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Microsoft as a Mirror - What We Can Expect for SaaS in 2023

Tom Tunguz

We saw moderated consumption growth in Azure and lower-than-expected growth [elsewhere]. Segment Expected Growth Productivity 12% Office Commercial 6% Office On-Premise -25% LinkedIn 5% Dynamics 13% Intelligent Cloud 18% Azure 26% Server -3% Services -3% 2. At some point, the optimizations will end.

Azure 230
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The Rarity Shibboleth

Tom Tunguz

Large language models are wonderful at ingesting large amounts of content & summarizing. Benn Stancil described LLMs as great averagers of information. 1 I haven’t found a way to goad an LLM to produce the rare result. Maybe I haven’t learned how to prompt an LLM well.

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Standard Issue AI

Tom Tunguz

Calendar Quarter Azure OpenAI Orgs, k CoPilot Users, m Power Platform Orgs, k 1/1/24 53 1.3 Small-language models are coming. “We have also built the world’s most popular SLMs, which offer performance comparable to larger models but are small enough to run on a laptop or mobile device.

AI 185
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The decade software ate the world

Intercom, Inc.

The most triumphant transfer of control from an original generation leader to a new CEO was surely that of Microsoft, which pivoted from chasing after Apple’s success in the consumer space under Steve Ballmer (don’t mention Nokia ) to successfully focusing on the cloud under Satya Nadella (please do mention Azure). The decade ahead.

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10 Predictions for Data at the Impact Summit

Tom Tunguz

Look no further than the massive companies pushing the public & the private market forward: Snowflake, Databricks, Amazon, Azure, Google Cloud. 2020 is the decade of data. It’s quite possible that data products have created more market cap than any other subsegment of SaaS in the last five years.

Data 220
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How Shopify Implements AI Across Sales and Product with Mike Tamir, Head of AI at Shopify, and Rudina Seseri, Managing Partner at Glasswing Ventures

SaaStr

Culture Structure You want a culture of checking results and having metrics to evaluate those results from the LLM or a more traditional model. Historically, Cloud platforms like AWS and Azure help with the sporadic needs of renting a GPU for a few hours for training vs. long-term use, which would cost thousands of dollars.

AI Search 206
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Thanks to Calendly, Drift, Reprise, Secureframe, and Shift Paradigm for Sponsoring SaaStr Annual 2022!

SaaStr

Drift brings Conversational Marketing, Conversational Sales and Conversational Service into a single platform that integrates chat, email and video and powers personalized experiences with artificial intelligence (AI) at all stages of the customer journey.