Everybody speaks about AI, but it is a difficult topic to grasp and understand. 42 has been formed to demystify Artificial Intelligence and bridge the gap between AI as one of the greatest growth opportunities and the technical complexity of AI in general.
The global AI market is expected to grow from $8.1B (2018) to $105.8B (2025). We track more than 11.000 AI companies worldwide and identify the greatest Artificial Intelligence opportunities determined by an international team of scientists and experts. The most promising public AI companies have been selected to form the AI-42 INDEX™, an index dedicated to express the growth of the AI sector. In addition, 20 indicators and ratings are being published for each AI company in our database to help better identify their AI competence, strength and growth potential. These are also available through the AI Analyst™, our AI market intelligence platform.
The 42 Online Academy is the starting point to gain knowledge about AI and to understand the various aspects of AI, including definitions, neural networks, machine learning and societal implications. Dedicated blocks for finance are available, too, and provide everyone in finance the knowledge to understand how to identify AI investment opportunities or to distinguish between “managing assets with AI” and “managing AI assets”. The 42 Online Academy is offering multiple online certificate programs for everyone who is interested in AI, starting from a general introduction of Artificial Intelligence over AI & Ethics to AI & Finance. 42 also provides individual research and advice in public and private AI companies across all industries to financial institutions, private equity funds, venture capital funds, investment managers, family offices and qualified investors.
Our name was inspired by the The Hitchhiker’s Guide to the Galaxy by Douglas Adams, where the number 42 is “The Answer to the Ultimate Question of Life, the Universe, and Everything”, calculated by an enormous supercomputer named Deep Thought over a period of 7.5 million years.
42’s skills and core strengths
Our expert team has been selected to represent the various aspects required to be able to provide a holistic view on the AI market. It consists of AI scientists, innovation and industry experts, visionaries, thought leaders, international speakers and book authors and gives us the capabilities to tell the difference between a company who claims to do AI and a company that really has a technological breakthrough. Our expert team also gets together regularly to formulate the latest industry trends & developments and to review the AI-42 INDEX™ constituents. These insights are shared within our community and provide a better understanding of the AI ecosystem, its opportunities, implications and future growth potential.
We are also regularly going on-site to visit and review some of the most exciting AI companies all around the world, to speak with their teams and to discuss their businesses in-depth. This gives us even more insight into their skills and helps us analyse their potential further. It also provides us with unparalleled access to AI investment opportunities.
Our market intelligence platform, which is based on years of data collection from a multitude of data sources, allows us to systematically scan the universe of AI opportunities for the best investment opportunities. It is an important information platform for us to screen AI opportunities.
AI-42 provides ratings of 11,000+ companies in the field of Artificial Intelligence. They include our comprehensive analytical indicators like AI strength, AI competence, AI focus, AI growth potential, financal health, market momentum, etc. – all benchmarked against their peers and their industry. Our indicators and ratings are being calculated based on a unique proprietary quantitative and qualitative approach, where we combine Big Data analytics and human expert opinions.
The Dow Jones Industrial Average (DJIA) is a stock market index that shows how 30 large, publicly owned companies based in the United States have traded during a standard trading session in the stock market. It is one of the most important financial indicators worldwide. Consequently, and given the rise of Artificial Intelligence, we have introduced the AI-42 INDEX™ for publicly traded companies. The AI-42 INDEX™ is an alpha weighted market index based on the market opportunities of the 42 greatest Artificial Intelligence public companies.
The index weighting is determined by our proprietary formula based on analytics and our expert rankings. The index was constructed as of January 1st 2017 and is rebalanced quarterly. Out of our global artificial intelligence companies list, the most influential companies are being selected by our Scientific Board and Strategic Board by assessing the disruptive and strategic potential, the underlying AI technology, perceived risk and expected returns on the basis of a weighting of several characteristics of the prospective company.
Will a robot take my job? How is artificial intelligence likely to change my job in the next ten years? Where are AI technologies being used right now and where will they be used next?
The AI-42 online certificate program “Artificial Intelligence Introduction, Ethics & Finance” is for anyone interested in learning more about artificial intelligence. Comprised of eight sections, chapters one to six shed light on various aspects of AI, including definitions, neural networks, machine learning and societal implications. Chapters seven and eight are dedicated to people working in finance. No programming, but some basic math is required. Some exercises also require you to draw with a pen and paper to find the answer to the question.
The completion of the course is estimated to take from 50 to 80 hours in total. You can do the course at your own pace, but we recommend trying to finish in 8 weeks (in our experience, having a deadline makes it more likely students will finish the course). We expect it will take approximately 5-10 hours to finish each part of the course. Some exercises require a lot of thinking, drawing on paper and going back to the theory part so they can take up to 45 minutes. You will also find lots of links in the course and looking at these will also add to the time needed.
Having insight into everyhing which is happening in the AI space is essential for making informative investment decisions. The AI ANALYST™ provides regular updates on financing rounds and acquisitions in the AI space, the newest AI start-up companies, AI industry updates, AI technology updates, new AI inventions and AI empowered products, the performance of AI related investment products (ETFs) and updates to AI unicorns and upcoming IPOs of AI related companies.
The AI ANALYST™ is a complete market analyst application to provide financial advisors deep insights into the entire AI ecosystem and also serves the purpose of simulating and tracking investment decisions. AI related financial instruments – such as stocks or ETFs – have been compiled and can be added to portfolios. For each instrument, multiple indicators are showing our expert ratings. This provides predictive intelligence into the health of AI companies and helps identifying the best future performers. Our indicators are used by clients to identify, prioritize and nurture opportunities, to see fast-growing markets and industries before others to make informed strategic decisions or to pinpoint fast-growing public companies to understand their strengths in AI, products and technology.
AI Market Intelligence
As appealing as the global AI growth rates look like, the AI market environment is also becoming more and more scattered. According to recent studies, more than 40% of companies claiming to be “AI companies” actually don’t even have any AI competence. It is becoming challenging to identify and distinguish betweem them, because a high degree of technical expertise is required. We track more than 11.000 AI companies worldwide and are able to identify the greatest Artificial Intelligence opportunities with a combined quantitative and qualitative approach. With our AI Market Intelligence Platform we have the ability and know how to provide the insight and research on the biggest database of AI companies that are shaping the future of AI, whether you are looking for a single company or a portfolio of companies, we have the insights for you in the publicly traded companies market and in the privately owned venture capital and private equity companies market. For each company, an individual score card is being generated.
Combined Quantitative & Qualitative Analytics
Our proprietary scoring algorithms are analysing the quantitative side of the AI universe by looking at the market environment, the financial health and the momentum of each company in it’s space and also benchmarked with its peers and competitors. For example, if a company is acting in an environment with a lot of tailwind, it is easier for it to grow and attract customers, partners and investors, leading to a better scoring. Also, a strong and reputable investor base makes it easier for companies to access further funding from a financial health perspecitve. Social media- , customer- , partner- and news momentum are other important aspects, each of them always in correlation to the peers and the sector in general. Employment momentum is another important indicator for the scoring of companies.
Our international team of scientists and experts is providing qualitative input based on their research and scoring. The AI Market Intelligence Platform provides them with insights to the biggest database of AI companies that are shaping the future of AI. It provides them for example with information about development of patent filings, innovation degree, number and quality of published scientific papers, development of job openings, the overall size and strength of each company’s internal AI teams, etc. just to name a few datapoints. They are looking at the AI competence in general, the ethical positioning as well as the market environment from an innovation and expert point of view.
We typically work with financial institutions, investment and asset managers, family offices, HNWI and qualified investors to provide them independent and in-depth market intelligence to identify single investments or to create an entire product portfolio. These can be either public companies with AI expertise or venture capital or private equity backed private companies from any geographic area in the world.