The world is buzzing with AI startups-from resume builders to content tools—but beneath the hype lies a harsh reality: 99% of them may shut down by 2026, warns tech writer Srinivas Rao.

Why? Because most of these startups don’t create anything original. They’re just “wrappers”-apps that use OpenAI’s API (like GPT-4) but add no real innovation. They charge hefty subscriptions for things that ChatGPT already does, often better and cheaper.

These startups lack core technology. They don’t own their models, infrastructure, or even their data pipelines. In fact, the entire ecosystem is built on shaky ground-OpenAI depends on Microsoft, and Microsoft depends on NVIDIA’s chips. If any link in this chain breaks, everything collapses.

It's a modern-day house of cards.

The only AI companies that will survive are those building their own tech, solving real problems, and delivering long-term value.

So, the next time you hear about a “revolutionary” AI tool, ask: Is it just a pretty interface over ChatGPT, or something truly disruptive?

Because in this race, only the real builders will remain.