2025 was the year AI stopped feeling chaotic and started feeling buildable. In this Lightcone episode, the YC partners break down the surprises of the year, from shifting model dominance to why the real opportunity is moving back to the application layer, and why the next wave of AI startups may be just getting started. 00:00 Intro 00:50 Anthropic models are most preferred in the latest YC batch 05:36 Why aren’t there more AI consumer apps? 07:01 Swapping models in and out is becoming the norm 09:08 The big AI bubble question 14:37 Space as the solve for data centers and energy 17:29 Interest in starting model companies 21:01 Vibe coding became a big category 22:23 AI economy has stabilized 23:38 The AI 2027 piece 25:49 Founders still need to hire teams 29:02 Outro Apply to Y Combinator: https://www.ycombinator.com/apply Work at a startup: https://www.ycombinator.com/jobs
Talk at Startup School Europe 2014 at The Brewery in London