40 AI Based Business & Startup Ideas (2023)
Interested in starting an AI-based business but not sure what AI startup ideas to focus on?
Estimated to grow to $126B in the next few years, artificial intelligence has the potential to automate industries ranging from transportation to medicine and even education.
So what are some of the profitable AI business ideas you can invest in today?
We researched the internet and put together a list of 41 best artificial intelligence business ideas you can start today.
For these AI business ideas, we’ll show you real-world examples of AI businesses to help you see what it really takes to start an AI-based business.
Here's the full list:
1. Start an AI- based photo editing app business
Hey, I am Sabba and I am the co-founder of VEED.IO along with my partner in crime Tim. We are a London-based bootstrapped startup. Our web app, VEED, is a simple online video editing platform that allows users to do a bunch of cool stuff like auto subtitle videos, add video effects, add music, trim, rotate videos and much more all in the browser.
We launched just over a year ago, started charging 4 months ago and as of this interview, we are at $5,300 MRR and are just about profitable (Ramen profitable).
2. Build an AI powered skin analysis tool
3. Build a natural language processor
Tinq.ai has several very popular products amongst our community: rewriter, sentiment analysis, entity recognition, and classifier. It was launched in private beta in July 2021 and has been accessible to the public since October 2021. The platform recently crossed the $3.5k revenue mark with 34 paying customers as of January 27, 2022.
4. Start an AI based content creation business
Hey, I’m Malcolm Tyson and I started nichesss, a tool that does 2 things:
The business brings in ~ $30,000 a month. Our users are made up of copywriters, small businesses, and marketing agencies who need to be able to write content quickly.
5. Start an AI-based chatbot
An AI-based chatbot is an automated program that helps add convenience for customers by simulating a natural human conversation. Chatbots interpret and process users’ words or phrases and gives an instant pre-set answer.
In today's competitive environment, businesses digitize and automate to become more efficient. Therefore, the demand for AI-based applications is high than ever before.
Therefore, starting an AI-Chatbots building application can be profitable.
My name is Pranay Jain, and I’m the CEO and co-founder of Enterprise Bot. Headquartered in Zurich, Enterprise Bot is an AI platform that utilizes machine learning to power conversational chatbots, email, and voice bots. Our flagship product is our bots, which can be tailored to fit our client’s needs.
Currently, we offer bots in English, German, French, Italian, Dutch, and Portuguese - with more to come. Our customers are wide-ranging, from e-commerce, HR, insurance, and financial services. I am extremely proud to have a team that has enabled us to grow 2x for the last 3 years consecutively and breach the coveted 2 million revenue mark with an ambition to double that again this year.
6. Start an AI logistics & supply chain management business
My name is Ivan, I’m a founder of Marine Digital. We work in a niche of big vessel performance optimization. Our main goal is to make modern instruments of decarbonization available for the mass market.
During our 3 pilot projects we’ve earned about €60 K, and now we are launching the production of our digital twin in the EU.
7. Start an AI marketing agency
I'm Eric Berman, and when I look back on my career, I have been an entrepreneur since the beginning. After graduating from college, I was always finding myself in the middle of starting businesses and, over time, getting more enamored with taking an idea and building a business from it.
8. Start an AI based medical equipment business
Artificial intelligence is transforming patient experience, how clinicians practice medicine, and how the pharmaceutical industry operates. Application of AI in medicine includes but is not limited to using machine learning models to search medical data and uncover insights that will help improve health outcomes and patient experiences.
AI has enabled patient self-service to chatbots, computer-aided detection systems for diagnosis, and image data analysis, which helps identify candidate molecules in drug discovery. If you are enthusiastic about applying modern technology to improve healthcare, consider starting an AI-based medical equipment business.
James Bates the CEO and Founder of AdviNOW Medical has been inventing cutting-edge technology for 20 years. AdviNOW Medical has become a leader in the health technology sector, pioneering a system that synergizes artificial intelligence and augmented reality to support existing healthcare infrastructure and services while enabling the future of low-touch no-touch medical visits. It’s a technology that seems obvious in hindsight, amending a serious problem with an elegant solution.
Healthcare automation has bigger benefits, including—but not limited to—labor savings, improved quality and consistency of care, reduced waste, lower physician burnout, and increased predictability of outcomes. In fact, practices that adopt AdviNOW see nearly a doubling of the patient throughput per provider. This obviously leads to lower wait times for patients and more profitability for the practice and enables future models within the value-based care vision.
9. Start an AI based automated data entry tool business
Hi there! My name is Sylvestre Dupont and I’m the co-founder of Parseur, a data extraction tool. My official title is CEO, while my co-founder Sylvain is the CTO. We're only a 3-person company, so those titles might be a little over the top though. I’m currently based in the lovely island of Mauritius, in the Indian Ocean, and Sylvain is located in Grenoble, the capital of the French Alps.
Launched in 2017, Parseur’s revenue has grown to over $40k per month. We’re 100 percent bootstrapped, with no outside investment.
10. Start an IoT startup
An IoT startup focuses on devices connected to the internet that can be accessed remotely through the internet or a connected application.
Research what is essential to the end users to start and build a successful IoT. Leverage what is available to make the application easy to use. Then, create working prototypes, test, and build the application around the clear essential purpose.
My name is Craig Rabin, from an early age I spent his time dreaming up inventions. These are now a source of inspiration as I make sketches from my childhood a reality, thanks to 3D printing. My entrepreneurial spirit and passion started early and led me to start my first business when I was 16 years old. Since then, I’ve moved from Chicago and have gone on to create eleven companies... woo!
Since launch, we’ve shipped to every state in the U.S. and have a presence in 73 countries around the world! Plus, The Airhook has been featured in over 100 publications and was the first product in history to win Steve Harvey’s Funderdome on ABC in 2017 and won Travel Product of The Year in 2019.
11. Build a team collaboration software
But let me give you some more background on that: Every day, agencies and marketing teams create, share and collaborate on millions of files. But the feedback process is messy and complicated for everyone involved.
12. Build an AI powered video player
13. Build an AI based advertising software
Hi, my name is Eyal Reich and I'm StoreYa's co-founder and COO, along with Yariv Dror, the CEO (and my brother:) and Pasha Zaft, the CTO.
We launched StoreYa 7 years ago, with the idea of building a valid business, one with a strong business model behind it. As opposed to many startups that pursue their dream and don't think about how to make money in the early stages, we didn't want to be dependent on fundraising, we wanted to reach the profitability stage as soon as possible. We raised a seed round of ~$900K when we first started and for the past 3 years, we've been profitable, generating an average of $700K MRR.
14. Build an AI powered logo maker
15. Build an intelligent process automation software
Hi there! My name is Raghuraman Ramamurthy, but most people just call me Raghu. I am a serial entrepreneur and I started Rapid Acceleration Partners (RAP) with co-founders Baskar Agneeswaran, who is a longtime friend and fellow serial entrepreneur, and Ramesh Kumar who is a veteran in Silicon Valley and Indian startups.
To date, we have served companies in 6 industries, processes 7 million+ pieces of content with 10 million+ process iterations, and saved 70% of manual effort.
16. Build an AI powered copyright infringement software
I'm Peter Szyszko, the CEO and founder of White Bullet, and we identify IP-infringing websites and apps and track the advertising that is funding them. Our core product is our IP Infringement (IPI) Analytics Platform, which analyses websites and apps that infringe the third-party intellectual property, such as movies, games, software, and so on, and the advertising that is placed next to (and monetizes) this content.
We fall into the cyber-technology/AI space because most of what we do is driven through AI. We have been around for six years now, and the best measure of our success is probably our growth: we are taking on new clients monthly because companies see the value in what we do.
17. Become an AI management consultant
18. Create an AI writing tool
Hi, I’m Abhi, founder & CEO of a startup platform and business incubator where we incubate and scale new ventures regularly, and Rytr is one of our flagship products that has now become one of the leading AI writing assistants in the market serving 300,000+ customers across the world doing seven figures in ARR. It’s great to see the overwhelming response we’ve received from the market.
With 13+ yrs of combined experience across consulting, venture capital, and startups in the US, Europe & Asia, I have helped build and scale multiple products over the years that have touched millions of users and revenue. I've also led large product & growth teams, mentored 100s of founders on product, growth, BD, sales, hiring, and fundraising, and raised funding from investors like 500Startups, Entrepreneur First, and more.
19. Start an AI-powered recruiting app
My name is Abby and I am the founder of SkillSoniq. SkillSoniq is the world’s first AI-Powered recruiting app that connects companies with skilled, domestic freelancers and gives companies the option to hire a freelancer (s) on their payroll.
We currently cater to small companies with less than 200 employees, who feel the pain of hiring through traditional recruiting channels. We launched in New York in early 2019, and made $350,000+ in Gross Revenues in the first year of launch in 2019 without spending a single dime on advertising! We are currently making $40,000 a month in gross revenues. In just the first year of launch, we signed up more than 100 clients, boarded 6,000+ freelancers on our platform, and received 4.9/5.0 google review ratings from our customers.
20. Start an online recruiting automation business
Hi, I am Girish Kukreja, Founder and CEO at FlexC. I started FlexC about a year ago intending to disrupt the hiring space in India. We are a talent marketplace curated to help businesses hire and manage their hybrid workforce (permanent hire and flexible workforce).
With more organizations going hybrid, the ratio of hiring freelancers and contractors will increase to 20-30% of overall employees. And in this new age business era, FlexC aims to become the No.1 marketplace to help businesses smoothly transition during their journey.
21. Start an AI personal shopper business
Paul founded SPUDS, a men’s apparel company based in California. After many prototypes, they launched on Kickstarter and were able to raise $15,000.
22. Start an AI butler business
Hi, I’m Prof. Jed Macosko, and I have the privilege of telling the story of how AcademicInfluence.com got started. I serve as president and academic director under the capable leadership of our CEO, Wayne Downs, and alongside an incredible team that includes Prof. Robert Marks, Drs. Winston Ewert, Brian Carlson, and James Barham, and Dave Tomar, Jenn Finley, and Dan Edelen. Our website helps parents and students find colleges that are a good fit. But more importantly, we strive to connect learners to leaders, which is why a large portion of our site is devoted to highlighting the works and lives of influential people.
We launched the current version of our website in August 2020, and as of the time of this writing in August 2021, our traffic, as measured by SEMrush, has grown to over 100,000 organic search visits per month. We monetize by generating leads for universities and college consultants and by licensing our proprietary ranking algorithm to other sites.
23. Build an AI based voice and image recognition tool
Artificial Intelligence has successfully established itself as a technology that attracts development and growth. Businesses that leverage AI tends to have a competitive edge over their competitors.
Experts project that the global Artificial Intelligence market will expand at a compound annual growth rate of 38.1 annually over the next decade.
Are you ready to be part of the growing AI industry? If yes, consider creating AI-based voice and image recognition tools.
Voice and image recognition tools are critical in performing multiple machine-based visual tasks like:
- Labeling the content of images with meta tags
- Performing image content search
- Guiding autonomous robots
- Self-driving cars
- Accident-avoidance systems
With the multiple application areas of voice and image recognition tools, starting a business in that line could be profitable in the long run. To create a successful tool, select the right platform, choose only the required features, and create the tools with end-users in mind.
Is AI a profitable business?
There is no doubt that AI is one of the hottest topics in the business world today. From self-driving cars to chatbots, businesses are racing to adopt AI technology in order to stay ahead of the competition.
But is AI a profitable business? That depends on how you define profitability.
If you simply look at the bottom line, then yes, AI can be very profitable. After all, businesses are willing to invest billions of dollars in AI technology in order to increase efficiency and gain a competitive edge.
However, if you take a more holistic view of profitability, then the answer is less clear. While AI can certainly generate profits for businesses, it can also create significant social and economic disruptions.
For example, as AI technology becomes more sophisticated, it will likely lead to job losses in a wide range of industries. As a result, while AI may be profitable for businesses, it could have far-reaching negative consequences for society as a whole.
How do I start my own artificial intelligence business?
For those with an entrepreneurial spirit and a keen interest in artificial intelligence (AI), starting an AI business can be a great way to turn a profit while making a meaningful impact on the world.
However, as with any new business venture, there are a few things to keep in mind before taking the plunge.
First, it's important to have a clear understanding of AI technology and its potential applications. This will not only help you come up with meaningful products or services, but it will also make it easier to pitch your business to potential investors.
Secondly, it's essential to build a strong team of experts who can help you develop and implement your vision.
Thirdly, you'll need to create a robust marketing strategy to ensure that your target customers are aware of your product or service.
With these key elements in place, you'll be well on your way to starting a successful AI business.
24. Start an e-learning apps business
In 2000, Luis von Ahn was starting his PhD in computer science when he attended a talk and happened to learn about one of Yahoo's biggest problems: automated bots were signing up for millions of free Yahoo email accounts, and generating tons of spam. Luis' idea to solve this problem became CAPTCHA, the squiggly letters we type into a website to prove we're human. He gave away that idea for free, but years later, that same idea had evolved into a new way to monetize language learning on the web, and became Duolingo. Today, the popular app is valued at $1.5 billion, and is seeing a big spike in growth while people are confined to their homes.
25. Start an auto-generating report business
26. Start a cloud-based attendance app business
27. Start a subscription based delivery app business
28. Start a vulnerability prediction app business
29. Start a roadside breakdown or car accident app business
30. Start an AI online poker playing business
31. Start an AI farm management business
32. Start an AI business analysis service
Robert LoCascio is the founder of LivePerson, a conversational AI platform that provides solutions for customer care, Conversational Commerce, voice solutions, and more.
Robert has been the company’s chief executive officer since its inception in 1995. His mission is to make life easier by transforming how people communicate with brands.
LoCascio hails from a family of business owners. He graduated from St. John the Baptist High School in West Islip, New York, in 1986 and from Loyola University, Maryland, with a BBA in 1990.
He is a founding member of the Partnership for New York City’s NYC Entrepreneurs Council and a mentor to the NYC Venture Fellows. He is the driving force behind the company’s objective of connecting companies and customers in meaningful ways.
LivePerson had survived the dot-com bust and grown to become the market leader in intelligent engagement solutions, servicing over 18,000 clients and employing 1,000 employees in offices worldwide.
The company develops consumer interaction and conversational commerce apps and platforms. It offers solutions linked to various messaging platforms, allowing businesses to create more websites, mobile applications, and communication channels.
They offer a range of conversational tools and features, but its primary products are:
LiveEngage: This messaging channel integration allows companies to create AI-powered chatbots that can answer messages directly from customers.
LivePerson Insights: This tool inputs structured and unstructured customer chat transcripts and outputs business insights. It can provide customer service agents with customer sentiments.
The company's current revenue is $500M.
33. Start an AI based retail business
34. Start an AI based customer support business
35. Start a home automation devices business
36. Start a finance related robotic process automation business
37. Build an AI powered project management tools
38. Start an augmented reality based jewellery store app business
39. Start an on-device recognition tool business
Bill Boebel is the founder and former CEO of Pingboard, and he will continue to serve as chairman of the board and a key advisor.
Pingboard is an employee engagement platform designed for remote workers. It gives your staff access to crucial data about individuals, teams, and the business.
This tool speeds up the onboarding process for new employees, provides interesting information at the perfect time, and fosters closer relationships among coworkers.
The goal of this business is to completely transform workforce planning. The management of hiring strategies across the organization, the creation of career paths, and the adoption of new agile organizational models become more challenging as businesses grow.
Bill started the business from scratch and has since served over 750,000 employees across 2,500 companies globally.
The COVID-19 pandemic has accelerated the remote work trend, and as a result, demand for their services has increased, resulting in 16 straight months of growth. Now, in 2022, Pingboard has had 3K users so far and generated $6.3M in revenue.
Watch the full video on youtube.com ➜
40. Start a cyber security apps business
Coro, a cyber security SaaS platform, was established by Dror Liwer and Guy Moskowitz in 2014 to offer cloud security services to midmarket enterprises.
It is one of the fastest-growing security solutions targeted at mid-market, offering all-in-one protection that enables enterprises to defend against malware, ransomware, phishing, and bots.
- Coro began as part of an accelerator and raised $1.5 million in its first Seed round.
- They secured an additional $20 million before their $60 million Series C round.
- Coro confirmed reaching a $1 million run rate in 2019.
- This firm has 4,500 clients on the platform.
Read the full story on blog.getlatka.com ➜
Hey! 👋 I'm Pat Walls, the founder of Starter Story.
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