Crowd Media inks $300k licensing deal for market-leading Conversational AI platform
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The SaaS-based agreement will generate revenues of more than $300,000 over the term of the deal.
Social commerce company Crowd Media (ASX:CM8) has leveraged its first-mover advantage in Conversation AI into a recurring-revenue opportunity.
The company made an announcement today to confirm that investee company, Forever Holdings Ltd, will deploy the technology in a SaaS-based licensing deal.
Under the commercial terms of the agreement, CM8 will licence the Conversational AI platform for a minimum period of 12 months.
Crowd will receive a cash payment of at least £120,000 (~$215,000) over the agreed term, with an additional £50,000 (~$90,000) payable in-kind over the following five months.
The deal is further evidence of the strong commercial application for CM8’sConversation AI platform– the by-product of a proprietary dataset owned by the company which is based on over 180 million customer conversations.
The competitive advantage of the platform lies in its capacity to seamlessly combine answers from both AI and actual humans to produce an advanced interactive platform for connecting with customers.
That dovetails with the core technology of Forever Holdings, which uses voice and visual features that enable 1-to-1 digital interactions between online influencers and customers.
“This voice and visual experience, which already leverages machine learning and natural language processing, has the potential to integrate with Crowd’s human and AI-driven conversation technology platform, across multiple languages,” CM8 said.
By combining the two technologies, Crowd can create a digital “talking head” that facilitates consumer engagement with digital versions of famous historic figures and contemporary celebrities.
Crowd chairman Steven Schapera said the licensing agreement is the first of its kind for the company, and marks a “significant milestone” as CM8 looks to execute on a material revenue opportunity for the Talking Head platform.
Forever Holdings CEO Sarah Coward said the deal gives her company access to CM8’s proprietary dataset – a key component as it expands on the integration of AI and real-human responses to drive customer engagement.
“Forever Holdings is particularly interested in the integration of the near-real time human element into our existing approach,” she said.
More broadly, the deal marks another step forward in CM8’s strategic vision to revolutionise ecommerce by facilitating 1-to-1 conversations for a better customer experience.
This article was developed in collaboration with Crowd Media, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.