What Young Founders Get Wrong About Startups | Articul8, Arun Subramaniyan
Meet Arun Subramaniyan, Founder & CEO of Articul8. Before launching Articul8, he led global AI, quantum, and HPC initiatives at AWS, and later served as VP o...
Watch on YouTube →Transcript
Intro
- 00:00So the biggest thing that is different
- 00:01of course being in a startup is that you
- 00:03don't have any safety net. You really
- 00:05need to have a hustle that goes way
- 00:07beyond anything you've seen in life. You
- 00:09don't have any time to sit and think.
- 00:12You just have to deal with it and keep
- 00:13rolling. I would say the biggest thing
- 00:14I'll do differently is to make sure that
- 00:17people who come to the company
- 00:20understand the fact that there's no
- 00:21safety net. And we've had our fair share
- 00:24of turnovers. And even people who were
- 00:26in the early early teams, we've had to
- 00:28let go. Partly because they may be
- 00:30perfect candidates, perfect employees in
- 00:32a large company, perfect candidates or
- 00:34outstanding candidates in a medium
- 00:36company, but a terrible misfit in a
- 00:38small company. Like I'll tell you a
- 00:40general conversation that would usually
- 00:41go. We ask for say going and meeting
- 00:44with a customer or something. We're
- 00:45expecting a week goes by. You go ask
- 00:47them, "Hey, did this get done?" And
- 00:48they'll say, "No, I sent an email. We
- 00:50still waiting for a response." Now, in a
- 00:52large company, that's a perfectly fair
- 00:53statement to make. No problem. You'll
- 00:55get a response. And typically, say
- 00:56you're an Amazon or you're in Google or
- 00:58Microsoft, you send a response, people
- 00:59respond back. The same people, if you're
- 01:02sending an email from a startup, they
- 01:04don't respond. Most of the time, they
- 01:05don't have time to do that. But second,
- 01:07we don't have the time to wait. We send
- 01:09an email, then call the person, then
- 01:11text the person, and text their wife if
- 01:12we have to to make sure we get a
- 01:14response. There have been cases where we
- 01:16would say, "Look, do you want me to go
- 01:18pick up your kids so that I can actually
- 01:20get 15 minutes with you?" It's that kind
- 01:22of hustle that you rarely almost ever
- 01:25need in any other job, but you need it
- 01:27here. And for that, you also need
- 01:29humility because normally you would say,
- 01:31well, I am the CEO. I can't be going and
- 01:35doing something. It's exactly the
- 01:37opposite. In fact, you have to do
- 01:38everything. Meaning, I can work 18 hours
- 01:40a day. I can work 7 days a week. I would
- 01:43still not get to even 30% of my tasks.
- 01:46If you're an early stage startup, there
- 01:47is no such thing called work life
- 01:49balance. Don't kid yourself. That is
- 01:51work. That is life. It's the same thing.
- 01:53The real definition of entrepreneurship
- 01:55is aiming to do something for which you
- 01:58don't have the resources. That's the
- 02:00definition of entrepreneurship. I am
- 02:02Arun Subraman, founder and CEO of
- 02:04Articulate. Articulate is a domain
- 02:06specific Genai platform that enables
- 02:09enterprises to get value from their deep
- 02:11domain expertise and data they've
- 02:13collected over decades.
Principle 1: Make a Dent in the Universe
- 02:25I grew up in a family where technology
- 02:27was a given. Normal quintessentially
- 02:29Indian uh upbringing in the 80s and '90s
- 02:32assumed that you have to do well in
- 02:34school. That was the number one
- 02:35priority. I was fascinated by anything
- 02:37that flew even before I got to college.
- 02:39And very early on I wanted to be an
- 02:40aerospace engineer. Um there are very
- 02:42few places you could go to study
- 02:43aerospace engineering at the time and I
- 02:45was lucky enough to get into one of the
- 02:47top schools. I went to Anna University
- 02:49and there's a school called Matas
- 02:50Institute of Technology. My college
- 02:52education was just fun for me all the
- 02:54way through. So I finished undergrad
- 02:56there went off to do my graduate studies
- 02:58at Purdue. Many people may not know this
- 03:00is called uh the birthplace or cradle of
- 03:02astronaut is a school where most
- 03:04astronauts in the US actually come from.
- 03:06Neil Armstrong actually graduated from
- 03:08Purdue. There is a particular incident
- 03:10that deeply touched me. I had never
- 03:11thought about it that way. This was when
- 03:13I was in college. I was attending a
- 03:15seminar by somebody and he said
- 03:17something that I had never thought
- 03:19about. You need to feel ownership and
- 03:22responsibility to actually help. And
- 03:25what that means is he gave an example
- 03:27which is think of the people who first
- 03:30designed dams and built dams. Whoever
- 03:32they might be, they stopped the flow of
- 03:34rivers. At the time that they started
- 03:36building dams, it was all an act of God.
- 03:39Wherever whichever culture you were,
- 03:41they really wanted to make sure that
- 03:42floods didn't happen. They didn't people
- 03:44didn't die. They didn't suffer. They
- 03:46didn't sit and think, "Oh, this is an
- 03:48act of God. God wanted floods to come
- 03:50in. We can't do anything." They actually
- 03:52thought that I will help people not
- 03:54suffer and actually go build dams. When
- 03:57they first built it, it's an impossible
- 03:59act to be doing. Now, it's a natural
- 04:01thing. Sure, engineering marvels. We
- 04:02build dams all over the place. But it's
- 04:04not for the first person to have thought
- 04:06about it. Think of the responsibility
- 04:08the person took to stop an act of God,
- 04:11right? And that's a massive
- 04:13responsibility. And not only they they
- 04:15thought about it that way, they went and
- 04:16built the dam. And if you actually think
- 04:18about it from the perspective of
- 04:20ownership and responsibility, you don't
- 04:22need to have anything to take
- 04:23responsibility. You can do your own
- 04:26small thing to make a massive impact in
- 04:28anybody's life. That made a very
- 04:30personal impact for me because it was
- 04:32mind-blowing to me as at that time
- 04:34probably I was still a teenager to think
- 04:36about life like that. Until then I just
- 04:38thought like the world just happened
- 04:40around me. We didn't think we manifested
- 04:42something in the world right that's one
- 04:43thing. The second thing that affected me
- 04:46very deeply was the concept of paying it
- 04:48forward. So when I was in AWS we ran the
- 04:51simulations helped scale the simulations
- 04:53for running COVID predictions in terms
- 04:56of spread of COVID. And at the time of
- 04:57course COVID was just starting. The
- 04:59shutdowns had never happened anywhere
- 05:01else. No state had ever shut anything
- 05:02down. And we helped one of the state of
- 05:05California divisions scale their
- 05:06simulations to predict when the state of
- 05:09California is potentially going to run
- 05:11out of beds. So what we ended up doing
- 05:12was we helped them take their models and
- 05:15then scale them on massive amount of
- 05:16compute cuz that's what we're really
- 05:18good at doing. And it predicted that in
- 05:205 days or so the total number of beds in
- 05:22California would be exhausted. And uh
- 05:24that simulation along with all the other
- 05:27data they had was instrumental in the
- 05:29state of California announcing the first
- 05:31statewide shutdown. And that same
- 05:33simulation is being run by many
- 05:35countries today. And it was a a deeply
- 05:37touching project to be working on
- 05:39because I didn't go to Amazon thinking
- 05:40that's what I would be doing. At the
- 05:42time we didn't realize it but it had a
- 05:44huge impact on a lot of things in the
- 05:46world. And it is truly humbling that the
- 05:48work we did helped in a small way in
- 05:50making the world a better place. In
- 05:52Steve Jobs's world, it is like make a
- 05:54dent in the universe. But it's really
- 05:55around saying, look, whatever we find
- 05:57ourselves in, whatever little we do,
- 05:59make sure that we leave the place in a
- 06:01better world than we found it. The group
- 06:04of people that we have with us, I would
- 06:06say none of them need this job. None of
- 06:08them need to be here working God knows
- 06:10how many hours they're working daily.
- 06:12They're here because they believe in the
- 06:13mission. They believe in why we do what
- 06:15we do and how we do what we do.
Principle 2: Don't Put Yourself in a Box
- 06:21If you ask me how my career got built is
- 06:24really being dumb enough not to say no.
- 06:27And the reason I use the word is
- 06:29whenever a problem was given to me even
- 06:31very early days I didn't know that other
- 06:34people would never touch that problem.
- 06:35It was given to me because I was silly
- 06:37enough not to ask why would we do this?
- 06:39We basically said oh it is an
- 06:41interesting problem. Let me go try
- 06:43solving it. I failed more often than I
- 06:45succeeded. But the times I succeeded, I
- 06:47succeeded in things that everybody else
- 06:49said cannot be done. The problems that
- 06:51were the highest value, the problems
- 06:53that were the most difficult to do and
- 06:55failure was okay. So the way it started
- 06:58was I was at Intel. I was leading the
- 07:00cloud and AI strategy and execution
- 07:02teams. My charter was to help Intel sell
- 07:04more AI hardware. But we knew that the
- 07:07largest workload was large language
- 07:09models. Genai is going to happen. This
- 07:11is 2022. And this was 6 months before
- 07:13Chad GBD was launched. So we had built
- 07:15an AI supercomputer and then we were
- 07:17trying to build a model for that one.
- 07:19And we actually worked with a very large
- 07:21company trying to get them to buy Intel
- 07:24hardware and the project went all the
- 07:26way up to a final approval where
- 07:28everything broke loose. There was a
- 07:31misunderstanding in terms of who was
- 07:33going to fund what portions of it which
- 07:34basically ended up being the project
- 07:36completely stopping and it almost like
- 07:39the rocket analogy is the rocket blew up
- 07:41on the launchpad. That was a failure
- 07:43everything started with. But because we
- 07:45had already done the modeling, we then
- 07:47went to a customer and said, "Hey, we
- 07:49can do this for you. Would you want to
- 07:51do this?" They said, "Oh, okay. We can
- 07:53try this. Let's do a search model." We
- 07:54actually built a model for them. That
- 07:56model ended up being a software product.
- 07:58We built the software. We did all that
- 08:00to sell hardware. The customer comes
- 08:02back and says, "Maybe we'll buy your
- 08:04hardware at some point. Can I buy your
- 08:05software?" So, in a sense, that was the
- 08:07second biggest failure. We tried to sell
- 08:09hardware. We couldn't sell the hardware,
- 08:11but we could sell the software. And
- 08:12within a year, we went from having a
- 08:15project that is almost in the bag that
- 08:17was already going to become the biggest
- 08:19project out there. That project failed.
- 08:21Then we went and got another project to
- 08:23sell hardware. That project also failed.
- 08:25Ended up being Articulate the Company.
- 08:27And if you think about if we had stopped
- 08:28at the first failure, we would have
- 08:30never gotten the second project. If we
- 08:31had stopped at the second failure, we
- 08:33would have never got an articulate. The
- 08:34perspective of looking at it from failed
- 08:37projects getting turned around. Doesn't
- 08:38matter how many times we fall down, can
- 08:40we actually get up
Principle 3: Why 95% of AI Projects Never Reach Production
- 08:45say principles we go by in the company
- 08:46which is we typically do not do PC's.
- 08:49PC's meaning proofs of concept. We only
- 08:51do production pilots. You may ask what's
- 08:53the difference? The difference is a P is
- 08:55something that anybody can do. Honestly,
- 08:58even a high school student with a good
- 08:59enough knowledge of some of these tools
- 09:01can build a PC with a few tens of
- 09:03documents. The difference between a PC
- 09:04and a pilot is pilot is production
- 09:06scale. You have to go after your most
- 09:08complex use cases. In fact, we go into a
- 09:10customer and say, "Give us your messiest
- 09:12of data set. Give us your most complex
- 09:14problem and let's actually show you how
- 09:17to actually take that to production."
- 09:18Right? That's what we mean by a
- 09:19production pilot. And the other big
- 09:21difference between a production pilot
- 09:22and a PC is once you're done with your
- 09:25production pilot, turning on the
- 09:26production is just a matter of a
- 09:28contract signing. All the technical work
- 09:30is already done. And the third thing you
- 09:32might ask is okay that means this should
- 09:33take a long time to do. We actually cap
- 09:36production pilots to be between 4 to 8
- 09:38weeks long. No more than that. Even the
- 09:40most complex of use cases that we do is
- 09:43entirely done within 8 weeks. It's very
- 09:45important because when a customer hears
- 09:48this statement which is like give me a
- 09:50nice clean data set and it's nicely
- 09:52curated give me a small problem for me
- 09:55to show you that it actually works after
- 09:57you make the P to get to production it
- 09:59ends up taking 6 months or a year and
- 10:00most of the projects if you see the
- 10:02latest MIT study that said 95% of genai
- 10:05projects don't go to production is
- 10:07because of that because people do PC and
- 10:09it never moves forward but it's a very
- 10:11different uh philosophy
Principle 4: Stop Chasing Low Hanging Fruit
- 10:16Last count a few months ago, there were
- 10:1828,600 startups in the world that
- 10:21claimed to be Gen AI startups. I'm sure
- 10:24the number is more than doubled since.
- 10:26The reason for that is everybody, I
- 10:28believe, believes that they're solving
- 10:30an important problem. I don't think
- 10:32anybody goes out and starts a startup or
- 10:34works so hard to solve a problem they
- 10:35don't believe is important. However,
- 10:37what they're solving for is in different
- 10:40domains and what they're solving for is
- 10:42in domains that they think is hot. Now,
- 10:44there's two ways to solve a problem, two
- 10:46ways to tackle a problem. The first way
- 10:48is, of course, go after where things are
- 10:49hot. That's the red ocean theory. Or go
- 10:52after things that are the blue ocean
- 10:53theory, where there's nobody there. Now,
- 10:55a path less traveled is less traveled
- 10:57for a reason, is hard, and it's filled
- 11:00with more failures than the path more
- 11:02traveled with. But it really depends on
- 11:04what you have stomach for and what
- 11:05you're actually going and solving and
- 11:07what you have resources for that you can
- 11:08go do that. I don't think there is any
- 11:10one right or wrong answer. It is just
- 11:12about what is personal for you. Now do I
- 11:14believe that these companies are going
- 11:15to make an impact? Absolutely. They
- 11:17already are. They've changed the way the
- 11:19world in so many fundamental ways that
- 11:21it's no longer going to be the same.
- 11:23Same thing that OpenAI did. Open AAI was
- 11:25a small startup when they started. they
- 11:27have fundamentally changed the world and
- 11:29I think that's going to continue growing
- 11:31that we believe that the lowhanging
- 11:33fruit is first and foremost the most
- 11:36crowded market out there every company
- 11:38is a geni company and every large
- 11:40company is trying to do something with
- 11:41genai where do they go they usually go
- 11:43to marketing they go to finance they go
- 11:46to HR partly because it's the lowest
- 11:48hanging fruit because you have use cases
- 11:50but if you make a mistake not much is
- 11:52going to change it's not a a company
- 11:54threatening event however if If you look
- 11:57at what is the most important thing that
- 11:59the company is doing, it's mostly not
- 12:01related to any of these things. A
- 12:02manufacturing company does
- 12:03manufacturing. An aerospace company
- 12:05would do design or manufacturing or
- 12:07maintenance. We go after use cases in
- 12:10those particular segments. And we
- 12:11actually go after what makes a big
- 12:14difference for the company's topline.
- 12:16And the reason for that is if a company
- 12:18can actually find new business, find new
- 12:21ways to make money out of AI, that is
- 12:23something that will be longerlasting.
- 12:25Whereas productivity use cases typically
- 12:27go after the bottom line which
- 12:29everybody's going to do whether you like
- 12:32it or not today you're doing it or not
- 12:33every company is going to use some
- 12:35productivity tool to get their AI use
- 12:37case to reduce their burden for what
- 12:39they're doing that's not going to give
- 12:41differentiation for any company so we
- 12:43believe that we work on things that give
- 12:45a company differentiation that gives you
- 12:47longerlasting value and we also have a
- 12:49philosophy that we fundamentally
- 12:50grounded on saying look we build our
- 12:53business based on the fact that we added
- 12:55value to your business. So we can share
- 12:57in the value that's how our business
- 12:59grows. Our business is not necessarily
- 13:01growing by making you more efficient.
No Safety Net in Startups, Just Move
- 13:07So the biggest thing that is different
- 13:08of course being in a startup is that you
- 13:10don't have any safety net like any other
- 13:12job I've had there's always somebody who
- 13:15I could go to for help but ultimately
- 13:17the responsibility lies with me. Meaning
- 13:20the buck stops with me which is a huge
- 13:23change when it comes to it. That took a
- 13:25little bit of time to adjust, but the
- 13:26nice thing about being in a startup like
- 13:28this is you don't have any time to sit
- 13:30and think. You just have to deal with it
- 13:32and keep rolling, right? So that's a
- 13:34good thing because you don't have the
- 13:35time to freak out. Uh I would say the
- 13:37biggest thing I'll do differently is to
- 13:39make sure that people who come to the
- 13:42company understand the fact that there's
- 13:44no safety net. And we've had our fair
- 13:47share of turnovers. And even people who
- 13:48were in the early early teams, we've had
- 13:51to let go. Partly because they may be
- 13:53perfect candidates, perfect employees in
- 13:55a large company, perfect candidates or
- 13:57outstanding candidates in a medium
- 13:59company, but a terrible misfit in a
- 14:01small company. And the reason for that
- 14:03is you really need to have a hustle that
- 14:06goes way beyond anything you've seen in
- 14:08life. Like I'll tell you a general
- 14:10conversation that would usually go. We
- 14:12ask for say going and meeting with a
- 14:14customer or something. we are expecting
- 14:15a week goes by you go ask them hey did
- 14:18this get done and they'll say no I sent
- 14:19an email we are still waiting for a
- 14:21response now in a large company that's a
- 14:23perfectly fair statement to make no
- 14:25problem you'll get a response and
- 14:26typically say you're an Amazon or you're
- 14:28in Google or Microsoft you send a
- 14:29response people respond back the same
- 14:31people if you're sending an email from a
- 14:34startup they don't respond most of the
- 14:35time they don't have time to do that but
- 14:37second we don't have the time to wait we
- 14:40send an email then call the person then
- 14:41text the person and text their wife if
- 14:43we have to to make sure we get a
- 14:44response. There have been cases where we
- 14:47would say, "Look, do you want me to go
- 14:48pick up your kids so that I can actually
- 14:50get 15 minutes with you?" It's that kind
- 14:52of hustle that you rarely almost ever
- 14:55need in any other job, but you need it
- 14:58here. And for that, you also need
- 14:59humility because normally you would say,
- 15:01"Well, I am the CEO. I can't be going
- 15:05and doing something." It's exactly the
- 15:07opposite. In fact, you have to do
- 15:09everything. Meaning, I can work 18 hours
- 15:11a day. I can work 7 days a week. I would
- 15:13still not get to even 30% of my tasks.
- 15:16If you're in an early stage startup,
- 15:18there is no such thing called work life
- 15:19balance. Don't kid yourself. There is
- 15:21work, there is life, it's the same
- 15:23thing. It's what it is. It's just that
- 15:26the people's mindset has to be very
- 15:28different. I don't think twice before
- 15:30clearing out all the coffee cups in the
- 15:32office. If that's what I have to do, if
- 15:34I see something and I have the time, I
- 15:36no problem doing it. If I have to be the
- 15:38one going and talking to the the biggest
- 15:40investor out there raising money, I will
- 15:42do that too. So there's no such thing
- 15:44called a job is beneath you and there's
- 15:46also no such thing called you can just
- 15:48delegate and walk away. You cannot
- 15:49delegate responsibility.
- 15:52Some of the people have asked me a
- 15:54question like have you always wanted to
- 15:55start a startup? Answer is no. I was
- 15:57happy being a researcher. I trained to
- 15:59be a researcher and I ended up becoming
- 16:00one. I was more than happy. The business
- 16:02side was entirely accidental. I didn't
- 16:05go to business school. Everything I
- 16:06learned about business is what I learned
- 16:08in the job. For me, it's a kid in a
- 16:10candy store moment all over again
- 16:11because we're solving problems that very
- 16:13few people would solve. Why is
- 16:14democratization of technology important
- 16:17for me? Partly because it's a universal
- 16:20equalizer. And the reason for that is
- 16:22think about science and math and even
- 16:24say philosophy in general is universal.
- 16:27It's deeply liberating. There is no
- 16:29inequality respect of where they are.
- 16:31And if you actually allow people to use
- 16:34that more easily that's the most
- 16:36equitable thing you can do back to the
- 16:38society and uh that's really what's been
- 16:40driving and also if you look at it that
- 16:43also comes from how I grew up like I
- 16:45grew up in a world where things were not
- 16:47easily available like there was no cable
- 16:49TV when I was growing up until I was in
- 16:51high school there was no internet and as
- 16:54crazy as it seems to think about it
- 16:55today going from there to sitting in any
- 16:59coffee shop accessing anything in the
- 17:02world happened in less than a lifetime,
- 17:04right? The unlock it gives is massive.
- 17:07Think of the child who may not
- 17:09necessarily have the resources, may not
- 17:11have the backing being able to actually
- 17:13improve their life because of this.
- 17:15That's really what drives us. And the
- 17:16reason why I like the word
- 17:17democratization is it's the most
- 17:20equitable thing you can do. You are
- 17:22enabling people to pick themselves up
- 17:24from whatever situation they find
- 17:26themselves in. Some of us have been
- 17:28super fortunate to to have had education
- 17:30to have had to be in places where we
- 17:33could actually see these things and
- 17:34learn from that. A lot of the people are
- 17:36not as fortunate. By the 10 years, we
- 17:38would have become the platform of choice
- 17:40for domain specific applications
- 17:42anywhere in the world in any domain you
- 17:44have. And that's really the mission that
- 17:45we're after. And to become the platform
- 17:47of choice, we also have to be giving
- 17:49disproportionate value back to all of
- 17:51those outcomes. Right? That's the one
- 17:52thing. And the way we would have changed
- 17:54the world really is to make sure that we
- 17:56enable every single person working in
- 17:59every single company to have their own
- 18:01digital twins multiple times a day and
- 18:04be able to make meaningful outcomes for
- 18:06themselves as well as their company.
- 18:08Meta announced in their super
- 18:09intelligence lab they're doing that's
- 18:10what they announced that they're going
- 18:12to do for personal life for people
- 18:14outside. We're saying we'll do that for
- 18:16the enterprise. Nine out of 10 startups
- 18:18fail. And even the 1% one startup that
- 18:20succeeds doesn't become a Meta or a
- 18:23Google. But the pain you endure is so
- 18:26massive that you really need to have an
- 18:29inner guiding principle to actually get
- 18:31you past that. It is, I guess, rooted on
- 18:33the belief that we can actually make a
- 18:35small difference. Not because we think
- 18:38we're smarter than anybody else. It's
- 18:39because we have perseverance. So what I
- 18:44keep telling my team and I keep telling
- 18:45myself as well is we can lose but we
- 18:48can't be beat.
- 18:51Well, I would say my greatest source of
- 18:52strength has been my wife. She's
- 18:54somebody who's bought balance in my life
- 18:56because I'm a deeply I would say
- 18:57imbalanced person. Meaning if I get
- 18:59passionate about something, I'll forget
- 19:00everything and just dive in. And so
- 19:02bringing a semblance of balance is
- 19:04something that she taught me. And it's
- 19:05also something where I've been enabled
- 19:08by a lot of people, but I don't think
- 19:10I've been enabled as much by anybody
- 19:11else other than her.