Stradigi AI, one of the leaders of the Quebec sector of artificial intelligence (AI), is fighting for its survival, learned Le Journal< /strong>.
The young Quebec company laid off almost all of its employees on Monday, i.e. 50 people.
Basil Bouraropoulos, CEO and co-founder of Stradigi, confirmed the information yesterday without wanting to say more. The company recently failed to obtain the necessary funds to continue its activities, but is still trying to convince investors to open their pockets.
Over $13M in IQ
In 2019, Stradigi AI had raised $53 million from Investissement Québec and the Fonds de solidarité FTQ, which had staked $13.2 million each, as well as from the firm Holdun, owned by the descendants of Montreal tycoon Herbert Samuel Holt, the American rapper will.i.am, advertising agency Cossette and Lester Fernandes, co-founder of Nuvei.
“We will follow the situation of Stradigi AI closely and Investissement Québec will help the employees who have been laid off in their transition. It is important to continue to support companies in artificial intelligence,” reacted Mathieu St-Amand, spokesperson for the Minister of Economy and Innovation, Pierre Fitzgibbon.
“Under the circumstances there are no plans to reinvest” in Stradigi, he added.
“We are obviously disappointed by the turn of events, especially for those laid off,” commented Patrick McQuilken, spokesperson for the Fonds FTQ. However, he assured that the institution retains “confidence in the future of the Montreal artificial intelligence industry”.
The suspension of Stradigi AI's activities is another blow for the Quebec sector of AI. At the end of 2020, Stradigi's main rival, Element AI, was sold to the American company ServiceNow for around 230 million US dollars.
Several young companies are currently feeling the effects of the fall in the markets, which has been particularly pronounced in the technology sector.
Katrine Johns has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining The Gal Post, Katrine Johns worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my firstname.lastname@example.org 1-800-268-7128