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Aastha Anand
Startup | VC | Autom... • 1d
The Hidden Agency Behind “Tech” Startups Some startups claim to offer automated solutions, but behind the scenes, it's often manual work. This is common in Web3, AI, and SaaS, where tasks like content generation or customer onboarding are handled by teams, not tech. #Why Founders Do This: • To test market demand before investing in complex tech • To show traction to investors, even if it’s manual • Because building real tech is costly and time-consuming #This approach is often called: • “Wizard of Oz MVP” - faking the automation until it’s built • “Concierge MVP” - offering a manual service to learn what users really want #The Issue: • This model isn’t scalable • Investors eventually realize the “tech” was smoke and mirrors • Clients get frustrated when they realize the truth • Founders risk getting stuck in a service delivery loop #When It Works: • If founders are transparent and treat the manual phase as learning • If they use it to fund the real tech development
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