Red Flags Discovered for Private Equity & Venture Capitalists in Due Diligence

For many years, SearchForecast has been engaged by venture capital firms here in Silicon Valley to help partners making investments conduct due diligence. Similarly, private equity firms have reached out to us to help them ‘look under the hood’ and find any ‘red flags’ in technology businesses they are looking to acquire. This often involves side bar conversations about tech / marketing and capital requirements for building projected marketing & sales funnels.

Here’s an excerpt of Bert and Marc presenting some findings across real clients that due diligence was undertaken on.

Will Google OutPrompt ChatGPT?

I think so. Here’s how… it starts in September 2016 when Goolge buys venture funded start up called API.AI which provides tools to developers building apps for Google’s virtual assistant. They tweak it and rename it “Dialogflow” and since 2018, it is part of Google Cloud Platform.

Create your own Generative AI agent EASILY

So now Google has just made it so easy to create a Generative AI chatbot in literally just a few clicks using Vertex AI ConversationĀ and Dialogflow. ALl you have to do is connect your webpage or documents to your Dialogflow CX agent and leverage large language models for generating responses from the content, out of the box!

You can also call a large language model to perform specific tasks during a virtual agent conversation or respond to a query contextually, significantly reducing development effort and making virtual agents more conversational.

We did this for a client recently using Vertex AI App Builder and Dialogflow. It then generates a small pieced of Javascript that you can paste into a container and it appears on your website. Remind you of YouTube embed code or Google Analytics, or AdSense. Oh yeah, those products worked out pretty well for Google to scale global distribution amongst publishers. It’s the distribution piece that Open AI / ChatGPT need to play catch up on Google.

I just don’t think they can catch Google, particularly when they start leveraging their $220B revenue per year from Adwords that allows them to give Cloud products like Dialogflow and Vertex AI App Builder away for free! And when they start integrating this all into Google Analytics, Adwords, etc, etc. The network effect Google has is a potential road kill for ChatGPT.