a16z’s Olivia Moore on the state of consumer AI

Olivia Moore, a partner at Andreessen Horowitz, released a report examining the top 100 consumer AI apps and discusses the economic challenges facing the consumer AI sector. While most AI revenue currently comes from enterprise subscriptions and token usage, Moore argues that consumer AI could be monetized differently, such as through advertising models rather than direct subscription fees. The current consumer AI market is dominated by professional and technical users building products and automating work, while entire categories like social apps, dating apps, and retail remain largely untouched by AI products, suggesting the market is still in early stages.