Spent $47,000 for only 12 users—My honest opinion on the AI startup boom.

This is the reality: most AI startups are just well-packaged tech demos, burning through endless cash with little results.

**Why I jumped in**

Eighteen months ago, I was still working as a software consulting advisor, living a good life with stable income and a comfortable pace. Then ChatGPT suddenly appeared, and my entire LinkedIn feed changed instantly—full of bragging posts from AI entrepreneurs:

"I developed an AI system that can handle X in 10 minutes!"
"Our AI company just raised $2 million!"
"Make $10,000 a month using AI tools!"

This barrage of information made me panic. Everyone was going all in—why not me? "How hard can it be?" I thought.

**Spoiler: It’s damn hard.**

**The "Eureka" at 2 a.m.**

I decided to create an AI content creation tool, specifically for small businesses. The concept was super simple: "Input company info, generate professional marketing copy in seconds."

Sounds reasonable, right?

First, small businesses’ copywriting is indeed terrible; secondly, they don’t want to spend big bucks hiring a copywriting team; third, AI-generated copy is okay; finally, a subscription model can ensure monthly recurring revenue. It all made logical sense.

I spent a few weeks "validating" this idea. How? I asked friends: "Would you pay for this?" Everyone said "Yes."

The first mistake was made.