Unlocking Opportunities: How Localization Companies Can Leverage AI Data Services
In recent years, the localization industry has seen a shift towards AI data services. Jane Nemcova, CEO of Veuu, has had first-hand experience in working with companies developing their AI strategies and has identified the potential of taking some aspects of localization and translation companies and creating a new business in the AI data industry.
According to Jane, one area in which localization companies can move into is crowdsourcing.
This model has been mainly used in breaking down tasks into more granular detail and working with those tasks.
It is an economic employment model or engagement model that is different from the operational mode of a particular task.
What Jane saw as potential was the application of crowdsourcing to the area of AI, which was gearing towards a more data-centric approach.
AI was developing over the last ten years towards a pivot in deep learning that really caught on, creating a completely new field of opportunity to create data, whether it was linguistic or other data that was required to build an intelligent system that continuously improves.
In the AI data space, Jane says there are many dimensions and aspects to consider.
It is a totally different business than the translation space, although some elements of it are similar.
The opportunity for localization companies is to extrapolate what they do well and apply it to the AI data space.
Localization companies have the opportunity to create data that is required for AI applications, and this requires a different approach to the one they are currently using.
However, Jane reminds LSPs that there are some challenges in adapting to the AI data space.
For example, localization companies need to figure out what they want to do and how to adapt operationally and from a sales perspective.
AI data is a different business, and they need to identify the opportunities that make sense and fulfill the needs of their customers.
This could be related to language or could be adjacent to it or involve some aspect of geography or employment models.
The AI data space is a growing industry that offers numerous opportunities for localization companies.
Localization companies have already been battling the front of constantly having price pressure for the work they do in translation and the services around that.
There is also the pressure of needing to grow and have built up an enterprise-level sales strategy and engagement with customers.
Moving into the AI data space can help localization companies retain their customers better, have another pipeline to de-risk their business, and help fulfill what their customers need.
In conclusion, localization companies are best suited to move into the AI data space because of their expertise in language, translation, and crowdsourcing.
They have the opportunity to create linguistic and other data required to build intelligent systems that continuously improve.
Localization companies need to identify the opportunities that make sense and fulfill the needs of their customers. They must also adapt operationally and from a sales perspective to succeed in the AI data space.
The AI data space is a growing industry, and localization companies have the opportunity to take advantage of it and grow their businesses.
If you want to know more about this area, visit Lion People Global’s website where you can watch back our M&A Talks series of videos and fill out a questionnaire that entitles you to one hour’s free consultation on getting a LSP or language tech business ready for sale.
