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  • What Actually Worked in AI in 2025 — Your 2026 PlaybookCahn’s AI Canvas #Edition 34 (Dec 27 – Jan 2, New Year Special)

What Actually Worked in AI in 2025 — Your 2026 PlaybookCahn’s AI Canvas #Edition 34 (Dec 27 – Jan 2, New Year Special)

This week, AI took a victory lap on a year where agents left the lab, AI glasses hit the street, and enterprises finally got serious about guardrails. Treat this issue as your 2026 checklist—what actually worked in 2025, and where to double‐down before everyone else catches up.

The Big Conversation

2025: From Demos to Decisions (Dec 31)

2025 will be remembered as the year AI moved from “impressive toy” to boring infrastructure that quietly runs support, ops, and content behind the scenes. Enterprise surveys show a majority of AI budget now flowing into real applications and agents, not lab experiments or one‑off pilots.​

The shift was threefold: demos → agents, phones → wearables, hype → governance. Agents and copilots moved into production—answering tickets, routing incidents, summarizing documents, and even making low‑risk code and infra changes—while risk teams forced logging, approvals, and monitoring into the stack.​

Why it matters: 2026 will not be won by a single frontier model; it will be won by people who orchestrate multi‑model stacks, ship opinionated workflows, and treat trust as a first‑class feature.​


What's New this week (Through the lens of what worked in 2025)

AI Agents Got Real Jobs (Dec 30)
Production agents for customer support, document processing, and IT workflows became the norm in early‑adopter enterprises, with clear ROI in time saved and tickets resolved. Over 80% of surveyed leaders plan to increase AI budgets in 2026, largely to scale these agentic use cases rather than start new experiments.

Multi‑Step Flows Became Default (Dec 29)
Power users stopped treating prompts as one‑and‑done and moved to plan → draft → critique → refine flows, using AI for structure and iteration rather than single magic outputs. This “workflow over one‑shot” mindset quietly delivered more value than any single model upgrade.

Wearables Pivoted Hard to AI (Dec 17)
Wearables leaned into AI across glasses, headphones, watches, and pendants, reframing themselves as “AI glasses” and coaching layers more than pure trackers. Meta’s Ray‑Ban smart glasses and the acquisition of Limitless showed Big Tech sees on‑body AI as the next big interface to own.

Enterprise AI Focused on Outcomes (Dec 20)
Enterprise reports show the most successful orgs chose a handful of high‑value use cases and pushed them to production instead of dabbling everywhere. These teams evaluated AI by cost savings, revenue uplift, or risk reduction—not by how “cool” the demo looked.

Work Actually Changed (Dec 21)
AI compressed entry‑level tasks and forced workers upward into strategy, orchestration, and relationship work or sideways into more hands‑on roles. The new leverage is not “knowing AI exists,” but being able to steer systems that change underneath you every month.

The Money Reality

Capital in 2025 flowed into stacks that sit directly on the path of work: vertical agents, infra, and wearables. Buy‑side and sell‑side roundups agree that “business‑outcome AI” beat speculative bets on undifferentiated models.

Category

Total / Pattern

Key Signal

Vertical AI Applications

Dominant share of new enterprise AI deals.

“Agents with a job” beat generic copilots.

AI Agents & Automation

Large majority planning budget increases into 2026.

Pilots are graduating to scaled deployments.

AI Infrastructure & Safety

Growing niche in logging, evals, and trust tooling.

Governance and observability are now budget lines.

AI Wearables

Strategic buys like Meta–Limitless; new AI glasses.

On‑body AI is the next compute surface.

Code‑red economics for 2026: if your product cannot show clear savings or new revenue inside a quarter, it will struggle to clear CIO checklists shaped by 2025’s lessons.

Startup Radar — who to watch (and how to help)

These are the 2025 patterns worth copying directly.

Startup Archetype

One-liner (what it builds)

Stage / Traction

Why promising

What they need

Vertical Ops Agent

AI agent for one function (claims, support, intake). 

Seed → Series B with ROI case studies.

Direct link to hours saved and fewer errors.

Deeper integrations + enterprise‑grade guardrails.

Wearable Coaching Layer

AI coaching on glasses, watches, and rings. 

Early pilots with strong daily use.

Lives in the user’s real day, not their inbox.

Niche focus (sleep, posture, recovery, stress).

Agent Safety & Observability

Logging, replay, alerts, and rollback for agents.

Fast‑growing infra niche.

Mandatory for regulated AI rollouts.

Cloud + SI channel partnerships.

Creative Ops Copilot

From brief + research to decks + assets.

Embedded in marketing/content teams.

Compresses “idea → launch” cycles.

Industry‑specific templates and narratives.

The stack is ready, and the playbook is proven; the only scarce resource now is timing. If you wait 12–18 months, these archetypes will be crowded and price‑competitive instead of compounding.

Founder tip: Add one line to your deck: Minutes saved, mistakes avoided, or money made per workflow. That’s your multiple.

Cahn’s POV

2025 killed two myths: that one model would “win,” and that you can bolt AI on without rethinking your workflow. The new default is multi‑model, multi‑surface, governed AI that behaves more like a system than a single app.

For your 2026 planning, think in three lines:

  • From demos to agents with jobs.

  • From phones to wearables and ambient interfaces.

  • From hype to checklisted governance and observability.

Dev Corner : Your Q1 Build List

  • Agent Replay + Rollback
    Ship a “black box recorder” for AI agents—every action logged, replayable, and reversible for non‑destructive operations, wired into existing observability. Any team burned by 2025’s AI incidents will want this before they scale.​

  • Wearable‑First Wellness Flows
    Build breathwork, posture, or “walk‑and‑talk” coaching on top of Ray‑Ban AI glasses, smartwatches, and rings that already expose AI hooks. Think “hands‑free wellness” rather than “another app tab.”​

  • Vertical Creative Pipelines
    Offer a “deck + assets in an afternoon” pipeline for one niche: ingest notes → outline → slides → posts → short‑form scripts. The tech is commodity; the moat is narrative, templates, and your distribution into that vertical.​

  • Agent Blueprints for SMEs
    Package prompts, tools, and approvals into blueprints so small studios or clinics can get one safe, useful agent live in a week. Sell outcomes like “answer 40% of FAQs automatically,” not tokens or features.​

The Agentic Shift (2025 → 2026)

Trust Layer Required
AI incidents in 2025 made it clear: when agents can touch files, APIs, and money, you need permissions, sandboxes, human‑in‑the‑loop, and real logs. Boards now expect AI incident response plans, not just cyber ones.​

Benchmark Wars vs Real Work
Benchmarks and year‑end model launches reshaped hype cycles, but production teams cared more about latency, uptime, and predictable behavior. Multi‑model stacks mixing closed and open weights are becoming normal for cost, control, and resilience.​

Wearables as Next Interface
AI glasses and sensor‑rich wearables turned “capture now, narrate later” into a real pattern for creators and learners. For wellness and fitness, on‑body AI beats phone‑first UX because it does not demand a screen or thumb.​

Enterprise Deployment Goes Vertical
The biggest wins came from narrow, industry‑specific agents—claims copilots, underwriting assistants, intake bots—rather than one mega‑assistant for everything. Consulting and SI shops turned those into packaged transformations: training + process redesign + templates, sold as full programs.

Bottom line: Agents that move money, minutes, or mistakes win. Pick one workflow, wire an agent into it (not next to it), and measure the delta.

Tools to Try

Tool Archetype

What it does

Best For

Presentation copilots

Turn notes and reports into branded decks.​

Strategy docs, pitches, education.​

Agent platforms

Build, route, and monitor AI agents.​

Internal copilots, support, ops.​

Testing & eval suites

Red‑team, measure drift, log failures.​

Regulated or high‑risk workflows.​

AI creative suites

Generate on‑brand images and video variants.​

Social, ads, product storytelling.​

New here? After this issue, read your “code red” Edition 33 for how the benchmark wars began, and your 2025‑failures issue as the flip‑side of this playbook.

If you want a personal 2026 stack, reply with your role (creator / founder / clinic / studio) and write “Stack”—a tailored toolchain can be mapped around what you already use.​

AI x Creativity Exclusive

2025: The Year of Compressed Creativity (Dec 30)
AI moved from gimmick to backbone in creative ops, handling research, outlining, and first drafts so humans could focus on story and taste. Presentation tools, AI video editors, and image suites quietly turned “I should make something about this” into a post or deck in a day.

Wearables Meet Storytelling (Dec 17)
AI‑powered glasses and audio devices made perspective‑first capture normal, letting people document life and work almost passively. The 2026 opportunity is turning those messy streams into guided reflections, micro‑lessons, or wellness practices with minimal taps.​​

Two quick plays

Creators:

  • Lock in one weekly flagship format (carousel, reel, or mini‑newsletter) and fully AI‑assist everything behind it—research, hooks, drafts, captions—while keeping your voice untouchable.

  • Start experimenting with “wearable‑friendly” content: walking meditations, micro‑prompts, or breath cues that work through glasses and headphones, not just feeds.

Founders:

  • Ship one vertical agent by end of Q1 with a single KPI (tickets deflected, hours saved, error rate) and treat everything else as optional.

  • Invest in your trust layer now—observability, rollback, approvals—so you can answer “How does this fail?” before bigger customers ask.

Not to Miss Events

  • CES 2026 (Jan 7–10, Las Vegas) — Expect a wave of AI glasses, health wearables, and agent‑powered consumer devices building directly on 2025’s trends.

  • World Economic Forum 2026 (Jan 20–24, Davos) — AI regulation, enterprise case studies, and “agent readiness” checklists will dominate the agenda.

Fireside Chat

“As AI agents become the nervous system of work, what will matter more in 2026—the models, the proprietary data, or the trust layer that lets humans sleep while agents act?”

Cahn’s POV

2025 wasn’t the year AI took over; it was the year AI stopped auditioning and started filing expense reports. If you treat this issue as your 2026 action plan—vertical agents, trust as a feature, and wearables as the next canvas—you will not be catching up to the future; you will be building it.

What should we double‑down on in 2026?

  • Deep dives on vertical agents

  • AI x wearables and wellness

  • Creative toolchains and workflows

  • Startup Radar / money maps

AI PUN

Modern Boss

That's it for today!

Before you go we’d love to know what you thought of today's newsletter to help us improve Cahn’s AI Canvas experience for you.

⭐️⭐️⭐️⭐️⭐️ Nailed it

⭐️⭐️⭐️ Average

⭐️ Fail

See you Next Week,

Aditi and Swati — The humans behind Cahn’s AI Canvas.

📩This week felt like AI stopped asking for permission and started filing expense reports. Agents got gutsier, platforms picked sides, and chat stopped being “just chat.”

If you're a creator, dev, or artist trying to figure out where you fit—you're not alone. This isn't doom and gloom. It's about knowing what's real, what's hype, and where the actual opportunities are.

Want our setup checklist for local AI agents + our best prompt pack? Reply "Loop."

Stay Creative. Stay Updated. Get in Touch : [email protected]

Edition #34 covered Dec27- Jan 2. All news verified from mainstream sources with direct article links provided.

Disclaimer: The information presented in this newsletter is curated from public sources on the internet. All content is for informational purposes only.