AI companies driving innovation

A list of the top 50 AI companies for 2021 was recently released by Forbes, demonstrating the wide spectrum of businesses that are utilizing AI to spur innovation in a number of different industries.

Artificial intelligence has become one of the most talked-about topics in recent months, with the release of various AI-powered technologies such as ChatGPT and image generators. This has captured the public's fascination and expanded AI's reach beyond Silicon Valley startups and research labs. The AI 50, produced in partnership with Sequoia and Meritech Capital, recognizes the most promising privately-held companies building businesses out of artificial intelligence.

The companies on the 2023 AI 50 list have collectively raised $27.2 billion in funding, with many honorees having been building with AI well before the current gold rush. Mainstays like Scale AI have supplied the tools and the humans needed to turn concepts like ChatGPT into reality. Meanwhile, startups such as Adept, Anthropic, and Cohere have taken advantage of the investor frenzy to create sizable businesses.

This year, the AI 50 has been expanded beyond North American companies to a global list, with nearly 800 submissions received. Companies are judged based on their business promise and technical usage of AI through a quantitative algorithm and qualitative judging panels. The list also encourages companies to share data on diversity and aims to promote a more equitable startup ecosystem. However, there is still progress to be made in the industry regarding diversity, with just 12 companies having women cofounders and eight having Black or Latino founders.

Forbes uses data provided by PitchBook and Crunchbase in instances where companies do not disclose information. The 2023 AI 50 includes companies that have taken investment from Sequoia, which helped create the list. Sequoia has publicly disclosed investments in Clari, Glean, Gong, Hugging Face, Ironclad, and Neeva. Meritech is not an investor of any companies on the list.

In conclusion, the AI 50 list showcases the most promising privately-held companies building businesses out of artificial intelligence. It highlights the expanding reach of AI and its impact on the startup ecosystem. As the industry continues to grow, it is important to prioritize diversity and equity to create a more inclusive and innovative future.