AI is like water

The article argues that generative AI application companies are like bottled water: many share the same underlying technology, so differentiation must come from brand, distribution, marketing and perceived value rather than the tech itself. It uses the history of bottled water to make the case, noting that Perrier repositioned a languishing French brand as upmarket in the mid-1970s, with sales rising from $3 million in 1975 to $200 million in 1979. It also cites Coca-Cola and Pepsi's Aquafina and Dasani, launched in 2001 using existing purification equipment, and Dasani's failure in the UK after it was found to be filtered tap water containing bromate.