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AI startups celebrate their ARR on LinkedIn – what does a finance professor say?

The AI ​​princes of Germany: Tobias Siwonia, Marius Meiners and Daniel Drabo (Peec AI), Lennard Schmidt (Langdock) and Malte Kosub and Stefan Ostwald (Parloa).

The AI ​​princes of Germany: Tobias Siwonia, Marius Meiners and Daniel Drabo (Peec AI), Lennard Schmidt (Langdock) and Malte Kosub and Stefan Ostwald (Parloa).
Peec AI/ Langdock/ Parloa / Collage: Dominik Schmitt/Gründerszene

In the startup bubble you can’t ignore these three letters: ARR – Annual Recurring Revenue. AI startups regularly celebrate themselves for their new values ​​- some even stick their ARR on an advertising pillar (Marius Meiners from Peec AI, we’re talking about you), others like Langdock founder Lennard Schmidt plaster their LinkedIn with it every minute. Such numbers regularly attract attention – and often also high ratings. But how meaningful is the ARR really?



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