C3 AI Product Demo Impresses Analyst As It Migrates To Consumption-Based Model

Needham analyst Mike Cikos reiterated a Hold on C3.ai, Inc AI.
He listened to last week's C3 AI product demo, one of several application-specific webinars the company is hosting to make its products more accessible and explain the technology's value proposition.
On September 2, Cikos downgraded the stock calling its shift toward a consumption model "necessary but time-consuming."
For C3 AI CRM, he was impressed by the volume of data sources the company can ingest to tune and feed Machine-Learning models for use-cases such as Precision Sales Forecasting and Price Optimization.
The magnitude of improvement via C3 AI CRM's predictive analytics is impressive. However, deployment times need to speed up from the current range of 8 weeks to 6-plus months – depending on the customization required.
To this end, C3 AI has articulated its vision of migrating to a Consumption-based model, which aligns with the pricing model for the company's growing strategic Alphabet Inc. GOOG GOOGL Google Cloud relationship.
Also Read: C3.ai Shifts From Subscription To Consumption Model, Analysts Highlight Massive Addressable Market Opportunity
Price Action: AI shares traded lower by 3.49% at $13.54 on the last check Tuesday.

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