Artificial Intelligence: The Future of Evolv Technologies in the Spotlight

The world of generative AI has literally exploded in recent years. Since the public introduction of ChatGPT, interest in AI solutions has intensified significantly, leading to substantial investments and rising valuations of startups and tech giants. The focus is on cloud-based AI, with an unrelenting demand for larger and more advanced data centers. Estimates suggest that capital expenditure investments by AI companies could reach 160 billion USD next year to secure powerful GPUs and the necessary infrastructure for AI model training. Despite the positive developments, there are concerns about whether the revenues from AI applications can justify the high development costs. At the same time, a new trend is emerging: Edge AI, which runs AI algorithms directly on personal devices. This development promises lower latency and improved privacy, while users are no longer dependent on an internet connection. Forecasts indicate that by 2027, nearly 50% of smartphones will possess generative AI capabilities. However, technical challenges stand in the way of implementation, as existing devices are not adequately equipped for this. Smaller and task-specific AI models are gaining popularity because they require less data and are more efficient in certain applications. Advances in semiconductor technology could soon produce more powerful smartphones and PCs that support larger AI models. Amidst this technological revolution stands Evolv Technologies, a company known for its AI-supported weapons detection systems. Recent media reports about investigations due to a possible misplacement of their systems in the New York subway have cast a negative impression on their stocks. Nevertheless, Evolv sees itself as capable of providing faster and more efficient security solutions than traditional metal detectors. The company is testing its technologies under real conditions, although with mixed results so far. Investors continue to seek more promising alternatives in the AI sector that promise higher returns.