The a16z Show · Friday, August 28, 2026
The discussion highlights a significant shift in AI development, where the primary bottleneck is no longer the models themselves but the underlying infrastructure. This includes advancements in chips, memory, and data center capabilities, which are now under immense pressure.
“Or number two, I think what we have seen over the last three years is a steady increase of the capability base of the models, where the model is no longer the bottleneck.”
“And in fact, using AI, these models are getting better faster and faster and faster. Now, the bottleneck is all what I call south of the model. And so that's why we need to work on that.”