The Twenty Minute VC (20VC) · Thursday, July 2, 2026
Many companies are realizing that despite increased AI spending, the expected gains in productivity and revenue have not materialized. This observation is leading to a re-evaluation of AI strategies and a focus on tangible results.
“Folks are realizing that they've ramped up their AI spend on product, it seems to have worked subjectively, qualitatively, but the productivity isn't there to justify it.”
“I think if you look across even any of our portfolio companies that are doing well, that are not purely reselling tokens, they're coming to the conclusion that I'm not quite sure what the hell I'm doing here.”
“And so many folks are not seeing the lift from net revenue, net productivity they thought from agentic code.”