AI is changing how companies are built and how venture firms operate, forcing faster decisions, clearer judgment, and new ways of working.

In this exclusive conversation, Ben Horowitz shares how Andreessen Horowitz adapts to that shift. He explains why managing GPs is different from running a company, how investors are evaluated at the moment of decision rather than years later, and why verticalized teams help the firm scale without internal politics.

Ben also breaks down the current AI cycle, from treating AI as a new computing platform to why application design and model orchestration matter more than raw model size. He discusses the return of M&A and why today’s AI market reflects real demand, not just inflated valuations.

Timecodes:
0:00 – Introduction
1:33 – Managing GPs vs. companies
4:33 – Framework for evaluating GP performance
6:23 – Verticalization strategy & firm structure
10:14 – Culture and staying in the details
12:46 – How to identify the right markets
17:49 – Mission: giving people a shot
21:28 – M&A landscape opening up
22:09 – Why foundation models alone aren't enough
25:46 – Ownership and the future of VC
29:03 – Why AI will produce more winners than previous technology cycles
32:01 – Rapid-fire personal questions

Resources:
Follow Ben on X: https://twitter.com/bhorowitz
Follow Jen on X: https://twitter.com/jkhamehl
Read Justine’s piece ‘There is No God Tier Video Model’: https://a16z.com/there-is-no-god-tier-video-model-but-there-is-something-better

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