McGrew describes an FDE as a technical person who works at a customer site to bridge the gap between a product and what the customer needs. At Palantir, teams brought an early demo to intelligence customers, gathered feedback, and built solutions for problems they had not encountered before.
The FDE Playbook for AI Startups with Bob McGrew
Speaker
Bob McGrew, former Palantir executive and OpenAI Chief Research Officer, discusses the forward deployed engineer model and AI startup product discovery with Y Combinator’s The Light Cone host.
Palantir found that customers needed slightly different products, so it built a customizable platform rather than separate products for each site. FDEs created a working solution, or “gravel road,” while the product team generalized it into reusable software for other customers. McGrew says the model must produce repeatable value and lower the cost of delivering outcomes over time to avoid becoming consulting.
Palantir’s Echo team worked with users and managed customer relationships, while its Delta team built and deployed prototypes quickly. McGrew says Echo members needed domain knowledge and a willingness to challenge existing practices; Deltas needed to be strong at rapid prototyping. Product teams then worked with FDEs across several customers to find abstractions that could serve more than one workflow.
McGrew links FDE hiring to AI agents being a new market category with no incumbent product and substantial product discovery still to do. He says this discovery often requires working inside enterprises, where needs vary across market segments. For AI startups, he recommends selling outcomes, securing executive backing, and tracking both the value delivered and the product leverage gained.
McGrew describes joining the U.S. Army Reserve as an officer advising the Army on technology, with authority to work on problems from the ground up and escalate them to leadership. He compares parts of that work to FDE practice, including connecting leadership priorities with on-the-ground needs. He sees a startup opportunity in closing the gap between rapidly improving AI capabilities and what customers can actually adopt.
Takeaways
- Use FDEs to discover customer problems from inside the workflow, then test whether the solution can serve other customers.
- Have the product team generalize field prototypes with input from several customer teams.
- Measure the value of outcomes delivered and whether product leverage improves, not just how much customization is done.
- Sell a valuable outcome and build executive support for the access and authority needed to deliver it.
- AI capability alone does not create adoption; startups can help make it useful in real customer settings.
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What was claimed 9
- role atBob McGrew is Chief Research Officer at
OpenAI“recently Chief Research Officer at OpenAI”
YouTube Verified2 sources· Talk
- previously atBob McGrew previously at
Palantir
early executive“an early executive at Palantir”
YouTube Verified2 sources· Talk
- previously atBob McGrew previously at
PayPal
early engineer“Bob was an early engineer at PayPal”
YouTube Unverified1 source· Talk
- builtBob McGrew built
o1
“and the o1 reasoning model”
YouTube Unverified1 source· Talk
- builtBob McGrew built GPT-4
“led the development of ChatGPT, GPT-4”
YouTube Unverified1 source· Talk
- builtBob McGrew built
ChatGPT
“where he led the development of ChatGPT”
YouTube Unverified1 source· Talk
- featureforward-deployed engineering: Embedded engineers fill the gap between product capabilities and customer needs
“sits at the customer site and fills the gap between what the product does and what the customer needs”
YouTube Unverified1 source· Talk
- featureforward-deployed engineering: Teams build customer-specific solutions that inform generalizable product development
“figure out how it should generalize to the next five or ten customers”
YouTube Unverified1 source· Talk







