AI Beyond the Hype: Practical Applications We're Funding

Artificial Intelligence has moved beyond the realm of science fiction and into practical business applications that are generating real value today. While much of the media attention focuses on generative AI and large language models, we're seeing the most compelling investment opportunities in companies that apply AI to solve specific, measurable problems.

AI in Customer Experience

One of our portfolio companies has developed an AI-powered digital marketing platform that goes far beyond simple chatbots. Their system analyzes customer behavior patterns, predicts purchasing intent, and automatically optimizes marketing campaigns in real-time. The results speak for themselves: clients typically see a 40-60% improvement in ROI within the first quarter of implementation.

What makes this application particularly compelling is its focus on measurable outcomes. Rather than promising vague 'AI transformation,' the platform delivers specific, quantifiable improvements in customer engagement and conversion rates.

Financial Services Innovation

In the financial sector, we're seeing AI applications that address real pain points in risk assessment, fraud detection, and customer onboarding. Traditional credit scoring models often fail to serve underbanked populations, particularly in Latin America. AI-powered alternatives can analyze alternative data sources—from mobile phone usage patterns to social media activity—to create more inclusive and accurate risk profiles.

These applications aren't just technologically impressive; they're addressing fundamental issues of financial inclusion that affect hundreds of millions of people across the Americas.

Operational Efficiency

Perhaps the most immediate value we're seeing from AI investments comes from operational efficiency improvements. Companies are using AI to automate routine tasks, optimize supply chains, and predict maintenance needs. These applications may not grab headlines, but they generate consistent, measurable returns.

One pattern we've observed is that the most successful AI companies focus on augmenting human capabilities rather than replacing them entirely. The goal isn't to eliminate jobs, but to make workers more productive and enable them to focus on higher-value activities.

What We Look For

When evaluating AI companies, we focus on several key criteria: First, is there a clear, measurable problem being solved? Second, does the AI application provide a sustainable competitive advantage? Third, can the solution scale efficiently as the company grows?

We're particularly interested in companies that combine AI with domain expertise. The most successful AI applications we've seen come from teams that deeply understand their target industry and use AI as a tool to solve specific problems, rather than treating AI as the solution itself.

The Road Ahead

As AI technology continues to mature, we expect to see even more practical applications emerge. The companies that will succeed are those that can cut through the hype and focus on delivering real value to their customers. That's exactly the kind of pragmatic innovation we're looking to fund.