So the other day at a board meeting on one of my fastest growing investments, at almost $100m ARR, said what I’ve been tweeting and thinking for quite a while:
In B2B SaaS, there will be AI Parity in 2025. At least in many cases, in many categories and segments.
Let’s take a look at the so far brief history of AI in most B2B apps and categories:
- In 2023, only a few SaaS vendors truly added AI to their products.
- In 2024, everyone has added and is continuing to add AI, and learning, and iterating. And as they do — they are of course also watching their competitors. And of course, copying and iterating on what is working for them. Quickly now.
- In 2025, everyone in B2B SaaS at least will essentially have the same AI features. Implemented differently, for sure. But the same basic checklist on their pricing and product pages.
In fact, in spaces like legal and contact center that have adopted AI the fastest, you are already seeing this. If you go to their homepages, their market sites — everyone is making the same claims for AI.
Screenshot
Adding true AI automation to an existing B2B product is a ton of work. In many cases, it’s the most complex initiative many have added in years. It’s a lot to do, to maintain, to iterate, to improve, etc.
But the best have found a way. And a way, using similar models and similar APIs, to emulate what everyone else is doing.
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Does this mean you can’t tune your model better than the competition? Yes, you can. But will prospects and customers be able to discern those differences? I’m not so sure.
So as you build out all your AI functionality faster than ever, make sure you are also building AI parity with the competition. Those that aren’t, or are complaining that AI isn’t good enough, or doesn’t quite work … will be left behind.
Your competitors will not only continue to go deep on AI, but achieve AI parity with each other. You will have to as well, not to win deals — but just to make sure you don’t lose them.
And a great related deep dive with Mark Roberge from SaaStr Annual here:
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Jason Lemkin, Khareem Sudlow
