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L5 · Expert: the AI-first engineering organization9 min read

AI product strategy with the CPO

AI is not only how you build — it is increasingly what you build. The CTO and CPO need one shared view of AI in the product.

Division of labour

  • The CPO owns which problems AI should solve for customers, the experience, pricing and success metrics.
  • The CTO owns feasibility, architecture, the platform (gateway, retrieval, evals, observability), cost, security and reliability.
  • Together they own the quality bar: what accuracy, latency and failure behaviour is acceptable before launch.

Questions to settle together

  1. Value: which customer outcome improves, and how will we measure it?
  2. Quality: what does the eval set look like, and what score is good enough to ship?
  3. Failure modes: what happens when the model is wrong — fallback, human handoff, disclosure?
  4. Unit economics: inference cost per user or per action at expected volume, and the pricing that covers it.
  5. Dependency: which model providers do we rely on, and what happens if one changes terms or capacity?

Vendor dependency is a product risk

In June 2025 the AI coding company Windsurf said Anthropic had cut off nearly all of its direct capacity to Claude 3.x models with less than five days' notice, amid reports that Windsurf was being acquired by OpenAI (TechCrunch, June 3, 2025). Windsurf's users saw short-term availability issues; some switched tools or brought their own API keys. An AI product that depends on one provider inherits that provider's business decisions.

Mitigations: a gateway that can route to a second model, evals that tell you quickly whether an alternative is good enough, contracts with notice periods, and a product design that degrades gracefully.

Operating rhythm

A joint monthly AI product review: quality and eval trends, cost per unit, incidents, provider changes and roadmap. Shared metrics stop "the model is great" and "the feature is too expensive" from being separate conversations.

What this means for the CTO

Partner with your CPO on a single AI product scorecard: customer outcome, eval quality, cost per unit and incidents. Make provider dependency an explicit roadmap risk with a tested fallback.

Use the build-vs-buy matrix together for each major AI capability, so product value, cost and lock-in are weighed in one place — and file the resulting ADR where both teams can find it.

Agree up front who can stop a launch: if evals fall below the quality bar or unit costs exceed the plan, either leader should be able to pause the feature without a long escalation.

Real example

TechCrunch reported on June 3, 2025 that Anthropic cut off nearly all of Windsurf's direct capacity to Claude 3.x models with less than five days' notice, amid reports that OpenAI was acquiring Windsurf; Windsurf's CEO said it had wanted to pay for full capacity, and users faced short-term availability issues, with some bringing their own API keys. Source: TechCrunch — Windsurf says Anthropic is limiting its direct access to Claude AI models (Jun 3, 2025) ↗

Use it

Quick check · 3 questions

  1. 1.Who should own the AI quality bar for a product feature?

  2. 2.What does the Windsurf case illustrate?

  3. 3.Which mitigation lets you switch providers quickly?

0 of 3 answered

Sources

Last reviewed 2026-10-01.