Artificial Intelligence

Baidu Announces First Quarter 2019 Results

Published

5 years ago

May 27, 2019

Wladimir P.

Reading Time: 7 minutes

Baidu, Inc. (NASDAQ: BIDU) (“Baidu” or the “Company”), the leading Chinese language Internet search provider, today announced its unaudited financial results for the first quarter ended March 31, 2019^[1].

“Baidu’s mobile foundation continues to strengthen with search-powered AI, and our new AI businesses are making strong progress. In March, Baidu’s mobile reach expanded to 1.1 billion monthly active devices, while DuerOS voice assistant installed base reached 275 million devices and generated 2.37 billion monthly voice queries. We are leveraging Baidu AI to provide enterprise solutions to businesses and local governments, which significantly expands our total addressable market,” said Robin Li, Chairman and CEO of Baidu. “Looking ahead, we are quite excited about the opportunities to significantly improve content and service discovery through in-app search and increase customer ROI with our entrance into CRM, to deepen our offering to our marketing customers.”

“Baidu Q1 results were solid, with revenues reaching RMB 24.1 billion, up 15% year over year, or 21% year over year, excluding revenue from divested business, and margins were dampened by our successful CCTV New Year Eve Gala marketing campaign, which accelerated the traffic of Baidu family of apps and highlighted better in-app search user experience.” said Herman Yu, CFO of Baidu. “Despite government policies to improve the market condition for SMEs, we anticipate online marketing in the near term to face a challenging environment. We will take this opportunity to improve our monetization capabilities and review our businesses for operational efficiency, while recognizing the importance to invest for sustainable long-term growth.”

First Quarter 2019 Financial Highlights

(in millions, except for per ADS information, unaudited)		Consolidated
		For the three-month ended March 31,
	2018		2019	YOY	YOY^[2]	2019
	RMB		RMB			USD
Total revenues	20,907		24,123	15%	21%	3,594

Operating income (loss)	4,568		(936)	(120%)		(139)
Operating margin	22%		(4%)			(4%)
Non-GAAP operating income^[3]	5,371		401	(93%)		60
Non-GAAP operating margin	26%		2%			2%

Net income (loss) attributable to Baidu	6,694		(327)	(105%)		(49)
Net margin	32%		(1%)			(1%)
Non-GAAP net income attributable to Baidu	4,817		967	(80%)		144
Non-GAAP net margin	23%		4%			4%

Diluted earnings (loss) per ADS	18.68		(0.98)	(105%)		(0.15)
Non-GAAP diluted earnings per ADS	13.69		2.77	(80%)		0.41

Management Change

Hailong Xiang, senior vice president of the search business, has tendered his resignation, and the Company has accepted Hailong’s resignation and thanks him for fourteen years of service at Baidu.

The Company has promoted Dou Shen to senior vice president, overseeing Baidu’s mobile business, previously known as the search business. Previously, Dou served as vice president of Baidu’s mobile products, overseeing the development of Baidu App, Haokan short video app and Baidu smart mini program. Dou has served in various other roles at Baidu since joining in 2012, including web search, display advertising and the financial services group. Prior to Baidu, Dou worked in the adCenter group at Microsoft and sold Buzzlabs, a social media monitoring and analysis platform company that he co-founded, to IAC-owned CityGrid Media. Dou received a bachelor’s degree in engineering from North China Electric Power University, a master’s degree in engineering from Tsinghua University, and a Ph.D. in computer science from the Hong Kong University of Science and Technology.

Other Highlights

Corporate

The Company’s board of directors has authorized a new share repurchase program, under which the Company may repurchase up to US$1 billion of its shares, effective until July 1, 2020.
Baidu ranked 8^th place on BrandZ’s 2019 Top 100 Most Valuable Chinese Brands Chart and has been ranked in the Top 10 Most Valuable Chinese Brands for nine consecutive years.
The Company released its biannual Corporate Social Responsibility Report in April 2019, which summarizes Baidu’s efforts in environment, social responsibility and corporate governance. The report can be downloaded from http://csr.baidu.com/download.html.

Search and Feed

Baidu App daily active users (“DAUs”) in March 2019 reached 174 million, growing 28% year over year.
Haokan DAUs in March 2019 reached 22 million, growing 768% year over year and 16% sequentially.
Baidu continues to expand its content ecosystem to provide users with native-app like experience for search and feed: 1) Baijiahao (“BJH accounts”), Baidu feed’s content network, grew to 2.1 million publisher accounts in March 2019, and 2) Baidu Smart Mini Program, launched in July 2018, saw its monthly active users (“MAUs”) in March 2019reach 181 million, growing 23% sequentially.
Baidu connected 1.5 million out-of-home digital screens in 362 cities across 31 provinces to its ad partner network in March 2019, leveraging its technology and online advertising expertise to equip brands with broader reach and more options to deliver omni-marketing campaigns.

DuerOS

DuerOS voice assistant installed base reached 275 million, increasing 279% year over year, and monthly voice queries on DuerOS reached 2.37 billion, increasing 817% year over year in March 2019.
DuerOS skills store continues to push the boundary on improving user experience with over 1,100 skills in wide-ranging genres, including iQIYI, (long-form video), Huya (live video), Haokan (short video), Digital Pets (gaming), 51Talk (online education) and Tencent News Audio Edition (news).
Recently released first-party DuerOS smart devices include: 1) Xiaodu Smart Display 1S (MSRP US$49); 2) Xiaodu TV Sound Bar (MSRP US$119), which doubles as a home theater system and high definition OTT TV box; and 3) Xiaodu Smart Speaker 1S (MSRP US$22), which comes equipped with DuerOS-powered universal remote control, capable of connecting to household appliances, including air conditioners, televisions and OTT TV boxes from Samsung, Panasonic and Haier.
Chery Automobile EXEED sedans were released in April 2019, equipped with DuerOS for Apollo in-vehicle infotainment system. DuerOS for Apollo has received very positive initial user feedback.
Over 190 Baidu Smart Mini Programs and DuerOS skills are now available in the skills store of DuerOS for Apollo, including iQIYI (online video), E Designated Driving (driving services) and GeekPark (technology news). Leveraging Baidu Cloud, Baidu aims to enable app developers to provide their services on mobile, smart devices and automobile infotainment systems.

Apollo

In March 2019, Baidu began testing China’s first robotaxi fleet powered by Apollo in Changsha, the capital of Hunan province, to help improve traffic congestion, air pollution and road safety.
Apollo Open Platform, embraced by a developer community of 15,000, has been adopted for many innovative auto pilot scenarios, including street cleaning, goods delivery and shuttle services.
According to the inaugural Beijing Autonomous Vehicles Road Test Report for 2018 issued by the Beijing Municipal Commission of Transport, Apollo amassed over 10 times the test miles of the next industry player in China.

Cloud & Others

Baidu Cloud held its ABC Internet Summit in April 2019, introducing a library of AI toolkits for Baidu Cloud to empower content producers to better create, edit and analyze video content.
According to the 2H18 IDC China Public Cloud Report, Baidu Cloud, for the first time, entered the top 5 ranking for public cloud service providers in IaaS (Infrastructure as a Service) and PaaS (Platform as a Service) in China.
According to the WIPO Artificial Intelligence Report for 2019 issued by the World Intellectual Property Organization, Baidu leads among companies globally in patent applications for deep learning sub-category of machine learning and is the only Chinese Internet company listed among the top 30 AI patent applicants worldwide.
Baidu IME (mobile keyboard) released an AI version in January 2019, which allows for mixed voice input in Mandarin with English and other Chinese dialects, real-time translation and augmented reality emoticons, demonstrating Baidu AI capabilities in voice, image and facial recognition. Over 60% of Baidu IME AI version users have opted for voice input.
The number of users (devices) that have used the voice assistant feature in Baidu Maps has surpassed 200 million in March 2019, over tripling over the prior year.

iQIYI

iQIYI subscribers reached 96.8 million in March 2019, adding 9.4 million members during the quarter, further strengthening its foundation to offer blockbuster original entertainment content.
In March 2019, iQIYI completed the offering of US$1.2 billion of 2.00% convertible senior notes due 2025, the proceeds from which, net of capped call fees, will be used to expand and enhance iQIYI’s content offerings and strengthen its technologies, as well as for working capital and other general corporate purposes.

First Quarter 2019 Results

Total revenues reached RMB 24.1 billion ($3.59 billion), increasing 15% year over year, or 21% year over year excluding the impact of announced divestures^[4]. Online marketing revenues were RMB17.7 billion ($2.63 billion), increasing 3% year over year, which was mainly due to strength in education, retail, and business services, while healthcare, online games services, and financial services sectors were less vibrant. Other revenues were RMB 6.5 billion ($963 million), increasing 73% year over year, which was mainly due to the robust growth in iQIYI membership services, cloud and other businesses.

Revenue from Baidu Core reached RMB 17.5 billion ($2.60 billion), increasing 8% year over year, or 16% year over year excluding the impact of announced divestures, while revenue from iQIYI reached RMB 7.0 billion ($1.04 billion), increasing 43% year over year.

Content costs were RMB 6.2 billion ($917 million), increasing 47% year over year, mainly due to increased investments in iQIYI content and, to a lesser extent, in content for BJH accounts, Baidu feeds’ content network.

Traffic acquisition cost was RMB 3.2 billion ($474 million), increasing 41% year over year, as a result of higher TAC costs and revenues derived from online TV and offline digitalized screens.

Bandwidth costs were RMB 2.0 billion ($304 million), increasing 39% year over year, mainly due to increasing demand from feed, video and cloud.

Other cost of revenues, which includes depreciation, operational costs and share-based compensation, was RMB 3.5 billion ($515 million), increasing 75% year over year, mainly due to higher depreciation expense and the growth in sales of first-party smart devices.

Selling, general and administrative expenses were RMB 6.1 billion ($902 million), increasing 93% year over year, primarily due to increased investment in channel and promotional marketing, including the marketing campaign around the Chinese New Year, as well as an increase in personnel related expenses.

Research and development expenses were RMB 4.2 billion ($621 million), increasing 26% year over year, primarily due to an increase in personnel related expenses.

Operating loss was RMB 936 million ($139 million), compared to operating income of RMB 4.6 billion in Q1 2018. Operating income of Baidu Core was RMB 1.1 billion ($163 million), decreasing 81% year over year. Non-GAAP operating income was RMB 401 million ($60 million), decreasing 93% year over year. Non-GAAP operating income of Baidu Corewas RMB 2.1 billion ($314 million), decreasing 67% year over year.

Total other income was RMB 900 million ($134 million), decreasing 57% year over year, mainly due to increased loss from equity method investments.

Income tax expense was RMB 294 million ($44 million), compared to RMB 1.1 billion in Q1 2018. Low income tax expense in the quarter was mainly due to lower pre-tax income generated by Baidu Core.

Net loss attributable to Baidu was RMB 327 million ($49 million), compared to net income attributable to Baidu of RMB 6.7 billion in Q1 2018. Diluted loss per ADS amounted to RMB 1 ($0.15). Net income attributable to Baidu Core was RMB 703 million ($105 million), decreasing 90% year over year. Non-GAAP net income attributable to Baidu was RMB 967 million ($144 million), decreasing 80% year over year. Non-GAAP diluted earnings per ADS amounted to RMB 3 ($0.41). Non-GAAP net income attributable to Baidu Core was RMB 1.8 billion ($272 million), decreasing 66% year over year.

Adjusted EBITDA was RMB 1.8 billion ($263 million) and adjusted EBITDA margin was 7%. Adjusted EBITDA to Baidu Core was RMB 3.4 billion ($502 million) and adjusted EBITDA margin to Baidu Core was 19%.

As of March 31, 2019, cash, cash equivalents, restricted cash and short-term investments were RMB 143.6 billion ($21.40 billion). Excluding iQIYI, cash, cash equivalents, restricted cash and short-term investments were RMB 125.7 billion($18.73 billion), as of March 31, 2019. Free cash flow was negative RMB 1.3 billion ($195 million). Excluding iQIYI, free cash flow was negative RMB 1.5 billion ($226 million).

Financial Guidance

For the second quarter of 2019, Baidu expects revenues to be between RMB 25.1 billion ($3.74 billion) and RMB 26.6 billion ($3.96 billion), representing -3% to 2% increase year over year, or 1% to 6% increase year over year, excluding revenues from announced divestures. Previously announced divestures, which were consummated in 2018, generated approximately RMB 1.0 billion revenue in Q2 2018. This forecast reflects Baidu’s current and preliminary view, which is subject to substantial uncertainty.

Conference Call Information

Baidu’s management will hold an earnings conference call at 9:15 PM on May 16, 2019, U.S. Eastern Time (9:15 AM on May 17, 2019, Beijing/Hong Kong Time). Dial-in details for the earnings conference call are as follows:

International:	+65 67135090
Mainland China	4006208038
US:	+1 8456750437
UK:	+44 2036214779
Hong Kong:	+852 30186771

Passcode for all regions:	1374737

A replay of the conference call may be accessed by phone at the following number until May 24, 2019:

International:	+61 2 8199 0299
Passcode:	1374737

Additionally, a live and archived webcast of this conference call will be available at http://ir.baidu.com.

SOURCE Baidu, Inc.

Artificial Intelligence

Mashreq Partners with Silent Eight for Compliance Alert Adjudication

Published

57 mins ago

May 8, 2024

CISION (PR Newswire)

mashreq-partners-with-silent-eight-for-compliance-alert-adjudication

Leading financial institution in MENA region selects AI-based platform to process and resolve customer screening alerts related to anti-money laundering and sanctions requirements.Silent Eight’s groundbreaking platform allows financial institutions to reduce manual workloads and risk while maintaining sustainable growth plans. DUBAI, UAE and SINGAPORE, May 8, 2024 /PRNewswire/ — Mashreq, a leading financial institution in the MENA region, today announced that it has selected Silent Eight to provide Name Screening and Adverse Media Alert Adjudication automation capabilities related to sanctions and anti-money laundering regulatory requirements.

Silent Eight is a pioneering RegTech company whose artificial intelligence-based platform offers solutions across the compliance workflow. This strategic partnership will allow for Mashreq to maintain its innovative solution offerings, reduce workflow and resolution times for compliance alerts, and identify true risks in a faster and more efficient way.
Under the partnership announced today, Silent Eight will provide Mashreq with a solution for Alert Adjudication, in which alerts related to potentially risky or proscribed customers are evaluated, false positives are quickly investigated and closed, and potential true positive alerts are more quickly escalated to Mashreq analysts. Through the efficiency gains offered by Silent Eight’s platform, Mashreq will easily be able to improve its processing rates and reduce friction at the time of customer onboarding.
The multi-year partnership aligns with Mashreq’s core strategy of leveraging digital tools and other innovations in order to enhance convenience for customers and also significantly reduces the bank’s environmental footprint. Thanks to the power of Silent Eight’s AI platform, Mashreq’s compliance and risk professionals will be able to easily identify and investigate alerts that represent genuine financial crime risk.
“Mashreq has stood out amongst financial institutions in the Middle East and North Africa for its commitment to innovative banking solutions, as well as strengthening the overall safety of the global banking system,” said Ben Rayner, Regional Head of UK & EMEA for Silent Eight. “Our Name and Adverse Media Adjudication Platform is perfectly tailored to the compliance and business needs of fast-growing financial institutions, and we’re excited to help support Mashreq’s current and future ambitions.”
“At Mashreq, we are committed to maintaining the highest standards of compliance and regulatory adherence as well as leveraging cutting-edge solutions, and our partnership with Silent Eight is a testament to this commitment,” said Scott Ramsay, Group Head of Compliance & Bank MLRO, Mashreq. “With increasing regulatory requirements surrounding sanctions and anti-money laundering, it is crucial for us to adopt innovative technologies that can effectively and efficiently identify potential risks. Silent Eight’s automation capabilities and AI-driven approach will enable us to stay ahead of evolving threats, ensuring compliance and safeguarding our customers’ interests.”
About
Silent EightSilent Eight is a RegTech company that partners with financial institutions to create solutions blending the best of humans and the best of technology, leveraging artificial intelligence. SilentEight’s solution, automates the alert screening, investigation and adjudication process byreplicating human reasoning and decision making based on historical case data and continuouslearning. Silent Eight enables financial institutions to reduce false positives, increase accuracy,and enhance auditability of their compliance operations. Silent Eight works with some of thelargest banks and insurance companies in the world, including Standard Chartered, HSBC, FirstAbu Dhabi Bank and Emirates NBD. Silent Eight is headquartered in Singapore and has officesin New York, London, Warsaw, and Bangalore. For more information, visit www.silenteight.com.
About Mashreq
Mashreq is a more than half-century old bank, yet proudly thinks like a challenger, startup, and innovator. Mashreq pioneered key innovations and developments in banking, starting with entry-level digital-first customers, all the way to powering some of the region’s most prominent corporations and wealth accounts.
The bank’s mandate is to help customers find their way to Rise Every Day, partnering through the highs and lows to help them reach fulfillment, achieve financial goals, and unlock their vision of success.
Reassuringly present in major financial centres of the world, Mashreq’s home and global HQ remains in the Middle East, offering services whenever and wherever opportunity takes its customers.
Find your way to Rise Every Day at www.Mashreq.com/RiseEveryDay.
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Artificial Intelligence

INSPIRED BY A FIFTIES AUTOMOTIVE LEGEND: INTRODUCING AUTOMOBILI PININFARINA BATTISTA CINQUANTACINQUE

Published

3 hours ago

May 7, 2024

CISION (PR Newswire)

inspired-by-a-fifties-automotive-legend:-introducing-automobili-pininfarina-battista-cinquantacinque

Battista Cinquantacinque bears the iconic Blu Savoia Gloss bodywork and contrasting Bianco Sestriere Gloss roof which is inspired by the original 1955 Lancia Florida show carCinquantacinque name, derived from the Italian word for 55, pays tribute to the iconic Pininfarina-designed classic carElegant Lancia Florida was a favourite of the man who penned the classic model and who gave his name to the fastest and most powerful Italian road car – Battista ‘Pinin’ FarinaOne-of-a-kind Battista Cinquantacinque pictured alongside one of only three Lancia Florida sedansAutomobili Pininfarina Design Team was inspired by the 1955 Lancia Florida when also creating the PURA Vision design concept, which sets the template for all future Automobili Pininfarina modelsAccompanying assets available to download hereCAMBIANO, Italy, May 8, 2024 /PRNewswire/ — Automobili Pininfarina has curated a unique Battista commission as a fitting tribute to the 1955 Lancia Florida – a vehicle designed and loved by Battista ‘Pinin’ Farina.

The Lancia Florida was penned by Battista ‘Pinin’ Farina in the early fifties. It was renowned as a rolling sculpture which inspired new design perspectives. Pinin’s personal Florida, which can be admired as part of the Pininfarina SpA Collection in Cambiano (Torino), was the daily driver of Carrozzeria Pininfarina’s founder throughout his career. The stunning Battista Cinquantacinque hyper GT pays homage to this unique heritage.
Its exterior is finished in a flawless Blu Savoia Gloss paint, contrasted by the Bianco Sestriere Gloss roof and completed by the elegant Brushed Anodised jewellery pack. Inside, it is upholstered in a bespoke Mahagoni (Poltrona Frau Heritage Leather). The livery and name Cinquantacinque, translating to ’55’ in Italian, elegantly honours the iconic, classic 1955 Lancia Florida, styled by Carrozzeria Pininfarina.
The Cinquantacinque model features a number of unique inscriptions that point to its heritage and provenance. The passenger door plate as well as the underside of the active rear wing both feature the ‘Cinquantacinque 55’ signature.
Each Battista is propelled by four independent electric motors and a powerful 120 kWh lithium-ion battery, delivering 1,900hp and 2,340Nm of torque. This advanced powertrain ensures thrilling performances, such as accelerating 0-100 kph in 1.86 seconds and 0-200 kph in 4.75 seconds, as well as a comfortable driving range of up to 476 km.
The Battista Cinquantacinque will make its public debut in Tokyo, Japan, when it is introduced to clients in the region, alongside retail partner, SKY GROUP, as part of Automobili Pininfarina’s continued global expansion.
Clients in the region will get to see Automobili Pininfarina’s promise of ‘Dream Cars. Made Real.’ first-hand, providing a personalised client experience and ensuring every hand-crafted vehicle to leave the Atelier facility in Cambiano destined for Japan is a unique expression of each client’s personality.
Dave Amantea, Chief Design Officer at Automobili Pininfarina, said: “This was a truly special and unique opportunity to design a car that plays homage to Pininfarina SpA’s heritage. The colour combination of the Battista Cinquantacinque is incredible and shows the vision Battista Farina had when he designed the Lancia Florida back in the early fifties. Not only that, but that very same model helped guide me when creating the PURA Vision design concept, a truly unique vehicle that sets the template for future models from Automobili Pininfarina.”
The Lancia Florida sedan not only inspired the Cinquantacinque Battista, but also some of the key design elements of the PURA Vision design concept, a vehicle which sets the template for all future Automobili Pininfarina models.
The 50s sedan has rear-opening doors and no B pillar, which directly translated to the Lounge Doors on the PURA Vision. They hinge dramatically upwards and, in combination with the pillarless opening and rear-hinged back doors, provide unrestricted access to the design concept’s spacious 2+2 seating.
Automobili Pininfarina stands at the vanguard of pure Italian luxury experience, with its bespoke curated approach allowing for precise tailoring to the specific preferences of individual clients. Each vehicle is a unique, hand-crafted masterpiece and a reflection of the client’s personality with inspiration from Automobili Pininfarina’s artisans.
FOR MORE INFORMATION, VISIT: automobili-pininfarina.com/media-hub
EDITOR’S NOTES
ABOUT AUTOMOBILI PININFARINA
Automobili Pininfarina is based in operational headquarters in Cambiano, Italy, with a commercial office in Munich, Germany, and resourced with a team of experienced automotive executives from luxury and premium car brands. Designed, engineered and produced by hand in Italy, with a focus on designing experiences for the world’s foremost taste makers, all of Automobili Pininfarina’s vehicles embody the PURA design philosophy. This philosophy will also permeate all future production cars, seamlessly blending classic inspiration with cutting-edge technology.
THE AUTOMOBILI PININFARINA BATTISTA (LINK TO PRESS KIT)
The Battista is the most powerful car ever designed and built in Italy and it delivers a level of performance that is unachievable today in any road-legal sports car featuring internal combustion engine technology. Faster than a current Formula 1 race car in its 0-100 km/h sub-two second sprint, and with 1,900 hp and 2,340 Nm torque on tap, the Battista will combine extreme engineering and technology in a zero emissions package. The Battista’s 120 kWh battery provides power to four electric motors – one at each wheel – with a combined WLTP range of up to 476 km (U.S. combined EPA: 300 miles) on a single charge. No more than 150 examples of Battista will be individually hand-crafted at the Pininfarina SpA atelier in Cambiano, Italy.
Photo: https://mma.prnewswire.com/media/2406758/Battista_Cinquantacinque_and_1955_Lancia_Florida.jpgPhoto: https://mma.prnewswire.com/media/2406761/Battista_Cinquantacinque_1.jpgPhoto: https://mma.prnewswire.com/media/2406764/Battista_Cinquantacinque_2.jpgPhoto: https://mma.prnewswire.com/media/2406760/Battista_Cinquantacinque_Interior.jpgLogo: https://mma.prnewswire.com/media/1316779/Automobili_Pininfarina_Logo.jpg

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Artificial Intelligence

Exploring the Surge in Digital Infrastructure Spending Driven by Generative AI Innovations

Published

7 hours ago

May 7, 2024

CISION (PR Newswire)

USA News Group Commentary Issued on behalf of Avant Technologies Inc.
VANCOUVER, BC, May 7, 2024 /PRNewswire/ — USA News Group – The rise of generative AI is currently adding considerable potential for accelerating economic growth across a wide array of sectors. In order to fully realize this potential, analysts at ING are highlighting how crucial investment in data and digital infrastructure will be moving forward. Citing estimates from Dell’Oro and Bank of America, ING has pointed out that investments from big tech companies in digital infrastructure is expected to grow between 15-22% this year alone. Another report from analysts at SNS Insider are projecting the AI Infrastructure Market to hit US$222.42 billion by 2030, growing at an explosive CAGR of 25.5%. Behind the scenes, developments in AI infrastructure are being made and provided by a variety of tech companies that include Avant Technologies Inc. (OTCQB: AVAI), Vertiv Holdings Co (NYSE: VRT), Equinix, Inc. (NASDAQ: EQIX), Innodata Inc. (NASDAQ: INOD), and Salesforce, Inc. (NYSE: CRM).

Earlier this year, Avant Technologies Inc. (OTCQB: AVAI) took a significant step in expanding the capabilities of its flagship AvantAI platform, reinforcing its position as one of the first companies to market generative AI. So far, this enhancement has focused on advancing its high-performance data center infrastructure to accommodate the latest developments in AI technology, including the launch of its state-of-the-art supercomputing network and comprehensive licensable data set. As per the launch, Avant’s platform works in collaboration with tech partners Wired4Health, which the company would later acquire and name its former CFO William Hisey as its new CEO.
“Avant’s supercomputing network and our expansive licensable dataset will facilitate significant advancements in AIdriven solutions,” said Danny Rittman, Chief Information Officer of Avant of the launch. “By providing robust computational resources and a rich dataset, Avant is set to eliminate many of the technical and financial barriers that have traditionally hampered AI development. This initiative aims to empower developers with the tools necessary to create more sophisticated and efficient AI models, driving progress and innovation in innumerable fields.”
Providing even more security for its prospective clients, Avant Technologies has also announced its plans to implement AI-empowered, Zero Trust Architecture (ZTA) across its data center operations. In AI-empowered data centers, Zero Trust Architecture ensures that all users and devices are continuously authenticated and verified before accessing network resources.
“By integrating AI with Zero Trust Architecture, we are creating a robust and future-proof security framework for our data centers,” said William Hisey, Avant’s newly-appointed CEO. “This combined approach ensures the highest level of security for our customers’ data while optimizing data center operations for efficiency and cost-effectiveness. Avant is committed to providing innovative technology to help businesses optimize data center operations, improve resource utilization, and enhance security.”
Recently, Avant Technologies also expanded its AvantAI™ platform to include smart, proactive monitoring and management for data centers. AvantAI™ boosts data center efficiency through real-time monitoring and proactive management, helping to ensure systems operate continuously and perform optimally. It also uses extensive data analysis to predict and prevent potential issues and dynamically adjusts resources to enhance data traffic efficiency and responsiveness.
Working to further bolster the AI revolution, Vertiv Holdings Co (NYSE: VRT) saw 60% growth in organic orders of its critical digital infrastructure and continuity solutions in Q1 2024 compared to the same time period the year prior, along with 8% higher net sales.
As well, Vertiv saw a 42% increase in its adjusted operating profit to $249 million, compared to Q1 2024, as the company pointed towards continued acceleration in the data center market, including the deployment of high-performance compute, and increased velocity in its opportunity pipeline to orders.
“We are seeing order patterns with longer lead times based on customer build schedules, largely in 2025 and beyond, suggesting AI is starting to scale,” said Giordano Albertazzi, CEO of Vertiv. “We are continuing to advance our portfolio to enable high-density and GPU based deployments. With our global capacity, the most complete portfolio of critical digital infrastructure solutions across the entire thermal and power technology spectrum, vast global service network and alignment with key technology partners, Vertiv is uniquely positioned and ready to bring scale and support development of the entire AI ecosystem.”
Digital infrastructure company Equinix, Inc. (NASDAQ: EQIX) recently announced a joint venture with PGIM Real Estate for a $600 million project to develop and operate the first xScale data center in the US, located in California’s Silicon Valley. Together, Equinix and PGIM had already successfully opened the first xScale data center in Australia in 2022, after a similar US$575 million JV was announced in 2021.
Under the terms of the agreement, PGIM Real Estate will control an 80% equity interest in the JV, while Equinix will own the remaining 20% equity interest. Equinix xScale data centers allow hyperscale companies to expand their core deployments within Equinix IBX data centers. This setup supports growth across more than 70 global metros on a unified platform that facilitates direct interconnections with over 10,000 customers.
The new joint venture, alongside Equinix’s existing hyperscale collaborations in Europe, Asia-Pacific, and the Americas, will enhance the global xScale data center portfolio. Once fully constructed, this expansion will exceed $8 billion across more than 35 facilities, providing over 725 megawatts of power capacity.
Building upon the confidence of one of its existing “Magnificent Seven” Big Tech customers, Innodata Inc. (NASDAQ: INOD) recently announced it has been awarded three new large language model (LLM) development programs, totaling approximately $20 million of additional annualized run rate revenue. Before these new awards, the annualized run rate revenue from the customer was about $23 million. Innodata anticipates signing an amendment to its agreement with this customer that will reflect these awards within the next few weeks. Work on the newly awarded programs has already started by Innodata.
“We are very excited to announce this significant expansion,” saidJack Abuhoff, CEO of Innodata. “Moreover, we anticipate potential opportunities for further expansion in 2024. The customer continues to express how our high-quality, large-scale, custom data results in superior fine-tuning of their LLMs and that their AI engineering teams greatly value the Innodata partnership.”
Innodata provides large technology companies with scaled data services for refining LLMs and offers LLM evaluation services. By the end of 2023, Innodata had secured five of the top seven major tech firms as clients for its LLM services.
With its own array of big tech allies, Salesforce, Inc. (NYSE: CRM) recently unveiled its Zero Copy Partner Network, a global ecosystem of technology and solution providers building secure, bidirectional zero copy integrations with Salesforce Data Cloud which integrates both structured and unstructured customer data into a comprehensive 360-degree view accessible within Salesforce itself. This integration enables teams to make informed decisions directly within their workflow.
“In today’s digital landscape, companies struggle with islands of data spread across various systems,” said Brian Millham, President and Chief Operating Officer at Salesforce. “With this global ecosystem of partners, companies can access all of their data, no matter where it resides, and unlock the power of all of that data within Salesforce — creating more personalized customer interactions and establishing a foundation for trusted AI, in less time and at lower cost.”
The network will feature a list of initial partners that will include such big names as Amazon Web Services (AWS), Databricks, Google Cloud, and Snowflake, while also adding Microsoft. Together, the network partners are all committed to zero copy integrations with Salesforce that give customers a secure and cost-effective way to connect and take action on all of their data.
Source: https://usanewsgroup.com/2023/10/26/unlocking-the-trillion-dollar-ai-market-what-investors-need-to-know/
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