A company discussed on AI Engineer.

The Next Unicorns: 7 Top AI startups from the HF0 Residency
Aug 21, 2025 · 22:16
Diego Rodriguez (Krea) presents an AI creative suite that generated 1M images/day for a Fox ad, while OpenHome debuts the first AI smart speaker with 10K developers and 500 free dev kits. Josh’s Coframe made $20M for a travel firm by making websites adaptive, and Eugene’s Featherless AI built QWERTY 72B without transformer attention, claiming scale is dead in favor of reliability. Jonas Bauer’s Upside uses LLMs to structure enterprise data, Lengyue’s OpenAudio introduces S1, the first instructable voice model beating ElevenLabs, and Alex Atallah’s OpenRouter provides a single API for all LLMs, growing 10–100% monthly.

State of Startups and AI 2025 - Sarah Guo, Conviction
Aug 2, 2025 · 23:52
Sarah Guo of Conviction argues that AI's value creation is massive and early, with companies like Cursor reaching $100M ARR in 12 months and Harvey exceeding $70M ARR. She predicts that by end of 2026, AI agents will ship code directly to production, voice AI will replace text for most business communication, and inference costs will drop below a cent per million tokens. Reasoning is a new scaling vector unlocking higher-stakes use cases, and agent startups have increased 50% in the last year. Multimodal models from HeyGen and Eleven are already rocketing past $50M ARR. The model market is more competitive than ever, with GPT-4 costs falling from $30 to $2 per million tokens in 18 months and open-source like DeepSeek competing. Guo advises builders to focus on thick wrappers around LLMs, leveraging domain and workflow knowledge, and warns against generic text boxes: 'The prompt is a bug, not a feature.' Execution, not first-mover advantage, is the moat.

Fun stories from building OpenRouter and where all this is going - Alex Atallah, OpenRouter
Jun 25, 2025 · 18:47
Alex Atallah, founder of OpenRouter, tells the story of how he launched the LLM aggregator in early 2023 after observing the open-source race sparked by Meta's Llama 1 and Stanford's Alpaca distillation under $600. He argues the inference market is not winner-take-all, citing OpenRouter's data showing Google Gemini growing from 2-3% to 34-35% of tokens over 12 months. The platform evolved from a simple model collection into a marketplace with over 400 models and 60 providers, solving architecture challenges like 30-millisecond latency, cancelable streams, and a middleware plugin system for web search and PDF parsing. Atallah explains that OpenRouter grew 10-100% month-over-month for two years, and he predicts future additions like transfusion models that generate images and more powerful geographic routing for enterprise optimization.
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