Why Many AI Startups Are Consultancies Posing as Software Businesses

There are plenty of reasons generative artificial intelligence hasn’t taken off with businesses as much as pundits expected, including high costs and errors (i.e. hallucinations). One less-discussed reason is that conversational AI is simply hard to use. Big companies outside of tech can’t often hire the kind of technical talent needed to make AI software cheap enough to use at scale or to connect the AI to their private data so that it can handle tasks specific to their needs. …

ai startups artificial artificial intelligence big big companies businesses companies conversational conversational ai costs errors generative generative artificial intelligence hallucinations hire intelligence kind reason software startups talent tech technical