tl;dr:
- Generative AI drives design costs to zero. Agents reduce distribution and operational overhead. This unlocks audiences that were previously unprofitable.
- We are launching an agentic product studio, Fenneth, to tap into these new opportunities.
- Our first business is Dripddit, a novelty t-shirt company for long-tail interests and real-time trends —checkout the video demo.
- Raising €600K to fund the launch of up to four products over the next two years—see Next Steps.
Technology has always transformed scarcity into abundance. Now, generative AI is doing the same for design—turning once-limited creative capabilities into limitless, near-zero-cost creation.
Beyond creation, AI is also slashing distribution costs by removing overhead. Autonomous agents can now iterate ads, generate content, and optimize SEO in real time.
This shift makes entirely new products and audiences viable—ones that were previously unprofitable.
Pioneering AI-run creative products
At Fenneth, we identify underserved, scalable, on-demand creative markets and launch products that are fully AI-run, with zero employees. Our core criteria:
- Large, established creative product with multiple profitable players
- Operations that can be 100% agentic, requiring no human intervention
- Underserved creative segments that AI allows us to scale profitably
We follow a classic studio funnel:
- Idea Generation – Find ideas matching the above criteria
- MVP in 2–4 Weeks – Hit initial ROI targets quickly
- Scale Distribution – Expand channels and drive horizontal growth
Currently, we rely on what is, ironically, the most expensive and least efficient AI technology we’ll ever have at Fenneth—comprising existing agentic tools alongside our proprietary agents. Over time, AI advancements will unlock (i) more agentic business opportunities, (ii) further automation, and (iii) lower AI costs.
Founded by Teo Ruiz and Pedro Torrecillas, Fenneth brings 35 years of combined experience in product, technology, and business building. We believe in an engineering-led culture that prizes pragmatism and scalable revenue generation.
Our first business: Dripddit
The novelty t-shirt market is an online industry focused on selling humorous and niche t-shirts (and beyond) that let customers express their personalities, interests, or cultural references. There are large, established players—Redbubble ($370M FY23), Spreadshirt ($195M FY20), Society6 ($138M FY20)—as well as newer ones like Threadless (approx. $60M) in a low-growth, thin-margin industry.
A high-level breakdown of its costs:
- Production & Fulfillment: ~50% (on-demand, no inventory)
- Marketing: ~15% (ads)
- Design: ~15% (in-house or outsourced via a marketplace model)
- Overhead & Admin: ~15%
- Net Profit: ~5%
By leveraging AI-driven design agents, we:
- 100,000x inventory targeting long-tail interests and real-time trends.
- 7x the net margin to ~35% by eliminating design and overhead expenses.
We built four agents to manage this end to end—see Reddit’s video demo here:
- Topic Analyzer – Scans communities and trends for lore and jokes
- Copywriter – Drafts t-shirt copy based on the insights
- Art Director – Defines the illustration style to match community culture
- Creative Illustrator – Generates t-shirt designs based on the joke and chosen style
T-shirts are then automatically listed on Shopify. Production and global fulfillment are outsourced via API for ~45% of revenue, and we’re testing Reddit ads at a 10–15% cost-over-revenue target. Next, we plan to expand distribution to other communities and niches, both within and beyond Reddit.
Next steps
While our objective is to reach profitability within months, we’re raising €600K to finance the launch of up to four companies over the next two years. We’ll determine if additional funding is needed for faster scaling—ideally, it’s not required, but we’re open to opportunities. We’re currently engaging with trusted friends in our network who can offer capital, insights, and connections to uncover and build more AI-driven products in the infinite creativity space.
The round will be structured to minimize time spent on formalities and to prioritize getting funds in the bank as quickly as possible. Our approach is to sign a private agreement that defines key investment terms—such as valuation, 1x liquidation preference, 100% founder dedication, drag-along and tag-along rights, etc.—with the formal notarial procedures to follow in the coming weeks.
This is our life’s work. We aim to build a conglomerate of AI-driven companies targeting €100M in revenue, powered by a very technical team of 10–15. Similar studios sharing our thesis (e.g., iterate.com) will likely emerge globally, reshaping what a company is in the AI age.
We’d love for you to join the pioneers.
