Business of AI is hard

The business of AI is hard

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Key Challenges

• Heavy Cloud Infra Training needs
• Ongoing human support
• Problem of edge cases
• Commoditization of AI challenges (You build someone gives for free API)

Observation - AI companies resemble traditional IT services

Hidden debts

• Retraining is increasingly recognized as an ongoing cost
• Operate on rich media like images, audio, or video
• Human-in-the-loop systems take two forms, contributing to lower gross margins for many AI startups.
• Social media companies, for example, employ thousands of human reviewers to augment AI-based moderation systems. 

Accuracy vs Cost

• Financial resources are tied up until model accuracy reaches an acceptable level.
• Visibility into the distribution of the customer’s data and eliminates some edge cases prior to deployment

While there is no silver bullet to reaching this ideal state, one key is to understand as much as possible about your customers – and their data – before agreeing to a deal

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