AI-first web app toolkit
The Vercel AI SDK is used to build AI-powered web applications with streaming chat interfaces, generative UI, and tool calling in Next.js, Nuxt, and SvelteKit. It provides React hooks and server functions that handle streaming LLM responses, managing conversation state, and rendering AI outputs incrementally in the browser.
Install with `npm install ai @ai-sdk/openai` in your Next.js or other supported framework project. Set your OPENAI_API_KEY in `.env.local` and use the `streamText()` function in an API route. On the frontend, use the `useChat()` hook to get a ready-made chat interface with streaming support.
$ npm install ai @ai-sdk/openai` in your Next Case studies
B2B market research SaaS
A market research SaaS needed to add a conversational AI interface supporting streaming responses, tool calls (web search, chart generation, data queries), and session history — estimated at 2 weeks of work.
Built the complete chat interface using Vercel AI SDK's useChat hook with streaming, tool call rendering, and optimistic UI. SDK abstracted the Claude API integration, streaming state, and error handling into a few hundred lines.
Production-ready streaming chat with tool use shipped in 4 hours. Feature drove 34% increase in daily active users within 2 weeks of launch. NPS improved from 41 to 67.
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Latent Space / Smol AI
Editor of Latent Space, the leading AI engineering newsletter and podcast. Popularized the term 'AI Engineer.' Previously led developer tooling at AWS, Two Sigma, and three devtool unicorns (Netlify, Temporal, Airbyte). Former currency options trader. Curates the AI Engineer Summit, the top conference for AI Engineers. Founded Smol AI for LLM data pipelines.
Vercel
Founder and CEO of Vercel, the platform behind Next.js. Created Socket.io. Under his leadership, Vercel launched the AI SDK and v0.dev, making AI a first-class citizen in web development. v0 became one of Vercel's fastest-growing products.
Vercel
VP of AI at Vercel, leading development of the Vercel AI SDK. Previously created Formik and TSDX. Architected the AI SDK for building streaming AI applications with React Server Components.
T3 Chat (Ping.gg)
Creator of the T3 Stack (Next.js + tRPC + Tailwind + Prisma) and CEO of T3 Chat, a YC-backed AI chat application. Former software engineer at Twitch. YouTube channel with 500k+ subscribers covering software development and AI tools. Investor in Cursor. Known for rapid prototyping demonstrations using Cursor and modern AI tools.
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