Capitalizing on the ChatGPT craze, enterprise software startups race to raise funds

News on March 7, as OpenAI’s artificial intelligence chatbot ChatGPT continues to be popular across the Internet, the development of enterprise software ​Startups​​​ are racing to apply the generative artificial intelligence technology behind such chatbots to business software​​applications​​, capitalizing on this craze to attract enterprise business areas technology leaders and investors. Market researchers say the global generative AI market is expected to reach nearly $110 billion by 2030, with a compound annual growth rate of 34.6%

Generative AI is the driving force behind ChatGPT and other language recognition applications Basic technology. Global venture capital investors invested $1.3 billion in 78 deals last year in startups developing generative AI software, according to market analytics firm PitchBook Data. PitchBook Data said that investment last year was close to the total capital invested in similar startups in the past five years, and it was completed amid a general slowdown in deal size.

Of all the largest venture capital deals in the fourth quarter of last year, two were for generative AI startups. In October last year, Jasper, headquartered in Austin, Texas, announced that it had received US$125 million in Series A financing, valuing the company at US$1.5 billion. The financing was led by well-known venture capital firm Insight Partners, with participation from Coatue and Bessemer Venture Partners. In the same month, Stability.AI, a startup developing generative artificial intelligence technology, announced that it had received $101 million in seed round financing, led by Coatue, Lightspeed Venture Partners and O’shaughnessy Ventures LLC.

Generative artificial intelligence software processes large amounts of data through artificial intelligence-enabled language models or generative pre-trained converters to generate brand new text, images and computer code based on some simple prompts.

According to UBS estimates, in January this year, ChatGPT, a generative artificial intelligence chatbot launched by San Francisco software startup OpenAI in November last year, attracted more than 100 million monthly active users. Analysts say this has led to an increasing number of startups trying to bring the explosive momentum of generative artificial intelligence into the enterprise market. Today, they are all developing enterprise applications based on the ChatGPT language model, or launching similar generative artificial intelligence tools.

PwC partner Bret Greenstein’s practice areas include data, analytics and artificial intelligence. He said: "Most discussions are around how generative AI technology can develop 'innovative' features because anyone can access public systems directly through the Internet."

He said startups are also Generative AI’s underlying language recognition models can be fine-tuned with your own data, allowing the development of countless enterprise software applications. “Generative AI crossed an important threshold last year,” Greenstein said. "He has become very good at completing many tasks performed by knowledge workers in various industries."

The global generative artificial intelligence market is expected to reach $109.37 billion by 2030, according to market research firm Grand View Research. , with a compound annual growth rate of 34.6% in the next seven years.

Many companies are taking steps on their own to integrate ChatGPT into their existing software technology stacks, but startups are also looking to customize tools based on it and sell them to enterprises.

SambaNova Systems is a generative artificial intelligence startup company headquartered in Palo Alto, California, USA. "We're working with customers across the spectrum, from ride-hailing companies to sports franchises, from valuation businesses to technology companies, as well as banking, finance and insurance," said PD Singh, the company's vice president of software products. Brand."

Singer said that SambaNova was an early developer of pre-trained basic models, and the model it developed also supports language recognition technology. The company recently launched a suite of generative artificial intelligence systems for enterprises, including the ChatGPT chatbot trained specifically for banks, law firms, healthcare providers and other business areas.

SambaNova has been established for 6 years. The last round of financing was the completion of Series D financing of US$676 million in April 2021, which made the company's market valuation exceed US$5 billion. Among the investors are funds and accounts managed by Temasek, GIC, Intel Capital, GV and BlackRock.

Singer said that in light of ongoing complaints that ChatGPT can generate errors or produce content that is difficult to understand, he recommended that companies test new generative AI tools in stages, introducing them to a small group of users first, and then Not a full promotion.

Typeface is a generative artificial intelligence start-up company located in San Francisco, USA. It mainly develops software that can automatically generate personalized marketing materials for enterprises. The company recently announced an oversubscribed $65 million seed round from investors including Lightspeed Venture Partners, GV, Microsoft’s venture fund M12 and Menlo Ventures.

Abhay Parasnis, CEO of Typeface, said that the company integrates multiple generative artificial intelligence platforms, including GPT and Stable Diffusion, to develop customized artificial intelligence for each enterprise customer. Smart model. "We have been developing enterprise-grade applications since our inception," he said, adding that current users include marketing, advertising, sales, human resources and customer support departments at companies across a variety of industries.

In addition to customer-facing service operations, startups are also developing generative AI tools for enterprises for internal business management. Beaverton, Ore.-based startup RFPIO, which has raised $26.5 million in investment, recently launched a GPT-integrated software application designed to quickly check the grammar of proposals, security and due diligence questionnaires, and other written response documents. There are no spelling and punctuation errors.

RFPIO co-founder and chief information and product officer AJ·​​Sanda​ (AJ Sunder) said that RFPIO’s software is more than a simple spell check function. You can also convert passive voice to active voice, adjust wording, improve readability, elaborate on key points, summarize large paragraphs of text, and more. He said the company has nearly 2,000 business customers around the world.

"We are fine-tuning the language model underlying ChatGPT to create editorial written responses based on verified and trusted content in customer systems," Sundar said.

He admitted that ChatGPT is trained on the basis of public information on the Internet, and there is an inherent risk of producing inaccurate results. Sanda said that one reason why companies are still cautious about generative artificial intelligence is that "the underlying technology is still in its infancy and is developing very quickly." (Chenchen)

The above is the detailed content of Capitalizing on the ChatGPT craze, enterprise software startups race to raise funds. For more information, please follow other related articles on the PHP Chinese website!