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The New Business of AI

“Machine learning startups generally have no economic moat or meaningful special sauce.”

Defensibility is difficult to achieve. In my company’s case, our economic moat comes from the unique data we have on our audiences, our unique ability to capture real user interest through our deep categories, and the fact that our customers trust us with their CRM data. Our clients trust us and share their data with us.

Their data is used to train models and deliver the best results back to the client.

In the AI world, your economic moat is your ability to access data others don’t have access to, and generate models that outperform those of your competition.

In some domains, off-the-shelf deep learning (DL) architectures can get you close to state-of-the-art performance, and black box models are kings.

The moat in those fields is primarily the data sets your models are trained on and, to a lesser degree, the DL architecture you are using. In other areas, hand-crafted features and domain knowledge, as well as the unique data sets you have access to, will be the game-changers.

Read more about Bigabid’s special sauce in Real-Time Data Analysis. 

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