Join daily and weekly newsletters to obtain the latest updates and exclusive content to cover the leading artificial intelligence in the industry. Learn more
Crunchbase It will give up its roots as a historical data provider to become a prediction engine with the same Amnesty International and expects startup financing tours and growth paths in the company.
The San Francisco -based company announced today that it will restart its platform through Amnesty International models that can predict future business activities of up to 95 %, betting that artificial intelligence will reshape how investors and companies make decisions on private markets.
“Historical data industry, as we know, is dead,” he said Jarger McConnellCEO CEO, in an interview with Venturebeat. “If you are a company and a data company, and all you deal with is historical data … I think you will find that you are not using it much in the future.”
Artificial intelligence disrupts traditional market data; Crunchbase announces the old model “dead”
This step represents a major transformation of Crunchbase, which has built his reputation as a file Collective database Startup information for 15 years. McConnell argues that traditional data providers face an existential threat of artificial intelligence systems that can easily absorb and analyze historical information.
“Artificial intelligence companies pose an existential threat to data companies, not just software companies,” McConnell said. “If you deal with historical data, as soon as your data enter these systems, the facts remain facts. Even the data behind Paywalls leaks in the end, and as soon as your value disappears because AIS can build better visions by combining them with all data on the Internet.”
Instead of focusing only on past events, Crunchbase is now at the level of the huge data set – including modes of 80 million active users – to predict future business results. The company’s artificial intelligence analyzes thousands of signals to predict events about collecting donations, acquisition and growth.
How to use Crunchbase’s AI 80 million users to predict the next start
according to Meg GotamCrunchbase’s chief product, company predictions from a unique group of joint stock data, data taken from public sources, and unknown user participation patterns.
“The real magic behind our ability to predict major landmarks in the company’s life cycle lies in our widening and unparalleled depth of knowledge,” Gotam said in Venturebeat. “We have built general features, and are not set on any one data set.”
The company claims that the collection predictions achieve up to 95 % of the accuracy and remember 99 % in the rear test – which means that they properly determine most of the companies that continue to collect funding, with a few wrong positives. For expectations of 12 months, the accuracy remains in the “height of the seventies of the last century,” according to McConnell.
In addition to collecting donations, Crunchbase from artificial intelligence can predict the acquisitions and subsidies of the company, the growth of the company and even the layoffs of potential workers – although McConnell said that some negative predictions will not be publicly displayed to avoid causing corporate damage.
The future of investment: Can artificial intelligence outperform human decisions?
The strategic transformation comes as investors are increasingly looking for predictive signs instead of historical data alone. “The problem they are trying to address is, what do we do next?” Gotam said. “Our users want to be the first from the market.”
Looking at the future, McConnell imagines that Crunchbase becomes a platform that operates the artificial intelligence -based investment decisions, which are likely to include mechanical investment systems and indexes that track private market sectors.
“I think that within five years, everyone died,” McConnell warned, referring to traditional data companies. “The world’s sales should know what their user interface will experience … This thing is so liquid that within five years, a data company does not do things that we are talking about will not exist.”
Crunchbase’s transformation puts directly to each of the traditional market intelligence service providers and investment platforms that work on the emerging prosecution. The company plans to allow customers to integrate its predictive signals into their own models while maintaining control of its valuable basic data.
Industry analysts note that the transformation of Crunchbase comes amid increasing interest in using artificial intelligence of investment decisions, although many investors are still skeptical of entirely automated methods. The company’s success may depend on whether it can maintain the accuracy of high prediction because it is measured while persuading customers to trust in its visions that have been created from artificial intelligence.
McConnell confirms that Crunchbase aims to increase the process of human decision -making instead of replacing it: “We mainly believe in increasing investments … [are] Somewhat self, your thesis must match, and the price must match. “
The platform is launched publicly to publicly on Crunchbase.aiAnd mark what McConnell calls “a mirror of everything that changes” in how investors evaluate private companies. In his opinion, the future does not belong to those who collect most of the data, but for those who can predict better what happens after that.