How do you underwrite AI risk and opportunity related to deals in the lower-middle market?
According to Jeff Goldstein, independent sponsor at Breakwater Management focused on media & marketing, and formerly CEO at a public company:
• The pace of development is faster than the pace of adoption. AI is moving faster than industries and humans can absorb it. That creates both anxiety and opportunity.
• “[Instead of being replaced by AI, our portco] is helping clients navigate AI almost as a strategic advisor. We are explicitly positioned as the strategic partner to CMOs. That human judgment is long-term valuable.”
• Implement immediate applications for data processing, optimizations, and efficiency gains. Examples:
- Testing: running 1,000 A/B tests where you used to run 10.
- Analytics: predicting customer behavior more holistically.
- Personalization: dynamically tailoring an experience for every individual.
Listen to this week's episode of the Minds Capital Podcast with Jeff Goldstein.
