Shopify CEO Shares AI Memo with Employees

An internal AI memo from Shopify CEO Tobias Lütke leaked and quickly stood out as one of the clearest examples of how a CEO can reset expectations for AI at scale: using AI is now a baseline expectation, teams must “hire an AI before a human,” and AI proficiency will factor into performance reviews. This article unpacks what’s in the memo and how other CEOs can adapt its lessons for their own organizations.

Key Takeaways

• Shopify’s memo makes AI usage mandatory, not optional “extra credit,” for all employees, including leaders.

• Teams must prove AI can’t do the job before requesting new headcount or more budget (“hire an AI before a human”).

• AI proficiency will be built into performance and peer reviews, making GenAI a core career skill at Shopify.

• Lütke frames AI as a multiplier of human talent, asking employees to imagine autonomous AI agents as part of every team.

• For CEOs in highly disrupted (“crucible”) industries, the memo is a playbook for moving from AI experiments to company-wide adaptation, not just isolated IT projects.

A leaked memo from Tobias Lütke, CEO of Shopify, demonstrates best practices for setting AI expectations for employees.

This exemplifies what CEO leadership looks like in the Age of AI.

CEOs must adapt to leading organizations of, say, 1,000 employees empowered with 5,000 AI assistants. For industries "in the crucible" (using our WINS framework) of GenAI disruption, companies have moved beyond awareness and experimentation and must now enter the adaptation phase, which requires CEO leadership. AI is not merely an IT project.

Tobias Lütke, CEO of Shopify

Memo: (note GSD - Get Sh*t Done)

FAQs: What CEOs Can Learn from Shopify’s AI Memo

1. What did Shopify’s AI memo actually say?

   Tobias Lütke’s memo states that AI usage is now a baseline expectation at Shopify. Teams must demonstrate they’ve fully explored AI before asking for more resources or headcount, and AI fluency will be evaluated in performance and peer reviews. In short: using AI effectively is now part of everyone’s job description.

2. Why is this memo such a big deal for CEOs?

   Because it shows what it looks like when a CEO treats AI as a company-wide operating change, not an IT initiative. The memo ties AI directly to hiring, budgeting, and performance management, signaling that AI skills are now as fundamental as communication or digital literacy for knowledge workers.

3. How can non-tech or traditional companies use lessons from Shopify’s memo?

   Non-tech companies don’t need to copy the tone, but they can adopt the core principles: set explicit AI expectations, require teams to consider AI solutions before adding headcount, and recognize AI learning in reviews. The speed and intensity may differ by industry, but the idea that “AI is everyone’s job” translates across sectors.

“Change your thoughts and you change your world.” — Norman Vincent Peale

Onward,
Paul