Your AI Product Is Not A Real Business

Most AI startups today are just wrappers around existing models.

Call the OpenAI API, add a UI, charge a subscription.

But is that actually a business?

After attending STEP 2026 in Dubai, Brunelly’s CTO wrote a piece arguing that many AI products today are essentially tech demos — not real companies. The core argument is that relying entirely on external models creates zero defensibility, no real IP, and huge platform risk.

He also breaks down:
• Why enterprise buyers don’t care about “AI-powered” marketing
• Why vibe-coded products often fail in real-world environments
• Why real AI systems require serious infrastructure beyond a simple API call

Whether you agree or disagree, it raises an interesting question about the current AI startup wave.

Full article: https://brunelly.com/your-ai-product-is-not-a-real-business/

Curious what people here think:
Are most AI startups building real products, or just wrappers?

Posted Mar 10, 2026, 11:26 AM UTC

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