In a day of market carnage Flamingo AI has led an ASX small cap plunge, falling 29 per cent after saying two key potential clients weren’t interested in what it’s selling.

Flamingo AI (ASX:FGO) is an artificial intelligence developer that provides “virtual assistants” ROSIE and MAGGIE to fix business problems such as poor customer experience, low online sales conversion rates and high cost of customer service.

AMP and Liberty Mutual Insurance had been undertaking paid trials — but said they didn’t want to buy the whole cow.

Flamingo’s (ASX:FGO) stock fell 34 per cent to an intraday low of 2.3c

For a time last year it was considered one of the hottest AI small caps on the ASX, with shares rising from a low of 2.5c in June to highs around 9c in November and January.

In July, Flamingo had ten potential customers in various stages of testing its technology.

The company says it’s still working with AMP “on other uses of its technology” and Liberty Mutual want proposals for how the technology work in other areas of its business.

AMP started its trial in October 2017 but signed on in late 2016, and Liberty Mutual in March 2018.

In the last 12 months Flamingo shares have done the opposite of what they did last year.

Other trialers include Chubb, CUA Health, Wisr, Nationwide Mutual Insurance Company, and MetLife Asia (Singapore), most of which started testing the software last year.

Other version of the technology include a virtual sales assistant, an inquiry assistant and a self-organising library.

Flamingo AI (ASX:FGO) revealed full-year customer receipts of $821,000 (mostly from paid trials) and operating cashburn of $6.5 million in its annual accounts.

The company backdoor listed via a business called Cre8Tek in 2016 — which itself had only backdoor listed into a bankrupt energy shell the year before.

They formally changed the name in 2017.