Why Vertical LLM Agents are the new Billion$ SaaS Opportunities

How CaseText went from a normal startup to..a massive exit story in 2 months.

Imagine this:

You spend 10+ years building a company which finally hits $100mn valuation.

And then something happens and in 2 months, you get an exit of..$650 mn!

‘that something’ is the power of vertical LLMs and we are discussing the story of CaseText, which went all-in on the AI legal assistant (one of the first vertical AI agents to be deployed at scale, used by thousands of lawyers) and exited to Thomson Reuters for $650mn.

Jake Heller, founder of CaseText

Here are the 5 most important takeaways from the CaseText founder (as shared with YC partners recently) on what it takes to building a vertical LLM business.

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Note: Beyond obvious advice like domain knowledge, one of the big things that came out is the red-eyed focus teams need to have on..testing.