Sunday, January 11, 2026

Why AI’s Scaling Challenges Are No Longer About Intelligence, According to a16z

Artificial intelligence (AI) is now limited more by economic and governance infrastructure than by model capabilities, according to a16z crypto. The firm highlights that while AI can perform complex tasks across various domains, it lacks essential features like identity, attribution, and compensation for effective operation. Scott Kominers notes a significant leap in AI’s capabilities, enabling models to tackle sophisticated problems, especially in fields like mathematics, shifting from mere assistance to discovery. However, challenges around model interoperability and recognition of contributions persist. Sean Neville emphasizes the need for “Know Your Agent” systems, as existing financial structures inadequately support non-human AI identities. Moreover, Liz Harkavy warns that AI agents impose an “invisible tax” on the open web, extracting content value without fair compensation. She advocates for blockchain-based micropayments to ensure fair attribution and real-time rewards for content creators. In summary, robust governance frameworks are crucial for AI’s scalable integration.

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