If you are looking for an answer to the question What is Artificial Intelligence? and you only have a minute, then here's the definition the Association for the Advancement of Artificial Intelligence offers on its home page: "the scientific understanding of the mechanisms underlying thought and intelligent behavior and their embodiment in machines."
However, if you are fortunate enough to have more than a minute, then please get ready to embark upon an exciting journey exploring AI (but beware, it could last a lifetime) …
AMONG THE MANY EMERGING TRENDS IN THE technology sector, the rise of artificial intelligence (AI) is likely to be one of the most significant over the coming years. AI refers to the ability of machines to perform tasks that would typically be associated with human cognition such as responding to questions, recognizing faces, playing video games or describing objects. Over recent years, AI capability has improved to such an extent that a range of commercial applications are now possible in areas like consumer electronics, industrial automation and online retail. Technology companies of all sizes and in locations all around the world are developing AI-driven products aimed at reducing operating costs, improving decision-making and enhancing consumer services across a range of client industries. And despite a decline in venture capital funding across industries overall in 2016, AI startups raised a record $5 billion globally last year – a 71% annualized growth rate and near-tenfold rise over the 2012 level (see EXHIBIT 1).
Marketing has reached a tipping point This year businesses and brands will spend more on digital advertising than traditional forms. Total digital ad spending in 2017 will equal $77.37 billion, or 38.4% of total ad spending, while TV ad spending will total $72.01 billion, or 35.8% of total media ad spending, according to eMarketer. The fastest growing component of internet ad spend will be social media, which will grow at an average rate of 20% a year globally to 2019 when it will hit $55 billion, according to Zenith. So although programmatic advertising on digital media sites has long been heralded the future, the smart businesses are looking to social. And together with artificial intelligence (AI) it appears set to transform how companies connect with their target markets.
Today's consumers are pickier than ever. They want customized, personalized, and unique products over standardized ones and prefer local, smaller producers over large-scale global manufacturers. Factories, power plants, and manufacturing centers around the world must rely on automation, machine learning, computer vision, and other fields of AI to meet these rising demands and transform the way we make, move, and market things. Since the industrial revolution, factories have been optimized to mass produce a few products rapidly and cheaply to satisfy global demand. "The largest inefficiency that most manufacturers face is inflexibility," says Jim Lawton, Chief Product & Marketing Officer of Rethink Robotics, maker of collaborative industrial robots.
Films dating back as far as 1927 (and perhaps beyond) predicted machine intelligence would be the future. But for as many who saw the vision, there was an equal number who believed the forecast was soundless--how could a machine possibly replicate and surpass the intelligence of the human who created it? Fast-forward to 2017, and we find two things: machine intelligence is here and rising, and it's quite capable of learning at a much faster rate than us. Look no further than search engines, which compile the digital footprints we leave behind, analyze them to better interpret our unique and changing behaviors, then use that information to tailor individual online experiences. With every search we do, the engines grow smarter about its billions of users and how to better accommodate them.
However, during an inspirational Future of Search meeting with the Bing team and Rik van der Kooi, corporate vice president for Microsoft advertising worldwide, discussion focused on a different topic -- how chatbots could form a much greater part of the consumer search experience. Van der Kooi explained that since May in the US (Seattle area), Bing has been testing chatbots directly in paid and organic search results, as shown below. Measurement and reporting will also pose new challenges, as consumers will interact with brands through search results pages rather than on-site. For these brands, the test-and-learn process should not purely focus on search integration but rather how chatbots can be used to enhance consumer experience across owned, earned and paid channels.
"Most people can't afford access to financial advisers," explains Chief Technology Officer Peet Denny. Their technology has learnt from human financial advisers, and gives advice tailored to your data and preferences, which it continually studies. I think we'll go through a phase where we'll see less human interaction, but then the next step has to be that retail creates better customer experiences through human interaction in shop environments." Infosys' study offers a glimmer of hope, in that 80% of companies planning to replace human roles with AI plan to retrain or re-house their displaced employees.
Even without such agreement, researchers know the human brain is capable of performing a broad range of tasks, while today's AI is limited to narrow tasks where computers mind-bending speed and calculating capability provide an edge. The company is incorporating machine learning via artificial intelligence into its data analytics platform for use by both consumers and corporations. Corporate subscribers to the OpenDNA platform have embedded software codes in mobile devices, smartphone apps, and relevant corporate websites, enabling the platform to learn information relevant to the company. The company has added two acquisitions -- JCT Healthcare Pty Ltd and Jemsoft Pty Ltd. JCT provides software and hardware solutions in the healthcare market, offering Xped immediate revenue as well as potential for expanding its technology applications.
Technology companies of all sizes and in locations all around the world are developing AI-driven products aimed at reducing operating costs, improving decision-making and enhancing consumer services across a range of client industries. The sum of these drivers -- new programming techniques, more data and faster chips -- has seen AI converge with human-level performance in the key areas of image classification and speech recognition over recent years (see EXHIBIT 2). Chipmakers stand to benefit from increased demand for processing power, particularly makers of graphical processing units for AI program training. And internet companies with AI at the core of their consumer services (such as digital assistants and new software features) stand to benefit directly from improvements in speech recognition and image classification.
If machines, robots, and technology are to make better, more contextual judgments of human behaviors, the next step is ultimately Emotion AI. Think of it like this – if you bring good to emotion AI, it will bring good to you. Emotion AI services will lose trust, receive negative perceptions and ultimately fail. To capitalize on the use of emotion AI, whether that's in advertising, entertainment, sports & performance or health & well being, it must be done with trust and transparency.
Our society is quickly changing from an industry based society to an information based society. Using algorithms that iteratively learn from data, machine learning allows computers to find hidden insights without being explicitly programmed where to look. Education analytics Machine learning can play a crucial role in education analytics provided the digital data is available ie student marks and bio data. One of our students actually created an application that puts students in different classes (e.g commercials, sciences, arts) based on their strengths.