Investors rely on Artificial Intelligence. It’s no different, according to a study (PDF) by London-based financier MMC Ventures, explaining why 40 percent of all AI startups in Europe use the term without using the technology. Only in about 60 percent of the AI companies investigated was the technology “essential” for the product.
The official voice
Researcher in charge of the study, MMC Research Director David Kelnar, said: Not all startups would have advertised Artificial Intelligence on their own. Rather, they have been classified as AI companies by Analytics websites such as Pitchbook and Crunchbase. Nevertheless, the companies would not have done anything about it.
One possible reason
Start-ups using AI would get between 15 and 50 percent more money than other companies, according to Kelnar. In 2013, according to the study, only every 50th new startup advertised KI. Today, one in twelve new companies make Artificial Intelligence the focus of their business model.
Also published on Medium.