How To Analyze AI Startups
Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.
Artificial intelligence-based startups continue to grow and increase.
Investors funding AI companies should look for the following:
Market size.
New markets can be difficult to measure.
For brand new categories, calculate the number of users in the market and how much they will spend on an AI solution.
For existing categories, calculate the current number of users in the market and how much they will pay additionally for the AI component.
Value add.
How much value does AI add to the product?
Does it increase the revenue substantially or only marginally?
Does it give access to new users and applications or only increase functionality to existing users?
Moat.
How much of a competitive advantage does AI bring against the competition?
If it's only a small modification to an existing LLM, then it can be easily copied.
If it has been trained on a unique data set then it will have a greater advantage over competitors.
Distribution.
How well does the startup run a go-to-market strategy?
A fast penetration of the market will be a great advantage over those who take time.
Consider these factors in analyzing an AI startup.
Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.
Let's go startup something today.
_______________________________________________________
For more episodes from Investor Connect, please visit the site at: http://investorconnect.org
Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/
For Feedback please contact info@tencapital.group
Please follow, share, and leave a review.
Music courtesy of Bensound.
Popular Podcasts
Las Culturistas with Matt Rogers and Bowen Yang
Ding dong! Join your culture consultants, Matt Rogers and Bowen Yang, on an unforgettable journey into the beating heart of CULTURE. Alongside sizzling special guests, they GET INTO the hottest pop-culture moments of the day and the formative cultural experiences that turned them into Culturistas. Produced by the Big Money Players Network and iHeartRadio.
Crime Junkie
Does hearing about a true crime case always leave you scouring the internet for the truth behind the story? Dive into your next mystery with Crime Junkie. Every Monday, join your host Ashley Flowers as she unravels all the details of infamous and underreported true crime cases with her best friend Brit Prawat. From cold cases to missing persons and heroes in our community who seek justice, Crime Junkie is your destination for theories and stories you won’t hear anywhere else. Whether you're a seasoned true crime enthusiast or new to the genre, you'll find yourself on the edge of your seat awaiting a new episode every Monday. If you can never get enough true crime... Congratulations, you’ve found your people. Follow to join a community of Crime Junkies! Crime Junkie is presented by audiochuck Media Company.
The Brothers Ortiz
The Brothers Ortiz is the story of two brothers–both successful, but in very different ways. Gabe Ortiz becomes a third-highest ranking officer in all of Texas while his younger brother Larry climbs the ranks in Puro Tango Blast, a notorious Texas Prison gang. Gabe doesn’t know all the details of his brother’s nefarious dealings, and he’s made a point not to ask, to protect their relationship. But when Larry is murdered during a home invasion in a rented beach house, Gabe has no choice but to look into what happened that night. To solve Larry’s murder, Gabe, and the whole Ortiz family, must ask each other tough questions.