AI for the Fortune 2000: How Tenex Builds an AI-Native SDLC — Alex Lieberman & CJ Hess

10X, an applied AI partner, aims to transform companies from AI-absent to AI-native by addressing the challenges of integrating artificial intelligence into their operations. Co-founders Alex and CJ emphasize the importance of not just adopting AI technology but also effectively diffusing it throughout organizations. They believe that AI can significantly enhance productivity, allowing engineers to output more work while being compensated based on their results rather than hours worked.

The company has evolved from a small AI-powered development shop to serving Fortune 2000 clients, with a workforce of 75 employees primarily composed of engineers and AI strategists. They report a notable increase in productivity, with engineers doubling their output over the past year, largely due to advancements in AI models. However, they acknowledge the complexities of compensating engineers for non-coding tasks and are continuously refining their compensation model based on output metrics like story points.

In discussions about the future of AI in enterprises, the co-founders highlight the varying levels of AI adoption among companies. While many have implemented general-purpose AI models, fewer have successfully integrated coding agents or AI for non-engineering tasks. They stress the need for standardization within organizations to maximize the effectiveness of AI agents. Additionally, they express skepticism about the long-term viability of vertical-specific AI solutions, suggesting that the demand for customized software may challenge the sustainability of such products in a rapidly evolving market.

Overall, 10X positions itself as a leader in AI transformation, advocating for a model that rewards engineers for their output and fosters a culture of continuous improvement and adaptation in the face of technological advancements.

Alex Lieberman and CJ Hess join swyx at AI Engineer New York to discuss Tenex’s approach to AI-native engineering, paying for outcomes, MetaHarness, enterprise AI adoption and rebuilding SaaS. Show notes: Tenex: https://www.tenex.co/ Building an AI-nat...