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Lenny's Knowledge Sketch

Expert Evals Are Creating
the Fastest-Growing AI Cos

Brendan Foody
Founder; expert eval company builder
SEP 18 2025
The Opportunity

Expert Knowledge +
AI Evals = Moat

EXPERT EVAL MARKET
"The companies that will win in AI are not building better models — they're building better evaluation systems with domain experts."
  • Domain experts writing evals = defensible moat that can't be replicated with scale alone
  • Medical AI needs doctors. Legal AI needs lawyers. Financial AI needs CFA holders.
  • The expert eval flywheel: better evals → better models → more expert demand → better evals
  • Brendan's thesis: expert eval companies are the fastest-growing category in AI infrastructure
Framework

The Expert Eval Business Model

DOMAIN EXPERTSEVAL WRITINGMODEL IMPROVEMENT
$2B+
expert eval market size
100×
value of expert eval vs crowdsourced
3 years
to build a defensible expert network
  • The network is the moat: expert annotators don't leave once they're integrated
  • Domain specificity: one-size-fits-all doesn't work for expert evals
  • Trust and verification: expert credentials must be verified, not just claimed
  • The pricing power: expert evals command 10-50× the price of commodity annotation
Brendan's insightThe bottleneck for AI improvement is not compute or architecture — it's the availability of domain experts who can evaluate model outputs.
Expert Eval Categories

Where Expert Evals Create Most Value

Medicine/biomedical95%Legal/compliance90%Financial analysis85%Scientific research80%Code review70%General knowledge30%
The medical AI bottleneck

Every medical AI company needs doctors to validate outputs. Building a vetted doctor network is a 3-year investment.

The legal compliance case

Legal AI must be evaluated by lawyers for hallucination detection. The liability risk makes expert evals mandatory.

Playbook

Build Expert Eval Capacity

  • Identify your 3 highest-stakes AI outputs — those need expert evals, not crowdsourced
  • Build relationships with domain experts before you need them at scale
  • Create a certification process: how do you verify expert qualification for your domain?
  • Offer performance-based compensation: experts who write better evals should earn more
The competitive moatAn expert eval network takes 3+ years to build at quality. It's the AI moat that money can't buy quickly.
Contrarian

Eval Business Myths

Crowdsourcing scales expert qualityINSTEAD →Crowdsourcing scales volume. Expert quality doesn't scale — it's earned through credentials and judgment.
AI can evaluate its own outputsINSTEAD →AI can evaluate syntactic correctness. Domain experts evaluate semantic correctness and safety.
Models will soon not need evalsINSTEAD →Better models need harder evals. The bar rises with capability.
One eval framework fits all domainsINSTEAD →Domains require custom eval frameworks. Medical, legal, and code evals share almost no methodology.
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