Vexoo Labs: Indian Manufacturing MSMEs Find Resilience Against AI ‘Hallucination’

Vexoo Labs, a deep-tech company, argues that most artificial intelligence (AI) systems suffer from a critical flaw known as “hallucination,” leading to factually incorrect outputs. Ajay Kumar, Senior Business Leader at Vexoo, highlights that these unreliable tools are unsuitable for India’s small and medium-sized enterprises (SMEs) in the manufacturing sector. He emphasizes the pressing challenges these industries face, including the complexity of data and the lack of dependable AI solutions, rather than just rising input costs or labor shortages. Kumar points out that while many AI platforms showcase impressive capabilities, they are often built on general-purpose models that compromise accuracy for speed. Vexoo Labs aims to address this by developing a “trustworthy” AI tailored for Tier-II and Tier-III cities, ensuring manufacturers receive clear, correct, and efficient support. Co-Founder Aditya Vardhan stresses that genuine progress towards India’s goal of becoming a $5-trillion economy will rely on reliable, accurate AI solutions.

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