The Acceleration Era: AI After 2022 and What It Means for Builders

Sponsored by

Salutations, Olio aficionados! 👋

Welcome to the 162nd edition of Weekly Olio. We’re thrilled to introduce a fresh new twist to your Sundays: Publisher Parmesan, our hand-picked, thoughtfully crafted edition designed to spark inspiration and insights for the week ahead.

It’s the perfect way to unwind, recharge, and prepare for the week with something truly worth savoring.

If you’re new here and you’re looking for more long-form, crispy writing, click the link to subscribe under this GIF 👇

A word from our Sponsors…

Learn AI in 5 minutes a day

What’s the secret to staying ahead of the curve in the world of AI? Information. Luckily, you can join 1,000,000+ early adopters reading The Rundown AI — the free newsletter that makes you smarter on AI with just a 5-minute read per day.

Sign up to start learning.

The Acceleration Era: AI After 2022 and What It Means for Builders

In the timeline of artificial intelligence, 2022 marks a hard line in the sand.

Before that year, AI was about solving specific problems—speech recognition, image classification, translation—mostly with deep learning. Progress was remarkable but incremental. Then came 2022, and with it, the public launch of ChatGPT. Since then, we’ve entered a new era: the age of large foundation models, where AI isn’t just solving specific tasks, but becoming a general-purpose technology—capable of text, code, images, video, even reasoning.

This is the acceleration era. For those building in AI today, it’s both the best and most uncertain time.

Before 2022, AI was modular. It excelled in narrow domains—speech-to-text, face detection, content recommendations. Now, with models like GPT-4.5, Gemini, Claude, and open-source contenders like DeepSeek, we’re witnessing a shift toward universal models: systems that can do many things well, across modalities.

And they’re improving fast.

Where once we saw major breakthroughs every few years, today a new state-of-the-art model seems to launch every three to six months. And that window is shrinking. DeepSeek’s recent cadence suggests it could be every three months soon.

This shift has huge implications for AI builders.

Anxiety or Advantage?

This rapid iteration is exciting—but it also creates existential anxiety for developers and entrepreneurs. Can your product survive the next model update? Will your differentiation disappear overnight?

For some, the pace is stressful. But for AI application startups, it can be an advantage. Costs are dropping. Performance is improving. More choices exist for more use cases. The playing field is expanding, not shrinking.

The key? Stay modular and flexible. Build applications that can switch backend models without disruption. In this world, agility is the moat.

The Real Moat: Understanding the User

As models commoditize, the edge moves up the stack. It’s no longer about who has the best model—it’s who has the best product intuition, user understanding, and go-to-market muscle.

The best founders are returning to first principles: classic internet product building. That means identifying real user pain points, understanding behavioral psychology, and delivering value through experience—not just tech.

In marketing, this means revisiting old frameworks with new tools.

One startup working on AI-generated video content is reviving the 4Ps of marketing—Product, Price, Place, Promotion—and giving them an AI-native twist:

• People (replacing "Place"): AI avatars or digital humans that represent brands

• Product: The items being sold, now placed into dynamic video contexts

• Promotion: AI-generated campaigns and content distribution

• Place: Now synonymous with where the AI content lives—platforms, marketplaces, or custom-built storefronts

The fusion of avatars, product placement, and generative content isn’t just cool tech—it’s marketing reimagined for the AI era.

Sora, Kuaishou, and the Rise of AI Video

One of the most transformative events post-2022 was the reveal of Sora, OpenAI’s video generation model. Though still unreleased commercially, it reset expectations across the industry. Sora proved that realistic video from text or prompts is not a sci-fi dream—it’s happening now.

In the vacuum created by Sora’s slow rollout, competitors surged ahead. Companies like Runway, Kuaishou, and Kling in China pushed generative video into commercialization. Today, low-cost, scalable video generation is viable, with Chinese players producing models and digital avatars trained for specialized domains—from e-commerce to training videos to influencer content.

We’ve moved from generic models to verticalized, high-performance agents that serve distinct markets.

Looking for unbiased, fact-based news? Join 1440 today.

Join over 4 million Americans who start their day with 1440 – your daily digest for unbiased, fact-centric news. From politics to sports, we cover it all by analyzing over 100 sources. Our concise, 5-minute read lands in your inbox each morning at no cost. Experience news without the noise; let 1440 help you make up your own mind. Sign up now and invite your friends and family to be part of the informed.

Subscribe to 1440 today.

The Next Wave: Product Avatars and Context-Aware Digital People

What’s coming next?

Some teams are focusing on blending Product + People and Product + Place to elevate how items are presented in marketing. That means:

• AI avatars that don’t just talk—but hold, wear, or demonstrate products

• Contextual placement of items in dynamic, AI-generated scenes

• Interactivity with users, where avatars adjust based on user behavior or preferences

Imagine a digital salesperson who can instantly wear different styles, change hairstyles, or present product use cases in real-time within a scene. Not just a talking head—but a multi-angle, multi-scene demo video, generated in minutes.

As one founder put it: “We’re no longer stuck with avatars just talking in front of a static screen. Now, they can move, interact, and sell.”

Getting Real About AI’s Limits

That said, realism about what AI can and can’t do is finally setting in.

In late 2023, many marketing teams and executives were burned by hype. Pilot projects failed to deliver. Expectations outran reality. But now, the tone has matured.

People are more patient. They understand the limits better. And when it works—it really works.

The companies that succeed aren’t the ones chasing every new model or gimmick. They’re the ones doubling down on what actually works, using data to track usage, cost-effectiveness, and user satisfaction.

Find the feature with the highest impact. Scale that. That’s the new playbook.

Final Prediction: 3D-Aware AI and Seamless Interaction

One area many founders see on the horizon—but aren’t rushing into—is 3D spatial awareness. That means AI-generated digital humans that can fully interact with 3D environments, objects, and users. Think AR meets generative AI.

It’s not here yet—but it’s coming.

This speaks to a new kind of AI leadership—not just tech optimism, but timing discipline. Know when to build. Know when to wait. Know what to scale.

Why Hangzhou, Why Now?

Interestingly, many of these innovations are happening not in Silicon Valley or New York, but in places like Hangzhou, China.

Why?

• Pro-market government policies: Fast, transparent startup subsidies

• Integrated ecosystems: Strong local networks, thanks to platforms like Alibaba

• Hardware + software infrastructure: Shenzhen’s smart factories meet Hangzhou’s digital talent

It’s a reminder that innovation is local—even in global tech trends.

Other founders, especially those with ties to Singapore, cite that city as the ideal hybrid: Western infrastructure, Eastern energy, and a governance model that balances freedom with structure.

TL;DR: How to Win in the AI Acceleration Era

• Don’t chase the model. Chase the user. Let model selection be modular and flexible.

• Commoditized intelligence means UX is your moat.

• Revisit old frameworks (like the 4Ps) and reimagine them with new tools.

• Focus on what works, and scale features with proven value—not just hype.

• Know what’s coming, but don’t build too early. Timing is key.

• Look beyond tech hubs. Some of the best AI innovations are happening in Hangzhou, Singapore, and other rising centers.

The best time to build is now—but only if you know what you're building for.

Interested in learning more about creator economy? Check out our previous coverage here:

• The Quiet Reset of the Influencer Economy

• The True Costs of Being on YouTube

• The Economics of OnlyFans

Start learning AI in 2025

Keeping up with AI is hard – we get it!

That’s why over 1M professionals read Superhuman AI to stay ahead.

• Get daily AI news, tools, and tutorials

• Learn new AI skills you can use at work in 3 mins a day

• Become 10X more productive

Sign up and start mastering AI

That’s all for this week. If you enjoyed this edition, we’d really appreciate if you shared it with a friend, family member or colleague.

We’ll be back in your inbox 2 PM IST next Sunday. Till then, have a productive week!

Peeyush and Mohit

Disclaimer: The views, thoughts, and opinions expressed in the text belong solely to the author, and not necessarily to the author's employer, organization, committee or other group or individual.