Conversational AI company changes name to Unith, is this the...

Conversational AI company changes name to Unith, is this the next ASX unicorn?

It’s that time of the year when people around the world set New Year Resolutions, with many commiting to ‘New Year, New Me’. This has permeated into the corporate world with Crowd Media (ASX: CM8) confirming their evolution with a corporate identity overhaul, changing their name to better reflect their position as a rapidly growing artificial intelligence company under the new name Unith (ASX: UNT).

Their humble start began as a crowdsourcing business which expanded into an influencer marketing business. This latest transformation however, which first commenced in 2019, has evolved its tech for tasks previously performed by humans, to be delivered by artificial intelligence (AI), focusing on Conversational AI and Talking Head technology which is already used by one of the Big Five tech companies. As the business model has moved into a completely different direction far away from the media sphere, the rebrand to Unith is tipped to open new commercial doors for the tech Company which is shedding its tag as a media business.

Unith’s CEO, Idan Schmorak said: “Over the past 15 months, we have completely restructured the Company, refreshing and energising our team, strengthening the balance sheet and optimising cash flow, and supporting our industry-leading engineering team to develop cutting edge technology that is changing the way businesses interact with their clients online.

“These operational and financial improvements, and our new vision and team, has made us a strong tech company with exciting global growth opportunities. Unith best encapsulates our underlying tech which is clean, commercial, and agile.”

The name change was approved by shareholders at last month’s AGM with overwhelming support. One of the biggest deciding factors behind the rebrand was the fact that they were no longer a media company, having divested the legacy media business to concentrate on their Talking Head platform which delivers AI-powered business solutions by reducing reliance on human labour.

The Talking Head platform produces digital humans that interact with users in humanised conversations introducing a scalable, accessible and clean platform that gives supportive customer experience, while simultaneously delivering impactful marketing and sales automation tools for the business.

The Company reported a positive operating cash flow of $36k in Q1 FY23 which is driven by their profitable mobile subscription division while they are upscaling their commercial team for the Talking Head platform. Beyond being engaged by a Big Five tech company, Unith’s Talking Head platform also provides lead generation services to SrcFlare which has generated $258k revenue.

Unith is expected to launch a new corporate website in the months ahead, with Schmorak confident that the new corporate identity will not only open new commercial opportunities, but also attract developer talent and appeal to sophisticated tech investors.

Could the name Unith be the strategic move that sheds legacy tags associated with the old media business? If yes, it is not a long shot to say that Unith could emerge as a tech darling of the future, or even the next unicorn.

Unith will commence trading under the ASX ticker code ‘UNT’ from 7 December 2022