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Ara Kharazian

👤 Speaker
338 total appearances

Appearances Over Time

Podcast Appearances

The a16z Show
Why AI Isn’t Killing SaaS Yet

We did.

The a16z Show
Why AI Isn’t Killing SaaS Yet

Look, when DeepSeek first came onto the scene, now about a year ago, maybe a little bit over, we did see a spike in adoption for DeepSeek, but it never hit even 1% of firms on the platform.

The a16z Show
Why AI Isn’t Killing SaaS Yet

Now, we keep it in this tracker because I think it's helpful context for people, though there is a case to say we should remove it at this point.

The a16z Show
Why AI Isn’t Killing SaaS Yet

But DeepSeq is not the only open source or cheaper model available out there.

The a16z Show
Why AI Isn’t Killing SaaS Yet

So in future versions of Ramp AI Index, we're going to expand, though, to track adoption of a bunch of other cheaper models that are available on the market.

The a16z Show
Why AI Isn’t Killing SaaS Yet

And even if it's open source, you know, you might still be paying for it in some way in the cloud implementation of it.

The a16z Show
Why AI Isn’t Killing SaaS Yet

That's something exactly what you might get from like an open router, for example.

The a16z Show
Why AI Isn’t Killing SaaS Yet

So DeepSeq is a tricky case, though, because it may be cheap.

The a16z Show
Why AI Isn’t Killing SaaS Yet

But even if you are, no one wants to use DeepSeq

The a16z Show
Why AI Isn’t Killing SaaS Yet

For security purposes, even if you're locally hosting it, there's just this perception around it, particularly if you're building a product that appeals to businesses or consumers.

The a16z Show
Why AI Isn’t Killing SaaS Yet

And there are other options available at this point.

The a16z Show
Why AI Isn’t Killing SaaS Yet

So I don't really see DeepSeek gaining adoption very quickly, ever.

The a16z Show
Why AI Isn’t Killing SaaS Yet

Yeah, thank you.

The a16z Show
Why AI Isn’t Killing SaaS Yet

And what about Google's Gemini model?

The a16z Show
Why AI Isn’t Killing SaaS Yet

I mean, the orange line is quite low on this chart.

The a16z Show
Why AI Isn’t Killing SaaS Yet

Is today's news going to change that, you think?

The a16z Show
Why AI Isn’t Killing SaaS Yet

Google's underrated, I'll admit, because I'll point out one of the features of our research here is that we only track paid adoption.

The a16z Show
Why AI Isn’t Killing SaaS Yet

So there are a lot of firms that are using Google, but they're using it through Google Workspace, which integrates Gemini for free.

The a16z Show
Why AI Isn’t Killing SaaS Yet

That's what we do.

The a16z Show
Why AI Isn’t Killing SaaS Yet

Exactly.