This year was far from the perfect environment for many startups looking to grow their business. But despite uncertainty here in the US and overseas, a slew of entrepreneurs took the plunge and started their own businesses. Success came to founders and investors who focused on high-growth areas. Those include the ride-sharing app Juno, which competes with big players like Uber and Lyft, as well as several companies focused on cybersecurity and virtual reality, among others.
So what will the number one startup trend be in 2017? Howard Love, a life-long entrepreneur with more than 35 years of business experience and author of “The Startup J Curve,” told Yahoo Finance’s Seana Smith in the video above that one of the most exciting opportunities is artificial intelligence.
“What I see in existing startup investments that I have and other startup opportunities that I’m looking at, is that the artificial intelligence market is exploding beyond what anyone is going to expect,” said Love. “Artificial intelligence is going to pervade almost every aspect of our lives … I think it will be the most interesting area for the next several years.”
Here’s why there’s so much hype surrounding artificial intelligence. Many economists anticipate it will improve productivity and expand the American economy. And that’s why so many big corporations invested in artificial intelligence in 2016, either by building their own divisions or acquiring startups. Among those include Microsoft (MSFT) buying AI scheduling tool Genee, Intel (INTC) acquiring deep-learning technology startup Nervana Systems and Uber purchasing startup Geometric Intelligence.
And that trend will likely continue, with many more startups looking to follow in the footsteps of Genee, Nervana Systems and Geometric Intelligence. IDC estimates that revenue from artificial intelligence–based systems will grow from $8 billion this year to more than $47 billion in 2020.