CR8 has been touted to be the next generation AI in many threads across HC so I thought perhaps I would provide some insights into what CR8 actually does.
I did a similar thread for XPE at 10 cents , BUD at 15 cents , 1PG at $1.50 and so on.... The opinion contained herein will not be the most popular as the past threads will show but I believe hearing the other side of the conversation will make it a little more balanced discussion.
CR8 has called itself an advanced AI company while it's own
website is built on Squarespace. It is almost ironic that a company that calls itself well advanced in AI services would build their website on a platform built for dummies. Moving past that first impression, one begins to wonder what are this company's core offerings.
From the prospectus -
It's a glorious way of saying that she did her PHD in analytics and more precisely in page analytics. But hey ! the broker has got to sell that stuff right ? "human technology interaction" I bet is not even a word in tech. If you tell that to any developer a hysterical laughter is almost guaranteed.
I am afraid there are plenty of customer management software better built then anything a company would have built in 2 years and called it "conversational commerce SAAS enterprise platform"
If you have ever worked in a startup culture or have attended one of those "startup grind's" or similar thing you will know that
global platform is a requirement for most Australian startups to receive VC funding. They wouldn't even look at you if you said that your platform was not global.
So let's see from June 2013 , it took then one year to build a MVP. MVP is just that - minimum viable product. You do not buid a SAAS based on what you think is a good idea. You build it because there is a need. In here case, the niche is very zoomed in
1) Enterprise software
2) Financial market
3) SAAS platform
4) Customer service
Now if anyone has ever sold anything to enterprises then you know that SAAS is very much frowned upon by enterprises. Enterprise have a big issue with SAAS most importantly because of PCI, data security, Australian data laws and information tempering problems.
If you have ever worked with the government then you will know that a simple SQL install on their premise will take 6 months. The time to install will be 1 hour but the time to get approval is over 6 months. Not to mention countless setbacks and rounds of questions to answer even before you begin.
Moving forward they raised 2.1 MIL in August 2014 however one year later in Aug 2015 they only raised a million ?The bubble generally bursts on the startups of these kind when they think they solved a problem but are only a glorified version of SAAS almost all features identical to other providers.
Please ask them if the NAB trial was successful, then why did not these trials extend into a paid period ? Successful trials should generally be followed by paid uptake of the offerings.
A lot of stuff has been said about chatbots and AI but honestly if a product was built in 2014 then the AI is just there to lure in retail investors because chatbot as a concept only matured in 2015. They had a MVP built in 2014 and under a million in funding they couldn't have built any platform that is usable by enterprise. Heck I would be surprised even if they built a platform that was used by small businesses.
So what do you do when US VC laugh at your product ? You spin it in a country that has the money but is unable to decipher a usable product with genuine use case.
Sure there will be some trades made and profits from this company but to imagine this company will survive the next 10-15 years is ignorant at best.
