LALatent SpaceMar 6, 2026· 24:59

Why Your AI Agents Don’t Work with Dex Horthy of HumanLayer | In-Context Cooking

Dex Horthy, founder of HumanLayer and creator of "context engineering," joins Alan to recreate Dan Dan noodles while explaining why most AI agent demos fail in production and how the top 1% of AI engineers build differently from the rest. Horthy describes how his NASA JPL internship at 17 taught him pathfinding with Dijkstra's algorithm, and later coining "context engineering" after observing that public hype around open-source frameworks doesn't match enterprise reliability needs. He defines AI "slop" as low-effort derivative content often produced without reading, and introduces the "dumb zone"—a rule of thumb to start thinking about context compaction at 40% usage unless you have strong intuition. Horthy argues that while smarter models narrow the gap, the frontier of reliably achievable tasks keeps shifting, so context engineering remains valuable. He predicts software engineering will evolve from writing code to producing working code, emphasizing shipping over coding, and notes HumanLayer helps enterprises standardize AI adoption with guardrails rather than vibe coding.

  1. 0:00Intro
  2. 1:22NASA Internship
  3. 3:35Context Engineering
  4. 6:21AI Slop
  5. 8:06Replicate & Founder
  6. 12:54Context Engineering Evolves
  7. 15:21The Dumb Zone
  8. 16:56Building Intuition
  9. 18:59Future of SWE
  10. 21:03Plating
  11. 22:02Taste Test
  12. 24:27Verdict

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Transcript

Intro0:00

Dex Horthy0:00

Look at that. Look at that sauce. Fully incorporated. I'm sure the model labs love that that's the answer. This is getting chaotic, dude. This is fun. Yeah, I wanna, I want, I want the verdict here.

Alan0:12

Hey guys, welcome to In-Context Cooking, a show where we take one dish, taste it, and try to recreate it with minimal help. My name's Alan, and today we have a very special guest, the man behind Context Engineering, Dex Horthy, founder and CEO of HumanLayer.

Welcome, Dex.

Dex Horthy0:27

Dude, I'm so stoked to be here.

Alan0:29

Yeah. I mean, I always start off with this. So on a scale of one to 10, how would you rate yourself as a cook? One being bad, 10 being amazing.

Dex Horthy0:35

I would put myself at, like, seven or eight. I don't cook that much anymore.

Alan0:38

Okay.

Dex Horthy0:38

And I do it 'cause it's kind of, like, fun. I li-... The idea of just following a process which is very deterministic, uh, but also kind of chaotic is, is, uh, is a lot of fun, so.

Alan0:46

Yeah, we like that. Chaotic, but with, um, certainty. Looking at these ingredients we have before us, do you have any guesses of the dish we're gonna try and make?

Dex Horthy0:54

I mean, clearly we're doing some sort of noodle. I see some bok choy.

Alan0:58

Okay. Yep.

Dex Horthy0:58

Um, I'm... But, uh, yeah, I, I, I don't know a lot about noodle dishes, so, uh, I'm excited to see what we got.

Alan1:04

Yeah. So the dish we'll be trying today is Dan Dan noodles.

Dex Horthy1:08

Oh, nice. I love Dan Dan noodles.

Alan1:09

Yeah. We have a lot of protein here, some flavors. Very simple to make at home, but yeah, we'll taste it and then try to recreate ourselves.

Great.

Dex Horthy1:18

Oh, that's fire. I'm gonna go for one more. That's awesome.

Alan1:20

Are you also good with spice or are you kind of-

Dex Horthy1:21

Oh, I love spice.

NASA Internship1:22

Alan1:22

Okay, great, 'cause we do have some chili oil here. I've read that you've started coding since you were 17, and you had an internship at NASA for the Jet Propulsion lab.

Dex Horthy1:31

Yeah.

Alan1:31

So, like, how does a high school kid end up getting an internship at this very prestigious lab?

Dex Horthy1:36

Uh, so they do have, they had this high school internship program where it was like-

Alan1:39

Mm-hmm

Dex Horthy1:39

... they would take for a summer. It was, like, summer after my junior year.

Alan1:42

Yeah.

Dex Horthy1:42

And they just, like, put us up in dorms at a local, like, university that was kind of empty. And so there's... The reason why people wanna go explore the South Pole of the moon is 'cause there's, like, craters there that are so deep-

Alan1:54

Mm

Dex Horthy1:54

... that there is, like, frozen ice there. The moon's very dry, but in, in these craters there's, there's, uh, water that has never been hit by sunlight. And so it's there for, it, like, has been frozen there since the formation of the moon, since it got, like, ejected from the Earth.

Alan2:09

Oh, wow.

Dex Horthy2:10

And so it's like, "Oh, we really wanna go see what's in that ice and collect samples and study it." Problem is, very, very deep craters.

Alan2:16

Yeah.

Dex Horthy2:16

And so, like, most of the rovers can't do it.

Alan2:19

Wow.

Dex Horthy2:19

And so we had to, like, we were basically, like, building some, like, pathfinding algorithms of, like, okay, given a rover and its current capabilities, and, like, what's the steepest hill it can go up? Like, I wanna go from here to here.

And I was 17. I didn't have a CS degree. Like-

Alan2:31

Mm-hmm

Dex Horthy2:31

... so we built a very naive implementation of Dijkstra's algorithm- ... to, like, find the shortest path according to some, like, constraints of what the rover could do.

Alan2:39

Great. Yeah. I mean, that's a great start. So we can now look at some of the spices so we have it in our context before we go off to cook.

Dex Horthy2:46

Here we go.

Alan2:49

I think we're ready to go. Are you ready? Do you feel comfortable and we get started?

Dex Horthy2:53

Let's ship it, dude. Let's go.

Alan2:56

Dex, are you ready?

Dex Horthy2:57

All right. Tell me what we're doing here, baby.

Alan2:58

Okay. Let's start with the meat first. So-

Dex Horthy3:01

Okay

Alan3:01

... you should probably see some-

Dex Horthy3:04

Pork?

Alan3:04

Yeah, ground pork. And so ta- let's take one of the bowls.

Dex Horthy3:08

Yep.

Alan3:08

Um, and just mix some of... Put the pork in there. Shoot.

Dex Horthy3:13

Okay.

Alan3:13

Uh, I don't know how much pork you have. I'm gonna try to put not too much to crowd it and then

yeah, I believe we use-

Dex Horthy3:22

Switching bowls here

Alan3:23

... the Shaoxing wine. Okay. Let's cut up the garlic.

Dex Horthy3:27

How much garlic you going for?

Alan3:29

Um, honestly, probably, like, three cloves. Two, three cloves.

Dex Horthy3:32

Three cloves?

Alan3:33

Yeah.

Dex Horthy3:33

All right, cool. I'm doing six.

Alan3:35

Okay. How did you get into context engineering? I feel like, you know-

Context Engineering3:35

Dex Horthy3:39

Oh

Alan3:39

... coining the term, now it's like-

Dex Horthy3:41

Incredible. Ac- according to Swix, there are- There are many people who, who, uh-

Alan3:46

Jamie Sorkin

Dex Horthy3:46

... Gemini thinks it was Andrej Karpathy.

Alan3:48

Okay. I mean, that's a very valid guess.

Dex Horthy3:50

Yeah. And then I, uh, and then it had a crash-out about Andrej Karpathy. I literally, I have a screenshot, it just, like, says the word An- Andrej Karpathy like 30 times in a row 'cause something gets, uh-

Alan3:59

Okay

Dex Horthy4:00

... yeah, you know. The standard-

Alan4:01

Yeah

Dex Horthy4:01

... Gemini crash-out. Uh, yeah, so basically I was building, like, dev tools for AI engineers.

Alan4:08

Okay.

Dex Horthy4:08

And, uh, what happened was I, like, talked to all the best founders and engineers and founding engineers that would, like, take my call, and I was like, "Hey, we're making this thing that helps you build better agents." I won't go into, like, the specifics of it-

Alan4:22

Yeah

Dex Horthy4:22

... but it was built of, like, I had this assumption about how, uh, people build agents.

Alan4:27

Mm-hmm.

Dex Horthy4:28

And, uh, so I built tools for, to, like, map onto that way of building agents, right?

Alan4:34

Mm-hmm.

Dex Horthy4:35

And the problem was, was that when I talked to all these people who were shipping, like, real AI to the enterprise-

Alan4:41

Yeah

Dex Horthy4:41

... like, reliable systems, it was like, I think, I think I saw this, uh... It was, like, an old tweet from, uh, from, like, Swix, actually. It was this idea of, like, the way the top 1% build is so different from the bottom 99%.

Alan4:55

Mm-hmm.

Dex Horthy4:56

You have all your, like, indie hackers and, like, open source frameworks that are very, very popular.

Alan5:01

Yeah.

Dex Horthy5:01

And, like, everyone uses, and that's what you see in public.

Alan5:03

Yeah.

Dex Horthy5:03

And then you go see how real people are building stuff and getting reliability, and it's completely different.

Alan5:08

Oh, okay.

Dex Horthy5:08

And so, like-

Alan5:09

Why do you think there's such a discrepancy?

Dex Horthy5:11

I think there's a difference between, like, people who wanna build, like, reliable software and people who wanna build a cool demo.

Alan5:17

Okay, yeah.

Dex Horthy5:18

I think that's the core of it.

Alan5:18

The incentives are different.

Dex Horthy5:19

The incentives are different. Yeah.

Alan5:20

Okay.

Dex Horthy5:20

The incentives of, like, okay, if this is right 80% of the time, that's fine. It'll look good on the demo.

Alan5:25

Yeah.

Dex Horthy5:25

But if you wanna go sell something to a real company and, like, charge them-

Alan5:29

An enterprise

Dex Horthy5:29

... you know, 100K a year-

Alan5:30

Yeah

Dex Horthy5:30

... it's gotta be much more, uh-

Alan5:32

Bulletproof and not as-

Dex Horthy5:34

Yeah.

Alan5:35

Okay, that makes sense.

Dex Horthy5:36

So I learned all this stuff and I was like, damn, I got a little bit, like, distracted by the, like, public hype machine.

Alan5:42

Mm-hmm.

Dex Horthy5:42

And so I said, "Okay, cool." Like, I don't want anyone else to go through this. So I wrote down everything that I learned and I called it, among other... Like, there was 12 chapters. There was only one of them was really about context engineering.

Alan5:53

Yeah.

Dex Horthy5:53

But that was the one that stuck.

Alan5:55

And then you went through Y Combinator, right? In 2024.

Dex Horthy5:59

Uh, yes.

Alan6:00

Okay.

Dex Horthy6:00

Yeah. So this is, this happened, we did Y Combinator in fall of 2024, and this whole, like, 12-factor agents context engineering journey happened in, like... Kind of like Q1, I wrote about it in Q1 of 2025-

Alan6:12

Okay

Dex Horthy6:12

... and then it kind of like went viral in April.

Alan6:14

Yeah, 'cause you had a couple AI engineering talks that, um, even recently, right, in New York. No Vibes Allowed, was it the title? That-

AI Slop6:21

Dex Horthy6:21

Yeah

Alan6:22

... you know, had, had some good reception. One thing that was very commonly said, even I think Swix had a talk about, was about slop. And I'm kind of curious, like-

Dex Horthy6:30

More slop

Alan6:31

... how do you define slop?

Dex Horthy6:32

I mean, it's kind of fun. The word has kind of evolved.

Alan6:35

Yeah.

Dex Horthy6:35

And like, you know, it used to be like that's just AI slop, but now-

Alan6:39

Okay

Dex Horthy6:39

... you can say slop about anything, I think.

Alan6:41

Yeah.

Dex Horthy6:42

Of just like any like low effort or like contrived or derivative thing that is like someone didn't put a lot of effort into.

Alan6:48

Yeah.

Dex Horthy6:49

It's obviously most common when someone just like uses AI to write a 10-page document that they didn't read and is like full of garbage.

Alan6:56

Yeah.

Dex Horthy6:56

But, um... All right, so all the gar- garlic's going in the meat?

Alan7:00

Yes.

Dex Horthy7:00

Okay.

Alan7:00

All the garlic, you just put it in there. We'll let the meat sit a little bit, and then we'll work on the sauce.

Dex Horthy7:06

All right.

Alan7:07

So, you should have a bowl in front of you. We can start off with a paste. I believe this is the... Yeah. Sesame paste-

Dex Horthy7:13

The sesame paste

Alan7:13

... you smelled earlier.

Dex Horthy7:13

Right?

Alan7:14

Yeah. Add like a spoonful.

Dex Horthy7:17

Small spoon or big spoon?

Alan7:18

Big spoon.

Dex Horthy7:19

Okay.

Alan7:20

Maybe like a s- big spoonful and a half.

Swyx7:22

Aren't you always big spooning?

Alan7:26

That's a crazy statement.

Dex Horthy7:28

Wow, Swix.

Alan7:30

Okay. Um, yeah, so sesame paste.

Dex Horthy7:33

Can we, can we quiet down in the back there, please?

Alan7:36

Okay. Um, we can add some sugar.

Dex Horthy7:40

Okay. Look at that. Look at that sauce.

Alan7:43

Okay.

Dex Horthy7:43

Fully incorporated.

Alan7:45

Chili paste. Now, do like a spoonful or two, depending on how spicy you like it. I'm doing like two.

Dex Horthy7:51

We're gonna go big here.

Alan7:52

Yeah.

Dex Horthy7:53

I didn't get my four cloves of garlic in, so...

Alan7:56

Okay. Let's move on to... We're on a time crunch. Let's move on to cooking the beef. Not the beef, the pork. So, turn on your induction stove.

Dex Horthy8:04

Yep.

Alan8:05

You with me? Okay.

Replicate & Founder8:06

Dex Horthy8:06

We're on.

Alan8:07

I saw that you were at Replicate, was it, for seven years?

Dex Horthy8:10

Replicate was dope. It was, um... We built... I started as an engineer, and we built a platform for, uh, how do we help... Uh, if you have like a SaaS application-

Alan8:21

Yeah

Dex Horthy8:21

... uh, like, you know, people subscribe, they wanna use it, and then you wanna sell it to like a big enterprise, like a bank or something.

Alan8:27

Mm-hmm.

Dex Horthy8:28

Um, they're pretty, like strict about data controls.

Alan8:30

Okay.

Dex Horthy8:31

And so instead of like using your SaaS, they'll almost always ask you to like send the app into their data center, into their AWS cloud.

Alan8:39

Gotcha.

Dex Horthy8:40

And that's a very hard and like expensive thing to build as like an engineering team.

Alan8:44

Yeah.

Dex Horthy8:44

And so we built a lot of tools to help solve that problem.

Alan8:47

Okay. Would you say there was a lot of learnings and, you know, experiences that you transfer even today with HumanLayer?

Dex Horthy8:53

Um, yeah. So I, I was an engineer there for like two years, and then I like... I kind of always knew I wanted to be a founder.

Alan8:58

What made you say that? Were there just moments that-

Dex Horthy9:01

There was just like... I just like... I don't know. I had a... I... One of the guys I did all my CS classes with in college, he would, um... Are you going veg in first?

Alan9:09

You put in the meat.

Dex Horthy9:11

Oh, the meat in. Okay. Yeah, yeah, yeah.

Alan9:11

Just the meat.

Dex Horthy9:12

Yeah.

Alan9:12

The veg we're saving for later.

Dex Horthy9:13

Okay. Like I said, I kind of like always wanted to be a founder.

Alan9:16

Mm-hmm.

Dex Horthy9:17

And so I wanted to do all the other things. So this opportunity came out to like basically do a more like salesy side of the job.

Alan9:23

Gotcha.

Dex Horthy9:24

Uh, and I like jumped at it. I was just like, "Yeah, I wanna learn sales, and I wanna learn product, and I wanna learn all..." So like I ran... I basically became the first customer-facing engineer.

Alan9:32

Okay.

Dex Horthy9:33

Or s- uh, yeah, basically. So, uh, and we had all these deals. We had like parted ways with our head of sales, so he had a bunch of deals on the like radar-

Alan9:43

Yeah

Dex Horthy9:43

... for like, "Hey, we're gonna close."

Alan9:45

Yeah.

Dex Horthy9:45

And then like they'd just been stuck for like nine months.

Alan9:47

Okay.

Dex Horthy9:47

And I went and I met with all of them, and we closed like... I think we closed like 12 deals in three months.

Alan9:53

Oh, wow. 12 deals in three months.

Dex Horthy9:54

And the CEO was losing his . He's like, "Holy . Like the investors are taking my calls again, and we just made the quarter for the first time in a while."

Alan10:01

Yeah.

Dex Horthy10:01

Uh, and it r- it was very exciting. He's like, "Dex, I know you wanna get back to coding, but like can you go hire three more people and like turn this into a team? 'Cause whatever, whatever you're doing of like going and onboarding into our, our stuff, it is, it is working."

Alan10:14

Gotcha.

Dex Horthy10:15

So that's how I got, that's how I got pulled out of like writing code all day and into like helping other people use this like Kubernetes Terraform like deployment s- deployment system.

Alan10:26

Gotcha. And even today, like would you say your work is kinda distributed or less engineering, more salesy?

Dex Horthy10:34

Uh, I still write a lot of code.

Alan10:36

Okay.

Dex Horthy10:36

Uh, I, I brought on, uh, like a technical co-founder over the summer.

Alan10:40

Yeah.

Dex Horthy10:40

Uh, and he's, he's awesome. Uh, he is a much better engineer than me. So I let him write most of the code.

Alan10:47

Gotcha.

Dex Horthy10:47

We like to joke. It was like, uh, yeah, we have the early... Oh, I was talking to some people last night, and I was like, "Yeah, we have an early product. It's got a couple bugs." And he's like...

And someone's like, "Yeah, all software has bugs." I'm like, "Well, this isn't really bugs. It's more like the features that Kyle let Dexter ship instead of building them himself."

Alan11:02

Mm-hmm.

Dex Horthy11:02

Yeah, so I'm, I'm probably, uh, you know, I'm spending most of my time, I'm on the like, uh, Dan Dan noodle CEO track- ... where I'm just hanging out making noodles with cool people now. And like we do a lot of workshops with customers.

Alan11:14

Yeah.

Dex Horthy11:14

Like what we're doing is like there's a product that helps you do it-

Alan11:17

Mm-hmm

Dex Horthy11:17

... but there's also just like a lot of like whiteboarding that goes into helping people like ship more code with AI-

Alan11:22

Gotcha

Dex Horthy11:22

... which is like we're focused on helping people ship like... How, how do we get coding agents to solve like hard problems in complex code bases?

Alan11:29

Yeah.

Dex Horthy11:29

And so that is, uh, you can automate a lot of that with a product, but there's still like, just like trainings and stuff. So I, I run those, and I own those, and like I travel around and like sit with our customers and help them like level up their engineering teams, in addition to like giving them a product that kind of like when I leave, they have kind of like guardrails and guidelines for how to do it.

Alan11:49

Gotcha. And are your customers mainly like more upstream, bigger enterprises, or are they also like startups, a bit smaller mix?

Dex Horthy11:56

Uh, we're doing a little bit of both.

Alan11:57

Okay.

Dex Horthy11:57

You could argue that we should pick one and focus a little bit.

Alan12:00

Yeah.

Dex Horthy12:00

Um, but yeah, at the moment it's really, it's a mix of like, uh, you know- 10 to 20 person engineering teams at, like, a bunch of, bunch of random, like, YC startups.

Alan12:10

Yeah.

Dex Horthy12:11

And then, like, a mix of, like, you know, 1,000 engineer, like, publicly traded companies that, like, have to figure out how to, like, standardize and adopt AI across their whole company.

Alan12:21

Yeah, okay, that makes sense. Your meat should also probably be cooked by this point. Um, you should take it off and turn off the stove when it's got a color, like a golden brown color.

Dex Horthy12:30

I need a little more color on this.

Alan12:31

Okay.

Dex Horthy12:31

I'm not, I'm not happy with it yet, but-

Alan12:33

Yeah. But what-

Dex Horthy12:33

... keep, keep, keep feeding me instructions, I will, uh, I will queue the messages.

Alan12:38

Okay, yeah, so once you have that just put it into your main plating bowl and then we'll-

Dex Horthy12:43

The main what?

Alan12:44

Plating bowl, the big white bowl.

Dex Horthy12:46

Okay.

Swyx12:47

Show the camera the plating bowl.

Alan12:48

Yeah, it should be behind.

Dex Horthy12:49

Yeah, see this? This is not, this is not colored enough. We're gonna get a little more color on here.

Alan12:54

We could talk more about your favorite, you know, context engineering. How have you seen the craft of context engineering change over the past, I guess, year? We had much smaller context, uh, windows, uh, but then now we have a lot larger ones, and so probably the needs change.

Context Engineering Evolves12:54

Alan13:12

Have there been, like, big things that you've noticed?

Dex Horthy13:15

Well, so I think there's two competing things here, right?

Alan13:16

Yeah.

Dex Horthy13:17

There's this idea of, like, as the models get better you don't have to do as much context engineering to get the same quality of results.

Alan13:23

Mm-hmm.

Dex Horthy13:23

Um, like I saw a lot, like, a lot of my... People who used to be, like, my favorite engineers that I looked up to, and I still look up to them, but they were just like I thought about them a lot more in, like, 2015.

Alan13:32

Yeah.

Dex Horthy13:32

People who were, like, OG engineers on Docker and people like Mitchell Hashimoto. Um, suddenly there's this arrive of, like, all of the OG, like, DevOps people when Opus 4.5 came out they're like, "Oh, this is good enough. This is a big change."

Alan13:46

Mm-hmm.

Dex Horthy13:46

And I saw the things that they were shipping and I was like, okay, but I know a bunch of engineers who got really good at context engineering, and they were getting the same results from Opus 4.0 and Opus 4.1.

Alan13:56

Gotcha.

Dex Horthy13:56

And so, like, even as the models get smarter, I wonder, like, those people who were getting, like, really good results back in the summer, what are they doing now with Opus 4.5? What have they unlocked now that it's not being like, "Oh my God, Opus 4.5 is AGI"?

It's like, Opus 4.5 is AGI, uh, for people who didn't want to put in the time to learn how to do it.

Alan14:15

Mm-hmm, mm-hmm.

Dex Horthy14:16

You know what I mean?

Alan14:16

Yeah. So would you say a lot of these models are kind of capped by the users or an enterprise's ability to kind of properly context engineer?

Dex Horthy14:25

Um-

Alan14:25

Or do you think we'll kind of get to a point where there won't really need to be thinking about what goes into the context of your model with such huge context windows?

Dex Horthy14:33

So there was a thing I said in my first AI engineer talk-

Alan14:35

Mm

Dex Horthy14:36

... that was based on, like, an episode where, like, the latent space guys, they interviewed, uh, the NotebookLM team.

Alan14:42

Yeah.

Dex Horthy14:43

And, uh, I think it was Usama said this thing that was like, basically, like, there will always be a thing that the model can, like, only kind of get right reliably. Like, you find a thing that's right on the boundary of the model's capabilities, and you figure out how to get it right over, and over, and over again.

Alan14:58

Yeah.

Dex Horthy14:59

And, like, that's how you build incredible AI experiences.

Alan15:02

Gotcha.

Dex Horthy15:03

And I think that's still true, it's just, like, that, that, that frontier of what's possible is constantly shifting outward.

Alan15:08

Mm-hmm.

Dex Horthy15:08

And so, like, it's still, it's still reasonable to know how to do these things.

Alan15:13

Yeah.

Dex Horthy15:13

Um, because sometimes, some- at some point you might hit a problem that the AI can't solve, and then you have to go figure out how to solve it reliably anyways.

The Dumb Zone15:21

Alan15:21

Yeah. No, that's fair. You mentioned, I think in the most recent AI engineering talk about, was it the dead zone? Where it's like after you've-

Dex Horthy15:27

Oh, the dumb zone.

Alan15:29

Yeah. With 40% right of context-

Swyx15:31

Bring me the dumb zone right here.

Alan15:31

The dumb zone.

Dex Horthy15:31

I'm the dumb... Dude, I, I know the dumb zone 'cause I've spent a lot of my life in the dumb zone. Let's put it, let's just, let's just be clear here.

Alan15:38

So I guess for, like, people who want to do simpler tasks or more advanced tasks, are there, like, heuristics that you advise either, like, through your work with HumanLayer or just in general on when they should kind of think about taking more time to engineer it versus just, you know, putting everything in context and not caring about, like, over fitting this whole space?

Dex Horthy15:57

Yeah, I mean, I, I love that question. Um, I think a thing, I tweeted about this a, a couple of weeks ago-

Alan16:02

Mm-hmm

Dex Horthy16:03

... is, like, the idea with the dumb zone is also, like, it's kind of meant to be a rule of thumb. Like-

Alan16:07

Gotcha

Dex Horthy16:08

... there are people I know who have been doing AI engineering for a long time who regularly push all the way to the end of the context window-

Alan16:15

Mm-hmm

Dex Horthy16:15

... because they kind of, like, know what they're doing and what they want and, like, sometimes a good trajectory is worth... Like, you'll actually keep getting better results 'cause your trajectory is really good.

Alan16:24

Yeah.

Dex Horthy16:24

So it's like if you don't know what you're doing and you don't really know what the AI model is capable of, and you don't have a lot of experience, like, you know, training wheels is like when you get to 40% start thinking about wrapping it up or like-

Alan16:36

Mm-hmm

Dex Horthy16:36

... like, doing a, like, you know, intentional steered compaction to where you want to be.

Alan16:40

Yeah, compaction is-

Dex Horthy16:41

But, like, depending on the model and what you're doing, and if it's really simple, like, I will regularly blow out to, like, 60, 70% of the context window used. Um, but it's like-

Alan16:50

Mm-hmm

Dex Horthy16:50

... if you don't know and you haven't developed the intuition, then, like, I tell people, like, shoot for 40% if you're learning.

Alan16:56

Gotcha. And so, like, how does someone even, like, get familiar and build this intuition? Like, if somebody came up to you and says they want to take this more seriously and don't really know where to start, and even when it comes to compaction, like, how to even assess, like, accuracy, or relevance, or what to even consider, and how to even judge whether compaction is useful, um, what would you advise them?

Building Intuition16:56

Alan17:19

Would you tell them to take specific steps or, you know?

Dex Horthy17:21

Uh, yeah, talk to Claude for 70 hours a week. That's, that's how you do it. You gotta build intuition. Uh-

Alan17:27

Just use AI as much as possible.

Dex Horthy17:29

Use as much AI as possible, make mista- I mean, like, the thing that people actually ask me is, like, we developed this framework called, like, research, plan, implement.

Alan17:35

Yeah.

Dex Horthy17:35

And I get this question a lot of, like, what is, like, how do I know when to use research, plan, implement versus, like, just talk to Claude, right?

Alan17:44

Mm-hmm.

Dex Horthy17:44

There's some issues that are really small and, like, it doesn't really warrant the whole, like, process of like, okay, we're making a one-line change. The only way you learn how hard the problem is for AI is, like, you're gonna do too much sometimes.

You're gonna be like, "Oh, that was way too much attention," and now, like, I, I wasted a bunch of time on a thing that I could've just talked to Claude on.

Alan18:05

Yeah.

Dex Horthy18:06

And then you'll learn and be like, "Okay, next time I'm gonna go to the other side." And sometimes you'll, like, go talk to Claude and Claude just, like, flails and can't fix it 'cause it's too big of a problem-

Alan18:13

Yeah

Dex Horthy18:13

... or the context wasn't curated well enough. And so it's like the only way to know how much context engineering to use on a given problem, I think, is- Um, you just have to get some reps.

Alan18:24

Yeah.

Dex Horthy18:24

I don't, I don't have a better answer than that. I'm, I'm sure the model labs love that that's the answer.

Alan18:29

Mm-hmm.

Dex Horthy18:30

Uh, but, uh, yeah, that's, that's my biggest advice, is like put in the reps and figure out what's possible, and like try to push the boundaries.

Alan18:36

Gotcha. Oh yeah, that's helpful. Definitely just using a lot more reps, kind of like if you're going to the gym and trying to work out a muscle group.

Dex Horthy18:43

Yeah, the, uh, what do we, what do we call it? Like, the mind-model connection.

Alan18:46

Yeah, the mind- ... mind-model connection. I guess like on that, do you have predictions going into like '26, '27, even the next, you know, couple of years about how this industry will change that are top of mind?

Future of SWE18:59

Dex Horthy18:59

Uh, I mean, I think I s- I mentioned this before is like the software engineering role is gonna keep evolving. I don't believe the like software engineering is dead and there will be more, no more, no more coders.

I think the, the way I would describe it is like the role of the software engineer will change from like write working code to like produce working code.

Alan19:20

Mm.

Dex Horthy19:20

Or like cause working code to be produced.

Alan19:23

Gotcha.

Dex Horthy19:24

And one of my biggest pet peeves is the people who run around Twitter talking about how much like Claude code they spent and how many tokens they did and how parallel their workflows are-

Alan19:31

Yeah

Dex Horthy19:32

... and don't talk about like, "Yeah, I shipped a reliable product to people that like it, and like maybe even are paying for it." But it's like stop. We need to talk less about how much like code we produ- like how much code we produce and how much we actu- Like Guillermo Rauch talks about this.

He's like-

Alan19:45

Yeah

Dex Horthy19:46

... "There's a difference between coding and shipping."

Alan19:47

Mm.

Dex Horthy19:48

Coding is like making the software work and maybe making it work on your la- on your workstation. Shipping is like getting it into prod, fixing the things that are broken, maintaining it over time, and like continuing to make it better.

Alan20:00

Gotcha.

Dex Horthy20:00

And like that part is not quite solved by AI yet.

Alan20:03

Yeah.

Dex Horthy20:03

Maybe we'll get closer, but like I'm always looking... I mean, our company's called HumanLayer-

Alan20:07

Mm-hmm

Dex Horthy20:07

... 'cause we used to do human-in-the-loop.

Alan20:09

Mm.

Dex Horthy20:09

But now it's a little bit more like I think about it as like what is the high leverage things for humans to do?

Alan20:14

Yeah.

Dex Horthy20:14

And like what is the things that we can like leverage AI for, and it's kind of a dance. There's like if you're making code, there's like parts of it that AI just can't do right now, and there's parts of it that it can do really well.

Alan20:24

Gotcha. Yeah, so to complement, sounds like quality over quantity, especially with all the, you know, tweets about-

Dex Horthy20:30

Yes

Alan20:30

... multiple Claude code instances and just shipping things.

Dex Horthy20:34

Well, it's like we're working with like big enterprises in like fintech and like other like spaces where it's like

we can't afford to get it wrong.

Alan20:44

Yeah.

Dex Horthy20:44

There's no ship fast and break things.

Alan20:46

The stakes are much higher. Mm-hmm.

Dex Horthy20:46

I mean, though, like it's great for all the indie hackers and vibe coders that they're shipping a bunch of Claude code stuff.

Alan20:51

Yeah.

Dex Horthy20:51

But it's like how do we make this stuff accessible and make it so that like real production-grade products can get access to the same gains?

Alan20:58

Okay. I'm in the assembling stage right now. I'll give you like another minute.

Dex Horthy21:03

I didn't realize we were on the clock, dude. All right.

Plating21:03

Alan21:05

Yeah. But no rush, of course, Dex.

Dex Horthy21:07

And then how are you, how are you straining these noodles out?

Alan21:10

I'm just taking a fork and just transferring it over.

Dex Horthy21:12

Oh, no. I tried to set this on 7 and it is still on 10. All right, we're gonna take this off. This is getting chaotic, dude. This is fun. Let's go.

Alan21:20

All right, whatever.

Dex Horthy21:21

All right, we're gonna just do a little sauce riff here.

Alan21:23

Great. All right.

Final plating.

Dex Horthy21:30

My plating is not gonna look as good as yours- ... but we're gonna figure it out.

Alan21:34

Yeah. Taste is all that matters.

Dex Horthy21:36

This is why I love cooking for myself- ... 'cause I like, I don't wanna have to care what it looks like. I'll eat, I'll eat the ugliest slop in the world if it's delicious.

Alan21:45

All right. Food's all plated?

Dex Horthy21:46

No.

Alan21:47

Nope?

Dex Horthy21:48

Let me just wipe this off. Let's get that fork out of there, and we are ready to rock.

Alan21:55

Great. Let's rock.

Dex Horthy21:57

Let me turn this off.

Alan21:58

Smell.

Dex Horthy21:58

It's beautiful. Look at that .

Taste Test22:02

Alan22:02

Great. How was that, Dex? Did you have fun?

Dex Horthy22:04

Uh, it was a little chaotic, but it was a good time. I'm excited to try these things.

Alan22:07

Yeah, it was definitely a rush during the end, but we both finished, so both of our Dan Dan noodles.

Dex Horthy22:12

All right. Let's have a look.

Alan22:12

Let's see. Okay. Wow, yours is a lot prettier than mine.

Dex Horthy22:16

I, yeah, I-

Alan22:16

Well, I would say least

Dex Horthy22:16

... at the last minute I decided I was gonna try to, try to present it a little bit.

Alan22:20

We should give it a try. Here's a fork for you.

Dex Horthy22:22

Let's give it a taste. Are you gonna, are you gonna try mine or we're gonna-

Alan22:24

Yeah, let's, let's try yours first.

Dex Horthy22:25

Okay.

Alan22:25

Then we can try mine after. Here. Cheers.

Dex Horthy22:26

All right. Cheers.

Alan22:32

Mm. The bark chu was done very well.

Dex Horthy22:34

Really?

Alan22:36

Yeah. It's like-

Dex Horthy22:36

If you had given me... If you let me take my time I probably would've overcooked it.

Alan22:39

Mm-hmm.

Dex Horthy22:40

I think I used too much, I threw in some paste at the end. I feel like I used too much-

Alan22:43

Oh, okay

Dex Horthy22:43

... of the, the sesame paste.

Alan22:44

Yeah, I think yours is definitely a little spicier, but let's see how mine... Mine's definitely a little more thick.

Dex Horthy22:49

Let's give this a shot.

Alan22:50

Great. Cheers.

Mm.

Dex Horthy22:56

Damn. Okay. I really like the like... Something about this one is like it's more well-rounded. It just like the flavors all come together in a nice way.

Alan23:08

Yeah, I think this is like-

Dex Horthy23:08

This one feels a little sharper.

Alan23:09

Yeah. Let's try the rougher.

Dex Horthy23:11

Yeah, I'm definitely like a follow the recipe once guy.

Alan23:14

Yeah.

Dex Horthy23:14

And then-

Alan23:14

I also usually just-

Dex Horthy23:15

... and then, and then, and then riff it myself. 'Cause like now I'm like I made this, so I was like, okay, I can think of like four things I would change next time.

Alan23:20

Yeah. Cheers.

Dex Horthy23:27

I feel like this-

Alan23:28

Mm

Dex Horthy23:28

... one just has less flavor than both of them.

Alan23:29

Yeah.

Dex Horthy23:30

It's just a little more-

Alan23:31

I, I agree

Dex Horthy23:31

... like mild.

Alan23:32

Like I, I think this is like very like safe and-

Dex Horthy23:35

Yeah

Alan23:35

... you know, not as-

Dex Horthy23:35

If I was making food for other people I would make that and then I would put the chili oil on the side-

Alan23:39

Yeah, yeah

Dex Horthy23:39

... and be like make it, make it, make it, uh, make it more fun if you want to kind of thing.

Alan23:42

Yeah. Add a little extra spice in there.

Dex Horthy23:46

So this one's mine, this one is Alan's, and that's the reference one.

Alan23:49

Yeah.

Any call-outs? Um, where can people find you?

Dex Horthy23:55

Uh, I'm on, I'm on Twitter @dexhorthy. Uh, you can get my weird, uh, unfiltered brain trace as I go through the world of building agentic IDEs and playing with coding agents and keeping up with all the new things that all the labs are shipping.

Alan24:10

Yeah.

Dex Horthy24:10

Uh, and then we are, we just rebuilt our product from scratch. It's an agentic IDE. It's-

Alan24:15

Exciting

Dex Horthy24:15

... uh, coming out soon, and, uh, you can go sign up at humanlayer.dev, and, uh, we'll shoot you a note when it's ready.

Alan24:21

Yeah. Great. Well, back to our judges. Are you guys ready to say?

Dex Horthy24:25

Yeah, I want to, I want, I want the verdict here.

Swyx24:27

So I give Dex the slight win here. It, s- they, they all used the same ingredients-

Verdict24:27

Alan24:31

That's cool

Swyx24:31

... so it's like-

Dex Horthy24:31

Yeah

Swyx24:32

... you're, you're gonna be very comparable. But I just like the texture and the flavor. And also I, I really like the, the extra protein. Like you just like went all out with like the flavor. I love-

Dex Horthy24:41

I took a bunch of noodles out. I was like I want, I want more pork.

Alan24:44

Yeah.

Dex Horthy24:44

I want the ratio. I want protein.

Swyx24:45

Yeah. The, the ratio is just very different, and I like that.

Dex Horthy24:47

Okay.

Swyx24:48

Um, I, I have to agree. Dex's is more meatier.

Dex Horthy24:51

Aw.

Alan24:51

Yeah.

Swyx24:52

And-

Dex Horthy24:52

Damn, that's the-

Swyx24:52

Sorry, Alan

Dex Horthy24:52

... is that-

Alan24:53

Let's go, Alan. Oh, yeah.

Dex Horthy24:53

Yeah. Win, win any cooking competition with this one weird trick. Just make more meat on the plate.