Artificial intelligence is one of the most significant drivers of revenue growth for organizations everywhere, and technology companies large and small are vying for a greater share of the enterprise AI market.
The enterprise AI software provider C3.ai has tried to disrupt the sector since 2009, aiming to outperform and undercut larger competitors, such as AWS, IBM, and Microsoft. C3.ai founder and chief executive Tom Siebel has compared his company to Salesforce, the CRM company that has grown into a tech giant and segment leader. But with a market cap that is a fraction of Salesforce’s, can Siebel’s company reach similar heights?
There are some significant differences between the two companies that are worth examining. While Salesforce offers an all-encompassing suite of CRM, sales, marketing, and analytics solutions, C3’s AI-driven algorithms can be used in conjunction with software solutions from other companies, including Alphabet’s Google Cloud and Adobe’s Experience Cloud. In a move away from Salesforce’s example, C3 also recently switched from a subscription-based model to a new usage-based one.
Salesforce has put nearly peerless numbers on the board in its 20-plus year history, growing from $176 million to $26.49 billion in revenue since going public in 2005. In fiscal year 2022, C3 reached more than $250 in revenue, but it has a long way to go — and grow — to equal the likes of Salesforce.