Enabling an AI-Empowered Future - Resources and Insights
Investments in AI are on the rise, with $12.2B invested in venture-backed AI startups in 1,166 deals in Q1 2024, up from $7.9B in Q4 2022, according to Crunchbase ’s Chris Metinko .?
In this month's Blumberg Capital Compass, we take a look at how AI is impacting investment trends and startup growth.
The success of a startup relies on building a successful team, as the best ideas are worthless if you can’t execute. AI has already provided real value to startups’ HR teams by automating tasks and improving resource allocation, says Blumberg Capital’s HR & recruiting specialist Lt. Col. (Ret.) Sharona Mizrahi . It can support data-driven decisions and reduce turnover — factors that are more important than ever in a competitive market.?
Launched in November 2022, ChatGPT gained 1 million users within the first 5 days following launch and now has over 200 million monthly active users. AI use cases for businesses and consumers are rapidly growing.
Roy Lowrance , advisor at Blumberg Capital and integral designer of New York University’s Center for Data Science, a research and teaching center for AI and big data, reflects on 2018 perspectives on AI. Lowrance compares the impact that large language models have had versus traditional machine learning models and more.?
Leveraging AI to Deliver More Value to Customers
We recently surveyed our portfolio companies to confirm how AI is being used in core products and operations. Over 85% reported using AI in their core products, as well as to improve business operations. The most commonly reported uses of AI for business operations were:
AI is quickly becoming a key element in all facets of startup growth.
FirmPilot recently announced $5M in Series A funding to advance its mission to use AI to help services-based SMBs control and improve their digital marketing. Learn more: Investing in FirmPilot, the AI Marketing Engine for Services SMBs.?
Field Materials raised an additional $3.5M to bring its total Seed funding to $8.15M. With over $300B spent annually by US commercial contractors on material purchases, tens of thousands of purchasing and accounting professionals have to manually enter data for purchase orders (POs) and invoices every day. Field Materials' AI technology eliminates 90% of the PO and invoice processing time, transforming the productivity of construction companies. The company's AI automatically identifies vendor billing errors to save contractors 5-10% in material costs. Learn more: Field Materials Total Seed Funding Grows to $8.15M to Bring AI to Construction Procurement
领英推荐
Blumberg Capital expanded its investment in FundGuard , participating in the company’s $100M Series C funding round. AI has been core to FundGuard’s value proposition from inception. Over the past six years, the team has seen market validation for AI to help asset managers, asset owners, custodian banks and fund administrators move beyond legacy operating models and toward modern investment accounting operations and workflows. Learn more: From Seed to Series C: Blumberg Capital Expands Investment in FundGuard ?
FlowFi announced new Seed funding in February 2024. FlowFi combines a comprehensive technology and platform with senior finance experts from industry leaders such as PayPal, Netflix, Headspace, and UNREAL Brands to help business leaders operate at peak financial performance. Learn more: Investing in FlowFi and Modern Accounting for Entrepreneurs ?
BioCatch recently announced a new $1.3B valuation, with Permira Growth Opportunities II as its new majority shareholder to accelerate global expansion, advance its product roadmap and support continued growth. BioCatch utilizes patented artificial intelligence, data science, and machine learning technology to analyze a user’s cognitive intent and deliver highly accurate insights as to the legitimacy of their identity, motivations, and behavior. Learn more: Permira to Acquire Majority Position in BioCatch at $1.3bn Valuation ?
Prescient AI , a pioneer in AI-powered media measurement and optimization, announced $10M in Series A funding to help omnichannel brands optimize ad spend and maximize revenue. Learn more: Prescient AI raises $10M to help omnichannel brands optimize ad spend and maximize revenue
Zone7 , the AI-driven human performance platform, announced it would join svexa , an exercise intelligence startup, to provide a more complete offering of AI products to manage athlete performance and injury risk through AI. Learn more: Svexa and Zone7 merge operations to offer an end-to-end AI suite of performance tools .?
Many of our portfolio companies are hiring - to learn more about open positions, visit our careers page .??
Resources on AI from the Blumberg Capital Community
Mark Settle , 7x CIO and Blumberg Capital CIO Council member, authors the Modern CIO newsletter, where he highlights the challenges and opportunities confronting today’s IT leaders, including AI .?
Tim Crawford , CIO Strategic Advisor at AVOA and member of the CIO Council, publishes the CIO in the Know newsletter, applying a CIO’s perspective to newsworthy topics like AI fatigue and more .
Our colleague Yodfat Harel Buchris took the stage this week at Tel Aviv University’s Innovation Week, exploring U.S. investors’ perspectives on the Israeli market with Moshe Bellows . Yodfat emphasized the resilience of the Israeli tech ecosystem and the positive momentum in U.S. investments. The Innovation Summit hosts leaders in AI and cybersecurity for deep dives into the future of these critical technologies.??
What AI topics require more attention and resources?? Let us know in the comments!
Fractional CFO | Fund Manager | Venture Capitalist | Entrepreneur | Certified Exit Planning Advisor (CEPA?) | Start-up Advisor | CPA
5 个月Great focus on AI this month, Blumberg Capital
Data Engineer | Python, SQL, PySpark, Machine Learning | AWS, Tableau, Alteryx | ETL Developer, Big Data Analyst | Driving Data-Driven Decisions | Certified Associate Project Management
5 个月The rise of AI investments and its growing influence across various industries is both impressive and promising. As highlighted, AI's integration into HR, marketing, finance, and operational efficiency is driving significant advancements and creating new opportunities for startups. The diverse applications of AI, from automating HR tasks to optimizing construction procurement and enhancing financial operations, showcase its transformative potential. Startups leveraging AI are not only improving their core products but also revolutionizing traditional business processes. It’s exciting to see how AI continues to empower innovation and efficiency, setting the stage for a future where technology and human ingenuity go hand in hand. What areas do you think AI should focus on next to further enhance its impact?