Poolside CEO: Most Companies Should Avoid Building Foundation Models

Poolside's co-founder and CEO, Jason Warner, didn't hold back at the HumanX AI conference in Las Vegas. He's pretty clear that most companies should ditch the idea of building their own foundation AI models and focus on creating applications instead. After all, Poolside itself is an AI-powered software development platform, so he knows what he's talking about.
Warner told the crowd that he believes intelligence is as crucial as electricity, and if you don't get that, you've got no business messing with foundation models. He put it this way: "If you’re one of those people, if you want to take one side of the fence, you’re a printing press for cash unlike anything we’ve ever seen in the world. Or if the other side of the fence, you’re basically changing and bending the arc of humanity in a way that we’ve not done before. And I believe that to be true."
He went on to say that Poolside is literally chasing after AGI through their software. And if you're just looking at foundation models as a way to score some VC money, Warner suggests you should just slap a wrapper on an existing model and call it a day.
But here's the thing: Warner thinks that even if you're building a foundation model, it shouldn't be your whole product. It should be just a piece of it, especially as the competition heats up.
He said, "In my view, if I’m going to go build this type of business, I’m building on one side, going after intelligence on compute, I need to go after the hardest environment. You can’t do simple on one side and hard on the other. It doesn’t really make sense, because if you’re going to go for everything, go for everything."
That's why Poolside is tackling tough sectors like defense and working with the government. But don't worry, they've got plans to launch a consumer app down the line, too.
Poolside, based in San Francisco, was started in 2023 by Warner, who used to be the CTO at GitHub and a managing director at Redpoint, along with Eiso Kant, a serial founder. They've managed to raise over $620 million in venture funding and are now valued at a cool $3 billion.
Related article
How to fix Core Web Vitals for better SEO rankings
How to Build a Free Website: Free Domain, Hosting & AI Website BuilderTable of ContentsIntroductionAI Website Builder 1: Hookous AIStep 1: Sign UpStep 2: Choose Business Type/NicheStep 3: Select ServicesStep 4: Define Website GoalsStep 5: Enter Busin
Apple, Google Partner With Anthropic to Address 27-Year-Old Vulnerability via Glass Wing Protection
As artificial intelligence advances rapidly in code generation and logical reasoning, the cybersecurity landscape faces unprecedented challenges. Recently, the prominent AI startup Anthropic officially launched a cross-industry collaboration called *
OpenAI Chief Scientist Addresses AI Reasoning Transparency Debate: Complexity Steady, No Sudden Jump
On September 2, Jakub Pachocki, OpenAI’s Chief Scientist, addressed public concerns on X regarding the AI model Astra, clarifying claims that it operates without oversight and lacks transparent reasoning.Why the Controversy Erupted: Deep Recurrence O
Related Special Topic Recommendations
Comments (15)
0/500
Jason's got a point — the hype around foundation models is real, but most companies should just focus on building useful apps. No need to reinvent the wheel (and burn cash) trying to compete with OpenAI. 😂
Foundation Modelsを自社で作ろうとする企業が多いけど、プールサイドCEOの意見には納得。GPUリソースもデータも限られている中で、すべての会社が同じことをする必要ある?むしろアプリ開発に集中した方が現実的かも。でも、この流れだと大手テック企業だけが基盤モデルを支配することにならない?🤔
Jason Warner's take is spot-on! Most companies chasing foundation models are just burning cash. Focus on apps that solve real problems, not reinventing the AI wheel. 🛠️
Jason Warner's take at HumanX is spot-on! Most companies chasing foundation models are just burning cash. Building apps with AI is where the real value is—leave the heavy lifting to the big players. 🧠💡
Jason Warner's take is spot-on—most companies chasing foundation models are just burning cash. Focus on apps, not reinventing the AI wheel! 🚀

Poolside's co-founder and CEO, Jason Warner, didn't hold back at the HumanX AI conference in Las Vegas. He's pretty clear that most companies should ditch the idea of building their own foundation AI models and focus on creating applications instead. After all, Poolside itself is an AI-powered software development platform, so he knows what he's talking about.
Warner told the crowd that he believes intelligence is as crucial as electricity, and if you don't get that, you've got no business messing with foundation models. He put it this way: "If you’re one of those people, if you want to take one side of the fence, you’re a printing press for cash unlike anything we’ve ever seen in the world. Or if the other side of the fence, you’re basically changing and bending the arc of humanity in a way that we’ve not done before. And I believe that to be true."
He went on to say that Poolside is literally chasing after AGI through their software. And if you're just looking at foundation models as a way to score some VC money, Warner suggests you should just slap a wrapper on an existing model and call it a day.
But here's the thing: Warner thinks that even if you're building a foundation model, it shouldn't be your whole product. It should be just a piece of it, especially as the competition heats up.
He said, "In my view, if I’m going to go build this type of business, I’m building on one side, going after intelligence on compute, I need to go after the hardest environment. You can’t do simple on one side and hard on the other. It doesn’t really make sense, because if you’re going to go for everything, go for everything."
That's why Poolside is tackling tough sectors like defense and working with the government. But don't worry, they've got plans to launch a consumer app down the line, too.
Poolside, based in San Francisco, was started in 2023 by Warner, who used to be the CTO at GitHub and a managing director at Redpoint, along with Eiso Kant, a serial founder. They've managed to raise over $620 million in venture funding and are now valued at a cool $3 billion.
How to fix Core Web Vitals for better SEO rankings
How to Build a Free Website: Free Domain, Hosting & AI Website BuilderTable of ContentsIntroductionAI Website Builder 1: Hookous AIStep 1: Sign UpStep 2: Choose Business Type/NicheStep 3: Select ServicesStep 4: Define Website GoalsStep 5: Enter Busin
Apple, Google Partner With Anthropic to Address 27-Year-Old Vulnerability via Glass Wing Protection
As artificial intelligence advances rapidly in code generation and logical reasoning, the cybersecurity landscape faces unprecedented challenges. Recently, the prominent AI startup Anthropic officially launched a cross-industry collaboration called *
OpenAI Chief Scientist Addresses AI Reasoning Transparency Debate: Complexity Steady, No Sudden Jump
On September 2, Jakub Pachocki, OpenAI’s Chief Scientist, addressed public concerns on X regarding the AI model Astra, clarifying claims that it operates without oversight and lacks transparent reasoning.Why the Controversy Erupted: Deep Recurrence O
Jason's got a point — the hype around foundation models is real, but most companies should just focus on building useful apps. No need to reinvent the wheel (and burn cash) trying to compete with OpenAI. 😂
Foundation Modelsを自社で作ろうとする企業が多いけど、プールサイドCEOの意見には納得。GPUリソースもデータも限られている中で、すべての会社が同じことをする必要ある?むしろアプリ開発に集中した方が現実的かも。でも、この流れだと大手テック企業だけが基盤モデルを支配することにならない?🤔
Jason Warner's take is spot-on! Most companies chasing foundation models are just burning cash. Focus on apps that solve real problems, not reinventing the AI wheel. 🛠️
Jason Warner's take at HumanX is spot-on! Most companies chasing foundation models are just burning cash. Building apps with AI is where the real value is—leave the heavy lifting to the big players. 🧠💡
Jason Warner's take is spot-on—most companies chasing foundation models are just burning cash. Focus on apps, not reinventing the AI wheel! 🚀





Home






