We've been asked a lot lately if Europe has already lost the AI race to the US and China.

While it’s easy to get distracted by the trillion-dollar giants in Silicon Valley, being a proactive leader today requires looking at the "layers underneath" the hype.

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How to Think About the AI Landscape:

Being proactive starts with shifting your mindset from consumption to specialisation.

We discuss why the "Big LLM" era might be peaking, making way for a future dominated by Vertical AI—tools designed for specific industrial, clinical, or legal sectors. If you are waiting for a general model to solve your specific business problems, you’re already behind.

Actionable Steps for Leaders:

• Audit your sector, not the news: Stop tracking every minor update to GPT and start monitoring the "remarkable little gems" appearing in your specific industry.

  
  

• Survive to Thrive: Your short-term goal is to get your infrastructure protected and operational so you can survive long enough to thrive when the market matures.

  
  

• Infrastructure over Applications: Understand the constraints—like power and capital—that dictate where the tech is heading. Proactive leaders look at the "power game" (literally) to predict which regions will scale next.

  
  

While the "Big 3" LLMs are American, the real value is moving into the "layers underneath."

We don't need to build the next ChatGPT to win; we need to own the verticals.

3 Actionable Takeaways for your team:

1. Verticals over Generals: The next six months belong to industry-specific AI. Whether it’s healthcare, autonomous mobility, or legal tech, niche expertise is our "Formula One" advantage.

   
   

2. Every company is an API company: Your unique data is your moat. Stop worrying about where the model is hosted and start focusing on how your data powers it.

   
   

3. The Rise of Small Language Models (SLMs): Massive models are power-hungry. Specialized, localized SLMs are more efficient and often more secure for industrial applications.

Europe’s story isn't over; we’re just moving from the "lab" phase to the "global market" phase.

The Bottom Line:

You don't need to move to Silicon Valley to win. By focusing on localized, geo-specific models and leveraging your own unique datasets, you can co-create an ecosystem that makes your business indispensable.

Thanks for listening today!

Danny Denhard