The investor who helped create LinkedIn says the AI chatbot window is already closed. But I am saying potential podcast This week, LinkedIn founder Reid Hoffman told investors to stop chasing OpenAI and Anthropic and instead start looking toward AI-powered medicine, describing healthcare as a “massive total addressable market” that is just beginning to be disrupted.
Major chatbot platforms are already established. OpenAI and Anthropic have captured investor attention and market share to the point where new entrants face an uphill battle.
He said that while investors have been “googly-eyed” about Anthropic’s growth as its run rate soared to more than $47 billion this month, he realized that just because the market achieves scale doesn’t mean there’s enough room at the top for new entrants. “It’s time for medicine,” he quipped.
Hoffman is the co-founder of Psyche AI, a biopharmaceutical company that uses AI for drug discovery. Its mission statement is to create a “drug discovery factory for monopolies”, an intentionally controversial take on what the company represents.
New drugs typically enjoy 20-year patent protection, allowing them to generate billions in revenue. But, according to Hoffman, AI can speed up the initial stages of this process: making research faster, less expensive, and more efficient than it has been for decades.
While AI chatbots have focused on only a few platforms, Hoffman believes that will not be the case with healthcare.
Citing the example of GLP-1 drug makers making tens of billions for their respective drugs in the same category, Hoffman believes pharmaceutical AI has the potential to create multiple winners at once.
“It’s very possible that you have a monopoly on your drug and that other drugs in the same niche are really attractive,” he said.
Hoffman recently refuted the idea that the AI revolution has led to mass job cuts at tech companies. In his latest post on Platform
“It is important not to ignore other factors,” he wrote, a nuanced position that intersects with both AI doom narratives and the AI hype cycle.
