Quoting Chamath Palihapitiya:

Replacing determinism or humans with probabilistic code is fraught with edge cases and require new ways of software development and process engineering that aren’t well solved yet.

The implications to an entire generation of AI "apps" will be severe as more companies come to terms with the difficulty in getting products to work reliably in production with AI in the loop. Customer Service may be the first funeral signpost.

The result will be that many startups will need to pivot to simply use AI for narrow use cases and otherwise act deterministically. So what have people funded then? An AI company? Not really. Just a really overpriced SaaS company at AI valuations.