From what I’ve noticed, with AI companies, it’s usually not “annual” but “annualized”, which is just an estimate. And it doesn’t seem like there are any rules to calculating that estimate, you can just grab the best 30-day period of operation, multiply it by 12 and claim millions in annualized revenue. And then they usually just sell to someone based on this estimation, since it’s almost never profitable to build something on top of existing infrastructure of the main players in this market and maintaining your own is just not feasible.
From what I’ve noticed, with AI companies, it’s usually not “annual” but “annualized”, which is just an estimate. And it doesn’t seem like there are any rules to calculating that estimate, you can just grab the best 30-day period of operation, multiply it by 12 and claim millions in annualized revenue. And then they usually just sell to someone based on this estimation, since it’s almost never profitable to build something on top of existing infrastructure of the main players in this market and maintaining your own is just not feasible.