New York, NY, February 09, 2019 --(PR.com
)-- New York City venture fund becomes first U.S. accelerator to apply AI algorithms in scoring applications and forecasting the future prospects of startup hopefuls.
Artificial Intelligence (AI) is coming to accelerate the accelerators: Starta Ventures has marked a U.S first by using computing power to predict the future success of accelerator applicants and spot unicorns early.
Twenty-one companies from seven countries are set to receive investments from Starta Accelerator after they were highlighted by the Signum.ai algorithm for high growth potential. The new method allows applicant pre-screening to be completed in just one day, rather than several weeks through manual review.
The trial success is yet another case to support AI decision-making integration in the investment market. According to report by Greenwich Associates and Thomson Reuters, half of asset managers are seeking to integrate AI into their processes and 56 percent believe that the role of such technologies will increase in the future. One project using a similar approach for potential unicorn detection, Aingel.AI, has raised $1 million.
Starta Ventures managing partner Katya Dorozhkina said integrating the best technology and algorithms into pre-screening simply makes sense.
“Artificial intelligence reduces the time for screening out projects that do not fit the investment focus and helps us to reveal the potential of projects that can be unnoticed by a human screening. After the algorithm ranks incoming applications, selection continues according to non-formalized criteria, such as the stability of the team, the readiness of the product to turn to the adjacent market and the ability to attract subsequent investments,” she said.
The following step is needed to be carried out by people who must be highly qualified, Dorozhkina added, but unlocking AI is a natural progression in sorting applications and identifying exemplary ventures.
More than 1,000 startups were submitted for selection in next year’s winter batch (Batch 7) of the New York-based accelerator, which is designed to support European startups and help integrate them into the U.S. ecosystem.
About Starta Ventures
Starta Ventures is a group of companies, which includes Starta Accelerator and the co-working space Sputnik Space, both based in New York City. The mission of the Starta Accelerator program, launched in 2015, is to help startups with European research and development roots to go through the cultural and business adaptation of entering the U.S. and becoming part of its investing ecosystem.