The Story Behind Favoriot – Part 5: Finding the Right Product Market Fit (PMF)

The Struggles No One Sees

I still remember how challenging it was to secure our first ten customers. Ironically, even though we initially offered the Favoriot Platform for free, it wasn’t easy to attract interest. Free should be irresistible, right? But it wasn’t.

I often sat at my desk, staring at my laptop late into the night, asking myself questions that gnawed at my confidence:

“Is all this effort going to be in vain?”
“What if the market doesn’t embrace the product we’ve poured our hearts into?”

These thoughts weren’t fleeting. They lingered, casting shadows over my team’s tireless days and nights dedicated to building Favoriot. I knew I couldn’t let them down. Their belief in this mission was unwavering, and as their leader, failure felt personal.

The Search for Traction

Market traction — a simple phrase with monumental weight. For startups, it’s the lifeline. Without it, even the most brilliant products fade into obscurity.

Our first strategy was to target individuals—university students, freelancers, and tech enthusiasts. I thought, “Surely, they’d be eager to experiment with our platform.” But reality hit hard. The response was underwhelming, to say the least.

So, we pivoted. “Maybe university lecturers will see the value,” I thought. They supervise students working on IoT projects; surely, Favoriot could be an asset in their toolkit.

Again, disappointment. The traction we hoped for didn’t materialize. That nagging anxiety crept back in. “What else can we do?” I kept asking myself.

Shifting Focus: From Individuals to Enterprises

Determined not to give up, we shifted our strategy. Instead of individuals, we approached companies and organizations directly. Businesses must see the potential, right?

Wrong.

Another hurdle emerged — most companies didn’t know how to utilize the platform effectively. It was as if we were speaking a language they hadn’t learned yet. “Are we too early to the market?” I wondered. Maybe the IoT landscape wasn’t mature enough in Malaysia at that time.

In the startup world, there’s a term: Product-Market Fit (PMF). It’s the sweet spot where your product perfectly aligns with market needs. Without PMF, even the best ideas crumble.

I knew this. And the pressure was immense.

The Breakthrough: Finding Our True Customers

But giving up wasn’t an option. We kept refining our approach, learning from every failed pitch and cold response.

Eventually, the breakthrough came.

We discovered that IoT System Integrators were our ideal customers. These were companies and individuals already offering IoT solutions to their clients. They didn’t just understand the value of our platform; they needed it to build scalable, customized IoT applications.

It felt like finding the missing piece of a puzzle. Suddenly, the conversations flowed more naturally, the demonstrations clicked, and the value proposition was crystal clear.

Tailoring the Offering: Cloud vs. Enterprise Models

With clarity came strategy. We introduced two models for the Favoriot Platform:

  1. Cloud-Based Model
    • Perfect for customers seeking flexibility and remote accessibility.
  2. Enterprise-Based Model
    • Designed for System Integrators wanting full control over their platforms, this model comes with a perpetual license and unlimited API access, eliminating the worry of high API costs that platforms like AWS or Azure often impose.

This dual approach worked. Favoriot finally carved out its space in the IoT ecosystem.

A Glimpse of Relief, A Promise to Evolve

I’d be lying if I said I didn’t feel relieved. But this wasn’t the finish line — far from it. The tech landscape evolves rapidly, and staying relevant requires continuous innovation.

Yet, this breakthrough gave me something invaluable: confidence. I felt confident that Favoriot had a future and that our journey, filled with detours and lessons, was leading somewhere meaningful.

What’s Next?

This isn’t the end of the story. Not even close.

In the next part, I’ll share how we expanded our customer base, the unexpected sectors that embraced Favoriot, and the strategies we used to win their hearts.

So, stay with me on this journey. Every step we take has a story—a story that might inspire those who are walking the challenging path of building something from nothing.

See you in the next chapter.

More Stories About Entrepreneurship

  1. The Story Behind Favoriot – Part 6: Expanding The Business Models
  2. The Story Behind Favoriot – Part 5: Finding the Right Fit
  3. The Story Behind Favoriot – Part 4: How Favoriot Became More Than Just an IoT Platform
  4. The Story Behind Favoriot – Part 3: Why No One Wanted Our IoT Platform—And How We Turned It Around
  5. The Story Behind Favoriot – Part 2: Turning Failures into Milestones
  6. The Story Behind Favoriot – Part I: The Humble Beginnings of Favoriot
  7. Building My Personal Brand: The Stepping Stone to Favoriot’s Success
  8. From Research Lab Critiques to Startup Pitches: My Slide Story
  9. The Illusion of RFPs in the IoT World: Managing Expectations as a Startup
  10. Favoriot’s Odyssey: Navigating the Rough Waters of Early Revenue

How AI Democratization by Alibaba is Changing the World—And Why It Matters to You

Artificial intelligence felt like it belonged only to big tech companies for years—something out of reach for the average developer, startup, or business. If you didn’t have millions in funding, good luck getting access to advanced AI models. But that’s starting to change, and one of the most significant moves in AI democratization is coming from an unexpected player: Alibaba.

AI for Everyone, Not Just the Tech Giants

Recently, Alibaba’s Qwen 2.5-Max has been making waves. This AI model has been outperforming DeepSeek-V3, which was once seen as one of the strongest players in the field. While DeepSeek is struggling with issues like cost-cutting and sustainability, Alibaba is doubling down on AI, and investors are taking notice.

But the real story here isn’t just about market competition—it’s about who gets access to AI. Instead of keeping Qwen locked up behind a paywall, Alibaba did something bold: they made it open-source. That means anyone—from solo developers to small businesses—can use, modify, and build on top of Qwen’s technology for free.

This is a big deal.

Why Open AI Matters to You

Imagine trying to build a house, but the best tools and materials are only available to a few rich contractors. That’s what AI has felt like for a long time—unless you were Google, Microsoft, or OpenAI, you were stuck using whatever basic tools were available.

Alibaba is changing that. They’ve released over 100 models from the Qwen 2.5 family, allowing people all over the world to build AI-powered applications. Whether you’re working on a smart farming system, a chatbot for customer service, or an AI-driven medical assistant, you now have access to tools that were once only available to billion-dollar companies.

AI That Speaks Your Language

Here’s something even more impressive: Qwen supports 29 languages.

Most AI models are designed with English speakers in mind. If your native language is Malay, Tamil, Arabic, or Swahili, you often have to struggle with AI that doesn’t understand cultural nuances or local dialects.

Alibaba is breaking down that barrier by ensuring AI works for more people, in more parts of the world. This is especially important for businesses and communities that have been left behind in the AI boom. Now, a small startup in Malaysia or a research team in Nigeria can build AI-powered solutions tailored to their own markets—without being forced to work in English.

The Real Meaning of AI Democratization

So, what does AI democratization actually mean? It means leveling the playing field. It means that AI isn’t just a tool for the rich and powerful—it’s something everyone can use.

Alibaba’s move with Qwen is a clear sign that we’re entering a new era. No longer is AI something that’s locked away in Silicon Valley. Instead, it’s becoming a tool that developers, businesses, and creators from all over the world can use to solve real problems.

What’s Next?

The question now is: Will other big tech companies follow Alibaba’s lead?

Will they keep their AI models behind closed doors, available only to those who can afford them? Or will they embrace the idea that AI should be accessible to all?

Whatever happens next, one thing is clear: AI is no longer just for the elite. It’s for you, me, and everyone who dares to dream big and build something new.

And that’s a future worth getting excited.

More AI Stories

  1. Who Will Lead the AI Race? Alibaba, DeepSeek, or OpenAI?
  2. How AI Democratization by Alibaba is Changing the World—And Why It Matters to You
  3. ChatGPT, CoPilot, Gemini, Grok, Perplexity, Claude & DeepSeek: Which One Should You Choose?
  4. Why Building AI and IoT Products Locally Can Save a Country
  5. Why IoT and AI Are the Backbone of a Nation’s Technological Sovereignty
  6. Top AI Tools for 2025: Boosting Efficiency Across Various Domains
  7. DeepSeek vs NVDIA: How China Build Their AI Sovereignty

ChatGPT, CoPilot, Gemini, Grok, Perplexity, Claude & DeepSeek: Which One Should You Choose?

Here’s a breakdown of the main features to help you decide which AI tool suits your needs:

1️⃣ ChatGPT (OpenAI)

✅ Versatile and reliable: Perfect for writing tasks, explaining technical concepts, and generating or debugging code.

✅ Supports multiple languages: Works well even in non-English languages, including Malay.

✅ Developer-friendly: Offers a stable API, making it ideal for building applications with AI capabilities.

❌ Paid plans for heavy use: A subscription is required to unlock more advanced features or handle large-scale tasks.

2️⃣ Gemini (Google, formerly Bard)

✅ Live search integration: It’s directly connected to Google Search, making it great for delivering the most up-to-date information.

✅ Fact-focused: Excels at answering general knowledge questions and providing factual details.

❌ Context sensitivity can be inconsistent: Sometimes, struggles to grasp complex or nuanced questions fully.

3️⃣ CoPilot (Microsoft, powered by GPT-4 Turbo)

✅ Productivity-focused: Fully integrated with Microsoft Office tools like Word and Excel, making it a powerful assistant for work-related tasks.

✅ Seamless Windows integration: An excellent choice for Windows users who need AI within their workflow.

❌ Access requirements: You’ll need a Microsoft account; in some cases, access may be restricted to specific users or organisations.

4️⃣ Grok (X, by Elon Musk)

✅ Social media-savvy: Specially designed for users of X (formerly Twitter), offering features to analyse and follow social media trends.

✅ Trend-aware: Focuses on staying current with the latest online conversations.

❌ Still evolving: As a relatively new tool, it lacks the maturity and extensive testing of more established platforms.

5️⃣ DeepSeek AI

✅ Specialist in technical fields: Excellent for research, coding, and solving complex mathematical problems.

✅ Completely free: A budget-friendly option for students, researchers, or anyone exploring technical AI applications.

❌ Limited advanced features: Compared to tools like ChatGPT or Gemini, it doesn’t offer comprehensive capabilities or integrations yet.

6️⃣ Perplexity AI

✅ Great for fact-checking: It can reference the internet in real-time, making it highly effective for quick research or verifying information.

✅ Focused research tool: Handy for researching specific topics and finding credible sources.

❌ Can lack deeper understanding: Tends to compile data rather than analyse or interpret it meaningfully.

7️⃣ Claude (Anthropic)

✅ Contextually intelligent: Known for its ability to generate high-quality text and clearly understand the context in conversations.

✅ Safe and ethical: Less prone to producing harmful, biased, or inaccurate content, making it a reliable option.

❌ Less recognition locally: Not as widely known or used in Malaysia, though its features are robust and competitive.

How to Choose the Right AI for Your Needs

  •  For writing, coding, or creative projects, → Go for ChatGPT or Claude for their depth and versatility.
  •  If you need real-time information or up-to-date research, → Consider Gemini or Perplexity.
  •  To boost productivity at work with office tools, → Use CoPilot, which works seamlessly with Microsoft applications.
  •  Social media enthusiasts → Try Grok, designed to help navigate trends on X (Twitter).
  •  For technical problem-solving or coding on a budget, → Choose DeepSeek AI.

Each tool has unique strengths, so the choice depends on your specific use case and preferences.

Why Building AI and IoT Products Locally Can Save a Country

The appearance of DeepSeek, which shook the world, taught us an important lesson — technology sovereignty.

Have you ever wondered why some countries have more control over their technology and future? It’s not magic.

They’ve invested time and effort in developing their technologies, especially in Artificial Intelligence (AI) and the Internet of Things (IoT).

These two areas are no longer just fancy buzzwords – they are the backbone of modern nations.

Let me explain why building these technologies locally is essential and could be a real game-changer for any country.

Keeping Our Data Safe

Think about how much data is collected daily – from your smartwatches, smartphones, traffic cameras, and building sensors. All of this data tells a story about us, about our country.

If this data goes to foreign companies, they control it, not us. That’s scary, right?

When we build AI and IoT products locally, we keep our data within our borders. We don’t have to rely on someone else to store or protect it.

This means we reduce the chances of our information falling into the wrong hands. It’s like having your valuables locked in your safe rather than someone else’s.

Protecting Our Security

Imagine if someone could hack into your country’s power grid or water supply.

What happens then? Chaos.

That’s why it’s essential to have secure technologies. When we depend on foreign-made systems, we give our critical infrastructure to them.

Local AI and IoT solutions can protect public transportation, hospitals, and defence systems. It’s like building a strong fortress – we control who gets in and out.

Creating Jobs and Boosting the Economy

Here’s the fun part – when we make our own AI and IoT products, we create jobs.

Think about all the engineers, researchers, factory workers, and even marketers involved in these projects.

Big companies like Google invest billions in countries like Malaysia to help build these technologies locally.

Google’s recent investment is expected to create over 26,000 jobs in Malaysia alone. Imagine what we can do if we take the lead ourselves!

Making Technology That Fits Us

Sometimes imported technology doesn’t work well for us because it wasn’t designed with our needs in mind.

For example, an IoT system designed for a cold country might not work perfectly in Malaysia’s tropical climate, or an AI chatbot might not understand our local languages or culture.

When we create our products, we can ensure they are right for us. We can design innovative farming tools for our crops, smart city systems for our traffic, and AI systems that understand Malay and other local languages.

Staying Strong During Global Tensions

Let’s be honest – the world is full of political tensions. Trade wars and sanctions can disrupt access to foreign technologies. I

f we rely too much on others, what happens when they suddenly pull the plug?

By building our own AI and IoT, we ensure that our systems continue running no matter what happens in the rest of the world. It’s like growing your food instead of relying on someone else’s farm.

Saving Money in the Long Run

When we use foreign technologies, we often have to pay licensing fees or deal with high costs.

Local solutions cut out the middleman, making things cheaper for businesses and citizens.

Plus, the money stays in the country, helping our economy grow further.

Empowering Our People

One of the most inspiring parts of building local technologies is how they empower our people. It gives our youth opportunities to work on cutting-edge projects without having to leave the country.

It also encourages entrepreneurship, where anyone with a good idea can start their own business.

We’ve seen how tech-savvy countries like China and India are building their systems and becoming global leaders.

Why can’t we do the same? We have the talent; we need the vision and support.

Keeping Control Over Our Culture

AI and IoT shape how we live, work, and even think. If these technologies come from other countries, they might not reflect our values and culture.

Building our systems means ensuring they align with what’s important to us as a nation.

For example, we can develop AI systems that promote our local heritage, preserve our languages, and respect our cultural norms.

It’s about staying true to who we are while moving forward.

A Future We Control

Building AI and IoT products locally is about one thing – control. It’s about taking charge of our future rather than leaving it in someone else’s hands. It’s about ensuring that our technology serves us and not vice versa.

Countries like Malaysia are already taking steps in this direction with investments in AI parks and national AI offices. But this is just the beginning. With the right mindset, resources, and determination, we can become leaders in this space.

So, the next time someone asks why local AI and IoT matter, remember – it’s not just about technology.

It’s about independence, security, and building a future we can be proud of.