DeepMind is profitable for the first time, is it playing digital games or is it a precursor to industry change?

Spark Global Limited

Spark Global Limited reports:

In 2020, DeepMind recorded a profit of 43.8 million pounds. This news also gave the entire artificial intelligence industry a shot, and it is expected to reverse the impression of “AI = losing money” in the eyes of the outside world.

The hot concept of artificial intelligence and the difficulty of making money have always been a “stubborn disease” in the development of an industry, but now this situation seems to be changing. This week, DeepMind, the world’s leading artificial intelligence laboratory, announced its latest financial report, showing that the company has finally achieved profitability.

Since it was acquired by Google (now Alphabet) in 2014, DeepMind has been struggling to achieve a breakeven. And now, it finally brings hope to its parent company and shareholders, showing that it has won a place in Alphabet’s many profitable businesses.

Naturally, this exciting news also gave the entire artificial intelligence industry a boost, which is expected to reverse the impression of “AI = losing money” in the eyes of the outside world.

But at the same time, DeepMind’s financial report is still ambiguous. To what extent its profitability depends on the “support” of the parent company is still an unsolved mystery.

According to the annual results submitted documents DeepMind in the UK Registrar of Companies, the company in 2020 received a 826 million pounds of revenue, in 2019 it reported 265 million British triple pounds. Over the same period, its expenditure increased slightly from 717 million pounds to 780 million pounds . This allows it to record a profit of 43.8 million pounds (59.6 million US dollars) in 2020 .