- Alex MacGregor
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- Startups in 2025
Startups in 2025

Startups in 2025 won’t get away with bleeding cash for 5 years.
That playbook is dead.
The next generation of AI companies will be profitable by design—or they won’t survive.
VCs are no longer throwing money at every “AI + noun” idea with a demo. They’re asking real questions:
– What’s your path to revenue now, not in 2027?
– Can you acquire customers profitably without burning $1M/month?
– Are you a tool or a business?
Here’s what winning AI companies will do differently:
1) Build for narrow, high-value use cases—not “general intelligence.”
2) Charge from day one. Subscriptions, usage-based, outcome-based—just charge.
3) Focus on distribution advantages as much as models.
4) Use AI to enable profitable workflows, not just flashy demos.
5) Build products people will pay for without a VC subsidy.
Too many AI startups are optimized for pitch decks.
The next wave will be optimized for profit.
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