David Toms, Head of Research at Hg, dives into the remarkable implications of generative AI across various sectors. He discusses how AI can boost productivity amid a shrinking workforce, while emphasizing the critical role of human input for subjective tasks. Toms also outlines its transformative effects on private equity, detailing customer support automation and unexpected uses in software development. He offers insights on measuring success in generative AI initiatives and the evolving landscape of technology, drawing parallels to past innovations.

David Toms, Head of Research at Hg, dives into the transformative power of generative AI in the software industry. He discusses the shift from traditional per-user pricing to dynamic models based on customer value and usage. Toms highlights the complexities of results-based pricing through an insightful case study, emphasizing the need for profitability alongside value alignment. He also advocates for fostering competition and collaboration among portfolio companies, showcasing how benchmarking can enhance operational efficiencies.