Tuesday, 16 December, 2025
Consumer AI Startups Struggle for Sustainable Growth, VCs Warn

Venture Capitalists caution that most consumer AI startups lack long-term viability due to limited product differentiation and poor user retention. Generative AI tools are easily copied, preventing competitive advantages. Experts suggest many apps solve sporadic needs rather than daily ones. Sustained success requires developing truly addictive solutions, strong network effects, or the emergence of new, AI-native personal hardware devices.
Read full story at TechCrunch