Business Model Design in AI World

Business has data resources but no clue of how to best utilize it, how to build products, and how to convert it to cash, this article discusses how we could design business model from the perspective of AI.

This AI product framework demonstrates technology and platform are fundamental and critical to support industrial AI product developed on top. AI industry also follows the development pattern of industrial chain, and has different business models in different phases.

From my findings in the market and reading, below are some main business models in AI industry:

• Data resources trading ：The more a particular domain data is scarce, the more value it has, training dataset can be traded as commodity.
• Data governance service: This service emphasizes data quality, such business can be cashable as product trading or service trading.
• Infrastructure service: Cloud storage, cloud computing.
• Interface service：Packaging AI technology, the charge is based on the provided API interface open to clients.
• Project service: Customized development based on clients requirements, the charge is based on the AI technology project team owns.
• Data analysis and advisory service: Analyze on users behaviors.

These are the business model patterns derived from AI industrial chain， the entire business model design still needs to implement based on business pain point and requirements.