WIFUTURE Conference - Artificial Intelligence and ChatBots - Milan

1. @pieroleo Building a Chatbot is the tip of an iceberg, a new relation between humans and machines is coming to town Pietro Leo Executive Architect - Chief Scientist of IBM Italy Research and Business Unit IBM Academy of Technology Leadership Head of IBM Italy Center of Advanced Studies Transforming Data into Wisdom @pieroleo 2 Febbraio in We Are Social

2. 2 PROLOGUE

3. @pieroleo

4. @pieroleo WISDOM KNOWLEDGEDATA INFORMATION

5. @pieroleo Video: http://www-03.ibm.com/press/us/en/pressrelease/49957.wss

6. @pieroleo DATA INFORMATION KNOWLEDGE WISDOM "Olli" Self-Drive Vehicle Co-creative community 3D-printed Conversation Cloud IoT Artificial Intelligence 30 Transportation Sensors New custom sensors Recommender Video Recognition Personalization ….

7. @pieroleo DATA INFORMATION KNOWLEDGE WISDOM So, we need WISDOM, to Augment, individual and collective, Intelligence

8. @pieroleo DATA INFORMATION KNOWLEDGE WISDOM Our individual and collective massive annotation work is making machines smarter

9. 9 1997

10. @pieroleo

11. @pieroleo

12. @pieroleo Legacy Layer Back-End Web Server Web Browser - Client Application Server Multi-tier Architecture Model emerged to build and support e-business Client Application Code Static Application Code Application Services Integration Services = BP/Client CODE & DATA = IBM Layers = Tier 1 = Tier 2 = Tier .... = Tier N

13. 13 2008

14. @pieroleo 2008 "Neither RedBox nor Netflix are even on the radar screen in terms of competition. It's more Wal-Mart and Apple” Blockbuster CEO, Jim Keyes, Dec 2008

15. 15 2017, today more or less

16. @pieroleo Source: http://www.visualcapitalist.com/extraordinary-size-amazon-one-chart/

17. 17 You shared your position with me and can guess your mobility need. I can take you where you need to be Just enjoy your new experience . Stay safe as in your home I know what is needed for you, even before you order it Please, come with me and stay by me. I know your content I can take care of all your digital life

18. 18 Video: http://www.digitaltrends.com/home/grush-toothbrush-wins-americas-greatest-makers/

19. 19 How is that possible?

20. 20 Image source: http://personalexcellence.co/blog/ideal-‐beauty/ City Lifestyle ZIPcode Costal vs Inland Marital status Generation Location Family Size Gender Income Level Competitors Age Loyalty & Card Activity Revenue Size Life Stages Eductation Legal status Sector Industry

21. 21 Image source: http://personalexcellence.co/blog/ideal-‐beauty/ City Lifestyle ZIPcode Costal vs Inland Marital status Generation Location Family Size Gender Income Level Competitors Age Loyalty & Card Activity Revenue Size Life Stages Eductation Legal status Sector Industry Subscriptions Date on Site Wish List Size of Network Check-ins App usage duration Number of Apps on Device Deposits/Withdrawals Device Usage Purchase History Following Followers Likes Number of Hashtags used History of Hashtags Search Strings entered Sequence of visits Time/Day log in Time spent on site Time spent on page Frequency of Search Videos Viewed Photos liked

22. 22 Image source: http://personalexcellence.co/blog/ideal-‐beauty/ City Lifestyle ZIPcode Costal vs Inland Marital status Generation Location Family Size Gender Income Level Competitors Age Loyalty & Card Activity Revenue Size Life Stages Eductation Legal status Sector Industry Subscriptions Date on Site Wish List Size of Network Check-ins App usage duration Number of Apps on Device Deposits/Withdrawals Device Usage Purchase History Following Followers Likes Number of Hashtags used History of Hashtags Search Strings entered Sequence of visits Time/Day log in Time spent on site Time spent on page Frequency of Search Videos Viewed Photos liked Sentiment Tone Euphemisms Hedonism Extroversion Face Recognition Openess Colloquialism Reasoning Strategies Language Modeling Dialog Intent Latent Semantic Analysis Phonemes Ontology Analysis Linguistics Image Tags Question Analysis Self-transcendent Affective Status

23. 23 AI (business) spring Digital Business + Digital Intelligence

24. Artificial Intelligence patents have more than tripled in 10 years

25. Venture Scanner are tracking 1481 Artificial Intelligence companies with a combined funding amount of $9 Billion

26. https://hbr.org/2016/11/how-artificial-intelligence-will-redefine-management 86% of managers say they want help from intelligent systems when Monitoring and reporting

27. 28 What is happening?

28. 29 Automating the World Understanding the World Main Technology Shift H-Factor Program Train/Data Scientist Knowledge Workers Learning Workers

29. 30 BIG DATA DATA WISDOM Knowledge Information Technology is no more supporting every kind of private and public organizations, it is becoming part of them. Machine Intelligence Is becoming the key ingredient. Analytics Cloud Computing Data Science Mobile Social Digitalization Technology Business Robotics Artificial Intelligence Business & Tech NexusThings

30. 31 TAKE A BREAK! Do not scar with Technology Overloading!

31. 32 Video: https://vimeo.com/128873380

32. 33 THE WISDOM AGE

33. The way to find information The way to make better decisions

34. Toward a Precise Decision Making to reduce the wasteful spend as well as the risk in every industry New Information Technology challenge is now about the possibility to expand our WISDOM options Watson

35. @pieroleo Opportunity for decision-making support 2025 Cognitive opens new opportunities on top of traditional IT Traditional global IT spend Source: IBM analysis presented to the Investor Briefings ~$2T ~$1.2T

36. @pieroleo IBM Cognitive Computing by numbers in IBM 45 Countries 100+ Applications already in market 6.000 Researchers & Specialists in IBM 8 Languages Learned by Watson 200 Universities offering Watson courses 500+ Partners Powered by Watson API & Hybrid Cognitive Frameworks 20 Industries 80.000 Developers building with Watson 3 Industrial Business Units Watson Health 5.000 Employees, 6B$ investment Watson Internet Of Things 1000 Researchers and Specialists, 3B$ investment Watson Finantial Services 200M Lives 60M Patient Records 30B Images 1.2M Mediacal Abstracts 60+ Solutions

37. 38 COGNITIVE SOLUTIONS

38. Ecosystem and Partners Industry Solutions Client Solutions IBM Provided Data Private Client Data IBM Watson Innovation platform for Cognitive Business Financial Watson Health Watson Financial Service Watson Internet of Things Hybrid Watson Frameworks Watson Services Comms Industrial Distribution Financial Public ServicesHealth Fraud Analysis Corp Intelligence Claims Processing Digital Agent Call Center Advisor Public Safety National Security Shopping Advisor Sales Automation Supply & Logistics Omni-Channel Ops Product Safety Field Service Mgt Geology Advisor Digital Agent Theme Park Exp Call Center Ops CIO Dashboard Corp Intelligence M&A Advisor Cyber Security Life Sciences Oncology Clinical Trial Matching AssistantCognitive Tools Collaborator Coach Mediator Types of Cognitive Systems Decision Making

39. Watson Oncology

40. 1-800 Flowers Live at: https://www.1800flowers.com/gwyn-1800flowers?flws_rd=1 Live at: https://www.thenorthface.com/xps GWYN (Gifts When You Need), a Watson-powered personal concierge designed to help customers find the perfect gift The North Face A personal Shop Assistant that can drive you to select the most appropriate Jacket Virtual Agents: Sales Assistants

41. Cognitive Mobility • Cognitive mobility platform to improve the driving experience for millions of consumers • Watson to connect consumers with such brands as ExxonMobil, Glympse, iHeartRadio, Mastercard and Parkopedia

42. Weather is the secret to understandinghow consumers feel… A brand able to gain a spot in the daily routines and rituals of consumers creates a not only a relation but a deep intimacy with them 43 Cognitive Ads

43. @pieroleo 44 https://watsonads.com/# Cognitive Ads

44. @pieroleo Hilton And IBM Pilot “Connie” The World’s First Watson- Enabled Hotel Concierge Panasonic and IBM Develop a Cognitive Personal Concierge

45. @pieroleo Top outcomes from cognitive initiatives vary by industry Finance 49% Increased market agility 46% Improved customer service 43% Increased customer engagement 43% Improved productivity & efficiency 42% Improved security & compliance, reduced risk Retail 56% Personalized customer / user experience 56% Increased customer engagement 56% Improved decision making & planning 56% Reduced costs 55% Improved customer service Health 66% Accelerated innovation of new products / services 66% Improved productivity & efficiency 64% Improved security & compliance, reduced risk 62% Reduced costs 59% Improved customer service Manufacturing 64% Improved decision making & planning 58% Improved productivity & efficiency 54% Improved security & compliance, reduced risk 52% Improved customer service 49% Enhanced the learning experience Government/Education 54% Personalized customer / user experience 50% Improved customer service 37% Improved decision making & planning 36% Improved productivity & efficiency 33% Increased customer engagement Professional Services 40% Reduced costs 36% Personalized customer/user experience 36% Improved customer service 36% Expanded ecosystem 34% Accelerated innovation of new products / services % achieving outcome with cognitive Source: An IBM study of over 600 early cognitive adopters - 2016 Full report: http://www.ibm.com/cognitive/advantage-reports/

46. 47 COGNITIVE PLATFORMS

47. Ecosystem and Partners Industry Solutions Client Solutions & products IBM Provided Data Publically Sourced Data Partner Provided Data Private Client Data IBM Watson Innovation platform for Cognitive Business Watson Health Watson Financial Service Watson Internet of Things Hybrid Watson Frameworks Cognitive Services - API Data Knowledge Wisdom

48. Legacy Layer Catalogue of all kind of high level Services Cognitive Services Multimodal Clients Cognitive Platform IBM: A cognitive solutions and cloud platform company We are delivering products and services, processes and operations, all infused with cognitive capability. Cognitive Application Front-end Cognitive Assistant Backend and Services orchestrator Application Services Cloud Public-Dedicated-Local Services = BP/Client CODE, DATA & TRAIN = IBM Platform Layers & DATA = Tier 1 = Tier 2 = Tier N Hybrid Cloud Platform Exogenous Data sources = Tier .. Legacy Layer Back-End Web Server Web Browser - Client Application Server Client Application Code Static Application Code Application Services Integration Services Circa, 2000 Today, 2017 = BP/Client CODE & DATA = IBM Layers Your Services

49. >20 Services Network Storage Security Compute IBM Cognitive Platform on Cloud

50. >30 Services Data & Analytics >10 Services Internet of Things >30 Services Cognitive & Artificial Intelligence 3 Integration Services >10 DevOps Services 5 App Security Services>20 Application Services >20 Services Network Storage Security Compute https://console.ng.bluemix.net >120 Services IBM Cognitive Platform on Cloud

51. Network Compute>20 Services Storage Security >30 Services Data & Analytics >10 Services Internet of Things >30 Services Cognitive & Artificial Intelligence 3 Integration Services >10 DevOps Services 5 App Security Services https://console.ng.bluemix.net >20 Application Services ChatBot >120 Services Building a Chatbot with IBM Cognitive Platform on Cloud

52. IBM Watson powered Chat Bot Dialogues Conversation Intents Entities Emotion Language Tone Social propensities Language styles Translate Conversational News Patents Custom Translation Voice synthesis Expressive Voice Voice Transformation Custom pronunciations Speech-to-text Telephony Broadband Keyword Spotting Language Deep Understanding Keyword Extraction, Entity Extraction, SentimentAnalysis, Concept Tagging, Relation Extraction, Taxonomy Classification, Author Extraction….. Custom Analysis VisionFace Recognition Image Classification Custom eyes Image Similarity Personality 5Five Personality Traits Needs Values With IBM Bluemix you can build infinite chat bots use cases mixing hundreds of skills and sub-skills News Data (300k daily from 70k sources) Twitter Data Weather Data (Billions of requests) Machine Intelligence https://console.ng.bluemix.net Reasoning Your Data

53. https://www.ibm.com/watson/developercloud/conversation.html •Build Facebook, Twitter, Slack and other messaging and social network platform bots that let users interact instantly •Add a chatbot to your website that can respond to frequently asked questions from customers •Allow customers to control your mobile app using natural language virtual agents https://www.youtube.com/watch?v=1rTl1WEbg5U Brazilian Portuguese, English, French, Italian, Spanish, German, Traditional Chinese, Simplified Chinese, Dutch.

54. News Data (300k daily from 70k sources) Twitter Data Weather Data (Billions of requests) Machine Intelligence https://console.ng.bluemix.net Conversation Intents Entities Dialogues Language Tone Personality TranslateVoice synthesisSpeech-to-text Expressive Voice Voice Transformation Conversational News Patents Custom Translation 5Five Personality Traits Needs Values Language Deep Understanding Keyword Extraction, Entity Extraction, SentimentAnalysis, Concept Tagging, VisionFace Recognition Image Classification Custom eyes Image Similarity Reasoning Custom pronunciations Emotion Social propensities Language styles Telephony Broadband Keyword Spotting Relation Extraction, Taxonomy Classification, Author Extraction….. Custom Analysis Your Data Building an embodied chatbot for children

55. Source: https://www.youtube.com/watch?v=tuXAy9l7cvc

56. Source: https://ibmtjbot.github.io/ I'm an open source project designed to help you access Watson Services in a fun way. You can 3D print me or laser cut me, then use one of my recipes to bring me to life! https://www.ibm.com/watson/developercloud/project-intu.html You can build your own toy!!!

57. 58 WISDOM FOR ALL!

58. https://www.ibm.com/watson/developercloud/

59. 60https://www.youtube.com/watch?v=FYZld6SSCnY

60. 61 CLOSING

61. @pieroleo

62. Chief Artificial Intelligence Officer Chief Data Scientist Chief Information Officer Chief Data Officer

63. https://www.theguardian.com/technology/2016/sep/08/artificial-intelligence-beauty-contest-doesnt-like-black-people

64. https://www.partnershiponai.org/

65. https://www.partnershiponai.org/ Cognitive Principles 1. Purpose 2. Transparency 3. Skills Source: https://www.ibm.com/ibm/responsibility/ibm_policies.html The purpose of AI and cognitive systems developed and applied by the IBM company is to augment human intelligence. The IBM company will make clear: a) When and what purpose of a cognitive solution;; b) Major Data Used;; c) Protect Customer Data & Insights ownership. IBM company will work to help students, workers and citizens acquire the skills and knowledge to engage safely, securely and effectively in a relationship with cognitive systems, and to perform the new kinds of work and jobs that will emerge in a cognitive economy.

66. 68 My last thought for

67. 69 Which is the future of chat bots? Our personal BOTS will buy for us, #Brands should convince them NOT us! It will be more and more a bots vs bots marketing battle! @pieroleo

68. @pieroleo @pieroleo Pietro Leo Executive Architect - Chief Scientist of IBM Italy Research and Business Unit IBM Academy of Technology Leadership Head of IBM Italy Center of Advanced Studies Grazie!