Canva's growth slowdown from 30% to 20% reveals an existential threat: AI-native tools and ChatGPT are replacing standalone creative software, and agents don't even consider using Canva anymore.

4:08AI was maming. um every every chat GPT release, every Higsfield release, every L's, you can do more and more of its functionality in core AI, right? This is what we fear as investors is that you can do our investments in chat GBT or claude, right? That's the ultimate fear. Um but yet it seems somehow Canva was defying that gravity like it it it seemed it was it was a non-issue despite

4:32my me having churned and Amelia having churned. We churned um just not because it this is a tough one. Canva and Notion both we churned not because they're not great apps. We just no longer had any need for them in the agentic area. Just no need. Canva and Notion did nothing wrong at all. Nothing. And we didn't need them. But until this it it seems somehow I I was wrong like they were

4:54defying gravity. But 30 to 20 in one year. I know I love Rory's optimism that they're going to bounce off and get back to 30 or 40 next year when they find a few extra tokens under the under the covers. I think it's a ter terrifying and it's a little I was hoping they were defying gravity but it doesn't look like it. It it doesn't >> defending myself on the optimism charge

5:13because no one ever accused me of optimism. I actually didn't say that. I what I said was that's the implication that they're saying. I don't know the answer. genuine comment here, right? And look, and I'm going to advance the bold case to some extent, just articulate it more because again, what the CEO is saying is look, we can't envelop it in AI because we were using Frontier models

5:34and they're just costing us a [ __ ] ton. And ex and so the first shoe that's clearly going to drop is they're not going to continue to spend a whole bunch of money with entropic or open a probably open AI given its images of course were but um they now bought their own um model and are building their own in-house image focused model which makes absolute sense so let's assume they do

5:54that >> why did they do that last quarter >> agree agreed and and agreed let's say they even a year or two late because I think I want to push back to the big question the interesting question >> yeah the interesting question is if let's just say they get it done and in six months their in-house model which is 90% 80% cheaper is just as good as images

6:11>> at as um you know the frontier models then the question still remains to your point Jason do you think they can c and I hate being vague stuff enough AI functionality into that product that you would have retained or do you as a pretty active user say no I just prefer to go at it a AI native day one because that's the big question >> you know what's scary is something that

6:34sounds nerdy is becoming mainstream. Our our agents never even suggest these products. That's the danger. And it's not just agents. It could, you know, we talk about AO and GO. What does Claudia and chat GBT say? But it's worse than that. As we become a Gentic, our agents, we can't choose everything ourselves. And we generate, we have our own, we built our own ad server and ad