The era of the "God Model" is over. 📉 We investigate the massive strategic pivot in the AI industry: the move from chasing raw intelligence to building "Product Science." Investors and tech giants are realizing that bigger models are hitting diminishing returns, and the real gold rush is now in the Application Layer.

1. The Infrastructure Trap: We break down the "AI Gold Rush" reality. For years, the money was in "selling shovels" (chips, cloud compute, infrastructure), but that market is saturating. The new thesis is that value creation is shifting to Application Layer companies—startups that use existing models to solve specific, boring business problems rather than trying to build AGI.

2. The Product Science Bet: We explain the new investment frontier. Venture capitalists are now backing "Product Science"—the rigorous engineering of AI into usable, reliable workflows. This means moving beyond "vibes" and chatbots to building Agentic Systems that can execute complex tasks like supply chain management or drug discovery with 99% reliability. It’s no longer about how smart the model is; it’s about how well it fits into a product.

3. The New Moat: If everyone has access to GPT-4, what is the competitive advantage? We discuss how companies are building new "moats" through proprietary data, deep domain expertise, and vertical integration. The winners of 2025 won't be the ones with the biggest brains, but the ones who can actually do the work.