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Can AI Save America?

The central question: can one founder with AI tools revitalize rural America and create 800 tech jobs?

~10 min

Can AI Save America?

Transcript: Can AI Save America
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So, here's a crazy question. Can one person armed with AI actually save America's small towns? I know, it sounds like something out of science fiction. But one venture, the Black Hills Consortium, is giving it a real shot across eight towns in South Dakota and Wyoming. And it all kicks off with one of the boldest flames you'll ever hear. Right out of the gate, you get this quote from founder Luke Alvarez and this is everything. This is the whole thesis. He's not just saying he's faster. He's simply saying that AI has completely rewritten the rulebook for building a business. It's so audacious you just have to ask, how on earth is that even possible? Okay, let's actually put those numbers head-to-head. Because when you see it like this, it's pretty wild. On one side, property melt, one company, eight years to build over $28 million raised. On the other, the Black Hills Consortium, seven, that's right, seven companies built in 60 days and all self-funded to date. The difference is just jarring. And that's exactly the point. So what in the world are these seven companies? Well, this isn't about building just one thing. The whole model is what he calls a flywheel of seven different entities. The core idea is to create this self-sustaining ecosystem where each piece helps the other spin. So the whole thing doesn't just collapse if one part has a bad year. And when you see them all laid out, you can really see the strategy. The diversity here is absolutely the key. You've got nonprofits for the mission, a media company, a high-tech software platform, even a cafe and a real estate holding company, plus a startup accelerator. The crucial part, each one is designed to have its own way of making money. That diversification is what's supposed to make the whole model so resilient. Okay, so out of that whole group, you've really got three core engines that make this thing go. First, you have monumental highs. That's the software company, the one designed for high growth. Then you have past creek holdings, which is the complete opposite. It's the stable, steady real estate company that owns the land. And finally, you have the two nonprofits, which are like the heart of the operation, pushing the actual mission forward. Now, I know what you're thinking. This sounds insanely ambitious, right? But here's the secret sauce. It's not about inventing something brand new. The entire strategy is about replicating what already works and just using AI to do it at an unbelievable speed. And this is the playbook. It's kind of genius, actually. For every single company they build, there's a successful benchmark there copying. But check out that third column, because this is the really brilliant part. They're not just copying the business model. They are going directly to the same funders who already invested in that model. It's like saying, hey, you already love this idea. Here's a faster AI-powered version of it. It's an incredibly clever fundraising strategy. Let's take Settle the West, for example. It's a straight-up copy of this super successful Tulsa remote program. Which, by the way, generated over $600 million in economic impact for the city of Tulsa. So BHC's plan is simple. Take that proven model and just scale it up. Instead of one city, they're aiming for eight struggling small towns. And you see the exact same pattern with the consortium itself. It's modeled on a successful local group called Elevate Rapid City. But again, look at the difference in scale. BHC is trying to juggle that seven-part flywheel across eight cities in two different states. It's a huge leap in ambition and complexity. So you take all of that, and it boils down to this one super direct, kind of provocative pitch to investors. It's basically framing the Black Hills Consortium as a hyper-efficient, next-generation version of an investment they've already made, with AI being the secret weapon that changes everything. Okay, so you can't have this level of ambition without some serious capital, which brings us to the big ask, what they need the money for, and how that money is supposed to unlock all this growth. Yep, the big number is $30 to $50 million. But, and this is important, that number isn't just random. It's benchmarked against what it took those other companies, the ones they're copying, years and years to build. The goal here is to use that capital to take an eight-year timeline and crunch it down into just two. So where is all that money actually supposed to go? Let's break it down. The biggest piece of the pie, $15 million is for the physical stuff, building out a 15-acre campus and importantly worker housing. $8 million keeps the lights on and pays the staff for three years. Then the rest is funneled into growing the software company, funding the education programs, and getting the word out with marketing. What's really smart about this is that the fundraising is tiered. It's not an all or nothing deal. Each level of funding unlocks the next concrete step. Three million gets operations started, $15 million gets them fully staffed and serving all eight towns. And if they hit that $50 million mark, the goal is to start copying this entire playbook and take it to other parts of the country. Alright, so beyond all the numbers and the business plans, this whole thing is really a bet on a much bigger idea, something that goes way beyond just the bottom line. It's about the future of technology in rural America. And that brings us right back to the question we started with. Can a tool like AI really save America's small towns? I mean, this isn't just a pitch deck. It's being framed as a potential answer to a problem, the economic decline of rural America that people have been trying to solve for decades. So when he says built with AI, what does that actually mean? It's not some vague magic concept. We're talking about using a specific toolkit of off-the-shelf AI to move faster, things like AI coding assistance to write software, AI research tools to build out the strategy, and AI knowledge managers to keep it all organized. This is the stuff that made that 60-day sprint possible. And this is maybe the most important part of the whole story. It completely flips the script on the whole AI is taking our jobs narrative. The fear is always that AI replaces people. But the argument here is the total opposite, that AI acted as a forced multiplier, that it let one person do the work of a huge team to build the foundation for 60 brand new jobs. And that number, 60? That might not sound like a lot in a big city. But here, in a region that's totally dependent on the ups and downs of seasonal tourism, 60 stable year round, good paying jobs is a total game changer. It represents a kind of economic stability that these towns just haven't had. And really, it all comes back to this one statement from the founder. It's his personal guarantee, his skin in the game. He's saying, I put my own money where my mouth is. I'm all in on this, and I'm so confident I want you to come out here and see it for yourself. He's taken this high-tech vision and grounded it in a real 15 acre plot of land in South Dakota. The infrastructure is there. The question now isn't just if it will work, but what it could mean for the rest of rule America if it actually does.