When we think of technological revolutions, Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) invariably springs to mind. The tech conglomerate formerly known as Google influences the entire digital landscape, starting from a distinct background of online search and advertising.

In this dominant shadow, a new player called SoundHound AI (SOUN 12.60%) is stepping into the light. Known for its expertise in voice-enabled artificial intelligence (AI) solutions, SoundHound AI is following in Alphabet's footsteps in many ways -- while blazing a unique trail of its own.

Currently valued at a small-cap level of around $460 million, SoundHound AI may not look like a contender for Alphabet's massive throne. Yet, the smaller company has a lot in common with the storied Google parent and may one day evolve into a similar cross-industry conglomerate.

Let me show you how.

How SoundHound reminds me of Google

The story of SoundHound AI carries many echoes of Google's early days. The search engine's early days as a school project by Stanford students Larry Page and Sergey Brin are the stuff of Silicon Valley legend. Seven years later, SoundHound AI founder Keyvan Mohajer finished his Ph.D. in electrical engineering at the same school and started working on the Midomi song identification website. This project became the basis of SoundHound, which took off in the smartphone era.

So SoundHound's academic roots are pretty similar to Google's. But wait -- there's more!

  • Each company began with a disruptive idea. Google aimed to organize the world's information, while SoundHound AI set out to redefine voice-enabled AI technologies.
  • Google and SoundHound AI always had plenty of competition, but their advanced technologies often put them head and shoulders above the rest.
  • The core of Google's operations is in analyzing and categorizing data to make it accessible through a user-friendly interface. Guess who else does the same thing but with audio data instead of mostly text? Yep -- that's SoundHound AI.

SoundHound's powerful client list

SoundHound AI is currently building an impressive network of clients and partners.

The customer list so far includes automotive giants such as Stellantis (NYSE: STLA), Honda (NYSE: HMC), and Hyundai (OTC: HYMT.F). Among its partners, you'll find restaurant chains like Krispy Kreme Donuts (NASDAQ: DNUT) and Jersey Mike's Subs, food-service software expert Toast (NYSE: TOST), and payments processing giant Block (NYSE: SQ). Whether you noticed or not, you may have used SoundHound's automated voice control tools at your favorite drive-through window or while telling your car what tunes to play or which temperature to set.

Most small-caps would sell their proverbial mothers for a Rolodex like this one. Like Google before, SoundHound faces several global markets with trillion-dollar annual revenues. It's early days in this company's efforts to make a commercial splash, funded by an initial public offering (IPO) in 2022 and aiming for lofty long-term goals. SoundHound AI's quarterly investor presentations compare the company's market prospects to Google, Amazon (NASDAQ: AMZN), Apple (NASDAQ: AAPL), and Microsoft (NASDAQ: MSFT), concluding that each of these giants offers value for a specific stakeholder group:

  • Microsoft provides value for product creators.
  • Apple adds business value for developers.
  • Amazon's economic value is best for merchants.
  • Google is a valuable platform for advertisers.

... but SoundHound AI, the company contends, delivers unique business value for all four groups. From Stellantis and Honda to Block and Toast, many solid businesses appear to agree.

Ambition meets reality: Assessing SoundHound AI's lofty goals

You might not take SoundHound AI's grand goals at face value. It's ambitious enough to claim similarities to one of the tech giants mentioned above, let alone assert superiority over all four. That being said, I appreciate management's moxie and see real value in SoundHoud AI's AI-driven voice control technology.

Alphabet has been cracking the same nut for years, starting with the now-defunct 1-800-GOOG-411 phone number lookup service. Data gathered from that voice-driven service served as a springboard for the company's future technologies, such as voice searches at Google.com and voice input for Android phones. The 411 tool was shut down in 2010 and Big G never stopped developing better and smarter voice tools.

Yet, 14 years later, SoundHound's eponymous song-identification tool and Houndify voice control platform can do things Google's voice systems can't. Its controls for infotainment systems in cars are often seen as great upgrades from the disappointing alternatives of yesteryear.

This little company is going places. When you start from a tiny market cap of just $466 million, it only takes a microscopic slice of the trillion-dollar markets to send the stock skyrocketing in the long run. SoundHound AI may never become a tech giant of Alphabet's colossal stature, but the company is growing in a hurry after many years of leaving money-making opportunities unexplored.

I can't wait to see where SoundHound AI will go from here, even if it never earns a trillion-dollar market cap and builds a Google-like Houndplex. It's the thought that counts.