The general AI hype isn’t benefiting all startups, as seen in Metropolis’s acquisition of Oosto (formerly AnyVision), a computer vision company, in an all-stock deal valued at $125 million—significantly less than the $380 million it raised over its lifetime. Oosto, known for controversial surveillance technology, struggled with bad publicity, layoffs, and revenue stagnation, generating around $20 million annually. The acquisition allows Metropolis, an AI-powered parking platform managing $5 billion in annual payments, to integrate Oosto’s technology for enhancing parking and checkout-free payment systems. Despite geopolitical challenges and past controversies, the deal aligns with Metropolis's focus on computer vision in parking environments. The rise and fall of Oosto serve as a cautionary tale for AI startups relying heavily on funding without achieving sustainable profits. Continue here.
