Mode Inc, an AI training startup, has accelerated its expansion by acquiring two consumer applications, bringing its total purchases in the past year to seven. The recent acquisitions include Trimbox, an inbox management tool, and QR Code Reader, a popular scanning app. These moves increase Mode Inc’s monthly active user base to over 100 million, providing the company vast amounts of user data for AI training while offering users compensation in return.
The company’s business model focuses on engaging everyday consumers rather than relying solely on gig workers from pay-per-task platforms. Users contribute diverse data sets such as receipts from major retailers, streaming activity, wearable device data, and potentially photos or handwritten forms. This data plays a crucial role in improving AI systems used in applications ranging from autonomous vehicles to conversational agents developed by leading tech firms.
Founded in 2019 by CEO Dan Novaes, Mode Inc has distributed approximately $1 billion in earnings, savings, and incentives directly to users. Novaes highlighted growing legal concerns over AI companies’ use of online content without explicit permission, noting increased demand for consent-based data collection models. He recounted an example where an AI client sought millions of handwritten documents, such as doctor’s notes or receipts, which Mode Inc facilitated by notifying its user base to submit samples.
Looking ahead, Mode Inc intends to continue scaling through strategic acquisitions of niche apps with sizable user communities. Novaes envisions building a portfolio of hundreds or thousands of apps to reach a billion monthly active users collectively, a strategy he contrasts with launching a single massive app like Telegram or Twitter. Among future projects under consideration is an application offering users the option to share their photo libraries for AI training purposes.
With roughly $80 million raised via crowdfunding, Mode Inc is preparing for a potential public offering within the next two years. Its approach, combining broad consumer participation with compensation and respect for data consent, sets it apart in an AI training ecosystem populated by companies such as Scale AI, Mercor, and Handshake.