The AI Revolution is Still Blooming

By now, investors are aware of the AI revolution thanks to the overwhelming success of OpenAI and Microsoft’s (MSFT) ChatGPT chatbot. Though monetization has been slow and has not been fully realized, the scorching hot user growth of applications like ChatGPT (and its massive valuation) and Alphabet’s (GOOGL) Gemini have driven investment by “Magnificent 7” companies. Even while interest rates were high last year, Mag 7 companies like Meta Platforms (META) continued to leverage their massive balance sheets to buy as many high-tech Nvidia (NVDA) chips as possibleto train their large language models (LLM) and get a piece of the ballooning AI market. The best evidence to support the thesis that the AI revolution is not slowing any time soon can be found in the Zacks Consensus Estimates for Nvidia, which shows that Wall Street analysts believe NVDA earnings have room to more than double in 2025.

Image Source: Zacks Investment Research

AI Opportunities: Looking Beyond the Mag 7

Until now, Mag 7 companies have enjoyed much of the spotlight due to multi-trillion-dollar valuations, soaring stock prices, and client-facing applications. However, beneath the noise of the Mag 7 AI hype train, smaller companies like Miami start-up Propense.ai are beginning to carve out their niche – and savvy investors are taking notice. If you recall, I wrote about Propense.ai in March when the company first scored the investment needed in its seed round. Fast forward seven months, and the leading professional services company is looking to get a piece of the AI market by investing in the company.

Propense.ai Company Overview

Propense.ai is a Software as a Service (SaaS) platform that allows businesses, particularly professional services firms like law and accounting firms, to recognize and capture new business within their existing client base. The Miami-based company leverages artificial intelligence to examine a company’s existing data on its clients and market trends to forecast which clients will likely need additional services or products. In other words, instead of guesswork and unsolicited offers, Propense allows businesses to reach out to clients with relevant offers, increasing their chances of closing deals and increasing revenue.

Though Propense was seeded only a mere handful of months ago, it’s already delivering real-world results. A press release from the company states the following:

“The AI-powered B2B cross-selling platform has engaged over half of the top 100 CPA firms and has identified $33 billion in uncaptured revenue for professional service firms.”