S2 #2 2025 Predictions
Embracing the Future: Predictions for the Early-Stage Startup Landscape in 2025
As we dive into the new year, it's always a good time to reflect on what's ahead, especially in the fast-paced world of startups and technology.
First off, as we look ahead to 2025, I'm feeling extraordinarily bullish about the tech landscape. The market is buzzing with optimism, and it seems like we're on the brink of something big. Stocks are hitting all-time highs, and there's a palpable excitement around the future of our economy.
Sure, there's always a chance for a market correction, but with so much venture capital waiting on the sidelines and companies becoming more efficient with AI, I honestly believe we're in for a financial boom.
That was actually one of the predictions on the latest episode of the 1st10 Podcast, which I co-host with my colleague Alexis Munger. We each shared our expectations from the year to come. If you prefer reading over listening, here's a quick summary of our chat!
1. The Rise of AI Agents:
Alexis correctly points out that AI agents are becoming the new apps, shifting the focus from traditional mobile development. Instead of downloading a multitude of apps, users will increasingly rely on intelligent agents that can perform tasks, answer questions, and provide personalized experiences. This shift will redefine how we interact with technology, making it more intuitive and efficient.
Therefore, companies are increasingly looking for engineers who can build and integrate these intelligent agents. This means that the demand for talent in AI and machine learning will skyrocket, and startups will need to prioritize hiring engineers with expertise in these areas to stay competitive.
2. Evolving Skill Sets:
It naturally follows from (1) that engineers will need to adopt a more full-stack approach, incorporating large language model (LLM) technology expertise in their skill sets. As AI becomes more integrated into various applications, engineers will need to understand not just the front-end and back-end development but also how to leverage AI models to enhance user experiences and streamline processes.
This means that engineers will need to be adept at customizing AI solutions, ensuring they align with the unique goals and challenges of their organizations.
3. Global Hiring:
An unrelated but important consequence of the AI revolution is that the trend of return-to-office might see a shift. We are at an interesting fork in the road. One possibility is that startups might choose to leverage the global talent pool they have by opening up local offices in multiple geographies - within and outside America.
Regardless, flexibility in hiring will be key to attracting top talent in this evolving landscape. Startups that can offer remote work options, flexible hours, and a strong company culture will have a competitive edge in attracting the best engineers.
4. American Dynamism:
American Dynamism, coined by Marc Andreessen, embodies the spirit of building great things in America, focusing on innovation in manufacturing, robotics, AI, and infrastructure. It emphasizes innovation and the belief in American ingenuity to address significant national challenges.
I predict that we are likely to see a resurgence in domestic manufacturing and technological advancements. I predict that we will witness a renewed sense of pride in creating high-quality products and services right here at home, fueling a fresh wave of innovation in our tech industry. Startups that align with the principles of American Dynamism will likely attract investment and talent, as they contribute to a more robust and resilient economy.
And those were our top predictions for 2025!
But here's the kicker - Alexis and I also made bets on which one of these predictions might not actually pan out! And, let's just say, her choice pained me a LOT! I wish I could put my pain into words but you can hear for yourself in the episode, if you can stomach it!
Anyway, I wish you a happy rest-of-2025! If you have any recruiting-related questions or need assistance with hiring, don’t hesitate to reach out through our website at www.1st10.com - we're always up for a good chat!
About Us:
1st10 was founded on the simple philosophy that there is nothing more important to the success of your startup than the first ten engineers you hire. Because the first ten will impact the next ten and any wrong misstep can be the difference between success and failure. 1st10 works with visionary founders and exceptional engineers to build world class engineering teams.
1st10 was founded by Boris Epstein, original founder of Binc, the firm best known for pioneering embedded recruiting in Silicon Valley. Binc built early teams for Pinterest, Ripple, Stripe, Square, Airbnb, Reddit, Tesla and many more. Binc was acquired by Robinhood in 2021.