VentureBeat Analysis on Artificial Intelligence Investing

Why AI investors don’t get it right

Alex Stern, Eugene Sidorin

VentureBeat Analysis on Artificial Intelligence Investing

Investors have been putting billions of dollars into AI startups every year for several years now. But they’re focusing on the wrong type of play.

The large number of AI startups they’ve been funding are building vertical solutions, often from scratch, putting themselves in competition with technology giants — a battle they will lose most of the time.

Meanwhile, there is an increasingly obvious misalignment between what corporate customers expect from AI and what’s currently available in the market

Therefore, both AI investors and founders would be better off focusing on the opportunities around AI implementation, an area where customers struggle most.

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