Companies looking at baking AI into their products need to make a critical decision on whether to rebuild around AI or use AI to augment existing capabilities and structures.
In the early 2000s, Blockbuster was untouchable. It had thousands of stores, millions of loyal customers, and a brand synonymous with home entertainment. Going to Blockbuster was something that many millions of people did every weekend. Few would ever have imagined that a small DVD-by-mail service could bankrupt Blockbuster. Netflix burst onto the scene and quickly became an existential threat to the incumbent. But behind the scenes, this challenger was quietly laying the groundwork for a new kind of entertainment. Netflix wasn’t just focused on DVDs; it was building something bigger—a fully digital, AI-enhanced streaming platform that would eventually make physical DVDs irrelevant.
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