Q1 Launch of SaaS Offering and Brand Win
Entertainment AI plc
("EAI", "Group" or the "Company")
Q1 Launch of Software as a Service Offering; Brand Win
Entertainment AI plc (EAI: AIM), a rapidly-growing technology and media platform company, is pleased to announce both the introduction of Creator Suite™ and the achievement of an initial brand win with a global company in the automotive space. The win is based on the exciting proprietary functionalities of Creator Suite™. This brand win expands EAI's ecosystem of audience and creators beyond GT Channel, EAI's multiplatform network.
Creator Suite™ is a human-in-the-loop, AI-based service that helps EAI's audience, creative partners and brand partners discover and share their most memorable, extreme, emotional, funny and best moments from the video creators they love. It builds on the Company's patent on human-in-the-loop computing.
The product release and the brand win kick-off 2020 and build on the Company's RNS released on 20 January, stating that EAI has continued to trade strongly in Q4 with net revenue growing 59% at $10.4 million (2018: $6.5 million) and global audience growth of 45% to 12.3 billion video views (2018: 8.5 billion views).
Brand Customer Win
EAI today announces an initial sale with one of North America's largest automotive replacement tire, maintenance and repair service multi-channel brands. The work on audience engagement and content relevance builds on EAI's successful pilot with JSports Corporation of Japan during the 2019 Rugby World Cup in Tokyo. The Company has a healthy pipeline of opportunities with automotive brands who want access to EAI's platform to engage with consumers, both for marketing and e-commerce opportunities.
Software as a Service Offering (SaaS)
EAI is launching the Creator Suite™ service to help affiliated creator partners deliver the frictionless video experience that consumers demand, particularly during intent-rich moments when they increasingly turn to their mobile devices to act on a need to know, go, do, or buy. The technology drives both engagement and yield and empowers creators to be increasingly relevant and their content actionable, in the moment, when their audiences are the most receptive.
In addition, based on its early work with brands, the Company plans to accelerate the roll out to brands of Brand Suite™, which leverages several of the functionalities of Creator Suite™. Together Creator Suite™ and Brand Suite™ will accelerate the Company's development of a two-sided marketplace, including e-commerce opportunities.
Balance Sheet and Deployment of Funds
The Group was admitted to trading on 30 September 2019 and therefore only began to deploy capital during 4Q 2019. The Group started 2020 with approximately $5.0 million of cash from EIS/VCT investors ($9.5m total cash). The Group will use these resources to create a family of AI-based product offerings based on market demand within the required two-year investment window, with Creator Suite™ being the first such product. These technologies will reinforce the Company's fast-growing video network, driving revenue and audience growth both directly and from working with brands as intermediaries for global audiences, whilst leveraging e-commerce and ancillary revenue opportunities.
Dr. Patrick DeSouza, Chairman of Entertainment AI, stated, "We are pleased to deliver early and have an exciting 2020-22 plan to develop a family of tools that can revolutionise online viewing experience by better serving new consumer online behaviours. We are delighted to have strong investors, both institutional and retail, to support us. We look to delivering significant shareholder value."
Todd Carter, CEO of Entertainment AI, stated, "Creator Suite™ will help our ecosystem of social media creators and brand partner product content that is more connected, discoverable and engaging and empowers our creators to be more relevant and their content actionable, in the moment, when their audiences are the most receptive. We're building out from the core of our existing business to increase our share of the $18.5B the US auto industry will spend in 2020 on digital advertising."
Patrick DeSouza, Chairman
Todd Carter, CEO
Adrian Hargrave, CFO
Tel: +1 203 654 5426
+44 (0)7775 701 838
Dowgate Capital Ltd (Joint Broker and Research Coverage)
Tel: 020 3903 7715
WH Ireland (Joint Broker and Nomad)
Adrian Hadden / James Sinclair-Ford / Matthew Chan
Tel: 020 7220 1666
IFC Advisory Limited
Graham Herring / Zach Cohen
Tel: 020 3934 6630
The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014