IBM has launched watsonx AI Labs in NYC to develop agentic AI solutions and has acquired Seek AI for its expertise. The lab is designed for collaboration between IBM staff and startups, focusing on customer service, supply chains, and cybersecurity. Despite past failures of the Watson brand, IBM reports positive growth from its new AI initiatives, aiming for a revitalization in the AI sector.
IBM made headlines on Monday with the launch of its new venture, watsonx AI Labs, located in the bustling heart of New York City. This new space aims to bring together startups, researchers, and IBM engineers to collaborate and create what the company calls “agentic AI” tools designed for enterprise use. Situated at One Madison, the lab is seen as a vital extension of IBM’s global network of engineering hubs—an attempt to revitalize the Watson brand and take a step forward into AI innovation.
In a move that raised eyebrows, it became clear that IBM is looking to gain expertise from outside its own walls. The tech giant announced its acquisition of Seek AI, a startup specializing in AI agents for enterprises. Founder Sarah Nagy confirmed the purchase via a LinkedIn post, although the details regarding the sale’s amount remain undisclosed. It’s notable that Seek AI had previously garnered $11.7 million in funding from various investors.
The core focus of the Seek AI acquisition appears to be on agentic AI—a concept that allows generative AI models to tackle multiple tasks by integrating with various applications, data sources, and APIs. For instance, Seek’s technology can transform a simple question about corporate data into actionable insights, perhaps creating graphs or funneling data to another program in the process. However, the risks involved in this automation can’t be ignored; more steps mean more chances for something to go wrong.
IBM hopes that the new lab will become a nexus where technology companies can engage directly with their staff and clients, exploring the possibilities of AI in diverse sectors. The firm stated that the facility will prioritize the “co-creation of domain-specific AI solutions,” covering crucial areas like customer service, supply chain optimization, cybersecurity, and even responsible AI governance. That seems like an ambitious agenda!
It’s especially encouraging for the approximately 2,000 AI startups in New York City, who can interact with IBM staff and customers to jointly tackle business challenges using AI. The lab also plans to involve local academic and research institutions, promising support for startups that successfully launch enterprise AI services, including potential technical help and marketing assistance.
But there’s more at play here, particularly in the realm of co-design, where the client collaborates with the vendor to create solutions. This approach shifts financial risks onto clients—though not always to their advantage. The structure of the deals and how things will unfold at watsonx AI Labs remains somewhat unclear as IBM has yet to provide specific details.
Indeed, IBM’s Watson brand, once synonymous with cutting-edge AI, has faced ups and downs since its emergence on the Jeopardy! stage back in 2011. High hopes were dashed by problematic deployments, most notably at the MD Anderson Cancer Center, where an audit found significant governance issues. Those failures contributed to Watson Health’s eventual downfall in early 2022, after negative performance reports and internal documents emerged, showcasing Watson’s reliability issues in cancer treatment.
Now, with a pivot to watsonx, IBM seems to be on a fresh trajectory, and the timing feels right. In recent earnings calls, IBM CFO James Kavanaugh mentioned that the shift is already showing positive results. In fact, about six points of growth in their software division stem from generative AI offerings and the new watsonx platform, suggesting that the company may be finding its footing again in the AI landscape.
In summary, IBM’s acquisition of Seek AI and the launch of watsonx AI Labs signal a strategic shift towards reinvigorating their AI efforts, specifically in developing agentic AI solutions. While they aim to promote collaboration across a spectrum of startups and researchers, the lingering shadows of the Watson brand’s past missteps serve as a cautionary backdrop. However, with positive early results emerging and a focus on domain-specific applications, IBM may just be on its way to a new chapter in enterprise AI.
Original Source: www.theregister.com
