of the new products was the beginning "of a longer-term evolution" focused on enabling AI for all aspects of work.

AI-based products are also driving consumption revenue. Monday executives said more customers are surpassing the 500 AI credit limit and buying more for AI usage.

Monday is looking upstream to enterprise accounts. Co-CEO Eran Zinman said Monday saw a record number of new net adds of customers paying more than $100,000 annually. Much of this move into the enterprise revolves around Monday CRM, which hit $100 million in annual recurring revenue. "This achievement underscores the strong demand for a flexible, customizable CRM platform," said Zinman.

The company is retooling its management team to sell enterprise accounts. Monday named Google, Waze and Vimeo alum Harris Beber as CMO, and appointed Adi Dar as Chief Customer Officer. Dar is Monday's chief operating officer until a successor is named. In April, Monday named Casey George as Chief Revenue Officer. George had been at Qlik as well as Talend and Verint.

Monday is projecting headcount growth of 30% in fiscal 2025.

Zinman said:

"While work management is very mature for enterprise customers and kind of high end of mid-market, the newer products, the CRM, dev and service are currently more serving the SME segment. So, on one hand, we feel the multiproduct strategy really help bundling and selling more products to kind of more of the lower-tier SMB mid-market part of the business, while the changes we've done to go- to-market team and organization and a lot of other things is driving upmarket expansion."

Google search changes are hampering low-funnel activity for smaller accounts. Mann said Monday has seen fluctuations due to Google algorithm changes before. The company is now optimizing AI Mode.

Mann said the impact from Google changes isn't big but is part of a funnel for smaller businesses. There's also an impact for larger customers too. He said:

"The better, high- quality customers still click on Google and ads. If you're looking for solution such as a CRM or project management, you're going to reach us. So, the drop that we see is just on volume because they are experimenting with AI on top. And it's not that significant for the higher quality of customers. It's more volume than quality."

CRM growth. Wall Street analysts asked multiple questions about traction in CRM. Executives said that customer counts for CRM may not be a perfect indicator since Monday is landing larger accounts. Mann said Monday CRM is becoming more of a suite and that is landing larger accounts after a start focused on smaller businesses. Mann said Monday CRM is selling well because it offers the flexibility to "build anything you want with it."

"The platform is open. It's built out of building blocks. It's all modular. And that gives us a huge head start into building enterprise- grade applications that really work seamlessly. And that is also connected to the rest of your workflow," said Mann.

What's next? The company said that it will hold its Investor Day in New York Sept. 17 when it will outline more on its strategy and roadmap. 

C3 AI cuts Q1 revenue outlook, revamps sales org amid search for new CEO

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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C3 AI said its fiscal first quarter sales will be well below expectations and that it has reorganized its sales operations.

The news, announced at 7:30 PT EST on a Friday, lands a few days after C3 said it would look for a successor to CEO Tom Siebel, who is stepping down due to visual impairment due to an autoimmune disease.

In a statement on the sales reorg, Siebel said:

"The good news is we have completely restructured the sales and services organization, including new and highly experienced leadership across the board to ensure a return to accelerating growth and increased customer success at C3 AI. The bad news is that sales results in Q1 were completely unacceptable.

Having given this a lot of thought, I attribute this to two factors. One: It is clear that in the short term, the reorganization with new leadership had a disruptive effect. Two: As we have previously announced, I have had a number of health issues in the past six months including multiple hospitalizations and vision impairment. Unfortunately, dealing with these health issues prevented me from participating in the sales process as actively as I have in the past. With the benefit of hindsight, it is now apparent that my active participation in the sales process may have had a greater impact than I previously thought."

The sales disruption had a big impact on C3 in the first quarter. The company said that it will report first quarter revenue of $70.2 million to $70.4 million with a non-GAAP loss of $57.7 million to $57.9 million. Wall Street was looking for sales of $104.02 million in the first quarter with a non-GAAP loss of 13 cents a share.

In the fourth quarter, C3 delivered revenue of $108.72 million, up 26% from a year ago, and Siebel said partnerships with hyperscale cloud providers were faring well.

That drop-off in sales spurred the sales restructuring, which is now complete. Here's a look at the reorganization, which revolves around executives with years of enterprise sales experience.

• Rob Schilling joined C3 as Chief Commercial Officer, took over June 16. Schilling has held sales leadership roles at Oracle, SAP and Siebel.
• John Kitchingman took over as C3 General Manager for EMEA effective June 30. He had been a sales leader at Dassault Systèmes and IBM Global Services.
• Jeff Cosseboom, another alum of SAP and Oracle as well as Siebel, will be C3's Group Vice President of North America East Sales.
• Lars Färnström joined C3 AI as Group Vice President, Nordics. Färnström had been CEO of Crate.io and is a previous exec at C3 as well as Siebel.
• Alex Amato, Group Vice President of Customer Services at C3, was promoted and now has responsibility for all professional services and customer services operations.

Siebel noted that he is "fully engaged" as CEO and his health "has improved dramatically" except for his vision impairment. The search for a successor is underway, said Siebel.

The road to AI Exponential will be bumpy

Larry Dignan

Editor in Chief of Constellation Insights
Constellation Research

Larry Dignan is Editor in Chief of Constellation Insights at Constellation Research, where he leads editorial coverage focused on enterprise technology, digital transformation, and emerging trends shaping the future of business. He oversees research-driven news, analysis, interviews, and event coverage designed to help technology buyers and vendors navigate complex markets with clarity and context. ...

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Companies that are AI native are likely to deliver better returns, run autonomously and thread the needle between human and digital labor. The catch? Getting to that AI native status isn't going to be easy.

Constellation Research CEO Ray Wang outlined an AI maturity model that ranges from AI Luddites to AI Exponentials.

The five levels look like this:

Most companies are trying to get to AI native and that aspiration will lead to a lot of IT spending. The reality is that many companies are going to be AI enabled and way more efficient than they are today.

AI Natives are going to be largely digital and autonomous with heady growth figures. AI Exponentials probably don't exist today, but there will be a few.

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For most the journey starts with the chase to be AI Native. Wang wrote: "While at first this may sound like more AI hyperbole, the early indications for organizations who begin their journey as AI Natives by design show a tremendous advantage versus the AI Enabled who have to reduce their legacy technology, cultural, and financial debt."

Given that framework, I went on a quick tour of enterprises reporting results in recent weeks. Here's a look at a few household names and where they land in the matrix.

Marriott: AI Aware

Marriott CEO Anthony Capuano said the company has a multi-year transformation plan that revolves around its three main systems: Loyalty, property management and central reservations.

"We expect to start deploying the new cloud-based central reservations, PMS (property management system) in the U.S. and Canada select service hotels later this year," said Capuano. "It should make the experience for our guests, both on property and when they're engaging with our customer engagement centers, much more seamless, much more efficient."

That transformation, built on AWS, is designed to make Marriott more agile and ready for AI. Marriott has also set up a team focused on AI. "We have stood up a Marriott AI incubator that is working on a variety of proof of concepts," said Capuano. "Some of those early proof of concepts were in areas like reimagining the concierge function where we think there's a real opportunity to take advantage. We're also looking at pilots in our customer engagement centers to help those agents navigate such a broad and diverse portfolio."

Marriott has incorporated AI into the Marriott Homes and Villas platform and launched an ambassador trip planning tool. At AWS re:Invent 2024, Adnan Haq, Managing Vice President of Cloud, DevSecOps and Infra Platforms at Marriott, said the company started its cloud transformation in 2022 to create a differentiated guest experience with AI, integrate digital experiences, drive revenue with customized promotions and offers and move faster.

Wayfair: AI Aware to AI Enabled

Wayfair, which reported earnings this week, has moved to Google Cloud and is starting to reap the rewards with a strong second quarter despite a sluggish home market.

Niraj Shah, CEO of Wayfair, said the company now is in a position to grow and take market share.

Shah said that Wayfair has a 2,500 person technology organization that has been focused on the replatforming of core systems to Google Cloud. Now that migration is complete, that team is focused on increasing product velocity and innovation.

"Now that we're very far into that replatforming effort, a lot of the cycles of the team are now back building features and functions to improve the customer experience and supplier experience," said Shah. "And you see that affect things, whether it's conversion rates, enabling suppliers to do more, launching new genAI-powered features and delivering efficiency gains in our operations."

Intuit: AI Enabled aiming for AI Native

Intuit has been setting itself up well for each technology inflection point. Before AI, Intuit focused on honing its data game and creating the flywheel that connected its platform to customer experience.

Those data efforts, which included a strong cloud game, enabled Intuit to take advantage of generative AI early.

Now Intuit is well on the way to leveraging AI agents. At AWS Summit New York, the company outlined some of its agentic AI plans. It's early in Intuit's AI agent plans, but the focus is on driving returns and cash flow improvements for customers and ultimately the company.

• Intuit embraces LLM choice for multiple use cases
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Airbnb: AI Enabled aiming for AI Native

Airbnb CEO Brian Chesky made it really easy to categorize his company. Speaking on a second quarter earnings call, Chesky outlined a retooled tech stack, expanded product and feature cadence and AI strategy that revolves around making its app AI native.

Chesky said Airbnb will become an AI-native app. He said today, the top 50 applications on Apple's App Store aren't AI native. ChatGPT is the top app with a few other AI natives, but for the most part the top players are not AI-native.

He said:

"You've got basically AI apps and kind of non-AI native apps. And Airbnb would be a non- AI native application. Over the next couple of years, I believe that every one of those top 50 slots will be AI apps--either start-ups or incumbents that transform into being AI native apps. And I think at Airbnb, we are going through that process right now of transitioning from a pre- generative AI app to an AI native app. We're starting to customer service. We're bringing into travel planning. So it's really setting the stage."

Uber: AI Native

Uber was using machine learning and AI before it was the big thing. Now the company is using its models to drive interaction between its mobility and delivery services.

Speaking on Uber's second quarter earnings call, CEO Dara Khosrowshahi said Uber is using larger models that can take contacts from a consumer, history and seasonality to send promotions at the right time. With its models, Uber has extended into advertising and other additional businesses.

"Larger and more sophisticated AI models are also improving our ability to encourage cross-platform activity for the right consumers at the right time—for instance grabbing coffee on your way to the office, or having your groceries delivered right as you arrive at your vacation rental. This is a key focus area that’s still in its early innings, and you will continue to see us innovate in both the Uber and Uber Eats apps to supercharge cross-platform activity," said Khosrowshahi.

Uber is also pondering a super app that will combine its services and build on top of the platform.

And by the way, Uber is offering its own AI services on its platform. In addition, Uber's data flywheel will also play a big role in autonomous vehicle and the AI models behind them.

• Uber AI Solutions expands, targets enterprises
• Uber outlines its autonomous vehicle plan

Maybe everything should be a holding company

Over time, most leading enterprises will become AI native. In fact, many of the category leaders are well on the way there.

However, the AI exponential companies--which will operate 80% of the business by machine and generate more than $5 million in profit per employee--are going to have to start from scratch. These companies are lean and mean and frankly may never get beyond 10 employees.

Simply put, a legacy company with a thriving business isn't going to cut and transform its way to the growth of AI exponentials. It's quite possible that every category leader will be a holding company to stand up companies that could become AI exponentials. Think Alphabet and Waymo. Given you can start a company today that's saddled with tech debt and legacy infrastructure after six months it may be better to invest in AI exponentials than transform into one.