Appen launches cost-cutting plan as earnings drop, expands into generative AI

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Appen launches cost-cutting plan as earnings drop, expands into generative AI
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Appen Ltd on Wednesday flagged a soft start to the year due to unfavourable economic conditions, although the Australian AI training provider expects to be profitable by the end of 2023 on the back of its cost-saving and diversification measures.

Appen, one of the world's largest AI training providers, announced on Wednesday a raft of cost-saving initiatives expected to deliver annualised cost savings of about $36 million in fiscal 2024.

"Going forward, costs will be managed in line with the revenue opportunity and market conditions," it said in a statement. It further launched a set of data products and services in a push to diversify its revenue by tapping into the hot generative AI market, on the back of its

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