Australia’s AI firm Appen is considering selling a part or all of its business, according to a statement released on Tuesday. Despite not receiving any proposals for a deal so far, the company is open to engaging with potential counterparties.

To address its financial challenges, Appen has implemented a series of cost-saving initiatives over the past two years. This includes replacing its entire executive team and announcing an equity raise of A$30 million on Tuesday. The company also revealed an additional $14 million in cost reduction, bringing its total cost-saving initiatives this year to $60 million.

Despite these efforts, Appen’s revenue and gross profit declined by over 29% and 32% to $223 million and $80 million, respectively, for the 10 months ending Oct. 31, 2023. These financial challenges have driven the company’s willingness to consider a sale or partnership. Appen appears to be taking proactive steps to explore potential opportunities for growth and improve its financial situation.

By Editor

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