Beware the Magical 2-Person, $1 Billion AI-Driven Startup

In early 2024, OpenAI CEO Sam Altman predicted there would be a “one-person billion-dollar company, which would’ve been unimaginable without AI, and now it will happen.” Several media outlets recently concluded that the prediction came true (albeit with two employees). But the story looks less promising upon deeper inspection.

Retain Healthy Skepticism When Faced With AI Miracles

Last week, The New York Times published a fawning article about MEDVi, a telehealth provider of GLP-1 weight-loss drugs: “A $1.8 billion company with just two employees? In the age of AI, it’s increasingly possible.” The next day, MEDVi Founder Matthew Gallagher posted, “I’ve been quietly building the fastest-growing company in history.” Inc. chimed in: “MEDVi’s growth underscores a broader shift in business, one away from human collaboration and toward a technological dependence.” In just two days, the wave of hype turned into a sudden tsunami, implicitly claiming that AI had rendered human labor nearly obsolete.

But this AI success story quickly came under scrutiny via worrisome:

• Allegations of misleading AI-generated marketing. The Decoder reported, “MEDVi apparently also used AI to create ethically questionable advertising, fake doctor profiles on social media, fabricated videos, and generated before-and-after comparisons.” Futurism had already reported (back in 2025): “None of these alleged patients are real […] the before-and-after photos, more insidiously, are eerily convincing deepfakes.” This isn’t the kind of AI MEDVi’s story of efficiency and employee replacement relies on. It’s ethically questionable and deceptive.

• Allegations of FDA violations. The FDA sent a Warning Letter detailing concerns about compliance with its rules. These include deceptive product labeling, in which MEDVi listed itself as the drug compounder (but isn’t); unauthorized claims of equivalence between compounded drugs and brand-name GLP-1s (which hasn’t been established by FDA testing); and inappropriate distribution via interstate commerce. Drug Discovery & Development summed up the FDA letter: “The agency warned that failure to fix the violations could lead to seizure or injunction.” FDA oversight threatens to undermine the company’s business model or even its licensing.

AI Isn’t Magic — Exercise Your AIQ When Evaluating AI Business Stories

We’ll see how the MEDVi saga turns out, but the story reminds us that AI isn’t magic. Rather, it’s a tool that has still yet to realize its full potential in driving business results. Much like recent stories about Block and Oracle “replacing employees with AI,” the MEDVi story doesn’t stand up to careful scrutiny.

With Block and Oracle, there’s a hidden sleight of hand at work: When technology companies lay off employees to invest in AI infrastructure, we hear that “AI replaced employees.” By contrast — when AI truly replaces employees — the day after a layoff, AI performs the work done by humans the day before. This is rare; even big tech firms don’t have mature AI agents that can take on the myriad tasks of dozens of different types of jobs that get eliminated in large-scale RIFs. Yet conflating the two sounds better than “We cut jobs to save money we plan to invest elsewhere.”

So what can you do to avoid falling prey to deceptive AI stories? First, wait for more details to emerge. If it sounds too good to be true, it might well be. You should also:

• Invest in and exercise your AIQ. Forrester’s AIQ, the artificial intelligence quotient, is a measure of readiness: Do we, and our employees, possess understanding, skills, and ethics to succeed in a world of AI? Most of us still aren’t ready to use AI, nor to understand business stories about AI, it turns out.

• Focus on your own AI voyage. Ultimately, media stories matter far less than investing in yourself and your teams. Progress on your AI voyage by cultivating the key traits (which include a high AIQ) that drive success, then asking the right questions about why, when, and where to use AI, along with how to scale it. Your voyage might not be miraculous, but it will be real.

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