Byte-Sized AI is a bi-weekly column that covers all things artificial intelligence—from startup funding, to newly inked partnerships, to just-launched, AI-powered capabilities from major retailers, software providers and supply chain players.
ASOS and Microsoft team up for internal AI
Gen Z favorite ASOS has inked a three-year deal with technology behemoth Microsoft, aimed at upping internal adoption of artificial intelligence—and, in particular, generative AI.
The company has been using Microsoft’s AI systems, like Copilot and Github, since 2023.
But the company has long used other pieces of Microsoft technology, like Azure. Earlier this year, it began pilot testing a tool it calls AI Stylist, which allows product discoverability to improve with a conversational generative AI system.
Up to this point, ASOS has prioritized using Microsoft technology internally to help engineers write code, but the use cases are expected to broaden out as employees learn more about generative AI. The newly signed partnership is set to last for three years.
Victoria Arden, director of technology operations for ASOS, said the partnership will bring further efficiency to the company and allow its employees a chance to learn along the rapidly evolving technology.
“A core part of our business strategy is driving operational excellence within ASOS—making sure we’re as fast, efficient and effective as we can be, and investing our time and resources in the projects that matter,” Arden said in a statement. “Under this new agreement, we’re helping ASOSers safely experiment with generative AI tools that can remove ‘busy work’ from their day, freeing them up to unlock greater creativity and insights and focus on delighting our customers.”
TikTok’s parent company releases text-to-video tool
ByteDance, TikTok’s parent company, has launched a generative AI tool which creates short-form videos based on text prompts entered by users. The tool, which the company calls Jimeng AI, is not yet attached to TikTok.
However, TikTok may soon adopt the tool Jimeng’s launch in China proves popular among consumers. Already, the video platform has started using AI for search. Earlier this year, TikTok also announced that it would allow influencers and creators to authorize digital doubles of themselves to promote products and partner with brands.
The kind of generative AI needed to make digital doubles happen is often more advanced than more simple text-to-video generation. That in mind, if TikTok’s digital likeness program is targeted primarily at high-profile creators with large followings, a tool like Jimeng AI, which Byte Dance is testing mostly in China, could be a way for TikTok to engage a secondary audience in using generative AI on the platform.
However, the company will need to be wary of users working to create unauthorized deepfakes using its tech; creating and distributing deepfakes will soon be heavily regulated by the EU AI Act in many jurisdictions, and the U.S. Copyright Office has called for federal legislation preventing non-consensual deepfakes. Some states, like Minnesota, have already implemented anti-deepfake laws at the state level.
Macy’s uses AI for post-purchase promos
Macy’s Media Network has started using AI to bolster its retail media strategy. The company announced Thursday it had partnered with Rokt, which uses AI for e-commerce and sales growth. The two companies officially launched their partnership, which uses technology to show targeted ads to consumers, last summer. Now, Macy’s is fully integrating the technology.
The company said using Rokt’s technology allows it to display relevant post-purchase ads and promotions to its audience, which is meant to aid with engagement and placing the right products in front of consumers that might be most inclined to purchase them.
Sometimes, that means the products being served up to a consumer aren’t actually products Macy’s actively sells. According to the company, Rokt enables non-endemic advertising for the retailer, which means that Macy’s can allow other brands and retailers to advertise items that are complementary to items a Macy’s customer has previously bought or viewed.
While that could bring in cash for the retailer’s advertising business, it could also help Macy’s understand the types of products their consumers care about. Michael Krans, vice president, Macy’s Media Network said, so far, the partnership has yielded impressive results.
“Macy’s Media Network has seen increased customer engagement since launching our partnership with Rokt,” Krans said in a statement. “Rokt’s unique AI-powered technology enables us to use our first-party data to provide our customers with high quality, premium offers from non-endemic advertisers post purchase, communicating the right message at the right time, ultimately leading to increased customer engagement.”
HP and Mobile Insight Bring Gen AI to Stores
Technology provider HP and retail solutions provider Mobile Insight have teamed up to meet customers where they are with AI technology.
The two companies Tuesday that they would deploy in-store kiosks, which uses HP’s hardware and generative AI systems from Mobile Insight, to better serve customers. While shopping, people will be able to inquire about in-store items at a kiosk integrated with an AI-powered virtual ambassador, who can answer questions and provide advice in the brand’s voice.
The system is called the Virtual Interactive Brand Ambassador (VIBA) solution, and it comes at a time where many companies have worked to integrate chatbots into online retail experiences to help consumers with product discovery and questions. Bringing that technology into the store could be one way to ensure customers receive a more consistent experience.
Brandon Macaulay, director and head of strategic partnership at Mobile Insight, said the system’s abilities stand to benefit multiple sectors of the retail industry.
“Customers can now walk up to any kiosk and ask it anything about products, projects or even DIY advice. This collaboration brings our AI-driven retail solutions to life in an easy and interactive way. It’s not just about providing information to customers—it’s about offering personalized guidance that enhances their whole shopping journey.”
Mobile Insight said it has started piloting with a few retailers, though did not disclose which companies had begun using the VIBA solution. Based on the pilot results, Mobile Insight plans to improve and increase the capabilities of the chatbot to further benefit both customers and associates.