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This is an abridged version of the final response we submitted to the UK Government request for evidence on Artificial Intelligence. (The numbering is based on the questions we decided we could answer best).
1. a) What is the current state of artificial intelligence? There are currently no ‘true’ Artificial Intelligence (A.I.) systems. There are ad-hoc ‘learning’ systems, let’s call them narrow A.I. systems.
Defining A.I. The literature abounds with definitions of A.I. and human intelligence although very little consensus has been reached to date. Our comprehensive research of A.I. practitioners worldwide, Research Survey: Defining (machine) Intelligence (Lewis & Monett, 2017), which has collected over 400 responses, has identified considerable interest in identifying a well defined definition and goal of A.I. We hope that the results of our survey help to overcome a fundamental flaw: “That artificial intelligence lacks a stable, consensus definition or instantiation complicates efforts to develop an appropriate policy infrastructure” (Calo, 2017).
The goal of A.I., closely linked to its definition and highlighted in our survey, should ensure the ‘why’ of Artificial Intelligence; however, very few research papers provide a robust goal with society-in-the-loop. We agree with Hutter (2005): “The goal of A.I. systems should be to be useful to humans.” Or as Norbert Wiener wrote in 1960, “We had better be quite sure that the purpose put into the machine is the purpose which we really desire” (Wiener, 1960).
Whilst there are breakthroughs in narrow A.I. systems that can ‘simulate’ and surpass certain ‘individual’ aspects of human intelligence (for example, specific elements of pattern recognition, quicker at search, calculations, data analysis, and other cognitive attributes), A.I. development is currently some way off from achieving the goal of fully replicating human intelligence. However, the narrow A.I. methods, which are more specifically fields of A.I. research, are making considerable progress as stand alone techniques, namely Machine Learning (ML) and classes of ML algorithms such as Deep Learning (DL), Reinforcement Learning (RL), and Deep Reinforcement Learning (DRL).
Researchers acknowledge that the methodology applied in narrow A.I. systems can be unstable (Mnih et al., 2015). Nevertheless, these A.I. sub-domains are already starting to have considerable economic and social effect, as we outline below, and this impact will accelerate in the near future. Briefly:
- Machine Learning: Whereas the vast majority of computer programs are hand-coded by humans, Machine Learning algorithms are capable of ‘self-learning,’ improving computability on a specific task against key performance metrics, and enhance output through experience.
- Deep Learning: The key aspect of deep learning is that its features are not designed by human engineers. Instead, “they are learned from data using a general-purpose learning procedure” (LeCun, Bengio & Hinton, 2015). Deep Learning is defined by the same authors as “computational models that are composed of multiple processing layers to learn representations of data with multiple levels of abstraction. Deep learning discovers intricate structure in large data sets by using the backpropagation algorithm to indicate how a machine should change its internal parameters that are used to compute the representation in each layer from the representation in the previous layer.”
- Reinforcement Learning: An algorithm which learns to control and predict data. The algorithms are reward and goal orientated: “Reinforcement learning is learning what to do –how to map situations to actions– so as to maximize a numerical reward signal. The learner is not told which actions to take, as in most forms of machine learning, but instead must discover which actions yield the most reward by trying them” (Sutton & Barto, 2012). See also below for Deep Reinforcement Learning.
Machine Learning: The most prevalent of these narrow A.I. sub-domains, in an operational context, is Machine Learning. ML algorithm can be either supervised, unsupervised or semi-supervised. The majority of current ML implementations are supervised learning. In supervised learning, the idea is we (humans) teach the computer how to do something. In unsupervised learning the machine learns by itself (Samuel, 1959).
ML systems are being used to help make decisions both large and small in almost all aspects of our lives, whether they involve simple tasks like dispensing money from ATM’s, recommendations for buying books or which movies to watch, email spam filtering, purchasing travel arrangements and insurance policies, to more objective matters like the prognosis of credit rating in loan approval decisions, and even life-altering decisions such as health diagnosis and court sentencing guidelines after a criminal conviction.
Systems utilizing ML information processing techniques are used for profiling individuals by law enforcement agencies, military drones, and other semi-autonomous surveillance applications. They capture information in our smart phones on our daily activities, from exercise and GPS data that tracks our location in real time, to emailing and social media interests and telephone calls. They are increasingly used in our cars and our homes. They are used to manage nuclear reactors and for managing demand across electricity grids, improving energy efficiency, and generally boosting productivity in the business environment.
Deep Learning: Deep learning is emerging as a primary machine learning approach for important, challenging problems such as image classification and speech recognition. Deep Learning methods have dramatically improved machine capabilities in speech recognition, approaching human-level performance on some object recognition benchmarks (He et al., 2016) and object detection (Ba, Mnih, & Kavukcuoglu, 2015). Which can also be very useful for self-driving cars and in many other domains where big data is available such as drug discovery and genomics (Nguyen et al., 2016).
Advances in Deep Learning will have broad implications for consumer and business products that can be significantly augmented by speech recognition. “Deep learning is becoming a mainstream technology for speech recognition at industrial scale” (Deng et al., 2013). This is particularly prevalent in telemarketing, tech help support desks (Vinyals & Le, 2015), and mobile personal assistants such as Apple’s Siri, Microsoft’s Cortana, Google Now, and Amazon Echo. Deep Learning is also being used for negotiations with other chatbots or people (Lewis et al., 2017).
Reinforcement Learning: Reinforcement Learning has gradually become one of the most active research areas in Machine Learning, Artificial Intelligence, and neural network research (Sutton & Barto, 2012). An RL agent interacts with its environment and, upon observing the consequences of its actions, can learn to alter its own behaviour in response to rewards received (Arulkumaran et al., 2017).
Within health, RL is being used for classifying gene-expression patterns from leukaemia patients into subtypes by clinical outcome (Ghahramani, 2015). These models have also contributed to massive savings at multiple Google Data Centers by helping to produce a 40% reduction in energy used for cooling and 15% reduction in overall energy overhead (Evans & Gao, 2016). Other typical examples of uses might include detecting pedestrians in images taken from an autonomous vehicle. As shown in (Shalev-Shwartz, Shammah, & Shashua, 2016), RL is proving to be especially effective in the development of self-driving cars which requires many capabilities such as sensing, vision, mapping, knowledge of driving policies, and regulations.
In robotics, RL is making progress in other seemingly simple tasks such as screwing a cap onto a bottle (Levine et al., 2016) or door opening (Chebotar, 2017).
A well-known successful example of RL is from the Google owned company DeepMind, specifically their AlphaGo, which defeated the human world champion in the game of Go. AlphaGo was comprised of neural networks that were trained using supervised and reinforcement learning in combination with a traditional heuristic search algorithm (Silver et al., 2016).
Deep Reinforcement Learning: One of the driving forces behind Deep Reinforcement Learning is the vision of creating systems that are capable of learning how to adapt in the real world. Further, researchers consider that “DRL will be an important component in constructing general AI systems” (Arulkumaran et al., 2017). As was shown through a single DRL architecture “in a range of different environments with only very minimal prior knowledge” (Mnih et al., 2015).
To date, DRL has been most prevalent in games (Mnih et al., 2013); however, recent development have shown that DRL algorithms have by “far the most complex behaviors yet learned” in a machine algorithm (Christiano et al., 2017).
- b) What factors have contributed to this? Historically, developments in A.I. were driven by government investment in research and development within academia and other research institutes. Whilst governments around the world still make large investments into A.I. research, recent major advances have largely been driven by significant investments by leading technology companies relying on techniques that were previously developed through government and other institutions investment.
Furthermore, computing power has increased dramatically. Meanwhile, the growth of the Internet and social media in the last 10 years has provided opportunities to collect, store, and share large amounts of data. Many leading technology companies are amassing huge amounts of ‘Big Data,’ supported in part by cloud computing resources. These companies have invested heavily in A.I. technologies and further seek to develop A.I. techniques to ensure a competitive advantage.
Another major factor is open access of scientific inventions and research in general –sites such as arXiv, provide immediate online publication of research papers, conference proceedings, etc. Additionally, open source frameworks and libraries for the development of ML algorithms have put opportunities for development into the hands of millions, thereby profiting from the advantages of cloud computing and parallel processing on GPUs. Examples include TensorFlow, Theano, CNTK, MXNet, and Keras. They implement model architectures and algorithms for methods, especially deep learning that can be run by calling functions without the need to implement them from scratch nor locally.
c) How is it likely to develop over the next 5, 10 and 20 years. There are several recent surveys of experts opinions on when A.I. will be available and their impact on the workplace. Many uncertainties exist concerning future developments of machine intelligence, one should therefore not consider the ‘expert view’ to be predictive of likely ten and twenty year scenarios.
d) What factors, technical or societal, will accelerate or hinder this development? There are some obvious factors such as a slow-down in investment which would impact research and development and education, creating another ‘A.I. winter’ and skills gap. Other factors such as global instability and government policy, may all hinder the development of A.I
Although the particular narrow A.I. models we outlined above already demonstrate aspects of intelligent abilities in narrow and limited domains, at this point they do not represent a unified model of intelligence and there is much work to be done before true A.I. is ‘amongst us.’
Further, technically there are still many factors that make narrow A.I unstable. Additionally there are technological challenges to overcome such as the curse of dimensionality –Richard Bellman (1957) asserted that high dimensionality of data is a fundamental hurdle in many science and engineering applications. He coined this phenomenon the curse of dimensionality, although recent developments in DRL have made some progress in addressing the curse of dimensionality (Bengio, Courville, & Vincent, 2013; Kulkarni et al., 2016). There are also many safety challenges to overcome such as security, data privacy (see for example (DeepMind, 2017)) and other technological problems still requiring breakthroughs.
Other advances will accelerate A. I. such as Facebook CommaAI (Baroni et al., 2017) and their A.I. roadmap (Mikolov, Joulin, & Baroni, 2015). Together with closer cooperation with Neuroscience and A.I. developers (Hassabis et al., 2017). We also believe the following papers will contribute to the acceleration of narrow A.I. solutions for mainstream uses beyond games and social media analytics: (Kalchbrenner, Danihelka, & Graves, 2015; Lake et al., 2016; Mnih et al., 2015).
2. We recommend the committee consider the findings in the paper by leading A.I. researchers at Microsoft, Ethan Fast and Eric Horvitz, Long-Term Trends in the Public Perception of Artificial Intelligence (Fast & Horvitz, 2017).
3. It is our belief that the goal of A.I must be to support humanity. At the present time it is difficult to predict the short term extent with which A.I. will impact on social and economic institutions but in the long term it could have a major negative consequence the social and economic effects of which could be severe for millions of people. In this case, according to a report to the US President of the United States (Furman et al., 2016), “Aggressive policy action will be needed to help (those) who are disadvantaged by these changes and to ensure that the enormous benefits of AI and automation are developed by and available to all.”
Other commentators such as Andrew Haldane (2015), Chief Economist at the Bank of England, believe it is clear that the introduction of AI machines and more advanced robotics could see a technological change and thus social and economic changes far larger than at any time in human history with massive unemployment of unprecedented scales.
Conversely, machines have been substituting human labor for centuries; yet, historically, technological changes have been associated with productivity growth and expanding rather than contracting total employment and with raising earnings. Research showed that factories that have implemented industrial robots also added over 1.25 million new jobs from 2009 to 2015 (Lewis, 2015).
The challenge for policymakers will be to update, strengthen, and adapt policies to respond to the social and economic effects of A.I. We have created an agenda with key research goals to ensure the development and the outcomes of A.I. and Artificial General Intelligence (AGI) are aligned with the social and economic advancement of all humanity, and how best to close those social and economic gaps through beneficial AI and AGI development.
4. Overall we believe that whilst some large corporations and their shareholders will benefit from the gains of A.I. the potential for artificial intelligence to enhance people’s quality of life in areas including education, transportation, and healthcare is vast. However, we are willing to offer our expertise to the committee so that government, policy makers, and researchers collaborate to develop and champion methodology “for wealth creation in which everyone should be entitled to a portion of the world’s A.I. produced treasures” (Stone et al., 2016).
5. Our research shows that theories of intelligence and the goal of A.I. have been the source of much confusion both within the field and among the general public. To help rectify this we are conducting a research survey: Defining (machine) Intelligence (Lewis & Monett, 2017).
The research survey on definitions of machine and human intelligence is still accepting responses and has an ongoing invitation procedure. However, we are incredibly surprised by the volume of responses together with the high level of comments, opinions, and recommendations concerning the definitions of machine and human intelligence that experts around the world have shared. As of September 6, 2017 we have collected more than 400 responses.
A.I. has a perception problem in the mainstream media even though many researchers indicate that supporting humanity must be the goal of AI. By clarifying the known definitions of intelligence and research goals of Machine Intelligence this should help us and other A.I. practitioners spread a stronger, more coherent message, to the mainstream media, policymakers, and the general public to help dispel myths about A.I.
6. We recommend the committee consider the findings projected through to 2030 in the report, The One Hundred Year Study on Artificial Intelligence (Stone et al., 2016), especially the sections on transportation, healthcare, education, low-resource communities, and public safety and security.
8. Human intellect is the source of many of its own problems. Errors in thinking and biases, which have grown powerful over time, are also showing up in the intelligent machines we program and may become even more prevalent in machines programmed with Artificial Intelligence.
Machines can no more do ethics than they can have psychological breakdowns. They can help to change circumstances, but they cannot reflect on their value or morality. It is the human element and bias that must be considered above all else.
9. For an ‘unbiased’ view see paper by Adrian Weller (2017) where he states “a brief survey, suggesting challenges and related concerns. We highlight and review settings where transparency may cause harm, discussing connections across privacy, multi-agent game theory, economics, fairness and trust.”
The role of the Government
- Key questions which governments and policy makers should be addressing are:
- How do we mitigate the uncertainty and likelihood of massive unemployment?
- What impact have A.I. systems and robots had in industrial factories? Have companies that employed robots, increased or decreased human employment?
- What new skills have been required as robots enter the workplace?
- Which new laws or modifications to laws will need to be implemented to mitigate risk and monitoring of A.I. and A.G.I.?
- Monitor and provide reporting on emerging technology policy, with a focus on artificial intelligence and automation.
- Provide research input into FLI’s Asilomar long-term issues (Asilomar AI Principles, 2017) with particular focus on: “23) Common Good: Superintelligence should only be developed in the service of widely shared ethical ideals, and for the benefit of all humanity rather than one state or organization.”
Dr. Colin W. P. Lewis, A.I. Research Scientist
Prof. Dr. Dagmar Monett, A.I. Research Scientist (AGISI & Berlin School of Economics and Law)
Arulkumaran, K. et al. (2017). A Brief Survey of Deep Reinforcement Learning. CoRR, abs/1708.05866, https://arxiv.org/abs/1708.0586.
Asilomar AI Principles (2017). Future of Life Institute, https://futureoflife.org/ai-principle.
Ba, J. L., Mnih, V., and Kavukcuoglu, K. (2015). Multiple Object Recognition with Visual Attention. CoRR, abs/1412.7755, https://arxiv.org/abs/1412.7755.
Baroni, M. et al. (2017). CommAI: Evaluating the first steps towards a useful general AI. CoRR, abs/1701.08954, https://arxiv.org/abs/1701.08954.
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Calo, R. (2017). Artificial Intelligence Policy: A Roadmap, https://ssrn.com/abstract=301535.
Chebotar, Y. et al. (2017). Path integral guided policy search. CoRR, abs/1610.00529, https://arxiv.org/abs/1610.00529.
Christiano, P. F. et al. (2017). Deep Reinforcement Learning from Human Preferences. CoRR, abs/1706.03741, https://arxiv.org/abs/1706.03741.
DeepMind (July 2017). What we’ve learned so far, https://deepmind.com/applied/deepmind-health/transparency-independent-reviewers/what-weve-learned-so-far/.
Deng, L. et al. (2013). Recent advances in deep learning for speech research at Microsoft. In Proceedings of the IEEE International Conference on Acoustics, Speech, and Signal Processing, ICASSP, pp. 8604–8608, IEEE.
Evans, R. and Gao, J. (2016). DeepMind AI Reduces Google Data Centre Cooling Bill by 40%. DeepMind, https://deepmind.com/blog/deepmind-ai-reduces-google-data-centre-cooling-bill-40.
Fast, E. and Horvitz, E. (2017). Long-Term Trends in the Public Perception of Artificial Intelligence. In Proceedings of the Thirty-First AAAI Conference on Artificial Intelligence, AAAI-17, San Francisco, CA, USA, February 4-9, 2017. AAAI Press, pp. 963–969.
Furman, J. et al. (2016). Artificial Intelligence, Automation, and the Economy. Executive Office of the President, Washington, D.C. 20502, https://obamawhitehouse.archives.gov/sites/whitehouse.gov/files/documents/Artificial-Intelligence-Automation-Economy.PDF.
Ghahramani, Z. (May 2015). Probabilistic machine learning and artificial intelligence. Nature, 521:452–459. DOI: 10.1038/nature14541.
Haldane, A. (2015). Labour’s Share – speech given at the Trades Union Congress, London. Bank of England, http://www.bankofengland.co.uk/publications/Pages/speeches/2015/864.aspx.
Hassabis, D. et al. (July 2017). Neuroscience-Inspired Artificial Intelligence. Neuron, 95(2):245–258.
He, K. et al. (2016). Deep Residual Learning for Image Recognition. In Proceedings of the 29th IEEE Conference on Computer Vision and Pattern Recognition, CVPR 2016. Las Vegas, NV, USA, pp. 770–778, IEEE.
Hutter, M. (2005). Universal Artificial Intelligence: Sequential Decisions based on Algorithmic Probability. Berlin: Springer.
Kalchbrenner, N., Danihelka, I., and Graves, A. (2015). Grid Long Short-Term Memory. CoRR, abs/1507.01526, https://arxiv.org/pdf/1507.01526.pdf.
Kulkarni, T. D. et al. (2016). Hierarchical Deep Reinforcement Learning: Integrating Temporal Abstraction and Intrinsic Motivation. CoRR, abs/1604.06057, https://arxiv.org/abs/1604.06057.
Lake, B. M. et al. (2016). Building Machines That Learn and Think Like People. Behav Brain Sci., 4:1–101.
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Levine, S. et al. (January 2016). End-to-end training of deep visuomotor policies. Journal of Machine Learning Research, 17(1):1334–1373.
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Lewis, C. W. P. and Monett, D. (2017). Research Survey: Defining (machine) Intelligence. Ongoing survey, https://goo.gl/hMjaE1.
Lewis, M. et al. (2017). Deal or No Deal? End-to-End Learning for Negotiation Dialogues. CoRR, abs/1706.05125, https://arxiv.org/abs/1706.05125.
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Rapid developments in Artificial Intelligence (AI), especially the sub domains of Reinforcement Learning and Machine Learning are high on the agendas of government policy makers in many countries. Last year the US Government* issued comprehensive reports on AI and its possible benefits and impact on society, likewise the European Union and other agencies are also active in reviewing policies on AI, Robotics and associated technology. As recent as one week ago the UK government initiated a new request for comments to its AI subcommittee – What are the implications of Artificial Intelligence?
On the back of the high level of interest from governments and policy makers around the world a new study, Artificial Intelligence and National Security, by researchers at the Harvard Kennedy Center on behalf of the U.S. Intelligence Advanced Research Projects Activity (IARPA) recommends three goals for developing future policy on AI and national security
- Preserving U.S. technological leadership,
- Supporting peaceful and commercial use, and
- Mitigating catastrophic risk
The authors say their goals for developing policy are developed by lessons learned in nuclear, aerospace, cyber, and biotech and that Advances in AI will affect national security by driving change in three areas: military superiority, information superiority, and economic superiority.
Setting out their position the authors make the case that existing AI developments “have significant potential for national security.”
Existing machine learning technology could enable high degrees of automation in labor-intensive activities such as satellite imagery analysis and cyber defense.
They further emphasize that AI has the potential to be as transformative as other major technologies, stating that future progress in AI has the potential to be a transformative national security technology, on a par with nuclear weapons, aircraft, computers, and biotech.
The changes they see in military superiority, information superiority, and economic superiority are outlined below:
For military superiority, they write progress in AI will both enable new capabilities and make existing capabilities affordable to a broader range of actors.
For example, commercially available, AI-enabled technology (such as long-range drone package delivery) may give weak states and non-state actors access to a type of long-range precision strike capability.
In the cyber domain, activities that currently require lots of high-skill labor, such as Advanced Persistent Threat operations, may in the future be largely automated and easily available on the black market.
For information superiority, they say AI will dramatically enhance capabilities for the collection and analysis of data, and also the creation of data.
In intelligence operations, this will mean that there are more sources than ever from which to discern the truth. However, it will also be much easier to lie persuasively.
AI-enhanced forgery of audio and video media is rapidly improving in quality and decreasing in cost. In the future, AI-generated forgeries will challenge the basis of trust across many institutions.
For economic superiority, they find that advances in AI could result in a new industrial revolution.
Former U.S. Treasury Secretary Larry Summers has predicted that advances in AI and related technologies will lead to a dramatic decline in demand for labor such that the United States “may have a third of men between the ages of 25 and 54 not working by the end of this half century.”
Like the first industrial revolution, this will reshape the relationship between capital and labor in economies around the world. Growing levels of labor automation might lead developed countries to experience a scenario similar to the “resource curse.”
Also like the first industrial revolution, population size will become less important for national power. Small countries that develop a significant edge in AI technology will punch far above their weight.
Due to the significant impacts they see from AI they say that Government must formalize goals for technology safety and provide adequate resources, that government should both support and restrain commercial activity of AI and governments should provide more investment and oversight into the long term-focused strategic analyses on AI technology and its implications.
Noting that we are at an inflection point in Artificial Intelligence and autonomy, the researchers outline multiple areas they believe AI driven technologies will disrupt military capabilities – capabilities, which they say, will have far reaching consequences in warfare.
Policy makers around the world would do well to consider carefully the scenarios outlined in the study to ensure that AI technologies are adequately governed to provide assurances to citizens and ultimately to ensure that AI technologies benefit humanity.
*US Government and Agencies recent papers
June 2016—Defense Science Board: “Summer Study on Autonomy”
July 2016—Department of Defense Office of Net Assessment: “Summer Study: (Artificial) Intelligence: What questions should DoD be asking”
October 2016—National Science and Technology Council: “The National Artificial Intelligence Research and Development Strategic Plan”
October 2016—National Science and Technology Council: “Preparing for the Future of Artificial Intelligence”
December 2016—Executive Office of the President: “Artificial Intelligence, Automation, and the Economy”
January 2017—JASON: “Perspectives on Research in Artificial Intelligence and Artificial General Intelligence Relevant to DoD
In a wonderfully titled report, Creating Shareholder Value with AI? Not so Elementary, My Dear Watson, the Equity Research company, Jefferies, LLC, take a hard look at IBM’s bet on cognitive computing, or Artificial Intelligence (AI). The 53 page report is well worth reading to understand why the research analysts consider IBM, despite significant investment in to their cognitive computing platform, Watson is losing the opportunity in AI and hence the authors consider IBM stock to under perform.
On a positive note for AI researchers they do acknowledge there is serious business and economic interest in AI, citing Andrew Ng’s Stanford talk on AI as the new Electricity:
AI is the New Electricity….Our checks confirm that a wide range of organizations are exploring incorporating AI in their business, mostly using Machine and Deep Learning for speech and image recognition applications.
And that IBM has an advantage in terms of technology:
IBM’s Watson platform remains one of the most complete cognitive platforms available in the marketplace today.
But IBM fall flat due to hefty service charges and the inability to attract AI talent:
The hefty services component of many AI deployments will be a hindrance to adoption. We also believe IBM appears outgunned in the war for AI talent and will likely see increasing competition.
I’m never a fan of forecasts for market share, forecasts in Robotics have shown how wide off the mark the industrial robotics landscape is from where it was forecast to be, nevertheless the Jefferies numbers are worth looking at, even if much of AI will be in house in organisations such as Google, Facebook, Amazon, etc. Jeffery’s seem to think the value of the market, shown in the chart below, is underestimated “we think these forecasts are unlikely to fully capture the value created by internal use of AI applications such as machine learning. For example, Facebook and Amazon are aggressively using machine learning to improve their offerings, make operations more efficient, and create new embedded services.”
The analysts do note that the singularity is not near and provide an interesting chart depicting the areas they see growth… interestingly they see a large percentage of growth in algorithmic trading strategies, equivalent to 17% of the market! Yet strangely indicate health care spend will be slightly less, and driverless AI even less, despite this being where much of AI is heading today.
Many AI Apps Will Take Time to Emerge; The Singularity Is Not Near While we are big believers in the long term potential of AI and see rapid adoption of machine learning in the near term, our checks convince us that many AI methods and applications will take time to be adopted.
The analysts emphasise how IBM is losing the talent war and also has less access to the rich data of Google, Apple, Facebook and Amazon. Talent will be a major game changer in AI.
The report also does a good job of showing the current flow of investment by major corporations, in terms of acquisitions, and also investment into AI start-ups. Overall the analysis, except the forecasts, gives a fair overview of the AI market, but omits the major $’s flowing into Academic research and the costs of employing and training AI researchers, which is likely already in the early billions… I do however agree that IBM’s Watson risks not capturing the markets share its technology richly deserves – maybe IBM will end up capitalising by its patent’s as it so often has.
Take a look at the report and judge for yourself (PDF).
A new report released by the Whitehouse indicates that accelerating Artificial Intelligence (AI) capabilities will enable automation of some tasks that have long required human labor. The report authors indicate that these transformations will open up new opportunities for individuals, the economy, and society, but they will also disrupt the current livelihoods of millions of Americans. At a minimum, some occupations such as drivers and cashiers are likely to face displacement from or a restructuring of their current jobs.
The challenge for policymakers will be to update, strengthen, and adapt policies to respond to the economic effects of AI.
Although it is difficult to predict these economic effects precisely, the report suggests that policymakers should prepare for five primary economic effects:
- Positive contributions to aggregate productivity growth;
- Changes in the skills demanded by the job market, including greater demand for higher-level technical skills;
- Uneven distribution of impact, across sectors, wage levels, education levels, job types, and locations;
- Churning of the job market as some jobs disappear while others are created; and
- The loss of jobs for some workers in the short-run, and possibly longer depending on policy responses.
More generally, the report suggests three broad strategies for addressing the impacts of AI-driven automation across the whole U.S. economy:
- Invest in and develop AI for its many benefits;
- Educate and train Americans for jobs of the future; and
- Aid workers in the transition and empower workers to ensure broadly shared growth.
Key points from the report
The authors state it is unlikely that machines will exhibit broadly-applicable intelligence comparable to or exceeding that of humans in the next 20 years, it is to be expected that machines will continue to reach and exceed human performance on more and more tasks.
AI should be welcomed for its potential economic benefits. However there will be changes in the skills that workers need to succeed in the economy, and structural changes in the economy. Aggressive policy action will be needed to help Americans who are disadvantaged by these changes and to ensure that the enormous benefits of AI and automation are developed by and available to all.
Today, it may be challenging to predict exactly which jobs will be most immediately affected by AI-driven automation. Because AI is not a single technology, but rather a collection of technologies that are applied to specific tasks, the effects of AI will be felt unevenly through the economy. Some tasks will be more easily automated than others, and some jobs will be affected more than others—both negatively and positively. Some jobs may be automated away, while for others, AI-driven automation will make many workers more productive and increase demand for certain skills. Finally, new jobs are likely to be directly created in areas such as the development and supervision of AI as well as indirectly created in a range of areas throughout the economy as higher incomes lead to expanded demand.
Strategy #1: Invest in and develop AI for its many benefits. If care is taken to responsibly maximize its development, AI will make important, positive contributions to aggregate productivity growth, and advances in AI technology hold incredible potential to help the United States stay on the cutting edge of innovation. Government has an important role to play in advancing the AI field by investing in research and development. Among the areas for advancement in AI are cyberdefense and the detection of fraudulent transactions and messages. In addition, the rapid growth of AI has also dramatically increased the need for people with relevant skills from all backgrounds to support and advance the field. Prioritizing diversity and inclusion in STEM fields and in the AI community specifically, in addition to other possible policy responses, is a key part in addressing potential barriers stemming from algorithmic bias. Competition from new and existing firms, and the development of sound pro-competition policies, will increasingly play an important role in the creation and adoption of new technologies and innovations related to AI.
Strategy #2: Educate and train Americans for jobs of the future. As AI changes the nature of work and the skills demanded by the labor market, American workers will need to be prepared with the education and training that can help them continue to succeed. Delivering this education and training will require significant investments. This starts with providing all children with access to high-quality early education so that all families can prepare their students for continued education, as well as investing in graduating all students from high school college- and career- ready, and ensuring that all Americans have access to affordable post-secondary education. Assisting U.S. workers in successfully navigating job transitions will also become increasingly important; this includes expanding the availability of job-driven training and opportunities for lifelong learning, as well as providing workers with improved guidance to navigate job transitions.
Strategy #3: Aid workers in the transition and empower workers to ensure broadly shared growth. Policymakers should ensure that workers and job seekers are both able to pursue the job opportunities for which they are best qualified and best positioned to ensure they receive an appropriate return for their work in the form of rising wages. This includes steps to modernize the social safety net, including exploring strengthening critical supports such as unemployment insurance, Medicaid, Supplemental Nutrition Assistance Program (SNAP), and Temporary Assistance for Needy Families (TANF), and putting in place new programs such as wage insurance and emergency aid for families in crisis. Worker empowerment also includes bolstering critical safeguards for workers and families in need, building a 21st century retirement system, and expanding healthcare access. Increasing wages, competition, and worker bargaining power, as well as modernizing tax policy and pursuing strategies to address differential geographic impact, will be important aspects of supporting workers and addressing concerns related to displacement amid shifts in the labor market.
Finally, if a significant proportion of Americans are affected in the short- and medium-term by AI-driven job displacements, US policymakers will need to consider more robust interventions, such as further strengthening the unemployment insurance system and countervailing job creation strategies, to smooth the transition.
I will add detailed comments and my thoughts as I digest the full report in the coming days.
In his book Adventures in the Screen Trade, the hugely successful screenwriter William Goldman’s opening sentence is – “Nobody knows anything.” Goldman is talking about predictions of what might and what might not succeed at the box office. He goes on to write: “Why did Universal, the mightiest studio of all, pass on Star Wars? … Because nobody, nobody — not now, not ever — knows the least goddamn thing about what is or isn’t going to work at the box office.” Prediction is hard, “Not one person in the entire motion picture field knows for a certainty what’s going to work. Every time out it’s a guess.” Of course history is often a good predictor of what might work in the future and when, but according to Goldman time and time again predictions have failed miserably in the entertainment business.
It is exactly the same with technology and Artificial Intelligence (AI), probably more than any other technology has fared the worst when it comes to predictions of when it will be available as a truly ‘thinking machine.’ Fei-Fei Li, director of the Stanford Artificial Intelligence Lab even thinks: “today’s machine-learning and AI tools won’t be enough to bring about real AI.” And Demis Hassabis founder of Google’s DeepMind (and in my opinion one of the most advanced AI developers) forecasts: “it’s many decades away for full AI.”
Researchers are however starting to make considerable advances in soft AI. Although with the exception of less than 30 corporations there is very little tangible evidence that this soft AI or Deep Learning is currently being used productively in the workplace.
Some of the companies currently selling or and/or using soft AI or Deep Learning to enhance their services; IBM’s Watson, Google Search and Google DeepMind, Microsoft Azure (and Cortana), Baidu Search led by Andrew Ng, Palantir Technology, maybe Toyota’s new AI R&D lab if it has released any product internally, within Netflix and Amazon for predictive analytics and other services, the insurer and finance company USAA, Facebook (video), General Electric, the Royal Bank of Scotland, Nvidia, Expedia and MobileEye and to some extent the AI light powered collaborative robots from Rethink Robotics.
There are numerous examples of other companies developing AI and Deep Learning products but less than a hundred early-adopter companies worldwide. Essentially soft AI and Deep Learning solutions, such as Apple’s Siri, Drive.ai, Viv, Intel’s AI solutions, Nervana Systems, Sentient Technologies, and many more are still very much in their infancy, especially when it comes to making any significant impact on business transactions and systems processes.
On the other hand, Machine Learning (ML), which is a subfield of AI, which some call light AI, is starting to make inroads into organizations worldwide. There are even claims that: “Machine Learning is becoming so pervasive today that you probably use it dozens of times per day without knowing it.”
Although according to Intel: “less than 10 per cent of servers worldwide were deployed in support of machine learning last year (2015).” It is highly probable Google, Facebook, Salesforce, Microsoft and Amazon would have taken up a large percentage of that 10 percent alone.
ML technologies, such as the location awareness systems like Apple’s iBeacon software, which connects information from a user’s Apple profile to in-store systems and advertising boards, allowing for a ‘personalized’ shopping experience and tracking of (profiled) customers within physical stores. IBM’s Watson and Google DeepMind’s Machine Learning have both shown how their systems can analyze vast amounts of information (data), recognize sophisticated patterns, make significant savings on energy consumption and empower humans with new analytical capabilities.
The promise of Machine Learning is to allow computers to learn from experience and understand information through a hierarchy of concepts. Currently ML is beneficial for pattern and speech recognition and predictive analytics. It is therefore very beneficial in search, data analytics and statistics – when there is lots of data available. Deep Learning helps computers solve problems that humans solve intuitively (or automatically by memory) like recognizing spoken words or faces in images.
Neither Machine Learning nor Deep Learning should be considered as a attempt to simulate the human brain – which is one goal of AI.
Crossing the chasm – not without lots of data
If driverless vehicles can move around with decreasing problems, this is not because AI has finally arrived, it is not that we have machines that are capable of human intelligence, but it is that we have machines that are very useful in dealing with big data and are able to make decisions based on uncertainties regarding the perception and interpretation of their environment – but we are not quite there yet! Today we have systems targeted at narrow tasks and domains, but not that promised by ‘general purpose’ AI, which should be able to accomplish a wide range of tasks, including those not foreseen by the system’s designers.
Essentially there’s nothing in the very recent developments in machine learning that significantly affects our ability to model, understand and make predictions in systems where data is scarce.
Nevertheless companies are starting to take notice, investors are funding ML startups, and corporations recognize that utilizing ML technologies is a good step forward for organizations interested in gaining the benefits promised by Big Data and Cognitive Computing over the long term. Microsoft’s CEO, Satya Nadella, says the company is heavily invested in ML and he is: “very bullish about making machine learning capability available (over the next 5 years) to every developer, every application, and letting any company use these core cognitive capabilities to add intelligence into their core operations.”
The next wave – understanding information
Organizations that have lots of data know that information is always limited, incomplete and possibly noisy. ML algorithms are capable of searching the data and building a knowledge base to provide useful information – for example ML algorithms can separate spam emails from genuine emails. A machine learning algorithm is an algorithm that is able to learn from data, however the performance of machine learning algorithms depends heavily on the representation of the data they are given.
Machine Learning algorithms often work on the principle most widely known as Occam’s razor. This principle states that among competing hypotheses that explain known observations equally well one should choose the “simplest” one. In my opinion this is why we should use machines only to augment human labor and not to replace it.
Machine Learning and Big Data will greatly compliment human ingenuity – a human-machine combination of statistical analysis, critical thinking, inference, persuasion and quantitative reasoning all wrapped up in one.
“Every block of stone has a statue inside it and it is the task of the sculptor to discover it. I saw the angel in the marble and carved until I set him free.” ~ Michelangelo (1475–1564)
The key questions businesses and policy makers need to be concerned with as we enter the new era of Machine Learning and Big Data:
1) who owns the data?
2) how is it used?
3) how is it processed and stored?
Update 16th August 2016
There is a very insightful Quora answer by François Chollet,
“Our successes, which while significant are still very limited in scope, have fueled a narrative about AI being almost solved, a narrative according to which machines can now “understand” images or language. The reality is that we are very, very far away from that.”
Photo credit, this was a screen grab of a conference presentation, now I do not remember the presenter or conference but if I find it I will update the credit!
Society is caught between blind faith in technology and resistance to progress, between technological possibilities and fears that it has a negative impact.
Increasingly Artificial Intelligence, the latest buzzword for everything software related, is stirring up much of the fears.
In an interesting paper: Is This Time Different? The Opportunities and Challenges of Artificial Intelligence, Jason Furman, Chairman of President Obama’s Council of Economic Advisers sets out his belief that we need more artificial intelligence but must find a way to prevent the inequality it will inevitably cause. Despite the labor market challenges we may need to navigate, Furman’s bigger worry is that we will not invest enough in AI.
He is more pragmatic than many economists and researchers who have written ‘popular’ books on the subject but calls for more innovation if we are truly to reap the benefits AI and Robotics will bring:
We have had substantial innovation in robotics, AI, and other areas in the last decade. But we will need a much faster pace of innovation in these areas to really move the dial on productivity growth going forward. I do not share Robert Gordon’s (2016) confidently pessimistic predictions or Erik Brynjolfsson and Andrew Mcafee’s (2014) confidently optimistic ones because past productivity growth has been so difficult to predict.
Technology, in other words, is not destiny but it has a price
My worry is not that this time could be different when it comes to AI, but that this time could be the same as what we have experienced over the past several decades. The traditional argument that we do not need to worry about the robots taking our jobs still leaves us with the worry that the only reason we will still have our jobs is because we are willing to do them for lower wages.
Replacing the Current Safety Net with a Universal Basic Income Could Be Counterproductive
Furman says that AI does not create a call for a Universal Basic Income and that the claims for implementing UBI and cancelling other social welfare programs have been greatly overstated:
AI does not call for a completely new paradigm for economic policy—for example, as advocated by proponents of replacing the existing social safety net with a universal basic income (UBI) —but instead reinforces many of the steps we should already be taking to make sure that growth is shared more broadly.
Replacing part or all of that system with a universal cash grant, which would go to all citizens regardless of income, would mean that relatively less of the system was targeted towards those at the bottom—increasing, not decreasing, income inequality.
Instead our goal should be first and foremost to foster the skills, training, job search assistance, and other labor market institutions to make sure people can get into jobs, which would much more directly address the employment issues raised by AI than would UBI.
Past Innovations Have Sometimes Increased Inequality—and the Indications Suggest AI Could Be More of the Same
Relying on the questionable study by Frey and Osborne, Furman says that work by the Council of Economic Advisers, ranked the occupations by wages and found that, according to the Frey and Osbourne analysis, 83 percent of jobs making less than $20 per hour would come under pressure from automation, as compared to 31 percent of jobs making between $20 and $40 per hour and 4 percent of jobs making above $40 per hour (see Figure 1 below).
AI has not had a large impact on employment, at least not yet
Furman says the issue is not that automation will render the vast majority of the population unemployable. Instead, it is that workers will either lack the skills or the ability to successfully match with the good, high paying jobs created by automation.
The concern is not that robots will take human jobs and render humans unemployable. The traditional economic arguments against that are borne out by centuries of experience. Instead, the concern is that the process of turnover, in which workers displaced by technology find new jobs as technology gives rise to new consumer demands and thus new jobs, could lead to sustained periods of time with a large fraction of people not working.
AI has the potential—just like other innovations we have seen in past decades—to contribute to further erosion in both the labor force participation rate and the employment rate. This does not mean that we will necessarily see a dramatically large share of jobs replaced by robots, but even continuing on the past trend of a nearly 0.2-percentage-point annual decline in the labor force participation rate for prime-age men would pose substantial problems for millions of people and for the economy as a whole.
Investment in AI
Mentioning the fact that AI has not had a significant macroeconomic impact yet, Furman indicates that the private sector will be the main engine of progress on AI. Citing references that in 2015 the private sector invested US$ 2.4 billion on AI, as compared to the approximately US$ 200 million invested by the National Science Foundation (NSF).
He says the government’s role should include policies that support research, foster the AI workforce, promote competition, safeguard consumer privacy, and enhance cybersecurity
AI does not call for a completely new paradigm for economic policy
AI is one of many areas of innovation in the U.S. economy right now. At least to date, AI has not had a large impact on the aggregate performance of the macroeconomy or the labor market. But it will likely become more important in the years to come, bringing substantial opportunities— and our first impulse should be to embrace it fully.
He indicates that his biggest worry about AI is that we may not get all the breakthroughs we think we can, and that we need to do more to make sure we can continue to make groundbreaking discoveries that will raise productivity growth, improving the lives of people throughout the world.
However, it is also undeniable that like technological innovations in the past, AI will bring challenges in areas like inequality and employment. As I have tried to make clear throughout my remarks, I do not believe that exogenous technological developments solely determine the future of growth, inequality, or employment. Public policy—including public policies to help workers displaced by technology find new and better jobs and a safety net that is responsive to need and ensures opportunity —has a role to play in ensuring that we are able to fully reap the benefits of AI while also minimizing its potentially disruptive effects on the economy and society. And in the process, such policies could also contribute to increased productivity growth—including advances in AI itself.
What are those policies? Truman indicates we need to develop more “human learning and skills,” increase investments in research and development, this includes Government investment and also “expand and simplify the Research and Experimentation tax credit,” “increase the number of visas—which is currently capped by legislation—to allow more high-skilled workers to come into the country.” “Consolidate existing funding initiatives, help retrain workers in skills for which employers are looking,” and more focused initiatives such as the “DARPA Cyber Grand Challenge.”
The bottom line is that AI managed well, with innovate government support, could offer significant benefits to humanity, but those benefits, including earning capacity, can only be achieved if governments and corporations help people up-skill.
 For private funding see https://www.cbinsights.com/blog/artificial-intelligence-funding-trends/#funding. For public funding see http://www.nsf.gov/about/budget/fy2017/pdf/18_fy2017.pdf. According to the NSF, in 2015 there was $194.58 million in funding for the NSF Directorate for Computer and Information Science and Engineering’s Division of Information and Intelligent Systems (IIS), much of which is invested in research on AI. These figures do not include investment by other agencies, including Department of Defense.
The AI chatbot who learned via the Unabomber Manifesto!
Charles and his team actually created a chatbot called cobot. It was really simple, and it was really dumb. But the users wanted it to be smart, they wanted to talk to it. So Charles and his team had to come up with a quick and easy way to make cobot appear smarter than it actually was. So they showed the robot a bunch of texts (they started, weirdly, with the Unabomber manifesto) and trained it to simply pick a few words that you said to it, search for those words in the things it had read, and spit those sentences back at you.
A fallback plan for when 95% of human labor isn’t valued or needed due to automation
Basic Income is not necessarily my ideal scenario, but Andrew gives a terrific overview of the pro’s and con’s in this excellent article. The 95% figure comes from Y Combinator Manager, Matt Krisiloff!
Silicon Valley techies hope a guaranteed income would cushion the blow as automation replaces human jobs. Those with a more utopian bent, such as the organizers of the Swiss referendum, want to open up more options, to let people create art and free the world of what Daniel Straub calls “bullshit jobs.” (Andrew Flowers at FiveThirtyEight)
Stanford’s robotic diver recovers treasures from King Louis XIV’s wrecked ship
OceanOne looks something like a robo-mermaid. Roughly five feet long from end to end, its torso features a head with stereoscopic vision that shows the pilot exactly what the robot sees, and two fully articulated arms… Every aspect of the robot’s design is meant to allow it to take on tasks that are either dangerous – deep-water mining, oil-rig maintenance or underwater disaster situations like the Fukushima Daiichi power plant – or simply beyond the physical limits of human divers. (Stanford News)
And just think Frey and Osborne said there is only an 18% probability commercial divers will lose their jobs to robots!
Progress in A.I. will affect society profoundly
The first wave of AI is already beginning to pervade our lives inconspicuously, from speech recognition and search engines to image classification. Self-driving cars and applications in health care are within sight, and subsequent waves could transform vast sectors of the economy, science and society. These could offer substantial benefits — but to whom? (Nature – Editorial)
In your old age what happens if your carer just happens to be a robot?
“There’s a pressing requirement for robots in the social care of the elderly, partly because we have fewer people of working age,” says Tony Belpaeme, a professor in intelligent and autonomous control systems at Plymouth University. Traditionally among the poorest paid of the workforce, carers are an ever more scarce resource.
Policy makers have begun to cast their eyes towards robots as a possible source of compliant and cheaper help. (Geoff Watts in The Atlantic)
What are you reading?