Unpacking Kumu’s revenue goals, declining user base

In On the Rise this week, we dive into Kumu’s falling user numbers, explore True Global Ventures’ AI focus, and the Brain helping make AI apps. [Read from your browser]( On the Rise 🚀 Welcome to On the Rise! Delivered every Tuesday via email and through the Tech in Asia website, this free newsletter breaks down the biggest stories and trends in emerging tech. If you’re not a subscriber, get access by [registering here](. --------------------------------------------------------------- IN FOCUS In today's newsletter, we look at: - [The problems Kumu is dealing with]( - True Global Ventures’ bet on generative AI firms - The rise of a new text-to-app tool Hello {NAME} I have to confess: I am a serial eavesdropper. I find myself unconsciously listening in to people’s conversations while I’m at a public place. However, I am told by those close to me that I’m pretty bad at it, as I end up wanting to take a peek at people’s expressions or body language, which usually gives me away. Watching reality shows or livestreams doesn't quite have the same appeal for me. That’s not the case for many. Several professional livestreamers now make a living from creating content around what they do or love. These streamers earn from virtual gifts or stickers that come from followers who look to support them. The platforms hosting the streams get a percentage of these user spends. As paying users play a big part in livestreaming apps, it is important that their user base grows and it continues to spend on gifting features on the app. For Kumu, the decline in active users and in-app spends spells concerns for the Philippine livestreaming platform. This comes at a time when TikTok’s growth in users and spends in the Philippines’ livestreaming space has grown significantly. However, Kumu says it has a plan in place to get to profitability by focusing on its organic users. Speaking of sharpening focus, True Global Ventures’ Kelly Choo talks to my colleague Shadine about a shift in focus toward generative AI projects for its rebranded Opportunity Fund. For AI Odyssey this week, I spotlight a text-to-app generative AI project that can produce apps in minutes just by telling it what type of platform you want to create. But first, our Big Story. -- Collin  --------------------------------------------------------------- THE BIG STORY [Kumu grapples with declining users, rising competition]( Kumu aims to be profitable by Q3 2023 but faces declining active users and in-app spends - and the looming threat of competition from TikTok.  --------------------------------------------------------------- MAKING WAVES [True Global Ventures pivots fund to focus on generative AI]( The previously Web3-focused firm is shifting its attention back to AI, partner Kelly Choo says.  --------------------------------------------------------------- AI ODYSSEY Promising AI projects we’re noticing. Ask and you shall receive your app A couple of years ago when I was introduced to [Wix]( a no-code website creation platform, it blew my mind how easy it was to put together a website. You could just select one of several templates, make changes to them, and add features that you would like to integrate into it before publishing the website. Gone were the days where you needed to know how to code or hire someone that did to create a good-looking professional website. While no-code and low-code tools revolutionized the creation of websites and apps, what if you could take it a bit further and create generative AI apps within minutes without writing any code? A text-to-app tool is something that Brain Technologies - a US-based natural language processing (NLP) and generative AI firm - is looking to introduce with its [new product Imagica](. While it is still yet to be rolled out to the public and people need to be on a waitlist to test it, Brain released a [teaser video]( that showcased the platform, which lets users create an AI-powered app within minutes. As per the video, a person could just input the type of industry they want the app to be in and mention what type of app they want to create. A few clicks later, Imagica would produce an app integrated with generative AI that lets users ask questions. The new app would then provide the details and the sources from where it gathered the information. The video gives the example of creating a finance app that helps users invest in the stock market. In essence, Imagica takes an idea toward product development almost at the speed of thought. Besides the no-code feature and speed of app creation, other features include real-time data management as well as the integration of text, images, videos, and 3D models into the app. That said, the video is just a teaser and the tool may not be as currently promised. As far as we have seen, there isn’t any product that has been introduced yet to compare Imagica against. The platform is also integrated with Natural, Brain’s NLP-enabled search engine launched in 2021. Brain - founded in 2015 - came out of stealth mode in 2021 and [raised US$50 million]( for the launch of the Natural platform. The company was established by serial entrepreneur Jerry Yue, who created a grocery delivery service in China called Benlai. He also founded Sinoyuan, which developed apps for Chinese social network platforms. Imagica could speed up the development process for companies looking to create their own apps with generative AI capabilities. While app development has become considerably quicker in the last few years, this would reduce the time even further. That said, Google has already [introduced a tool]( at the end of last month that enables developers to build enterprise-grade generative AI apps without coding. Through its conversational and search tools, Google says that developers can build generative AI apps “in minutes or hours.” In February, Wix announced the [integration of ChatGPT-3]( within the Wix Editor to help with content for website creation. In March, OpenAI made a push into the [integration of ChatGPT]( into enterprise products. Microsoft, Salesforce, and other large enterprise software firms said they would be adding ChatGPT-like tools into their business products soon. However, [several businesses are concerned about]( the integration of generative AI into apps and businesses. Understandably so, as the recent [leak of confidential information]( from Samsung after using ChatGPT brings concerns about the data safety threat that businesses would want to avoid, especially if they are dealing with financial information. The question for businesses will be: How much do you trust an AI system to give it access to your data in order for it to help you? There is no non-disclosure agreement that a company signs with the AI like with a consulting firm - that means there is no accountability as well. -- Collin  --------------------------------------------------------------- NEWS YOU SHOULD KNOW Also check out Tech in Asia’s coverage of the emerging tech scene [here](. 1️⃣ [Answer to AI data privacy concerns?]( Singapore-based Betterdata has raised US$1.7 million in a seed round led by Investible. Through privacy engineering tools and generative AI, the firm is able to create data that maintains information, accuracy, and impartiality without revealing or destroying the original source. 2️⃣ [Philippine HR tech firm bags $10.7m]( Sprout Solutions raised the amount in a series B funding round led by Cercano Management and joined by SoftBank Ventures Asia and GSR Ventures, among others. 3️⃣ [Cloud-based power plant?]( Gogoro has established a partnership with Enel X to roll out over 2,500 battery-swapping stations across 1,000 locations in the latter’s virtual power plant in Taiwan. 4️⃣ [Singapore’s new initiative to support net-zero transition]( The Monetary Authority of Singapore has launched the Finance for Net Zero Action Plan, which focuses on efforts that reduce carbon emissions in the power generation, buildings, and transportation industries. 5️⃣ [Checks of up to $10m]( Singapore-based VC firm Monk’s Hill Ventures has closed its US$200 million third fund and will pour between US$2 million and US$10 million into the startups it invests in.  --------------------------------------------------------------- FYI 1️⃣ [How startups in SEA are experimenting with generative AI]( Startups are using generative AI tools like ChatGPT for everything, from creating ad copy to helping grade students' essays. 2️⃣ [Charting the most common AI use cases]( The most common use case for AI is optimizing service operations, while predictive functions are less commonly used, contrary to popular belief. 3️⃣ [All the tools you need to build a startup]( With a huge variety of apps offering innovative solutions for payments, design, and more, everything you need to start up is available.  --------------------------------------------------------------- That’s it for this edition - we hope you liked it! Do also check out previous issues of the newsletter [here](. Not your cup of tea? You can unsubscribe from this newsletter by going to your “edit profile” page and choosing that option in our preference center. See you next week! [ADVERTISE]( | [SUBSCRIBE]( | [HIRE]( | [FIND JOBS]( P.S. Don't miss out on the biggest tech news and analysis. Add newsletter@techinasia.com to your address book, contacts, or safe sender list. Or simply move us into your inbox. Too many emails? Switch to a different frequency or get new content through our [preference center]( or [unsubscribe](. You can also break our hearts and remove yourself from all Tech in Asia emails over [here](  Copyright © 2023 Tech in Asia, All rights reserved. 63 Robinson Road, Singapore 068894