More often than not, an honest Total Available Market (TAM) analysis yields small or medium sized markets. This could range from $50M, $100M, $200M to $500M.
>>>Oracle (NYSE: ORCL) recently reported its fourth quarter results that missed estimates. But despite the weak results, the market was impressed given the strong Oracle Cloud Infrastructure (OCI) demand that it is seeing coming its way.
>>>Sramana Mitra: All right, let’s discuss the second example.
Ashmeet Sidana: Sure, another example I’m very proud of is a company called Robust Intelligence. Again, I was the first investor and they did a good job. CEO Yaron Singer, PhD from Berkeley, was at Harvard when he observed the hallucination problems with the development and deployment of AI models.
>>>An acute lack of understanding of Ideal Customer Profile (ICP) and an inadequate Market Segmentation result in artificially bloated TAM.
Often, Segmentation is too broad.
Let’s look at an example.
>>>Ashmeet Sidana, Chief Engineer at Engineering Capital, talks about his AI investment thesis. It’s a wonderful discussion that not only entrepreneurs should listen to, but investors should also listen in to calibrate their own investment thesis.
>>>Sramana Mitra: What percentage of the students of these 10K students on your platform are performing at high levels?
Josh Jones: Let me, tell you our latest number. I think it is 581 in the last semester.
Sramana Mitra: That’s very good. And they all have internships?
>>>I’m publishing this series on LinkedIn called Colors to explore a topic that I care deeply about: the Renaissance Mind. I am just as passionate about entrepreneurship, technology, and business, as I am about art and culture. In this series, I will typically publish a piece of art – one of my paintings – and I request you to spend a minute or two deeply meditating on it. I urge you to watch your feelings, thoughts, reactions to the piece, and write what comes to you, what thoughts it triggers, in the dialog area. Let us see what stimulation this interaction yields. For today – Slopes II
Slopes II | Sramana Mitra, 2022 | Watercolor, Pastel, Ink | 8 x 8, On Paper
I’m publishing this series on LinkedIn called Colors to explore a topic that I care deeply about: the Renaissance Mind. I am just as passionate about entrepreneurship, technology, and business, as I am about art and culture. In this series, I will typically publish a piece of art – one of my paintings – and I request you to spend a minute or two deeply meditating on it. I urge you to watch your feelings, thoughts, reactions to the piece, and write what comes to you, what thoughts it triggers, in the dialog area. Let us see what stimulation this interaction yields. For today – Slopes I
Slopes I | Sramana Mitra, 2022 | Watercolor, Pastel, Ink | 8 x 8, On Paper