Accelerated intelligence

The alpine air provided a fitting backdrop for profound discussions about the next evolution in enterprise software. Hg's third annual Software Leadership Gathering brought together 100+ CEOs and industry leaders to confront the reality of an ‘accelerated intelligence’ - AI innovation that is transforming software at speed and redefining the future of software.

The pace of change defies historical precedent

Nobel laureate Geoffrey Hinton set the tone with his assessment of the rate of change:

"What we're seeing now is shocking from the perspective of 10 years ago, and I suspect that what we see in five years' time will be shocking from our perspective now."

This acceleration theme resonated throughout every session. Tim Rocktäschel (Google Deepmind) reinforced this with data showing the length of tasks that AI agents can accomplish doubling every seven months, while Hg’s Chris Kindt revealed that adoption rates are 3-5x faster than previous platform shifts.

The last mile defines success

While foundation models grab headlines, the real battleground emerged as the "last mile" - translating AI capabilities into practical business applications. Several expert speakers, from AI theorists to both AI and software business leaders, emphasised that success lies not in the technology itself, but in overcoming "real world friction." Deep domain expertise, understanding of workflows, and proximity to customers create competitive positions, even as switching costs erode.

"Frenemies are everywhere”

Collaboration is blurring with competition, with traditional boundaries between native AI and software organisations dissolving. Sebastian Steinhäuser of SAP captured this perfectly: "We want to compete on customer value, not on shielding access." The panel on native AI companies revealed how startups like Replit (reaching $4 billion valuation with just 30 employees) are both partnering with and disrupting incumbents simultaneously.

Cultural transformation trumps technology

Perhaps most critically, success demands fundamental organisational change. David Wakeling from A&O Shearman shared how even a 500-year-old law firm could transform: "Lawyers didn't go to law school for process. The AI is doing what you don't live for." Companies achieving real impact are those sparking "AI-first culture" from the bottom up, not just deploying tools from the top down.

Inaction is the biggest risk

The pace of change demands experimentation and adaptation. Early, incremental gains compound. Jeff McMillan from Morgan Stanley provided crucial perspective: while 30% of current work may disappear within 5 years, the transformation requires patient, systematic effort. "You can't run before you crawl and walk," he noted, emphasising the importance of structured evaluation and quality control.

Looking forward

The gathering revealed three critical imperatives for software leaders:

1. Think in decades while moving in months

Long-term strategic thinking becomes more essential as tactical changes accelerate. This platform shift will be the fastest in history. Further improving models together with agentic frameworks is starting to yield real, practical impact. Long-term thinking in decades not quarters, in the context of this speed, is difficult - but vital to keep focused on what may matter in the long run.

2. The "last mile delivery" is the key differentiator

Domain expertise, customer trust and existing value is critical to the 'real world friction' of adoption. The stages of adoption are where opportunity sits with the technology – for those that successfully adopt and diffuse this tech into complex application.

3. Invest in cultural transformation

Technology adoption without organisational change guarantees failure. Companies that embrace 'AI-first culture' will likely define the next decade.

As Hg’s Managing Partner, Matthew Brockman, concluded, this isn't just another technology wave - it's the most rapid and consequential shift the software industry has ever faced. The message was clear: experiment relentlessly, move decisively, and above all, don't let comfort become complacency.