image credit: Deepak Pal (iqlect.com)

Preparing Investors for the Artificial Intelligence Revolution

Since the first use of the lever, the invention of the wheel, and the combustion engine that led to the industrial revolution, machines have been used to make work easier. As long as humans improved production, safety, or leisure time from machine use, there remained an increasing need. However, there has always been a need for an operator. Be it a driver behind the wheel, a technician, or a person behind the computer. This is changing, the next wave of machines are evolving, and they will again be adopted in every aspect of human life.

Getting
Ready for the AI Revolution

Artificial Intelligence systems (AI) will soon be improving lives at a level once found only in science fiction. These are autonomous machines/systems that do not need the help of an operator. This is ushering in a new age, the age of AI. With all the benefits that are gained from using them. Many long-range investors view investing in companies using Artificial Intelligence as a no-brainer.

Current
Uses of AI

Some uses of AI range from driverless cars, manufacturing machines, speech recognition, image recognition, and deep learning. Deep learning is a machine learning method for training computers to recognize objects and patterns just like humans. For example, it can be used to train computers to recognize images or sound to improve search engines or identify people and voices for security systems.

Autonomous/driverless cars are the next big thing in the automotive industry, with many car companies in the race to produce the first fully autonomous car. There are also companies using AI to predict when vehicles need repair; this would reduce downtime and unnecessary costs. The companies using AI or advancing the use of AI are more efficient and improve their bottom line as their costs are generally lower and their processes more precise, making them needed to stay competitive.

The
Future

With the huge potential of AI machines, many companies, large and small, are now involved in advancing machines to higher and higher levels of utility. There is so much potential in AI that new uses are being discovered every day. Below is an intelligent list of smaller companies that have caught the imagination of investors as their projects and products are shaping the adoption and development of AI.

One Stop
Systems, Inc. (OSS) provides what they call “AI on the Fly.”  AI on the Fly delivers high-performance computing platforms and the building blocks that capture and store data securely and quickly and then transform the data into actionable intelligence. OSS products enable computation and deep learning outside the stable climate-controlled office or laboratory and out in the world and on-site. OSS is currently trading at around $4.87, a 21.75% increase from the beginning of the year.

Garrett
Motion, Inc. (GTX) provides cutting-edge automotive solutions like turbocharging, automotive software solutions, and electric boosting. Through its software solutions, they provide an early warning system that predicts when the vehicle needs maintenance which reduces unplanned downtime and fleet breakdowns. With its share price trading at $5.97, up by 34.8%, it is a great Artificial Intelligence company to invest in.

Innodata,
Inc. (INOD) helps companies solve their toughest data engineering challenges using AI. They help you annotate, transform, curate, and intelligently automate your data. INOD works with companies in information-intensive industries like defense, aerospace, manufacturing, and healthcare. Their share price currently at $6.34, a 19.9% increase from the beginning of the year, making it a great investment option.

Talend, SA
(TLND) provides a tool for data integration, especially for big data in the cloud. Through its product, it helps organizations operationalize predictive models on a large scale for a variety of uses, such as fraud detection or improving customer experience. They are faring quite well with their share price currently at $64.78, up by 69% from the beginning of the year

MicroStrategy,
Inc. (MSTR) is the world’s largest business intelligence company providing analytics for businesses using machine learning technology. It uses big data from a variety of sources to perform analytics to make predictive analytics. The share price currently at $569.46, up by 46.6 from the beginning of the year

Take-Away

With a growing list of innovative companies developing products to make current machines more autonomous, and the adoption by companies both in production and to make their products more efficient, the future belongs to AI-driven machines. Searching for tech companies involved in Artificial Intelligence as a potential allocation as longer-term portfolio holding, perhaps even finding the “next Apple” is worthwhile. The time is ripe for AI. Channelchek is a good place to start to look at smaller companies involved in AI and perhaps find one that changes the world.

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