By David Brummer
Invest in Artificial Intelligence Private Stocks: Find Top AI Companies to Invest In
The growing presence of artificial intelligence in our lives is an exciting prospect on its own, but even more so if you think about investing in it.
Indeed, startups that focus on developing AI technologies and applications are in increasing demand, offering savvy investors an incredible opportunity to not only yield potentially high returns but also become a part of something bigger. Of something that will define our collective future.
However, given the growing number of AI-related companies, it has become difficult for investors to select the right ones to invest in. This is where OurCrowd comes in, offering private investors a platform to invest in the most promising AI startups, all carefully selected by our professional team.
Key Highlights
- Artificial Intelligence focuses on developing infrastructure that can perform tasks requiring human intelligence.
- AI applications span across numerous sectors, including healthcare, education, finance, transportation, logistics, and agriculture.
- The AI industry is driven by several trends and innovations, primarily natural language processing, machine learning, robotics, and computer vision, offering investors multiple opportunities.
- The global AI market is expected to grow at COGRA of 28.46% between 2024 and 2030, reaching a stunning 826.76 billion USD by 2030.
- Although it offers numerous prospects for investors, the AI industry faces several challenges and blindspots that investors should consider before investing in AI stocks, such as rogue activity and insufficient data.
- OurCrowd sources and closely monitors viable investment opportunities offering in-depth analysis, company presentations, investor briefings and more.
What Is Artificial Intelligence: A Brief Overview
Artificial Intelligence (AI) is a branch of computer science focused on creating systems capable of performing tasks requiring human intelligence.
The focus of this field is to create machines that can think and act like humans. This involves teaching computers how to learn, reason, and solve problems. The ultimate goal is for these machines to be able to carry out complex tasks and interact with humans in as natural a way as possible.
AI can achieve that through algorithms and data that simulate cognitive functions. It comes in various forms, from simple algorithms that can automate repetitive tasks to more complex machine learning and deep learning technologies that allow systems to learn and adapt from experience without being explicitly programmed.
AI Products, Technologies, Trends and Innovations
The scope of the possibilities that artificial intelligence engenders is endless. AI can change how humans interact with technology, making it easier for people to communicate and complete tasks.
Additionally, AI can potentially improve health care by helping doctors diagnose diseases and provideing patients with personalized treatment plans.
Generative AI tools such as ChatGPT or Midjourney have significantly disrupted the fields of programming and content creation (among others) in mere months since being released to the general public. That’s just one use case of this technology. Considering how much it has already transformed the way we work, AI is shaping up to become one of the century-defining technologies.
In the business world, AI can help companies automate processes, which can lead to a decrease in costs, increased efficiency, and profitability.
There are many products, technologies, trends, and innovations associated with artificial intelligence, some of which include:
- Natural language processing – Computers can be taught to understand human speech and respond in a way that would be natural for humans. It is used in voice recognition software, chatbots, and other AI applications.
- Machine learning – This enables machines to learn from data without being explicitly programmed. It can be used to improve the accuracy of algorithmic predictions and allow systems to adaptively change their behavior as they receive more data.
- Robotics – Used for tasks such as manufacturing, construction, or surgery. In recent years, there has been increasing interest in combining robotics with artificial intelligence techniques to create intelligent robots that can carry out complex tasks autonomously.
- Predictive analytics – This uses data mining and machine learning techniques to make predictions about future events. It can be used for tasks such as forecasting consumer behavior, predicting stock prices, or identifying financial fraud.
- Computer vision – For interpreting and understanding digital images. It is ideal for applications such as facial recognition, automatic license plate recognition, and image search engines.
- Autonomous vehicles – Self-driving cars use AI to interpret sensory information for identifying appropriate navigation paths, as well as obstacles and relevant signage. This technology integrates deep learning, computer vision, and sensor fusion techniques.
- Smart assistants – Devices like Amazon's Alexa, Apple's Siri, and Google Assistant use AI to interpret and respond to user commands, learning from user preferences to improve the interaction and service provided.
Each of these applications demonstrates the broad and transformative impact of AI across different elements of modern society.
Artificial Intelligence’s Impact on Other Sectors
AI’s use has revolutionized many businesses operating in various industries, including healthcare, retail, finance, transportation, and education. Here are some of the most prominent examples of AI use cases across different sectors:
| Industry | AI Applications |
| Healthcare | AI in healthcare ranges from chatbot assistants for initial diagnostics to advanced systems that assist in surgery. AI algorithms can analyze complex medical data to predict disease progression, recommend treatments, and manage health records more efficiently. |
| Education | AI-powered adaptive learning software can customize materials for students based on their learning speeds and styles. AI can also automate administrative tasks for institutions, allowing more time for educational engagement. |
| Finance | AI is used in algorithmic trading, personal finance, and fraud detection. Algorithms can analyze market trends to execute trades at optimal times and can help in assessing risk in loan approval processes. |
| Agriculture | AI helps monitor crop health, predict crop yields, and automate farming operations with drones and robots, thus increasing efficiency and reducing reliance on human labor. |
| Logistics | AI optimizes routing and delivery operations, manages inventory, and predicts supply needs. Machine learning models can anticipate delays and adjust parameters in real time to improve efficiency. |
Opportunities and Catalysts in Artificial Intelligence
Artificial intelligence has already made significant inroads into a number of industries, including health care, finance, manufacturing, and logistics.
In the healthcare industry, for example, AI is being used to develop predictive models that can help doctors diagnose diseases earlier and more accurately. In the finance industry, AI is being used to create algorithms that can identify patterns in financial data and make investment recommendations.
As for the manufacturing and logistics industries, AI is being used to optimize supply chains and warehouse operations.
There is huge potential for this field to grow as new applications are developed and existing applications are refined. The key drivers of this growth include:
- Continued growth of big data and the emergence of new data sources, including the Internet of Things (IoT).
- Development of new AI algorithms and technologies, including machine learning, natural language, and deep learning.
- Increasing availability of low-cost computing power and cloud storage.
- Growing demand for AI applications from businesses and consumers.
- Increasing use of quantum computers.
Challenges and Blindspots
Despite the myriad ways in which AI can enhance people’s lives through greater efficiencies, it does face significant challenges and blindspots.
If businesses and governments are not careful in their approach to AI development, the technology could potentially outsmart its creators, posing threats such as:
- Malfunction or “rogue” activity – due to the fact that artificial intelligence has the capability to self-train, it can become unpredictable and carry out activities that they weren’t programmed to do.
- Overreliance without understanding – with AI becoming as good or even better than humans at various tasks, we can potentially start relying on it without really understanding how it actually works to perform our jobs for us.
- Widespread unemployment – before the release of tools like ChatGPT, it was thought that automation would mainly threaten blue-collar jobs and physical work. Today, it looks as though AI could replace programmers, writers, and content creators much faster, as it’s already capable of generating basic code, writing acceptable content, and creating images and videos that improve at a rapid pace.
These are just a few examples of society and industry-wide issues that might be the result of unchecked artificial intelligence development.
Individual businesses that develop proprietary algorithms or utilize AI in their products also face the risk of stumbling upon certain barriers that could potentially stunt their growth.
As a prospective investor, it’s important for you to understand these obstacles and be able to quickly identify them. Here are some of the most common implementation challenges:
- Poor or insufficient data – many emerging AI startups fail to feed their algorithms with the right kind of training data. Sometimes, their data stores are insufficient. In other cases, algorithms are flooded with information they aren’t ready to process yet. This can lead to malfunctions and the inevitable failure of the entire project.
- Incompatibility with existing systems – developing a sophisticated artificial intelligence infrastructure is just one part of the work it takes to implement it. Without enough processing power, the right amount of storage, or a sufficient server infrastructure, a deployed algorithm will run into bottlenecks that can prevent it from doing its job.
- Overestimation – this is a major issue in today’s chaotic AI market. Similarly to the fiascos in the blockchain technology and cryptocurrency sphere, many artificial intelligence startups are promising their users more functionality than their software can handle, leading to disappointment and significant losses.
- Outdated infrastructure – a company’s infrastructure might be capable of handling the alpha and beta builds of their algorithms, but that may not be enough for the long term. With machine learning and scaling at play, businesses are often too shortsighted to predict what kind of infrastructure their technology will require months or years down the line.
With the AI development process being somewhat volatile, it’s important to have a basic understanding of the potential bottlenecks and challenges that can impede a company’s growth.
If you invest in AI with OurCrowd, you’ll gain access to a pre-vetted pool of startups with sound business models and reasonable, achievable growth goals.
Artificial Intelligence as an Investment Theme
As AI continues to revolutionize our world, more and more investors lean toward including AI stocks in their investment portfolios. And for good reason.
AI technology is at the forefront of the fourth industrial revolution, offering transformative potential across the aforementioned industries.
The broad applicability of AI technologies suggests a long runway for growth as more sectors adopt AI for various applications.
And these are not mere assumptions. According to Statista, the global artificial intelligence market is already worth 184.05 billion USD and is expected to grow to a remarkable 826.76 billion USD by 2030 at an annual growth rate of 28.46%.1
This perfectly illustrates the immense potential of AI for private investors. But that’s only one reason why astute investors have embraced AI stocks. Another reason why it’s worth considering investing in AI companies is the innovation and competitive advantage such startups have the potential to offer.
Companies that successfully integrate AI into their operations or products can gain significant competitive advantages, such as improved efficiency, enhanced decision-making, and superior customer experiences. Investing in these companies can provide exposure to innovative leaders that will potentially dominate their markets in the future.
There’s also the case of technological confluence. AI is increasingly converging with other technologies, such as blockchain, the Internet of Things (IoT), and robotics.
This convergence is creating new opportunities for innovation and application, further expanding the market potential for AI technologies. Companies at the intersection of these technological advancements are poised for significant growth.
All these factors make investing in AI private stocks look highly advantageous. However, for it to increase the chances of providing the expected returns, you first need to find top AI companies to invest in.
How to Invest in AI
Investors looking to get into the artificial intelligence market can find themselves in a tough spot. There is a proliferation of companies seeming to offer unique AI solutions, which appear to pop up by the dozen every single month.
On the flip side, many of these enterprises are likely to fail within the first year of activity or so. That is usually how things work in emerging technology fields that are going through a massive popularity boom like AI is today. So, how should a prospective investor go about identifying the top AI companies to invest in?
OurCrowd offers a safe haven for venture capitalists and institutional investors who want to enter the market by investing in pre-IPO, reliable businesses. Our team takes the time and effort to thoroughly vet and assess the ins and outs of all the companies that make up our offer so that the opportunities we present to our investors are backed by actual data and detailed insights.
Some of the most promising AI startups you can invest in through our platform include:
- BioCatch
BioCatch is a pioneer in the field of behavioral biometrics. The company helps global banks detect fraud by analyzing thousands of unique human-device interaction parameters throughout the digital user journey, from account creation to post-login activities. This innovative technology discerns real users from imposters by detecting unusual behavior patterns, effectively preventing online fraud without compromising user privacy. - Taranis
Taranis, an Israeli AgTech startup, offers an AI-driven SaaS platform that leverages high-resolution submillimeter imagery from satellites, aircraft, and drones to enable Ag retailers to detect early signs of crop threats like weeds, insects, and diseases with unprecedented leaf-level precision. This advanced platform not only helps enhance service quality and boost sales for Ag retailers but also ensures optimal actions for growers to maximize yields and minimize costs. - Hailo
Hailo is transforming the chip industry with its proprietary microprocessor technology designed for embedded AI and ML applications, enabling edge devices to perform complex computations previously confined to the cloud. The Hailo-8 chip accelerates real-time analytics, deep learning, and instant processing within a small power budget and efficient heat dissipation. It is ideal for a wide range of industries, including automotive, industrial robotics, smart cities, and security, and is already commercially available and deployed globally.
These are only examples of the many AI companies you can find at OurCrowd. Browse our full portfolio of available AI investments, perform your due diligence, and invest!
How to Invest in AI Stocks with OurCrowd
To invest in AI companies with OurCrowd, simply follow these four simple steps:
- Register for a free investor account with OurCrowd.
- Browse the selection of generative AI startups available for investment.
- Analyze the provided company information to make well-informed investment choices.
- Transfer funds into your account and proceed with your investment.
With your investment funded, you can easily monitor your portfolio’s performance with our regular reports and updates, providing you with valuable insights and control over your investment.
By joining OurCrowd, you gain access to a diverse portfolio of promising AI investments, all under the guidance of experienced financial professionals.
Join us in helping groundbreaking technology shape the future
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