Machine failures at mines are a big issue. And artificial intelligence might be the way to solve it.
What’s happening:
- Israeli based artificial intelligence company Razor Labs (TA:RZR) has entered into a partnership with a prominent mining company to use their AI technology to prevent machine failure
- The partnership will integrate one of Razor Lab’s flagship products, known as DataMind AI, into mining operations in Australia, South Africa and the United States
How it works:
- DataMind AI uses sensors and cameras to monitor machinery and cross reference all the data it gathers to try to accurately predict future failures or maintenance
- Razor Lab’s then leverages artificial intelligence to build a comprehensive model to better understand when machines are getting close to failure and what early warning signs are typical prior to machine malfunction
Why it matters:
- Machine failures are an enormous risk for human safety in mining operations and artificial intelligence could potentially unlock new predictive capabilities to combat dangerous mechanical issues
By the numbers:
- Razor Labs will deploy over 8,400 unique sensors across 14 different mining locations
- The sensor and camera hardware alone is expected to cost over $9M
- In total, Razor Lab’s will receive approximately $19M to fully develop the new project
Market reaction:
- Shares of Razor Lab’s rocketed up over +300% on the announcement of their significant new partnership
The intrigue:
- Mining giants such as Glencore and Newmont are already using Razor Lab’s artificial intelligence technology for their own operations
