Topic: 85% of AI start-ups will fail within 3 years. - page 5. (Read 677 times)

Sometimes it's somewhat hard to assess failure. For example, did we see a crypto market dot-com bubble? Many altcoins lost their value, sure, but many are still worth much more than their ICO price level was, even if we're talking about projects that didn't deliver on their big central ideas. So what will constitute a failure of the AI market, how will we assess that? Also, it's just an opinion of one guy, based, it seems, on zero evidence. And, that 85% includes those bought out by bigger brands, but I think shouldn't be considered 'out of business'.

If there is one thing I've learned since I joined the crypto world, it's nothing but "trend". In the crypto world or technology industry, there is always a trend for some new tech after the original source has been produced or built. I will not doubt that many AI projects will fail after a few years of existence, because normally most of them now or some of them that are yet to be launched may have some shady intent, and after they have really archived their purpose, they will come up with some new ideas and collapse.


Cheers 🥂, Dr.Bitcoin_Strange 👺👺

I don't doubt that a lot of them will fail, because people are just trying to throw AI at every problem possible, and there's a lot of unhealthy hype, and people generally don't understand the capabilities and limitations of AI. But I'm not sure if we're on the level of the dotcom bubble yet or will ever be. Perhaps the investors have learned from the dotcom bubble and try to apply some skepticism instead of throwing all their money at the new thing.

What do you expect from an industry that is not regulated by any agency? Every day new AI tools are coming up with different products that were not verified by any regulatory agency. As the market keeps expanding quality products will be identified by clients and it will receive high patronage. The companies will make a profit that will help sustain the business for a long time. On the contrary low-quality product will not get many customers and they will slowly disappear from the market.

More established AI companies that have solid financial bases will gradually use different marketing strategies to outsmart competitors and push them out of business. Small artificial intelligence firms will have no other options but to sell their forms to these bigger companies or be forced out of the AI business.

As the Ai industry keeps expanding the government will be forced to make policies that will regulate its activities and products. I read an article where the creator of advanced chatbot ChatGPT Sam Altman called on US lawmakers to regulate artificial intelligence (AI). He believes that AI will be beneficial to the world but it could be dangerous if not regulated. When the government comes up with regulations most of these ai forms will not be able to meet some of the requirements which will result in a collapse.


https://www.bbc.com/news/world-us-canada-65616866.amp

Maybe less than three years, we are in the age of AI, so many AI is in our midst and they are competing to be the top AI in the industry this is serious competition because the big online companies are behind it, Google and Microsoft are leading the pack in this race and the AI that will likely be out of the race are those who cannot keep out of the competition because of lack of promotion.

When you have the biggest name in the industry in the competition, expect them to swallow small developers and companies, the name of the game is the reputation and stability of the company behind the maker.

Ai a very powerful technology has the ability to completely change the thinking point of view, some people call it the greatest revolution in IT for automation and some of them call it dangerous by all means. Because this is not a type of technology that relies on the user it is self-operated so we behave/change according to AI rather than AI behaving according to us.

My greatest concern about Ai startups and future potential is that this is gonna be disastrous in the term of misinformation because most of the time we spend scrolling, and reading analysis online and this is not good because our perspective modeling is going to be done by that information. It is dangerous because it knows about us more than ourselves.

The explosion in AI startups has been going on since AI appeared and for the Beta version, everyone will take advantage of it until finally the paid version is implemented. In terms of what the future will look like and what is the role of a Startup that must have everything that is needed by workers. For example, currently there are several jobs that have taken advantage of this technology which has an impact on the unemployment rate increasing drastically. The company employs 10 people who can control the computer. Automatically the explosion of AI startups will only affect certain jobs, so there are still sectors that can be utilized by humans outside of AI technology.

I agree that a certain percentage will fail, but some of the AIs that will succeed will be more effective than they are now.

The part I'm interested in is that it's a good thing that AI can help people in many areas. They are especially useful for subject research or quick access to information.

New AIs are being introduced every day. Many of them are useless. Moreover, it is very difficult to get efficiency from AIs that are offered for a fee. They will be much more effective when certain restrictions are removed, but as you say, most of them will fail. I can only add that, differently, some will succeed and there will be a really big service area.

It is unlikely that all this will combine into one big package, because the owners are all different, after all. Yes, in the end only a few will survive - so it is very risky to invest in such projects (in fact, most projects give similar results, so it all depends on the ability to present themselves)

They will probably all merge into one suite that is controlled by one very powerful and rich entity. The .com bubble included many fads that varied in themes, they couldn't really come together under one company or umbrella. Each were their own company on the internet. AI on the other hand, are all AI. Mergers will be frequent to remove competitiveness and increase collective work, rather than knocking each other out. It's not a competition to build a product first, it's a collective effort to improve the same thing. Quite interested to see how it plays out!

If the current AIs they are using won't be updated any time soon, they will probably see a huge decline on the efficiency and effectivity of the tools that they are using and will probably be replaced by even more efficient and effective startups with the updated AI tools. I think the game isn't creating the best startup with the AI tools available, but rather knowing how to maintain, update, and develop AIs that you could sell to people who are looking for these tools. 3 years is already an ample time to learn how to do just that given the amount of resources we have available right now. There are no longer excuses that are acceptable if you want to take advantage of the AI boom.

It's going to be like those scenarios here in my area where almost every coffee shop are popping up here in my country. Right now, hell like I know if there would be AI writers here in my area within few years, but I know surely that those startups aren't gonna last long.

The competitions is just so fierce that I don't even know what brand would I prefer, lol. I do have a gut feeling that there would be a leading brand for these though, just like how popular ChatGPT became and it became a well-known interactive AI while back then we all have CleverBot.

Oh yeah, those old hypes that just died down. This is a bit different scenario though since it affects not just crypto but every single non-crypto businesses as well.

The percentage is very harsh but I think they have a point since most of the startup is just a copy cat project that just want to benefit on the AI hype. It’s same scenario when NFT, DeFi, Meme coin and other trend in crypto space that got wipe out after 3 years more or less.

Elon invested huge money on an AI project which means there’s a real project that will dominates them all in the future while this mediocre AI project is just writing a whitepaper with zero work done.

85% of them may fail because there will be other AI technology to quickly become a preference if these present AI's fail to meet up to usage.

 These AI's that are already in existence will become prototypes for these new AI's to build from and offer something better so many will fail and stop being used unless they become better.

AI technology is the future and from what already exists presently, this technology can only get better and technology progresses.

There is no wonder if that happens and that's how every business model or evolution in the technology has been. For example bitcoin is being the most successful cryptocurrency while thousands of others tried to replicate the same success of Bitcoin but none of them came close to it.

Majority of the business will fail in the first two years and only which is having enough capital to survive those hard days, popularity behind their name, successful marketing and lots of others can keep them in a race.

AI is currently still in a very high hype regardless of what will happen in the future, they are currently really very popular, but indeed technology is changing more and more and it can be said that this is like a prototype to pave the way towards a more sophisticated future. will come.
Regardless of whether they will fail or not, in the end, this must also continue because indeed, with this condition, systems in technology continue to develop and even if they fail in the end, there will definitely be something new again and again in the future, one might even say that it tends to be more sophisticated. than this.
What I'm worried about with this condition is not about how this AI startup failed but whether we really can still be able to keep up with this because indeed if we are left behind then we definitely won't be able to continue to adapt and that is very worrying.
I prefer to worry myself about dealing with technology like that because the longer it seems, I really feel that we have to keep trying to keep going and adapt better to the current technological sophistication.

In the realm of AI, there shall emerge a few victorious and invincible entities, bestowing their benevolent impact upon the public. The majority shall falter, finding no users in their midst. This moment marks the precipice of the AI explosion, for there are still countless developers eager to explore this industry, while the public remains in the testing phase. Within a span of 2 or 3 years, the public shall instinctively discover the platforms most suited to their individual needs. It shall become evident which AI platforms are futile, and undoubtedly their numbers shall surpass those that endure.

Yet, in my recent observations, emerging AI technologies consistently venture into uncharted territories untouched by their predecessors. While some may choose to compete by delving into the same sectors, such instances remain few. It is conceivable that we await a slightly longer period for each sector to witness the emergence of two or more competitive platforms.

Majority of businesses fail within five years. For tech related firms it isn't a flaw that most of them fail, it's part of the inherent design.

These companies secure investors and get through initial rounds of funding to produce something tangible -- they develop a profitable business model and hope to gain enough revenue to be profitable in a 3 year period. If they're not profitable enough to secure more investment, then they go under. End goal for a lot of these businesses is to be bought out by a larger tech firm or license out the technology. These companies exist as R&D vessels. VC's will essentially gamble on these companies and hope they run through enough of them that they eventually stumble on a winner. They're not walking in with the expectation that the company will exist over a decades time.

Just 85%? the majority of the projects related to AI are being released just because of the popularity ChatGPT got, and while there are many investors out there which will be willing to invest in them, what is their use case? Now ChatGPT has without a doubt a use case but we do not need hundreds of copies doing the same thing.

So unless one of those projects is significantly better than ChatGPT then I do not see them getting the attention of the general public, which means those projects will eventually disappear.

I read that countries have begun to organize fields of AI and how to share data among themselves, so it does not seem that this field will be a bubble, but rather it exists and will have a future.

As long as the field exists and it will have a future, the companies in it will inevitably continue, but with the lack of funding and the multiplicity of these companies, I expect that technology giants such as Alphabet, Google, Microsoft, Apple, etc. will dominate the market by buying these small companies or bankrupting others.
I will quote from here that there are 199,983 companies that went bankrupt in Europe because of the energy crisis in 2022.

https://bitcointalksearch.org/topic/m.62238781


https://www.creditreform.de/fileadmin/user_upload/central_files/News/News_Wirtschaftsforschung/2023/Insolvenzen_in_Europa/2023-05-11_AY_OE_Analyse_EU-2022.pdf

the bankruptcy of companies is not important as long as the industry provides a benefit to humanity.