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Designing Better AI Applications: A New Vision

09 Jun 2025
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Reading time: 8 minutes

Jump to Specific Moments

Intro0:00
Why AI apps are broken0:52
The problem with Google's AI App2:39
A better way to build AI apps4:00
The hidden system prompt5:27
What if you could access the system prompt?7:57
The developer-user divide in software9:40
The 'horseless carriage' metaphor10:48
Email reading agent demo13:35
Everyone can be a prompt engineer14:34
Why coding agents feel magical16:23
Training AI like a human assistant21:42
The problem with chatbot interfaces28:45
Advice for founders29:10

Designing Better AI Applications: A New Vision

Imagine a world where software can be programmed using only natural language. This is the promise of AI, transforming the way we interact with technology and making our lives easier.

In a recent discussion, Pete Koomen, a partner at Y Combinator and founder of Optimizely, shared his insights on the current state of AI applications. He argues that many developers are still using outdated software development techniques, failing to harness the full potential of AI. The result? Frustrating user experiences that often feel more like chores than helpful tools.

Why AI Apps Are Broken

Have you ever used an AI feature that felt more cumbersome than beneficial? Pete's experiences highlight a stark contrast between the potential of AI and the reality of its implementation. While tools like Cursor and Windsurf empower users to create software effortlessly, many existing applications, such as Gmail's AI draft writer, leave much to be desired.

Pete points out that while the underlying AI model, like Google's Gemini, is impressive, the user interface often obscures its capabilities. For instance, when he prompted Gmail's AI to draft an email explaining his daughter's illness, the result was a generic message that didn't sound like him at all.

"If you got this email, you would assume somebody else wrote this." — Pete Koomen

This highlights two major issues: the tone of the AI-generated content and the inefficiency of the user prompts. The prompt Pete used was nearly as long as the draft itself, making the process feel tedious rather than streamlined.

The Problem with Google's AI App

So, how did a team of smart engineers at Google end up creating a feature that seems to miss the mark? Pete suggests that the problem lies in the outdated mindset of software development. The Gmail team likely relied on a generic system prompt that applies to all users, resulting in a one-size-fits-all solution that lacks personalization.

Imagine if users could customize their system prompts. Instead of a bland, formal tone, Pete envisions a scenario where he could instruct the AI to reflect his unique voice and style. By allowing users to edit the system prompt, the AI could generate drafts that truly resonate with individual users.

A Better Way to Build AI Apps

What if we could redesign AI applications to be more user-centric? Pete argues that the real promise of AI is to automate repetitive tasks, freeing users from mundane busy work. For example, instead of merely drafting emails, an AI could manage an entire calendar, anticipate scheduling conflicts, and send appropriate messages on the user's behalf.

This shift in perspective is crucial. Instead of asking how to integrate AI into existing applications, developers should consider how to create tools that offload repetitive tasks, allowing users to focus on what truly matters.

The Hidden System Prompt

One of the key issues with current AI applications is the hidden nature of system prompts. These prompts dictate how the AI behaves, yet users have no visibility or control over them. By making these prompts accessible, users could tailor their AI experiences to better suit their needs.

Imagine a world where users could write their own system prompts, guiding the AI to perform tasks in a way that aligns with their preferences. This would not only enhance user satisfaction but also empower individuals to take charge of their interactions with technology.

The Developer-User Divide in Software

Historically, there has been a clear divide between developers and users. Developers create software, while users interact with it without understanding the underlying code. This model has worked for decades, but it may not be suitable for the AI-driven future.

As Pete points out, the current approach to AI development mirrors the "horseless carriage" phenomenon, where early automobiles were designed to look like horse-drawn carriages. Just as the automobile needed a complete redesign to realize its potential, AI applications must evolve beyond traditional software paradigms.

Everyone Can Be a Prompt Engineer

The good news is that writing effective system prompts is becoming increasingly accessible. As Pete explains, crafting a prompt is akin to explaining how you make decisions. With practice, anyone can learn to communicate their needs to an AI effectively.

This democratization of AI interaction means that, in the near future, users won't just be passive consumers of technology; they'll actively shape their experiences.

Why Coding Agents Feel Magical

One of the most exciting aspects of AI is its potential to revolutionize various professions. Coding agents, for example, allow developers to create software quickly and efficiently. By leveraging AI's capabilities, developers can focus on higher-level tasks while the AI handles the repetitive coding work.

As Pete notes, the true power of AI lies in its ability to automate workflows across different domains. Whether it's accounting, law, or any other field, professionals will soon have the tools to streamline their processes and enhance productivity.

Training AI Like a Human Assistant

Imagine having an AI that learns from your interactions, much like a human assistant would. By gradually training the AI through feedback and adjustments, users can create a personalized experience that evolves over time.

This iterative process not only improves the AI's performance but also fosters a sense of collaboration between the user and the technology. The more users engage with their AI, the better it becomes at understanding their unique needs.

The Problem with Chatbot Interfaces

While chatbots have become a popular way to integrate AI into applications, Pete argues that this approach often limits the potential of AI. Instead of merely responding to queries, AI should be designed to accomplish tasks on behalf of users.

By shifting the focus from chatbots to more dynamic AI agents, developers can create applications that genuinely enhance productivity and streamline workflows.

Advice for Founders

As Pete concludes, this is an exciting time for founders. The landscape of software development is shifting, and AI offers a unique opportunity to rethink existing tools. Instead of simply embedding AI into current products, founders should ask themselves how they can design new tools that leverage AI to automate repetitive tasks.

In this new era of AI applications, the focus should be on creating user-centric experiences that empower individuals to take control of their technology.

Bold Takeaway: Embrace the potential of AI to automate repetitive tasks and enhance user experiences.

How do you envision the future of AI applications in your daily life?