Amplitude, an 800-person publicly traded analytics company, is undergoing a dramatic AI transformation after CEO Spenser Skates shifted from viewing the AI industry as full of “grifters” to going “all in” on artificial intelligence. The San Francisco-based company has invested tens of millions of dollars—potentially exceeding $100 million—in its AI overhaul since October 2024.
The transformation includes acquiring five AI startups (Command AI, June, Kraftful, Inari, and InfiniGrow), hiring AI-savvy leadership, and implementing AI coding tools like Cursor and GitHub Copilot across the organization. Amplitude went public in September 2021, reaching a high of $84.80 per share before plateauing around $10 in recent years, closing at $10.25 on Friday.
Key leadership changes drove the transformation. Wade Chambers joined as Chief Engineering Officer in October 2024, bringing extensive AI experience from Twitter and Included Health. Yana Welinder, CEO of acquired startup Kraftful, became Amplitude’s “AI maven” and head of AI, immediately accelerating the company’s shipping cadence from less than monthly to weekly releases.
The company implemented an intensive “AI week” in June that took the entire engineering, product, and design team offline. Leaders demonstrated live “vibe-coding” sessions, and AI “zealots”—passionate engineers—led by example to convert skeptics. Usage of AI tools like Cursor grew from just 14 employees in late March to 174 by early December.
Results have been significant. Chambers reported developer productivity increased 40% overall, with some specific engineering teams seeing gains of 300-400%. This stands in stark contrast to a 2025 MIT study showing 95% of firms publicly disclosing AI pilots reported no measurable ROI.
Skates’ October email to staff, titled “Introducing: AI Native Amplitude,” declared that “Analytics will look very different 6 months from now” and positioned the company to become “the AI native company in Analytics.” The company’s office banner reading “NO MAGICAL THINKING” serves as a daily reminder that technology cannot replace deep thinking and hard work—a philosophy guiding their measured but aggressive AI adoption.
Key Quotes
It had all sorts of problems. By mid-2024, he realized ’there’s probably going to be a breakthrough in the analytics space in the next two or three years.’ We’ve got to go make that ourselves. So, we went all in.
CEO Spenser Skates explained his dramatic shift from AI skepticism to full commitment, recognizing that waiting for the breakthrough would leave Amplitude behind competitors in the analytics space.
If you have this cadence of shipping infrequently, then the team slows down, which isn’t appropriate in the age of AI.
Yana Welinder, Amplitude’s head of AI and former CEO of acquired startup Kraftful, emphasized the need for speed in AI development, immediately changing Amplitude’s shipping cadence from monthly to weekly.
Analytics will look very different 6 months from now. We have the opportunity to be the AI native company in Analytics and we are going to pull every piece of firepower we have.
From Skates’ October email to staff titled ‘Introducing: AI Native Amplitude,’ signaling the urgency and competitive stakes of the company’s AI transformation.
Increasingly, even the most cynical team members have come around.
Wade Chambers, Chief Engineering Officer, described how the bottoms-up approach and demonstrated results converted skeptical engineers who were initially wary of AI ‘grifting’ in the industry.
Our Take
Amplitude’s transformation is particularly instructive because it demonstrates that successful AI adoption requires more than just buying tools—it demands cultural change, leadership commitment, and strategic acquisitions of both technology and talent. The company’s $100 million investment shows AI transformation is expensive, but their 40% productivity gains suggest the ROI can be real when implementation is comprehensive.
The contrast between Skates’ initial skepticism and his aggressive pivot highlights a broader industry inflection point: AI has matured enough to convert even the doubters. The “AI week” approach—taking entire teams offline to force engagement—may become a model for other enterprises struggling with adoption.
Most tellingly, Amplitude’s focus on speed (weekly vs. monthly shipping) reveals that AI isn’t just about automation—it’s about fundamentally accelerating business velocity. Companies that don’t match this pace risk falling behind competitors who successfully integrate AI into their development cycles.
Why This Matters
Amplitude’s transformation represents a critical case study in enterprise AI adoption, particularly because it demonstrates how even deeply skeptical leadership can pivot to aggressive AI implementation when the technology matures. The company’s experience offers valuable insights for other organizations navigating the transition to becoming “AI-native.”
The measurable productivity gains of 40% overall and 300-400% on specific teams directly contradict the MIT study showing 95% of AI pilots fail to demonstrate ROI, suggesting that comprehensive, company-wide implementation with proper change management may be key to realizing AI’s promised benefits.
The bottoms-up approach—using “zealots” and live demonstrations to convert skeptics—provides a replicable playbook for overcoming employee resistance to AI tools. As white-collar work increasingly integrates large language models, understanding how to drive adoption beyond management mandates becomes crucial.
For the broader analytics industry, Amplitude’s aggressive move signals that AI-powered analytics may become table stakes within the next 2-3 years, potentially forcing competitors to make similar investments or risk obsolescence. The company’s willingness to invest potentially over $100 million demonstrates the high stakes of this technological transition.
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Source: https://www.businessinsider.com/amplitude-ai-native-push-2026-1