With innovative automation processes and machine learning capabilities, artificial intelligence (AI) has revolutionized virtually any industry and enables task performance that required human intelligence in the past. Having such a huge impact has raised the aspect of artificial intelligence funding for a number of startups to take the reins of new-age innovations. Thanks to its promise of revolution and rapid developmental capability, AI has become the hottest sector to make investment recently.
Tech Giants Funding Artificial Intelligence
Organizations in almost every sector are providing artificial intelligence funds to different startups to develop automated tools and techniques for processes and better serve the customers. Some market giants that have started funding sequence for AI startups are:
A big name in processor and CPU manufacturing, Intel is the first tech giant that has initiated artificial intelligence funding to make an impact in the world of AI. Intel has an estimated investment that totals almost $117 million in 14 different AI startups, all working on different platforms. In 2016, Intel acquired Nervana and Movidius that has led to the launch of the Nervana Neural Network Processor (NNP) in 2019 to intensify the raining and interferences in AI models. The purpose of the development of NNP is the initiation of hardware solutions that has the combination present to adapt to different use cases. This means looking for specific applications, their needs, and the reduction of latency by delivering the results most appropriately to the data.
Nvidia has made some serious artificial investment funds attempting to power the technology for the future. AI programs require more powerful computing as compared to traditional targeting; hence heavy investment has enabled new chip designs to create a bridge for AI programs and execution. Nvidia has already invested heavily in AI processes for automotive, robotics, construction, and health care sectors. The AI-powered services enable the professionals to use new tools and methodologies needed in medical and related fields.
AI plays an integral role in Google’s strategy for future growth to evolve into an AI-first world from the mobile-first ability. As a part of their artificial intelligence funding approach, they acquired DeepMind in 2014 for $400 million. AI has long been a core of Google’s products that ranges from algorithms to replies to Gmail. Google Assistance is a voice command system that recognizes voice commands for neural language processing. The major reason for Google to invest in AI is to make it as seamless and readily available to users as AI is the heart of Google’s operations.
Process of Artificial Intelligence Funding
Capturing the opportunity of artificial intelligence funding offered by the influence of the global economy requires an active approach with broad and flexible management. Managers have to use various tools that can identify and point out companies where revenue and development are dependent on the use of AI applications. The process of AI funding has 4 core areas:
Research: Searching for AI-driven companies where revenues are based on AI processes and to identify its potential.
Selection: Using the measuring and evaluation techniques to select the most attractive funding opportunities.
Portfolio: Making a portfolio based on the diversification of region, sector, and company name selected for approaching.
Monitoring: Taking all the risks and benefits in the notice and manage the fund acquired in the global economy for the latest industry development.
Maturity of AI Sector
As the artificial intelligence funding stages move to later phases, the sector has started to enter its maturity period. At this point, even more, money is being invested as a part of the funding program. Specific funding has increased along with the whole AI sector. Machine learning platform companies have developed algorithms based on the operations of their existing data. Companies apply these machine learning programs to optimize specific operations. Machine learning and computer vision related categories have fueled the artificial intelligence fund approach to remain consistent throughout the whole sector. It also implies that certain applications are developing and growing more rapidly in terms of development, adaptability and consist of bigger overall investment.
Artificial intelligence fund has found its way into the development and adaptability of the sector. This funding sequence is essential because of the growth potential that the sector possesses to develop rapidly. Taking this factor into account, tech giants have invested a considerable amount in the hope of increasing their base of operation, and it has proved successful.