Innodata Providing Second Silicon Valley Tech Giant AI Data Annotation Across Multiple Business Segments

Rhea-AI Summary

Innodata Inc (NASDAQ:INOD) announced its provision of AI data annotation services to a second Silicon Valley tech giant, following a previously expanded relationship with a social media platform. The agreement is projected to generate approximately $1.8 million in revenue, with around $700,000 classified as recurring revenue. CEO Jack Abuhoff emphasized the company's competitive edge in providing end-to-end solutions that enhance AI model performance across multiple sectors, including content moderation and health records management.

Positive

• New contract expected to generate $1.8 million in revenue.
• $700,000 classified as recurring revenue supports revenue stability.
• Expansion of relationship indicates strong market demand for services.

Negative

• None.

NEW YORK, NY / ACCESSWIRE / September 30, 2021 / Innodata Inc. (NASDAQ:INOD), a leading data engineering company, today announced it has begun providing AI data annotation services to another Silicon Valley technology giant. This represents the second prominent Silicon Valley tech company Innodata has brought on as a customer for its AI services. Last March, Innodata announced an expanded relationship with a leading social media platform.

In terms of this latest win, Innodata will be performing AI model training and optimization across numerous business units for content moderation, intelligent document understanding, computer vision, and health records management. Innodata anticipates the win will yield approximately $1.8 million of revenue, of which it characterizes approximately $700 thousand as recurring revenue. In addition, Innodata expects to expand the relationship further over the remainder of the year and next year.

"We're finding a viable market for our solutions in Silicon Valley, especially when it comes to mission-critical AI use cases where a lot is riding on model performance," said Jack Abuhoff, Innodata Chief Executive Officer. "Unlike their incumbent providers, Innodata provides Silicon Valley tech companies with end-to-end solutions that span data sourcing, creation, and annotation, as well as global domain experts who often out-perform crowdsourced workers and intelligent platforms that reduce development time and cost."

Learn more about Innodata's AI data annotation services here and stay up to date on recent Innodata news here.

About Innodata

Innodata (NASDAQ:INOD) is a leading data engineering company. Prestigious companies across the globe turn to Innodata for help with their biggest data challenges. By combining advanced machine learning and artificial intelligence (ML/AI) technologies, a global workforce of over 3,500 subject matter experts, and a high-security infrastructure, we're helping usher in the promise of digital data and ubiquitous AI. Visit www.innodata.com to learn more.

CONTACT:

Jessie Schnurr
Innodata Inc.
jschnurr@innodata.com
201-371-8189

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Words such as "project," "believe," "expect," "can," "continue," "could," "intend," "may," "should," "will," "anticipate," "indicate," "forecast," "predict," "likely," "goals," "estimate," "plan," "potential," or the negatives thereof and other similar expressions generally identify forward-looking statements, which speak only as of the date hereof.

These forward-looking statements are based on management's current expectations, assumptions and estimates and are subject to a number of risks and uncertainties, including without limitation, the expected or potential effects of the novel coronavirus (COVID-19) pandemic and the responses of governments, the general global population, our customers, and the Company thereto; that contracts may be terminated by clients; projected or committed volumes of work may not materialize; continuing Digital Data Solutions segment reliance on project-based work and the primarily at-will nature of such contracts and the ability of these clients to reduce, delay or cancel projects; the likelihood of continued development of the markets, particularly new and emerging markets, that our services support; continuing Digital Data Solutions segment revenue concentration in a limited number of clients; potential inability to replace projects that are completed, canceled or reduced; our dependency on content providers in our Agility segment; difficulty in integrating and deriving synergies from acquisitions, joint venture and strategic investments; potential undiscovered liabilities of companies and businesses that we may acquire; potential impairment of the carrying value of goodwill and other acquired intangible assets of companies and businesses that we acquire; changes in our business or growth strategy; a continued downturn in or depressed market conditions, whether as a result of the COVID-19 pandemic or otherwise; changes in external market factors; the ability and willingness of our clients and prospective clients to execute business plans that give rise to requirements for our services; changes in our business or growth strategy; the emergence of new or growth in existing competitors; various other competitive and technological factors; our use of and reliance on information technology systems, including potential security breaches, cyber-attacks, privacy breaches or data breaches that result in the unauthorized disclosure of consumer, client, employee or Company information, or service interruptions; and other risks and uncertainties indicated from time to time in our filings with the Securities and Exchange Commission.

Our actual results could differ materially from the results referred to in forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, uncertainty around the COVID-19 pandemic and the effects of the global response thereto and the risks discussed in Part I, Item 1A. "Risk Factors," Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations, and other parts of our Annual Report on Form 10-K, filed with the Securities and Exchange Commission on March 15, 2021, as updated or amended by our other filings with the Securities and Exchange Commission. In light of these risks and uncertainties, there can be no assurance that the results referred to in the forward-looking statements will occur, and you should not place undue reliance on these forward-looking statements. We undertake no obligation to update or review any guidance or other forward-looking statements, whether as a result of new information, future developments or otherwise, except as may be required by the Federal securities laws.

SOURCE: Innodata Inc.

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FAQ

What is the latest contract Innodata has secured with a Silicon Valley tech giant?

Innodata has secured a contract to provide AI data annotation services to a second Silicon Valley tech giant.

How much revenue is Innodata expecting from its new AI data annotation services?

Innodata anticipates approximately $1.8 million in revenue from the new AI data annotation services.

What portion of Innodata's expected revenue is recurring?

About $700,000 of the expected $1.8 million revenue is classified as recurring.

What business sectors will benefit from Innodata's AI services?

Innodata's services will benefit sectors including content moderation, intelligent document understanding, computer vision, and health records management.

What competitive advantage does Innodata claim to have in providing AI solutions?

Innodata claims to provide end-to-end solutions that enhance AI model performance, unlike incumbent providers.