5 Things to Keep in Mind Before Starting an AI Company
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While Artificial Intelligence (AI) is seeing massive growth and adoption in India, some entrepreneurs are still sceptical about adopting this fast-evolving technology-based business model.
According to industry data, start-ups were recorded to have witnessed 108% growth in AI funding in India in 2018, while in 2016, $150 million dollars had been invested into India’s AI sector by private players and has since been increasing. Despite the huge increase, people are still trying to avoid implementing AI software.
What has been keeping the majority of these marketers away from adopting this fast-developing technology is "Uncertainty" and lack of AI's basic knowledge. Many executives and entrepreneurs still don't know how to make effective use of this technology to generate a huge return on their investment. They have no clue on how they can integrate the system to yield a huge outcome.
Winning with AI is backed up by huge investment in data, software and machine learning. Before you can consider setting up an AI company, there are some important requirements you must treat religiously.
5 important things you should have at the back of your mind before you consider starting an AI company.
1. Don't just sell AI - know how to solve problems with it
AI is a fast-evolving technology that requires knowledge and finance to yield a good outcome. Most of the companies that use AI only focus on the infrastructure of AI which includes the algorithm and platforms rather than to focus on its application to solving problems.
To build a successful AI company, you need to begin by solving customer's problem and build a wider platform with the experience you have acquired. The most important thing is being able to solve problems with technology and not just having it to yourself.
2. Develop the ability to think outside the box
Research has shown that AI is mainly used by people for voice recognition, image recognition, and robotics. What people failed to understand is that AI is a vital tool one can use to solve many problems. For you to startup an outstanding AI company, you need to be on the lookout for problems you can address using artificial intelligence.
If you can conveniently remove robotics, voice and image recognition from the company and you still have saleable products to offer, you are on the right path.
3. Discover your mission
Since the market is gaining momentum, many entrepreneurs that want to start up an AI company is still struggling to choose the best solution.
Prior to starting your AI company, you should be able to highlight your mission. Your company's foundation should rest solely on the mission. Customers will be attracted to you because you have something that could save them from a big mess. They will stick to your service because you have tools that make life easier, save them valuable time and money. AI is definitely a tool you can employ to achieve that.
4. Select a particular industry to focus on
If your tool can be used in multiple industries, there are things you must consider before deciding on the specific industry to focus on.
Here are some:
Cost of deployment: how much will your client spend to order your technology for them to move from their current solution to a better one? Make sure your cost of deployment is enticing enough to attract them
An added value above cost: Does your AI solution offer good customer satisfaction, higher performance, better quality, and fewer errors? What value does it have to offer beyond the substitution of labour? These are what should be considered
Industry readiness: Some industries are not just ready to accept this new technology yet because they are not ready to take extreme risks. Ensure you select a good industry niche that is ready to adopt this process.
5. Understand your client: Discover the reasons why your customers should buy your products. Before you start building your AI company, try to get yourself familiar to the needs of your customers. It is also paramount for you to communicate in the language your customers understand and not just piling up some technology jargons that could turn them off.
Hope these initial pointers have helped you in overcoming the initial challenge of setting up an AI-driven business model in India.