Unicorn with Ten of Your Closest Friends
I firmly believe that the efficient size of a company is shrinking very rapidly, and so the future will be almost all startups.
Naval Ravikant
Picture this: It's Friday night, and you're huddled around a powerful computer setup with a few close colleagues, with the same energy of an intense Twitch stream. But instead of gaming, you're building the next billion-dollar company. Forget sprawling offices; the next generation of startup unicorns will emerge from these informal gatherings, powered by human creativity and an army of AI agents. These digital workers don't commute to a San Francisco office park; they exist solely within a GPU cluster, tirelessly executing on the startup's vision.
As artificial intelligence redefines the workforce, enter a future where lean startups are all you need.
Special Forces Analogy
Think of these new lean startups as the special forces of the business world. Just like a US Army Special Forces Operational Detachment Alpha (ODA) – aka an A-Team composed of just 12 members– these small startup teams achieve strategic outcomes through a mixture of grit, advanced technology, cross-training, and asymmetric intelligence advantage. (Described as force multiplication in military parlance.)
The impact of these new AI-powered startups will be just as profound. Small teams with powerful AI agents will be taking on industry giants, entering large markets as though no barriers existed, and solving very big problems. They will do it with minimal organizational drama, at superhuman quality and velocity, and with maximum capital efficiency.
Startup Sizes: From Solo to Squad
We see two distinct models on a spectrum of AI augmented businesses:
The Solo Maverick: Driven by a singular vision, solo founders are leveraging AI as a powerful extension of themselves. AI becomes their "chief of staff," seamlessly managing processes and even directing teams of subordinate AIs. These AI teams handle a wide range of tasks, from coding and marketing to customer service, freeing the founder to focus on strategic vision and growth.
“People are going to go use these tools to invent the future that we all collectively live in. What one person can already do now before ChatGPT existed is an impressive leap, and by the time we get to GPT-6 or -7, what one person can do will be incredibly increased. And I’m very excited for that, like I think that is the story of the world getting better.”
Sam Altman, 20th Aspen Ideas Festival
The 10-Person Dream Team: Discussed by Y Combinator, this model emphasizes the power of a small, carefully curated team. Ten individuals, each a specialist in their domain, form a cohesive unit capable of moving with incredible speed and agility. This approach marries the power of individual expertise with the synergistic potential of a tightly-knit group.
https://www.youtube.com/watch?v=CKvo_kQbakU&t=1s
**Of course, the true sweet spot may lie somewhere in between. Other experts have chimed in with numbers varying between 1-10. The consensus is that startups will only be composed of founding members. Blitzscaling will no longer be about hiring sprees, but about Kubernetes-like scaling of AI agents. Imagine a group where every member is a force multiplier, their individual strengths amplified by the collective intelligence of hundreds of AI agents.
The Future is Small (and Smart)
The trend is clear. We are moving into a totally new startup world where a few founders with AIs can disrupt established industries, create new category leaders, and change the world.
For solo/small ventures to thrive in this AI-powered future, several factors will be crucial:
Deep Domain Expertise:
While AI can augment capabilities, a profound understanding of the target market is irreplaceable. Human insight remains paramount.
Mastery of the AI Toolkit:
Founders need to be more than just AI-aware; they need fluency. This means mastering AI engineering, agent development, coding co-pilots, and understanding how to effectively scale and manage these AI agents. Building a strong, almost intuitive, relationship with your AI "teammates" is crucial.
Strategic Collaboration:
While AI empowers individual founders, building the still human network of advisors, mentors, and partners remains critical. The ability to synthesize human advice and AI recommendations, while recognizing both the opportunities and limitations of each, will define success.
Conclusion
This is not merely a technological shift; it's a fundamental reshaping of the entrepreneurial journey. While resourcefulness has always been a hallmark of startups, we are now witnessing the dawn of an unprecedented era. Small teams, empowered by AI, are poised to unlock levels of value creation once unimaginable, reshaping industries and redefining the very nature of business impact.