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Dedication

Dedication Firstandforemost,IhavetothankGodforHismercies,grace,andloving

Firstandforemost,IhavetothankGodforHismercies,grace,andloving

kindnesstowardsme,andforblessingmewithwisdomtocompletethis

book.

Thisbookisdedicatedtomyfamily.Iloveyouallsomuch.

Myheartfeltthanksgoestomydearmother,MargueriteJoseph,whohas made huge sacrifices for me to be where I amtoday. She is the best mother ever. She is a beautiful, loving, diligent, intelligent, and godly woman,andIamsogladtohaveherasmymom.

Abig thank youto Frank Hyacinth, my father, and to my brothers and sisters—TroyHyacinth, OnicaHyacinth, GaveryEnricoHyacinth—andto AliciaHyacinth(mysister-in-law),CheNigelHyacinth(deceased),Cheron Hyacinth,Ezra(Tricia)Ramlall,andBrentJohnforthehugesupportthey provided.

ThankyoutomyniecesandnephewNicholasHyacinth,CelesteHyacinth, JessieRamlall,TiniqueHyacinthandSarahDavis.Iamsoproudofyou all.MayyoucontinuetogrowinthegraceandknowledgeofourLordand Saviour, Jesus Christ. The world is yours for the taking. Once youput Godfirst,nothingshallbeimpossibleuntoyou.Thinkbig,alwayslookup, andnevergiveup.MayGodrichlyblessyounowandforevermore.

PREFACE

PREFACE Wearenow onthebrinkof atechnologicalrevolutionthat willalter the waywelive, work, andrelatetoeachother. Thepaceof

Wearenow onthebrinkof atechnologicalrevolutionthat willalter the waywelive, work, andrelatetoeachother. Thepaceof technological innovationisfastertodaythaneverbefore.ArtificialIntelligence(AI)isin theearlystagesofdevelopmentandthepossibilitiesarevast.Shouldyou fear or embraceAI?Thisquestionrevolvesaroundtheassumptionthat we may have a choice to control its implementation. Opposition to automation,roboticsandAIisaboutasfutileasitwouldhavebeeninthe

20thcenturytoopposeelectricity.

AIandRoboticswillbecomeanewrealitywhetherwedecidetoembrace itornot.Everythingthatcanbeautomated,willbeautomated.Therewill

AIandRoboticswillbecomeanewrealitywhetherwedecidetoembrace itornot.Everythingthatcanbeautomated,willbeautomated.Therewill beamassivedisturbance.Incorporatingthesenewtechnologiesissimilar toachangeprocess.Mostpeopleresistchange.Theypreferthefamiliar until they get acquainted withthe benefits. As leaders, we need to be change agents. Our responsibility should be to make sure everyone is informedandpreparedfortheupcomingchanges.Iinviteyoutotakea glimpseintothefutureofleadership.

TableofContents

TableofContents Dedication Preface SECTIONONE:RiseofAutomation,RoboticsandArtificial Intelligence

Dedication

Preface

SECTIONONE:RiseofAutomation,RoboticsandArtificial

Intelligence

ChapterOne:TheGreatArtificialIntelligenceAwakening

ChapterTwo:WillRobotsTakeYourJob?

ChapterThree:TechnologiesandFutureTrends

ChapterFour:TheTwo-EdgedSwordofArtificialIntelligence

SECTIONTWO:LeadershipinanAgeofDisruption

ChapterFive:WillAlReplaceLeaders?

ChapterSix:EthicalLeadership:AMoralCompassforTurbulentTimes

ChapterSeven:TheDigitalLeader:TransformationisInevitable

ChapterEight:DealingwithUncertainty

SECTIONTHREE:TheFutureofLeadership

ChapterNine:LeadershipandSelf-Deception

ChapterTen:EmotionalIntelligence:TheIgnoredIntelligence

ChapterEleven:GoDigital—StayHuman

Conclusion

References

Epilogue

AbouttheAuthor

SECTIONONE

SECTIONONE RISEOFAUTOMATION,ROBOTICS ANDARTIFICIALINTELLIGENCE

RISEOFAUTOMATION,ROBOTICS

ANDARTIFICIALINTELLIGENCE

SECTIONONE RISEOFAUTOMATION,ROBOTICS ANDARTIFICIALINTELLIGENCE

CHAPTERONE

THEGREATARTIFICIALINTELLIGENCE

AWAKENING

Artificial Intelligence (AI) has been pushing the boundaries of human imaginationandhastransformedfromafuturisticconcept

Artificial Intelligence (AI) has been pushing the boundaries of human imaginationandhastransformedfromafuturisticconcept toapowerful force. If you haven’t been living under a rock, you’ve definitely come across the terms AI, Machine Learning, and Natural Language Processing,etc.ThereisanoverallfearthatsurroundsAI.Formany,itis humannature to be fearfulof the unknownand, hence, the future. The

Wright brothers’first powered flight would not have beenachieved if it was not for conquering fear. The Luddites feared that textile machines wouldreplacethemandyetweallbenefitfromaffordableclothing.AIisa keyfeatureoftoday’sautomation,ifnotthedefiningfeature.Aswelook backinhistory,atthebeginningoftheIndustrialRevolution,wecansee thateachtechnologicalinnovationwasheraldedasthedawnofagolden age or would bring about the destruction of humanity. Examples throughouthistoryhavebeentheautomobile,theairplane,software,and now even AI. When you look back at the adoption rate of electricity, personalcomputers, cellphones, youcansee that these were not just isolatedtoasinglecountry.Thesetooktheworldbystorm.Wearenow onthebrinkof atechnologicalrevolutionthat willalter thewaywelive, work,andrelatetoeachother.Oneofthemaindifferencesbetweenthis andtheotherrevolutionswillbethespeedofchange.Previousindustrial revolutionsmayhavehappenedovermanydecades, andafew arestill ongoingtodayindevelopingcountries,butwithsoftwareandAIwecould see this condensed into a much shorter timeframe. Regardless of our sentiments,theonlychoiceistoadapttothisnewtechnology.

RoboticsandAIareheretostayandtheyarecomingtoaneighborhood nearyou.“Wearemoving…toanAIfirstworld”(Google),“Infiveyears AIwillimpacteverydecisionwemake”(IBM).Citizens,businesses,and governmentsalikecannot escapethedisruptionof AI. If youareaStar Trekfan,youalreadyknowthatalotofgadgetsfromtheshowarereal today as motion sensors, sliding doors, and communicators—today’s

mobilephones.RobotslikeR2-D2andC-P30inmovieslikeStarWarsor

evenRosietherobotmaidinTheJetsonsmadeuslaugh,buttherealityis

thatweareusingrobotsandAIinoureverydaylives,now.They’vebeen

indevelopmentfordecades.Youjusthaven’trecognizedthemasRobots

orAI.Drones,autopilotonairplanes,`machines’infactories,andSirion

your iPhone. Today, AI technology has made its way into a host of products,fromsearchengineslikeGoogle,voiceassistantslikeAmazon’s Alexa,autonomousvehicles,toarangeof“smart”consumerdevicesand homeappliances.Themachinestodayarecapableofdoingalotofthings

thatwecouldnotimaginedoing20yearsago.Theserapidadvanceswill

disrupttheveryfabricofourbusinessframeworksandlives.

Theterm“artificialintelligence”wascoinedbyJohnMcCarthyinhis1955

proposalforthe1956DartmouthConference.Theworkshop,whichtook

placeayearlater,duringthesummerof1956,isgenerallyconsideredas

theofficialbirthdateofthefield.SowhatisAI?ArtificialIntelligenceisa branch of computer science that emphasizes the creation of intelligent machinesorprogramsthatthink,learn,andreactlikehumanbeings.Itis defined as the intelligence exhibited by machines by which it mimics cognitivefunctionsthathumansuse,whileinteractingwithotherhumans. Inoneline,AIishumanintelligenceexhibitedbyamachine.Itrefersto“a broadset of methods, algorithms, andtechnologiesthat makesoftware ‘smart’inawaythatmayseemhuman-liketoanoutsideobserver,”said Lynne Parker, director of the division of Information and Intelligent SystemsfortheNationalScienceFoundation.

AIismadeupofbothsoftwareandhardwaretechnologieswhichrelyon intelligencetoreason,predict,communicate,andactfasterthanhumans

evercould.Backin1997,acomputerthathadbeenbuiltbyIBM,known

asDeepBlue,beatGarryKasparov,thethenworldchampionofchess.A paradoxicalturningpointhadbeenreached:AIwasabletobeatmanata game as complicated as chess. I’ve been following IBM’s AI developmentsfor aquiteawhilenow andit issafetosaytheyhelped jump-startthecurrentcycleofAIwiththeintroductionofWatsonbackin

the2000s.FastforwardtoAugust2017,OpenAI’sDota2botbeatthe

world’s most celebrated professional players in one-on-one battles in

competitiveeSports,whichismorecomplexthantraditionalboardgames

suchasChessandGo.

Over the past few years, AI has exploded—especially since 2015. The applicationoftheseconceptshasnowbecomemoremainstream.Given

thatthefieldofAIhasbeenaroundforover60years,onemightwonder

what has changed. This can be attributed to the vast increases in inexpensivecomputationalpower, exponentialgrowthinthecapabilityof technology,burgeoninguseoftheInternetofThings(IoT),andthevolume of cheap and accessible data. IoT also provides the data AI needs in order to make smart decisions. As more consumers around the globe purchasesmartphonesandothergadgetswhichlinkthemtotheweb,the expanseofIoTwillonlygrowevergreater.Addtothis,thestorageand computecapacityofthecloud.

Themoredataweproduce,themoreofitwecanfeedintoAIsystems. These models cantherefore be trained withlarge datasets—producing great performance in real-world applications. Successful systems often useatrainingsetofdatawiththousandsorevenmillionsofexamples.A combination of these events has helped AI gain the critical-mass necessary for it to become the center of attention for technology investment.TherecentincreasedinvestmentinAIhasalsoledtoarapid expansionoftheAIindustry.

Theotherpartoftheanswerispowerfulalgorithmsanddatascience.We have seendramatic improvements inspecific areas over the last years suchasMachineLearning,DeepLearning,NaturalLanguageProcessing, andRobotics.ThesehaveallbroughtAIoutoftheresearchlabandinto therealworld.

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MachineLearning(ML)-Thetermwascoinedbycomputerscientist

Arthur Samuelin1959. MLis oftenused as a synonymfor AI, but it’s

actuallyadifferent,albeitrelateddiscipline.WhileAIreferstoacomputer programableto“think”foritselfwithoutprogrammedinstructions,MLis one process by which a computer can learn its trade. ML is about providingAIwithlotsofdata.Itreferstoawidevarietyofalgorithmsand methodologiesthatenablesoftwaretoimproveitsperformanceovertime as it obtains more data. The essential task is to create a predictor of future outputs from the set of inputs. Amazon’s ML makes product recommendations based on the customer’s purchasing behavior and browsing history almost instantly. Thus, for ML to work reliably, the technology requires continual access to massive volumes and a broad varietyofdata—referredtoasbigdata.Italsorequirestherightlearning algorithm and accurate data sets. We use ML to solve real-world problems.MLisincreasinglybeingusedtohelpcompaniescollectbillions ofdatapoints,boilthemdowntowhatisactuallymeaningful,andpredict whatislikelytohappeninthefuture.

ofdatapoints,boilthemdowntowhatisactuallymeaningful,andpredict whatislikelytohappeninthefuture. DeepLearning

DeepLearning

In 1951, Marvin Minsky and Dean Edmunds build SNARC (Stochastic

In 1951, Marvin Minsky and Dean Edmunds build SNARC (Stochastic NeuralAnalogReinforcementCalculator),thefirstartificialneuralnetwork,

using3000vacuumtubestosimulateanetworkof40neurons.By1969,

ArthurBrysonandYu-ChiHodescribebackpropagationasamulti-stage dynamic system optimization method. This learning algorithm for multi- layerartificialneuralnetworks,hascontributedsignificantlytothesuccess

ofdeeplearninginthe2000sand2010s.

SomeofthemostimpressiverecentadvancementsinMLhavebeeninthe subfieldofDeepLearning(DL).DLisasubsetofML.DLisanalgorithm that is inspired by how the human brain works and solves problems typicallyinthewayhumanssolve.DLusesastructurecalledanartificial neuralnetworkwhereaneuralnetworkisarrangedintomultiple“layers”

betweenaninput, suchas the pixels ina digitalimage, and anoutput, suchastheidentificationofaperson’sfaceinthatimage.Itfocuseson

algorithmsthat arebuilt onthemodelthat thehumanbrainisbuilt. The powerofDLliesinitsabilitytodeterminethefeaturesofamodelfromthe data, rather thanhaving features defined upfront by anexpert. It uses artificialneuralnetworkstodiscerncomplexstatisticalcorrelations.Once

the neuralnetwork is supplied witha large enoughlabeled data, it can

then establish a suitable mathematical relation between the different factors(orvariables)bycomparingitwiththedesiredoutput.DLenables computersto“see”ordistinguishobjectsandtext inimagesandvideos muchbetterthanbefore.

DL has enabled many practical applications in the field of AI. Image

recognitionbymachinestrainedviaDLinsomescenariosisbetterthan humans, whichcanrangefromidentifyingcatstotumorsinMRI scans.

Today’sdeeplearningwillseembasictohumansin5–10years.

NaturalLanguageProcessing(NLP)isanapplicationdomainforML

techniques.TheprogramSTUDENT,writtenin1964byDanielBobrowfor

his PhD dissertation at MIT is one of the earliest known attempts at

natural language understanding by a computer. A year later in 1965, Joseph Weizenbaum developed ELIZA, an interactive program that carriesonadialogueinEnglishlanguageonanytopic.NaturalLanguage Processing(NLP) isabout makingamachine“understand” thestructure and the meaning of natural language as used by humans. It allows machinestointeractwithus.ThegoalofNLPalgorithmsistogetrelevant linguistic structure and use that information to understand the user’s questionor instruction. The Google Assistant onyour smartphone also uses NLP. Whenyouask a question, it interprets humanlanguage and then performs actions to give you a reply. It allows machines to understand humanlanguage. NLP canuse MLbased models to help it

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interpretlanguage.

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Robotics is a field of engineering which incorporates multiple

disciplinestodesignandmanufactureroboticmachines. Thetermrobot wasfirstintroducedbyCzechnovelistKarelČapekinhishitplay,R.U.R.

orRossum’sUniversalRobots,whichopenedinPragueinJanuary1921.

In1929,MakotoNishimuradesignsGakutensoku,Japanesefor“learning

fromthelawsofnature,”thefirstrobotbuiltinJapan.Itcouldchangeits facial expression and move its head and hands via an air pressure mechanism.Robotsareprogrammablemachineswhichareabletocarry outaseriesofactionsautonomously,orsemi-autonomously.Theyinteract withthephysicalworldviasensors. They aremoreflexiblethansingle- function machines. The word “robotics” was first used by the famous

sciencefictionauthorIsaacAsimovinhis1941story“Liar!”Anincredible

visionary,Asimovstartedtheworldthinkingaboutthepotentialchallenges technology might have onthe world of humanity. He also proposed the threelawsofrobotics.Isroboticprocessautomationthesamethingas robotics?RoboticProcessAutomation(RPA)—inspiteofitsname—has nothingtodowithphysicalrobots.Itrefersto“softwarerobots”whichare configuredtoexecutestepsidenticallyasahumanoperatorwould.These robots are used to automate physical tasks, suchas inmanufacturing. Also, many branches of robotics have nothing to do with automation. Industrial automation involves using physical machines and control systems to automate tasks within an industrial process. A fully autonomous factory is an example. In 1961, the first industrial robot, Unimate,startedworkingonanassemblylineinaGeneralMotorsplantin NewJersey.

IsroboticsapartofAI?ManypeopleassumeroboticsisasubsetofAI,

orthesamething.Despitebeingrelatedinsomeways,theyaredifferent

fieldsofstudy.Thetwofieldscanintersect,butneitherisdependentor

contingentontheother.Forexample,afactoryrobotisprogrammedto dothesametasksoverandoveragainuntilsomeoneswitchesitoff.This isnot AI. Artificialintelligenceissoftwarethat learnsandself-improves, whereas robotics is useful to allow AI to interact withthe world. AI is emulationofthemind.Itisanalgorithm,toembedmachineswithdecision making ability. Robotics, onthe other hand, is about interacting withor manipulatingrealphysicalthings.Iliketothinkofroboticsasthehardware and AI as the software whenthey are combined—brainand body. The combinationofrobotsandAI isasignificant areaof research. In1966, Shakey, the world’s first robot to embody artificial intelligence was developedat theStanfordResearchInstitute. RobotscombinedwithAI arepotentiallyapowerfulforce,duetotheirphysicalnatureandabilityto changeandrapidlyimprovewithouthumandirectionorcontrol.Oneofthe earliestattemptsatcreatinganAIthroughhumaninteractionwasmade by Rollo Carpenter in1988. He developed the chatbot Jabberwacky to “simulatenaturalhumanchatinaninteresting,entertainingandhumorous manner.”

ThemarriageofroboticsandAIwillofferpowerfulcompetitiveadvantage, which will accelerate development. Bank of America Merrill Lynch

estimatesthatcombiningAIwithroboticswillincreaseproductivityby30%

inmanyindustrieswithinadecade.Itcanalsoreducemanufacturinglabor

costsbyasmuchas33%overthesametimeperiod.

Japan has spent decades developing robots. They’ve made humanoid robots to make people curious about their capabilities. Honda’s Asimo robotcanactonitsownwithouthumanintervention.Ithasasophisticated senseof touchandcanwalkandrunwell. Asimoevenkickedaballto

PresidentBarackObamaduringhis2014visittoJapan.

HansonRobotics, inthe USA, has developed robots that are extremely humanlike. SophiaisHansonRobotics’latest andmost advancedrobot.

Shehasalsobecomeamediasensationhavinggivennumerousinterviews tomultiplemediaoutlets.Oneofherinterviewshasgeneratedbillionsof views. She is capable of natural facial expressions and can also rememberfacesandtheinteraction.

PredictionsforStateofAI&Roboticsin2025byPewResearch

CenterLists:

Domestic:Cleaners,homecare,nannies,andcompanions

Commercial:Packing,drawing,printing,media(robotsarewriting

newsarticlesnow),pharmacy,retail,andhospitality

Transport:Cab/truckdriversandwasteremovaltruckdrivers

Medical: Inhospitals and surgeries, diagnostics, and scans for disease and cancer cells which require precision and 100% accuracyTransport:Cab/truckdriversandwasteremovaltruckdrivers Industrial:Repetitiveworkinfactoriesandfarmsorinhazardous

Industrial:Repetitiveworkinfactoriesandfarmsorinhazardous

situationslikenucleardisasters,andrecoveryandcontainment

Sea:Salvageandrecoveryoperations

LawandEnforcement:Policeandtrafficcops

Military:Soldiers,drones,tankdrivers,anddisarmingbombs

Space: Construction/digging/maintenance work on Mars and spacestations,andexplorationssuchastheESA’sPhilae,whichLawandEnforcement:Policeandtrafficcops Military:Soldiers,drones,tankdrivers,anddisarmingbombs landedonacomet12Nov2014

landedonacomet12Nov2014

Robots are being loaded with more sensors and capabilities. In many

Robots are being loaded with more sensors and capabilities. In many casestheyusedtoperformtasksthataredifficultforhumanstoperform

orperformconsistently.NASA’sValkyriehumanoid,officiallyknownasR5,

isonesuchexample.Thereareonlyahandfuloftheseintheworld,and one of them is owned by NASA. They are a platform for establishing human-robot interaction, and were built in 2013 by a Johnson Space Center(JSC)Engineeringdirectorate.Thishumanoidrobotisdesignedto beabletoworkindamagedanddegradedenvironments.Accordingtoa white paper by Bell-Hawk systems, real-time AI techniques originally developed for the USAF and NASAare being applied to manufacturing organizations. Research and Markets expects that $226 billion will be

spentonroboticsby2021.Italsobelievesthat2016wasthecrossover

point after which the majority of robots will be used in nonindustrial

applications.Forresterestimatesthatby2021,therewillbeover4million

robots doing office, administrative, sales, and other related tasks. Softbank’s Masayoshi Sonwill invest $100 billioninAI and robotics. In

termsofspecificareas,SoftBanksaiditsareasoffocusincludeIoT,AI, robotics, infrastructure, telecoms, bio tech, fintech, mobile apps, and more.

“A number of economic and technical barriers to wider adoption are

beginningtofall,”saystheBostonConsultingGroup’s2015report.“Asa

result, a dramatic take off inadvanced robotics is imminent.” Since AI systemscanrecognizeopticalpatternsandidentifyobjects,machinescan leave the virtual and join the real world. Very soon, robots will be operatingandmovingaboutinsocietyandnotonlylimitedtocommercial buildings.Wewillhavetolearntocoexistwiththem.

AIcanbecategorizedinanynumberofways,butherearetwo

examples:

ArtificialintelligencetodayisrightlyknownasnarrowAI(orweakAI),in thatitisdesignedtoperformaparticulartask(e.g.onlyinternetsearches oronlydrivingacar).Virtualpersonalassistants,suchasApple’sSiri,are aformofweakAI.Theyarehighlyspecializedandareoftenbetterthan humans at the same task. However, they need large sets of data and weeks/months/yearsoftrainingbyhumans.Oneofthebiggestdrawback is that these narrow AI cannot transfer knowledge. However, the long- termgoalof manyresearchersistocreateartificialgeneralintelligence

(AGIorstrongAI).In1950,AlanTuringpublished“ComputingMachinery

and Intelligence” inwhichhe proposes “the imitationgame” whichlater becomeknownastheTuringTest.TheTuringTestisamethodusedto determineifacomputercanactuallythinklikeahuman.WhilenarrowAI mayoutperformhumansatwhatsoeveritsspecifictaskis,suchassolving equations,AGIwouldoutperformusatnearlyeverycognitivetask.

Alan Turing said in his famous 1950 paper: “Most of the programmes whichwecanputintothemachinewillresultinitsdoingsomethingthat we cannot make sense (if at all, or which we regard as completely

random behaviour. Intelligent behaviour presumably consists in a departure from the completely disciplined behaviour involved in computation.”

Theproliferationofintelligenttechnologyisresultinginadvancedmachines than can act and do more than humans ever thought possible. And innovation seems likely to get faster, since tech giants and venture capitalists are pouring investment into new AI applications. Last year, according to research conducted by McKinsey, tech companies spent somewhere between $20bn and $30bn on AI, mostly in research and development.Anotherstudy,performedbyForresterResearch,predicted

anincreaseof300%ininvestmentinAIthisyear(2017),comparedtolast

year.IDCestimatedthattheAImarketwillgrowfrom$8billionin2016to

morethan$47billionin2020.

Intelinvests$1billionintheAIEcosystemtoFuelAdoptionandProduct

Innovation. Ina statement published ontheir website, their CEO Brian Krzanichstates:“AIwillmaketheimpossiblepossible:advancingresearch oncancer,Parkinson’sdiseaseandbraindisorders;helpingtofindmissing children; and furthering scientific efforts in climate change, space explorationandoceanicresearch.”

children; and furthering scientific efforts in climate change, space explorationandoceanicresearch.”

TheRaceforAI:

TheRaceforAI:

Approachingtheendof2017,therecontinuestobearecordnumberof

Mergers and Acquisitions of AI companies, with giants like Apple, Amazon,Facebook,Microsoft,andAlphabetInc.leadingthetransactions. Consolidationinanymarketisexpected,butAIisconsolidatingatsuchan earlystage, bysofew companies, that therearestrongreasonstobe concerned.Alphabet’sGoogleledtheracetoacquireAIandMLstartups inthe past 5 years, followed by Apple. It’s no surprise that Google is leading the pack. In2013, Google picked up deep learning and neural network startup DNNresearch, an acquisition that reportedly helped Googlemakemajorupgradestoitsimagesearchfeature.Consolidation inAIwillcreatetheworstmonopolyinUShistory.Whenfivecompanies havedominantcontroloveranemergingandtransformationalfieldsuchas AI, it hurts everyone and limits access to smaller companies who don’t havethefinancialbacking.Keepinmind,allthesecompaniesarebuilding platforms for both immediate need, and strategic expansion of future businesses.

ChinaaimsatbecomingtheworldleaderinAIby2030

businesses. ChinaaimsatbecomingtheworldleaderinAIby2030 ChinahaslaidoutadevelopmentplantobecometheworldleaderinAIby

ChinahaslaidoutadevelopmentplantobecometheworldleaderinAIby 2030, aimingtosurpassitsrivalsandbuildanAI industryworthalmost US$150 billion. The National Development and Reform Commission, China’s top economic planner, has already giventhe greenlight to the

creationof19nationalengineeringlabsthisyear,3ofwhicharededicated

toAIresearchandapplication,includingDL,brain-likeintelligence,virtual

reality(VR),andaugmentedreality(AR)technologies.

TheEuropeanAILandscape

TheEuropeanAILandscape

According to researchon“The EuropeanAI Landscape” conducted by Asgard,Themainfindingsareasfollows:

EuropehasagrowingandthrivingAIindustryconducted by Asgard,Themainfindingsareasfollows: The UK has by far the strongest AI ecosystem, followed by

The UK has by far the strongest AI ecosystem, followed by Germany,France,andSpainEuropehasagrowingandthrivingAIindustry LondonisEurope’snumberonehubforAI companies,followed

LondonisEurope’snumberonehubforAI companies,followed byBerlin,Paris,Madrid,Stockholm,andAmsterdamstrongest AI ecosystem, followed by Germany,France,andSpain SwitzerlandhasthemostAIcompaniespercitizen

SwitzerlandhasthemostAIcompaniespercitizenbyBerlin,Paris,Madrid,Stockholm,andAmsterdam MostAIcompaniesareinthedataanalyticsmarket

MostAIcompaniesareinthedataanalyticsmarketSwitzerlandhasthemostAIcompaniespercitizen Therearesomematureandwell-fundedAIcompaniesinEurope

Therearesomematureandwell-fundedAIcompaniesinEuropeMostAIcompaniesareinthedataanalyticsmarket Only60%ofcompaniesclaimingtobeAIfirmsactuallyare

Only60%ofcompaniesclaimingtobeAIfirmsactuallyareTherearesomematureandwell-fundedAIcompaniesinEurope TheEuropeanGeneralDataProtectionRegulation(GDPR)

TheEuropeanGeneralDataProtectionRegulation(GDPR)

Thedemandforuniformprivacyregulationshasledtothecreationofthe European General Data Protection Regulation (GDPR), which will take effect inMay 2018. The GDPR imposes strict rules onhow to handle personal data and may create a challenge for AI companies. It forces companiesofferingaproductorservicetoaEuropeancitizen(itdoesn’t matter whereintheworldtheyareheadquartered) tofollow Privacyby Design principles. It basically states that whoever collects data about citizensof the28Europeancountriesneedstofollow theGeneralData

ProtectionRegulation(GDPR)byMay25,2018.Finesfornoncompliance

are4% of globalrevenue, includingUSArevenue. Thiscouldamount to billionsofdollarsforlargecorporations.ThisiswhymanyUScompanies madethis their toplegalpriorityin2017. Theregulationstates that the

datasubjectcanaskfortheirpersonaldatatobetransferreddirectlytoa newprovider,withouthindrance,andinamachinereadableformat.Italso states European residents have a “right to explanation” when an automated decision was made about them. The reason behind it is to avoiddiscriminationandunseenbiasbyenablingpeopletogotocourtif they feel unfairly treated. But, this could also prohibit the use of Deep Learning.LawssimilartoGDPRwillspreadworldwide—it’sonlyamatter oftime.

ThreeIndustriesthatAIwillDisruptintheNext

10Years

oftime. ThreeIndustriesthatAIwillDisruptintheNext 10Years Healthcare
oftime. ThreeIndustriesthatAIwillDisruptintheNext 10Years Healthcare

Healthcare

ThreeIndustriesthatAIwillDisruptintheNext 10Years Healthcare Robotsarealsomakinghealthcareservicesavailable24/7,evenwhena

Robotsarealsomakinghealthcareservicesavailable24/7,evenwhena

patient is between doctor visits. AI nurses and caretakers can help

monitor a patient’s at-home condition and prompt them to take their medication. Through data-driven algorithms, machines will be able to respond to health concerns and even make diagnoses. Boldest Digital Health Influencer nominee Dr. Emmanuel Fombu says, “Artificial intelligence is arguably the single biggest disruptor for the healthcare industry.It’llfreeupphysicians’timebytakingcareofmenialtasks,it’llaid in the discovery of new drugs and treatments and it’ll help to provide personalized healthcare to every single patient in the system. The possibilities are mind-blowing.” AI could dramatically cut down on the thousands of annual deaths that occur due to adverse reactions to medication.

Financedeaths that occur due to adverse reactions to medication.

FourinfivebankersbelieveAIwill“revolutionize”thewayinwhichbanks gatherinformation,aswellashowtheyinteractwiththeirclients,saidthe

AccentureBankingTechnologyVision2017report,whichsurveyedmore

than 600 top bankers. The report forecasts that AI will become the

primarywaybanksinteractwiththeircustomerswithinthenext3years.

Eventoday,financialadviceisbecomingautomated,withagrowingtrend towardsRoboAdvisors.Robotscanuseavarietyofalgorithmstoprovide personalized recommendations that best meet clients’ saving and investmenthabits.AccordingtoasurveyconductedbyNarrativeScience in conjunction with the National Business Research Institute, 32% of financial services executives surveyed confirmed using AI technologies suchaspredictiveanalytics,recommendationengines,voicerecognition, andresponse.However,theadoptionofAIinthebankingsectorhasbeen slowedbyfear andarigidstructurewithintheindustrythat keepsdata secure.

Transportationslowedbyfear andarigidstructurewithintheindustrythat keepsdata secure.

AI is also used to power autonomous driving systems, and self-driving

vehicleswillbecomearealitywithinthenext5years.Self-drivingcarsare

verysafecomparedtohumandrivers.Google’sself-drivingcardrove1.8

million miles and was involved in only 13 accidents—all of which were caused by the other car. This may also lead to making human driving illegal. This is great news, since 1.3 million people die in road traffic accidentseveryyear.

LimitationsofAI

die in road traffic accidentseveryyear. LimitationsofAI

TheeffectivenessAIsystemsislimitedbythemachine’scurrentinability toexplaintheirdecisionsandactionstohumanusers.Machineshelpsolve the“how,”notthe“what”northe“why.”Wearenotatthelevelyetwhere wecancompletelyrelyonAI,wewillstillneedthehumanfactor.Another factorisifyoupresentamachinewithdatathatvariesevenslightlyfrom the training data with which they were taught, it may not be able to computearesult.AIisstillbeingdevelopedandisinitssomewhatinfancy stagesintermsof truecommercialviabilityinmanyindustries. Thereis lotsofdevelopmentstilltocome.

The majority of the data inthe world is not well defined or structured (incorrect, missing, not timely, irrelevant) and secondly—we humans do notunderstandwellenoughhowourownbrainsworksoourmodelsare alsolimitedinthatrespect.

A DL limit is one that considers truth simply as what it spots more frequentlyinthedata,andfalseaswhat’sstatisticallymoreinfrequent.If aDLmodelistrainedover 100booksonhateandlove, with60telling howhateisgood,theDLwillendupsupportinghate.Havealookatwhat happened to Microsoft’s chatbot “Tay” on Twitter. AI can’t be left unattended.

Image recognition has improved dramatically and is even replacing ID cardsatcorporateheadquarters.However,visionsystemssuchasthose used in self-driving cars, formerly made a mistake when identifying a pedestrian.Mistakeslikethesecanhaveseriousimplicationsresultingin loss of life. Additionally, image recognition isn’t always successful in environments where lighting conditions, angles, image resolution, and contextmaybeverydifferent.Even“deeplearning,”whichusesartificial neural networks to discern complex statistical correlations in huge amounts of data, often comes up short. Some of the best image- recognitionsystemscanmakemajorerrors,suchasmistakingasimple patternofyellowandblackstripesforaschoolbus.

Learningisaboutcrunchinglotsofdatausingstatistics.Thedifficultpartis tocollectenoughdata,cleaning,selectionofproperfeatures,andchoice ofMLalgorithm.Thesehigh-profileexamplesofAIwereadaboutdaily, relyoncleverprogrammingandextensivetrainingdatasetstoaccomplish intelligenttasks.Unlessthealgorithmsortrainingsetsspecificallyaccount for a particular element, situation, or circumstance, ML systems are thwarted, unabletodeterminewhat todo. If thereisnot enoughup-to- datedata,statisticscannotdeliverthebestfitforyourproblem.Statistics relyoninformationfromthepast.Itcanonlyextrapolatethepasttothe future, which is about driving a car while looking at the rear mirror. Statisticshasparticularproblemswhenitcomestopredictingthefuture, particularlyifthereisgoingtobeachangeinthetrend.Whilethetrendis maintained,itcanpredictaccurately.

In his Pulitzer Prize-winning book, Gödel, Escher, Bach: an Eternal GoldenBraid,DouglasHofstadterexploresthethemesofintelligence.He believesthatintelligenceisanemergentpropertybuiltonself-referential layersoflogicandabstractions.InaninterviewwiththeAtlanticMagazine he states, “I don’t want to be involved in passing off some fancy

program’sbehaviourforintelligencewhenIknowthatithasnothingtodo

withintelligence.AndIdon’tknowwhymorepeoplearen’tthatway.”

AIcanreachaverylogicalconclusionbutitisnot“creative.”Itdeliversan output that isperfectlylogical, giventheinternalmodelingof theneuron network and the function coefficients for each neuron that resulted of applying ML. It might be true that AI is first of all inspired from our intelligence,butithastohavethesamesubjectivetendenciesashumans. AI systems will never be able to predict something that hasn’t already happened,addsAnneMoxie,asenioranalystatBoston-basedresearch andadvisoryfirmNucleusResearch. “They’relearningfrompast events but won’t be able to predict something that’s unexpected,’’ she says, “Theycan’t thinkthewayhumanscanandspeculateonsomethingthey don’thaveanydatafor.”

MachineLearningpioneerGeoffreyHinton,saidatanAIconferencethat hewas“deeplysuspicious”ofback-propagationandstated,“Myviewis throwitallawayandstartagain.”Aneuralnetworklearnsthroughtraining usinganalgorithmcalledbackpropagation,whichisanabbreviationforthe backwardpropagationoferrors.Hehasavalidpoint.Thebrainassumes that the world is deterministic, not probabilistic. As Judea Pearl said, “humans are not probability thinkers but cause-effect thinkers.” Other scientistsattheconferencesaidbackpropagationstillhasamainrolein AI’s future. But Hintonsaid that, to pushmaterially ahead, entirely new methodswillprobablyhavetobeinvented.

Thetruthisourintelligenceisverycomplexandpartofthisisbecausewe

aredirectlyconnectedtothephysicalworld.

In an interview, Mark Riedl, associate professor at the Georgia Tech School of interactive computing, stated, “If we want computers to understand how the real world works and what we want, we have to

figureoutwaysofslamminglotsofcommonsense,everydayknowledge into them.” He went on to say that robots will always be capable of making mistakes. “We’ll always want anoperator inthe loop who can pushthis big red buttonand say: ‘Stop. Someone is about to get hurt. Let’sshutthingsdown.’”

Bringingartificialintelligencemoreinlinewithourown

mentalpowers.

mentalpowers. GooglehasstartedaddingImaginationtoitsDeepMindAI.Researchers

GooglehasstartedaddingImaginationtoitsDeepMindAI.Researchers havestarteddevelopingAIwithimagination.“Whenplacingaglassonthe edgeofatable,forexample,wewilllikelypausetoconsiderhowstableit isandwhetheritmightfall,”explaintheresearchers.“Onthebasisofthat imagined consequence we might readjust the glass to prevent it from fallingandbreaking.”TheteamworkingatGoogle-ownedlabDeepMind saysthisabilityisgoingtobecrucialindevelopingAIalgorithmsforthe future,allowingsystemstobetteradapttochangingconditionsthatthey haven’tbeenspecificallyprogrammedfor.

Computerscientistsareevenfindingwaystocodecuriosityintointelligent machines. Additionally, a new program funded by the federal government’s intelligence arm, Intelligence Advanced ResearchProjects Activity (IARPA), aims to bring AI more in line with our own mental powers. Three teams composed of computer scientists and neuroscientists will attempt to figure out how the brainperforms visual identification,andthenmakemachinesthatcandothesame.Noonehas yetattemptedtoreconstructapieceofbrainatthisscale.Researchers are focusing on a part of the cortex that processes vision—a sensory system that computer scientists have long strivento emulate. “Today’s machinelearningfailswherehumansexcel,”saidJacobVogelstein,who

heads the program at the Intelligence Advanced Research Projects Activity(IARPA).

the Intelligence Advanced Research Projects Activity(IARPA).

TheraceisdefinitelyontobringAImoreinlinewiththebrain.Engineering researchers at the California NanoSystems Institute at the University of California,LosAngeles(UCLA)arebuildingadevicethatis“inspiredby thebraintogeneratethepropertiesthat enablethebraintodowhat it does,” according to Adam Stieg, anassociate director of the institute, who leads the project withJimGimzewski, a professor of chemistry at

UCLA.Thisdevice,a2-millimeter-by-2-millimetermeshofsilvernanowires

connected by artificial synapses may look chaotic and random, but its structureandbehaviorresemblethoseofneuronsinthebrain.Itcanrecall itsexperiencesandcansolvesimpleproblems.Itsinventorshopeitpoints the way to devices that match the brain’s energy-efficient computing prowess.

Itseemsthatthisstructureenablesmemoryandprocessingabilitytobe

combined as it does not have the separation that exists in our Turing machines.Personally,Iwanttolearnmoreaboutthefabricationandhow youcommunicate—sendsignalstothissilvermesh.Thereisasoontobe publishedpapercitedonthisresearchandit’swhatI’mreallyinterested in. I would like to learnhow they execute logic operations against this device.

CONCLUSION

execute logic operations against this device. CONCLUSION

“ByfarthegreatestdangerofArtificialIntelligenceisthatpeopleconclude

tooearlythattheyunderstandit.”—EliezerYudkowsky

Machines are learning to do more, and they are learning fast. It is expected that they willlearnevenfaster fromtheir user’s behavior and predict a person’s needs to the point where they are basically making

decisionsforthem.ItisestimatedthatAIwilladdnearly$16trilliontothe

global economy by 2030. Most companies are rethinking their strategy about businessmodels, services, andarchitectureinahyper connected world of intelligent machines and big data. According to a Narrative

Sciencereport,just38%percentofthecompaniessurveyedusedAIin

2016—butby2018,thispercentagewillincreaseto62%.Theeffectsof

AI will be magnified in the coming decade and most industries will transformtheircoreprocessesandbusinessmodelstotakeadvantageof the new developments. The bottleneck now is in management, and implementation.

A joint report by The Boston Consulting Group and MIT Sloan ManagementReviewrevealedthree-quartersofexecutivesbelieveAIwill

enabletheircompaniestomoveintonewbusinesses.Almost85%believe

AIwillallowtheircompaniestoobtainorsustainacompetitiveadvantage. At the same time, the survey of 3,000 business executives in 112

countriesand21industriesrevealedthatthecurrentlevelofAIadoption

at most companies is alarmingly low. The gap between ambition and executionis large at most companies. Only 5% of executives said that their companieswerealreadyextensivelyleveragingAI. Inother words,

95%areplayingcatchup.Consequently,chasingthehypeofAI—orany

advancedtechnology—isnotatalluncommon.Iamclosetoacompany (thatshallremainunnamed)thatisnowfalselysellingthemselvesasanAI enabledplatform.Iamalsoseeingmanycompaniesaddingthis.Investors need to be cautious because adding AI is a label, and executing it successfully are two very different things that require specific skill sets andmanagement competence. SayingyouareAI enabledbecauseyou have a job posting for a ML expert is not being AI enabled. Solitary successfulexecutionofabackpropagationalgorithmdoesnotmakeone AIenabled.

Should you fear or embrace AI? This question revolves around the assumptionthat we have a choice to control its implementation. AI will eventuallybecomeanewreality,whetherwedecidetoembraceitornot. While there might be a temptationand tendency to “wait and see” this couldbeveryrisky.Thechangewhenithappenswillacceleratequickly, leavingunpreparedbusinesses,governments,andsocietiesparalyzed.It isfarbettertoanticipateimminentshocksandactnow,tobebetterable tocopewiththeupcomingtechnologicalupheaval.

Mostindustriesthatdon’twanttobeleftbehindarelookingtoemployAI insome form, “The convergence of emerging technologies including the Internet of Things, robotics, and AI is creating new market value and displacingexistingproductsandservices.Thesetechnologiesaredriving profound changes impacting industries and business models as well as life, society, and the environment,” said Tim Zany, Global and US Technology Sector Leader at KPMG. The combinationof these factors

meansweareat thestart of anew ageof developments, onethat will haveaprofoundeffectoneveryperson’slife.ArtificialIntelligenceisthe future. AI will propel a transformation of unprecedented progress that governments,businesses,andindividualswillneedtoprepareforanera ofcontinuousadaptationandlife-longlearning.

Atthesametime,thisalsoaffordshumanstheopportunitiestolearnto worktogetherwithrobotsandmachines.Thefutureofroboticsisgoingto beinterestingwithpassingtime.ClaimsthatAIwillbesuperiortoexisting approaches ignores the fact that AI needs data—data that’s often not captured.AIdoesnotmysteriouslycreatedata.AIsuccessstoriessofar arebasedonvery welldefinedsets of datawhenalgorithms candoa discovery based on relatively simple models. AI is as smart as the combinationoftheunderlyingdataandhumansthatdesigntheunderlying models.AIstillrequiresalotofhumanintelligencetoframetherelevant usecasesandtraintheplatform.Yearsofresearchinthisfieldhashelped to come up withalgorithms that help machines to identify the problems andtocomeupwithnovelapproaches tosolvethem. But still, agreat dealof code is writtenby researchers; hence years of researchis still required to reacha levelwhere machines canlearnby themselves and comeupwithsolutionswithouthumanhelp.ThesmartestAIsystemscan’t stack up against adaptive biological intelligence. AI cannot replace cognitivehumanreasoningandthinking.Arobotwillnotbeabletoplan, negotiateabusinessproposal,anddecideifitisinneedofcarenowor later.Amachinewillneverreplacehumans,fortheyarenotindependent rationalbeings. They aredevoidof compassion, feelings, empathy, and life.

According to John Launchbury, the Director of DARPA’s Information Innovation Office, there are “Three waves of AI technology”. We are currently witnessing the “The 2nd Wave of AI”, which are essentially

systemsthatareverygoodat‘learning’butnotsogoodat‘reasoning’.By

definition,“Reasonisthecapacityforconsciouslymakingsenseofthings,

applyinglogic,establishingandverifyingfacts,andchangingorjustifying

practices,institutions,andbeliefsbasedonneworexistinginformation.”

InSeptember2017,HarryShumExecutiveVicePresident,MicrosoftAI

andResearchGroup,toldanaudienceattherecentopeningoftheGIX U.S.Chinatechinstitution,“Whilethisisveryexciting,Ithinkpeoplemight getconfusedthatmostAIproblemsaresolved.That’sdefinitelynottrue.I want to caution everyone — we’re still very early in this AI thing. Computerstodaycanperformspecifictasksverywell,butwhenitcomes togeneraltasks,AIcannotcompetewithahumanchild.”

Wemustneverlosesightofthefactthatsystemsonlyimitatewhatwedo inreallife;systemsdonotthinkobjectively,asthereisalwayssubjectivity. Ifwekeepinperspectivethemeaningof“life,”thisisthecriticaldifference asamachinedoesn’t experience“life.” It doesn’t feelemotions, doesn’t appreciate mortality, so it is unable to be compassionate, loving, or understanding. A machine is capable of ingesting, analyzing, and objectively providing solutions and/or recommendations based on what humans have programmed or taught it; but will never make decisions basedontheemotionalandunknown—thatiswhatmakesushuman.

Intelligentmachinesandapplicationscanlearnafewtricksontheirown, but they cannot decipher or predict human emotions. Even if you are married, your spouse cannot know what youwant if youdo not say it. HowdoyouexpectAIresearcherstoknowhowtodothat?Couldyour partner guess what you want by spying data on your past activities? Communication between people is impossible without understanding. Understandingisanintuitiveattributeofhumanbeings.Machinescannot readyourmindtofigureoutyourintentions,desires,andgoalsandyour understandingabouthowtosatisfythem.Theydon’ttaketheroutethat

goes by the river because there’s an absolutely beautiful sunset this eveningwhichwilleaseyourstress.

beautiful sunset this eveningwhichwilleaseyourstress.

AI’smostimportantattributeisn’tprocessingscoresofdataorexecuting programs,butratherlearningtofulfilltaskswehumanscannotsowecan reachfurther.It’sapartnership:wehumansguideAI.ToinvestinMLand seeresults,youcan’tjustinvestinthetechnology.Youalsoneedtomake sureyouhavetheright peopleinplacetoguidethesystemsandallow

them to create the most impact. Man and machine partnerships will become more important thanever inthe next decade. We willneed to have ethicalcommittees inplace to oversee the advancement of DLto determine if developments will cause more harm than good to human civilizationonacase-by-casebasis. Wherejobsarelost, otherswillbe created,butwemustbeopen-mindedandagileinordertoadapt.That means reconsidering our current economic and political systems to complementourevolvingtechnologicaladvancementsforthegreatergood ofsociety.

History is abounding withthe wreckage of technological innovationthat failedtoprovideaconsequentadvantagetohumanendeavors.Scientific, technological, andindustrialdevelopmentshavefrequentlyinvolvedside- effects, and trade-offs that have had global scale impacts on our environment and society—plastics, power stations, and the internal combustion engine have had the side effects of global pollution, and climatechange. Thesourcesof manyof today’sissuescanbefoundin theamoralnatureofscientificandtechnologicaldevelopments.It’snever easytoaccuratelypredictthefuture,andthetruecapabilitiesofAImay

notyetberealized.By2030,advancesintechnologyandinnovationswill

meanthatrobotsandAIwillbeinourlivesinabigway.It’sunavoidable.

RobotsandAIarecapableofmuchmorethanvacuumingorpackingour

groceries.Dependingoncodeandsoftwarewrittenforthem,theymaybe

abletothinkindependently,likeAsimo.It’simportantthatwestayup-to-

datewithtechnology, but learningor implementingsomethingbeforewe understandhowthetechnologywillhelpusisabadidea.AIwhenused correctly,isextremelypowerfulandbeneficial.

CHAPTERTWO

WILLROBOTSTAKEYOURJOB?

CHAPTERTWO WILLROBOTSTAKEYOURJOB? Therecentanxietiesabouttechnologicalchangearehardlynew.Writingin

Therecentanxietiesabouttechnologicalchangearehardlynew.Writingin

the1930s,theeconomistMaynardKeynescounseledpatience,promising

that any jobs lost to technology marked only a “temporary phase of maladjustment.”

The relationship between new technologies and jobs is complex. New technologies enable better-quality products and services at more affordableprices, but theyalsoincreaseefficiency, whichcanleadtoa reductioninjobs.Newtechnologiesarearguablygoodforsocietyoverall becausetheycanimprovehealthcareandbroadlyraiselivingstandards;

however,whentheyleadtojobloss,theycanthreatennotonlylivelihood

butindividualsenseofidentity.

Steam power drove industrializationfor most of the nineteenthcentury, until the adoptionof electric power inthe twentiethcentury, leading to tremendousadvancesinindustrialization.Weareintheearlystagesofa technology-driven industrial revolution which is both eliminating and creating jobs. Just like blacksmiths and weavers were replaced in the FirstIndustrialRevolution,manyofthejobsweseetodaywillbereplaced now that we are moving from an Industrial Revolution to a Digital Revolution. The Fourth Industrial Revolution will cause widespread disruption,notonlytobusinessmodelsbutalsotolabormarketsoverthe

next5years,withenormouschangepredictedintheskillsetsneededto

thriveinthenewlandscape.TheFutureofJobsreport,publishedbythe

WorldEconomicForumstated,5yearsfromnow,overone-thirdofskills

(35%) that are considered important in today’s workforce will have

changed.Microsoft’sFutureProofYourselfreportsuggestedthat65%of

today’sschoolstudentswillbedoingjobsthatdon’texistyet.Thismeans that many of today’s students may be spending time and money ona degreeor qualificationfor jobswhichmaybecomeobsoleteinthenear future.

By 2025, the Fourth Industrial Revolution will have brought us AI, autonomous transport, and advanced robotics. These developments will transform the way we live, and the way we work. Some jobs will disappear and there will be new ones. Rapid advancement in AI will enablesmartmachinestheabilitytolearnmoreandprocessdatafaster thananyhumancan,whilemakingmuchfewermistakes.Smartmachines don’t have humanlimitations. Smart machines willnot require sleep nor sufferfrombiasdecisionmakingoremotionalinfluence.

According to statistics published by the International Federation of

Robotics,nearly1.3millionnewrobotswillbeworkingacrosstheglobe

by2018.Already,theaveragerobotdensityinthemanufacturingindustry

of developed countries is as highas 20 to 50 robots per 1,000 human workers.AjointresearchbyMITandBostonUniversitystudiedtheeffects of increased use of industrial robots between1990 and 2007. Results

estimateanextrarobotper1,000workerscouldpotentiallycut5.6human

jobs.Inthatperiod,industrialrobotsalonehaveeliminatedupto670,000

Americanjobs. Chinaisalsobuildingfullyautomatedfactories. Insome

cases,1robotcandotheworkof140humanworkers.“Theydon’tget

sick,theydon’tcomplainaboutbadworkingconditions.”Foxconnreplaced 60,000factory workers withrobots inMay 2016. They cut their human workforce from 110,000 to 50,000. Their unhappy workers tended to commit suicidebyjumpingoff theroof. Foxconnput netsontheground leveltocatchthem.Thatdidn’twork,soinsteadoffixingconditions,they replaced them with robots. Profits come first. How long can the other

50,000humanworkerskeeptheirjobs?

Economists generally emphasize the benefits of automation: Machines reducecosts, andtheyfreeupworkerstodoother jobs. For example, 41% of Americans were farmers a century ago, due to mechanical

harvestersandtractorsbutonly2%workinagriculturetoday.Afactoryin

Dongguan,China,replacedmostofitsworkerswithrobotsanditsawa riseinproductivity.Despitethisreductioninstaff,notonlyisthefactory

producingmoreequipment(a250%increase),butit’salsoensuringbetter

quality (defects dropped by 80%). According to Monetary Watch, the Changying PrecisionTechnology Company focuses onthe productionof mobilephonesandusesautomatedproductionlines.Thefactoryusedto

berunby650employees,butnowjust60peoplewiththerobotsgetsthe

job done. Luo Weiqiang, the general manager, says the number of required employees will drop to 20 at some point. Adidas is another

company which has already announced a shift towards robot-only factories.

According to the researchers, there’s a 50% chance that AI will outperform humans in all tasks in just 45 years. In a new study, researchers from Oxford University’s Future of Humanity Institute, Yale University, surveyed 352 machine learning experts to forecast the

progressofAIinthenextfewdecades.Withinthenext10yearsalone,

theresearchersfoundAIwilloutperformhumansintruckdriving,language translation, and writing high-school essays. By 2049, they’ll be able to

writeabestsellerandby2053,they’llbeworkingassurgeons,thereport

said.

Historically, technology has generated jobs to the point of break even, maybe. In a recent report, the World Economic Forum predicted that

roboticautomationwillyieldanetlossofmorethan5millionjobsacross

15 developed nations by 2020. The International Labour Organization estimates that as many as 137 million jobs across Indonesia, the Philippines,Thailand,Cambodia,andVietnamareatriskofreplacement byrobots. Thisrepresentsapproximately56% of thetotalworkforceof thesecountries.

Some of the changes are suddenly coming at such a rapid pace that “traditional”industriesandjobscan’tkeepup.Arecentarticlecontaineda

forecastthatby2020,morethan3milliontruckdriversintheUSwillbe

displaced by autonomous vehicles. The US Robotics Industries

Association(RIA)estimatesthatmorethan265,000roboticsinstallations

arecurrentlydeployedatfactoriesacrosstheUS.ChinaandJapanhave considerably more robotics deployments. Studies at The Center for BusinessandEconomicResearchatBallStateUniversitysuggestedthat

between2000and2010,5.6millionmanufacturingjobswerelost,where

85% of these losses were due to technology developments. Currently,

robotshavereplacedapproximately10%ofmanufacturingjobs,andthis

couldriseto25%by2025.

Thewritingisalreadyonthewall.TheissueIseewithAIisthespeed whichthetechnologyiscominguponus.Peoplearenotableorwillingto adapt and learn so they can move on to new jobs while their current positionsarebeingtakenawaybythistechnology.Thiscouldeventually cause a problem with displaced workers. There is not one area of business that this is not going to be affected. Self-driving vehicles will usher in the elimination of millions upon millions of jobs; fast food restaurants are beginning to introduce automated kiosks and prep systems—millionsofjobslost;dronedeliveryandautomatedwarehouses; AI-drivenroboticfactoriesthat canalsohandlerepair andmaintenance; increasinglysophisticatedAIsystemsenteringintolaw,medicine,science, business, news/media, you name it. Technology enhancements will continue to increase exponentially; new jobs for humans willnot. Japan alsohastheworld’sfirst “AutonomousCorporation,” that is, it operates withno operationalpersonnel. To be clear, these are deliberate human replacinginitiatives.

WhoisMostatRisk?

are deliberate human replacinginitiatives. WhoisMostatRisk? Almosteveryhumanjobrequiresustoperformsomecombinationofthe

Almosteveryhumanjobrequiresustoperformsomecombinationofthe

followingfourbasictypesoftasks:

Manualrepetitive(predictable)followingfourbasictypesoftasks: Manualnonrepetitive(notpredictable)

Manualnonrepetitive(notpredictable)Manualrepetitive(predictable) Cognitiverepetitive(predictable)

Cognitiverepetitive(predictable)Manualnonrepetitive(notpredictable) Cognitivenonrepetitive(notpredictable)

Cognitivenonrepetitive(notpredictable)Cognitiverepetitive(predictable)

Roboticprocessautomationisrapidlyadvancingfromhandlingtraditional

applicationsfor repetitivetaskstohandlingcontinuouslychangingtasks.

MartinFord, futurist, explains the jobs that are most at risk are those which“areonsomelevelroutine,repetitive,andpredictable.”Someofthe jobs include, accountants, air control traffic controllers, babysitters, car

dealers, customer service representatives, pharmacists, secretaries, teachers, telemarketers, wealth managers, retail workers, postal

workers,militaryjobs,pilots,andparalegals.

Forrester Research recently predicted that robots alone would replace

16%ofUSjobsby2025,butcreatetheequivalentof9%ofjobsforanet

loss of 7% by 2025. The researchfound that office and administrative support staff wouldbethemost rapidlydisrupted. Forrester statesthat

the cognitive era willcreate new jobs that require higher skills suchas

robot monitoring professionals, data scientists, automation specialists,

andcontentcurators.Forresterforecasts8.9millionnewsuchjobsinthe

USby2025.

AccordingtotheFutureofEmployeethesearesomeoftheleastsafeand

safestjobs:

Theleastsafejobssafestjobs: Telemarketer Loanoffice Cashier Taxidriver Fastfoodcook

Telemarketersafestjobs: Theleastsafejobs Loanoffice Cashier Taxidriver Fastfoodcook

Loanofficesafestjobs: Theleastsafejobs Telemarketer Cashier Taxidriver Fastfoodcook Paralegalandlegalassistant

Cashiersafestjobs: Theleastsafejobs Telemarketer Loanoffice Taxidriver Fastfoodcook Paralegalandlegalassistant

Taxidriversafestjobs: Theleastsafejobs Telemarketer Loanoffice Cashier Fastfoodcook Paralegalandlegalassistant Thesafestjobs

FastfoodcookTheleastsafejobs Telemarketer Loanoffice Cashier Taxidriver Paralegalandlegalassistant Thesafestjobs

Paralegalandlegalassistant

ThesafestjobsCashier Taxidriver Fastfoodcook Paralegalandlegalassistant Occupationaltherapist Dietitianandnutritionist

OccupationaltherapistFastfoodcook Paralegalandlegalassistant Thesafestjobs Dietitianandnutritionist Chanceofautomation99%

DietitianandnutritionistThesafestjobs Occupationaltherapist Chanceofautomation99% Chanceofautomation98%

Chanceofautomation99%

Chanceofautomation98%

Chanceofautomation97%

Chanceofautomation89%

Chanceofautomation81%

Chanceofautomation94%

Chance of automation

0.35%

Chance of automation

0.39%

Chance of automation

0.42%

Chance of automation

PhysicianandsurgeonChance of automation 0.42% Chance of automation Clergy Mentalhealthand substance abuse social Chance worker 0.81% 0.3%

Clergyof automation 0.42% Chance of automation Physicianandsurgeon Mentalhealthand substance abuse social Chance worker 0.81%

Mentalhealthand substance abuse social Chance0.42% Chance of automation Physicianandsurgeon Clergy worker 0.81% 0.3% of automation Source:TheFutureofEmployment

worker

0.81%

0.3%

of automation

Source:TheFutureofEmployment

Animportant2015studybyYouGovshowedthatfearoftechnologyrises

withprimarilythosewithlowerincomeswhofeelthreatenedbythe“riseof

AI,” whereas mistrust drops with higher incomes. As estimated by

Deloitte,around39%jobswouldbereplacedinlegalservicesandaround

6% jobs are supposed to be replaced in the next 5 years. Similarly

accountantjobshave95%chanceofbeingreplaced.Jobslikeinsurance

underwritersandclaimsrepresentatives,banktellersandrepresentatives,

financialanalystsandconstructionworkers,inventorymanagersandstock

listing, taxi drivers, and manufacturing workers jobs are coming into

extinction. All of these fields employ a huge headcount. These implementationswillleadtobettercustomerexperience,lowercosts,but

greatjoblosses.

Bluecollarmanufacturingjobsarebeingreplacedatanincreasingrateby

the hundreds of thousands as robots are being deployed into many factoriesandworkplacesacrosstheworld.Forexample,anassemblyline worker performs mostly manual repetitive tasks which, depending on

complexityandacost/benefit analysis, canbeautomated. Ontheother hand, a CEO performs mostly cognitive nonrepetitive tasks which are

muchhardertoautomate.Whilerepetitivejobsarealwaysthoughttobe first onthe chopping block, automationwillimpact many tasks of white collar jobs as well. As technology becomes more sophisticated, some

activitiespreviouslycompletedbyemployeescanbehandledbycomputer

programs.AZdnetarticlefocusingonthisresearchemphasizesthatifthe

AI boom continues, it will soon expand into sectors so far considered immune to automation. From the financial industry to journalism and education, new jobs are going to be created which, without AI, would simply be impossible. HR professionals have already found that AI can performcandidatesearchesanddeterminebestmatchesforjobs.Using technology canhelp make candidate reviews more manageable. Some companiesalreadyoffersomeAI-relatedassistancetotrackcandidates ormonitorworkers.Itispossibletoreceivealertsifemployeeshavepoor performance or if they are not where they should be at work. Inearly 2017, a Japanese insurance company, Fukoku Mutual Life Insurance, replaced34claimsworkers(30%) witha$1.7mIBM WatsonbasedAI investment.AccordingtoRajaSubramanian,groupenterprisearchitectat tech services company Xchanging, robots processing insurance-related tasks canclear more than30,000 cases a month, reducing processing

timefrom5minutestolessthan10seconds.OtherJapaneseinsurance

companiesandUScompanieshavealsostartedusingAItoreplacestaff.

Willtherebeanetcreationratherthandestructionofjobs?Thepotential

impactsarebecomingmoreserious.Thisnotonlyrepresentslossofjobs

butleadstomassunemploymentanddepression.

Thisisjustthebeginning.TheAI-drivenrobot“Flippy,”byMisoRobotics, ismarketedasakitchenassistant,Flippyfeaturesanumberofdifferent sensorsandcamerastoidentifyfoodobjectsonthegrill.Flippyiscapable ofdeepfrying,choppingvegetables,andevenplatingdishes.Aspartof its “Experience of the Future” initiative, McDonald’s announced plans to roll out digital ordering kiosks that will replace cashiers in2,500 of its locations.Thecompanywillalsoextenditscustomerself-serviceefforts, deploying mobile ordering at 14,000 locations. Meet SAM (Semi- Automated Mason), a bricklaying robot designed and engineered by

ConstructionRoboticsoutofNewYork.WhileSAMcandotheworkof6

masonseachday,heneverrequiresabreak,benefits,orapaycheck.

RobotsandChatbotsattheFrontierofHuman

Replacement

RobotsandChatbotsattheFrontierofHuman Replacement Arecentreportby TheEconomist
RobotsandChatbotsattheFrontierofHuman Replacement Arecentreportby TheEconomist

ArecentreportbyTheEconomistconfirmedthatmostconsumersexpect a business to be available 24/7. They demand a continuous and quick service.Chatbotsoffersthesolutionhere.Callcenters,andmanytypesof human-drivencustomerservices,arequicklybecomingobsolete.Chatbots are like apps but they are ina conversationalformat. Many companies have begun to implement similar interfaces to service customers. One example is Reserve, whichallows youto book a table at a restaurant throughanSMSsimulatedplatform.Theentirebookingprocesshappens insideanin-appchatbotthatfeelslikeatextmessageconversation.Some of the responses in the conversation are automated, while others are

managedbymembersofthereservesupportteam.Thiscombinationof

manandmachinecreatesauniquelypersonalandmagicalexperience.

AttheChatbotSummitinTelAviv.Leadersfromthechatbotcommunity camefromallovertheworldtodiscussthechallengesandthepotential. Inhisopeningspeech,YoavBarel,whofoundedtheconferencesaid,“We are at the threshold of a revolutionthat would affect the daily lives of billionsofpeopleduringthenextdecade…Chatbotsareessentiallyanew userinterfacewhichprovidesconsumerstheabilitytocommunicatewith brands the same way they communicate withfriends and family—via a natural conversation. In the not so distant future, we will be able to communicatewithourbank,getrecommendationsonmoviesandordera cup of coffee from a friendly chatbot.” Research from the acclaimed

NomuraResearchInstituteassertsthatby2035,almost50%ofalljobsin

Japanwillbetakenbyrobots,chatbots,orotherAIapplications.

Asbusinessbotsbecomemoreintelligent,theirabilitytoperformcomplex operationaltaskswillmovebeyondsimplechatapplicationslikecustomer service and scheduling support, to impact business in more profound ways.Forexample,theOperationsbotwillmanageproductionschedules andtheSalesandMarketingbotwilloptimizee-commercechannels…etc.

ResearchfromKPMGsuggeststhatRoboticProcessAutomation(RPA) offers a 40% to 75% reduction in costs. RPA-based processes run

nonstop,24hoursaday,365daysayearandthey’refast.Automationis

no longer an option in the 21st-century enterprise. The speed of technological evolution is exponential. Across industries, it is already driving efficiency, productivity, and optimization. Companies are going throughtheintelligentautomationjourney(ordigitaloperationsjourney)by digitalizingtheirprocessactivitiesusingrobots.AIcanimprovebusiness efficiency, reduce costs, enhance customer experience (internal and external clients), and reach a higher level of process excellence (e.g.,

improvequality,accuracy).

While automationis good, someone needs to manage the transitionto such a domain or job loss will become unmanageable and societal problems will balloon. The problem society faces is that the pace of technological change is much faster (and getting faster by the minute) thantheabilitytochangecareersorinvestinourowneducationtoquickly learn today the skills needed in the “new” world. Basically the rate of humanlabordisplacementisfasterthantherateofjobcreationnecessary toabsorbthelabordisplaced.Howarepeoplewholosetheirjobstoday supposedtopaytheirmonthlybills,saveforthefuture,andensuretheir kidsarereceivingtheeducationtheyneedforthesefuturejobsthatdon’t existyet?

TheUSBureauof Labor Statistics(BLS)reportsover thepast 7years that companies added 136,748 robots to factory floors. The BLS also

determinedthatwhilerobotswerebeingaddedtofactories,894,000new

manufacturingjobswerealsocreatedasaresultofautomation.Themore werelyonautomation,themorewewillneedindividualswiththerelevant skills to deal with the complex code and systems. These jobs being created require specialist skills. This creates a raft of new careers, disciplines,andareasofexpertisenotexistingtoday.

Some economists claim automation will create many jobs. Boston

UniversityeconomistJamesBessenstatedthat“inthe45yearssincethe

introductionoftheautomatedtellermachine,thenumberofhumanbank tellersemployedintheUnitedStateshasroughlydoubled.”WhatBessen doesn’ttakeintoaccountisthattheUSpopulationincreasedbyroughly 120 million people since the introduction of the ATM into the US, so population (as well as increased services) helped to contribute to an increaseinbanktellers.

ForbusinessfuturistMorrisMiselowski,jobshortageswillbearealityin the future. “I’m not absolutely convinced we will have enoughwork for

everybodyonthisplanetwithin30yearsanyway.I’mnotconvincedthat

work as we understand it, this nine-to-five, Monday to Friday, is sustainableformanyofusforthenextcoupleofdecades.”

Ihavenodoubtthattechnologywillcreatenewjobroles,butwilldisplace manymorejobsthanitcreatesandatamuchfasterpacethaninprevious revolutions.Jobswillbelostatagreaterpacethaneverbefore,arate that might pass the threshold of our ability as a nation to provide a reasonablelevelofemploymentforallpersons.Thisisn’tliketheearlier IndustrialRevolutions,thisisnotreplacingsomejobsbymachinery,itis replacing people with intelligent machinery. There’s a fundamental differenceineliminatingsomejobsfromthelabormarket(tobereplaced byotherjobs),andeliminatinghumansingeneralfromthelabormarket (tobereplacedbymachines).Thepreviousindustrialrevolutioninvolved humanaugmentation.Thiscomingrevolutioninvolveshumanreplacement. The entire point of automationis to reduce overhead. How do youdo that?Youremovesalaries,benefits,andhumanerror.Whathappensto thehumans?RobotsandAI willtakejobsandnot everyonecanbere- trained.

Whenwelookatpreviouseconomictransitions,forexampleagricultureto manufacturingtherewasanincreaseinemployment,andnewjobswere created.Thetransitiontoamanufacturingeconomydevelopedaneedfor management,design, planning,forecasting, andavarietyof otherskills. That is, latent human capabilities were engaged in an economically productive way. However, this time, Industry 4.0 technologies (AI, Robotics, IoT, etc.) are increasingly assuming these advanced economically productive human capabilities. The range of human capabilities that only humans canperform is rapidly shrinking. Previous

economic transitions involved the economic deployment of unused but economically productive human capability. This may still be the case, however,thehumancapabilitiesnotyetsubsumedunderAIorRobotics includes:creative,advancedanalytical,orafewhighlyspecializedskills. That is only a very small percentage of the populationwill fill jobs that requiretheseskills;everyoneelseisatriskofjobsdisplacement.There arestructuralissuesinourglobalsocietythatwillacceleratetheadverse effectsofAIandRoboticsonglobalemployment.

Automation and AI will affect multiple, horizontal marketplaces at the sametime.Forexample,thinkofthetractortakingfarmjobs.Nowthinkof thetractornotonlytakingthefarmjobsbutallthejobsleadinguptothe arrivalofthetractoronthefarm.Thepotentialfora“compounding”impact as change takes place within an “industry sector” and also across a numberof“sectors”.

The comparisonbetween“then” and “now” that many use, is stark and invalid. The reason is that “then,” people made the machines that improved productivity; today, machines make machines. In the tractor example above, when one man can plough in a day what formerly

required,say,20workers,that’saproductivityincrease.And,bytheway,

the tractor could dig deeper so quality was improved as well. So what

happenedtothoseother19farmersthenoutofajob?Mostsimplymoved

tothecitiesandbecameassemblylineworkers—moretractorsandother

machines,likeautomobiles,werebeingbuilt.Theyhadtolearnnewskills,

butthatbarwasfairlylow.

Contrast that with “now” where an industrial robot is assembled by

Contrast that with “now” where an industrial robot is assembled by machine-madecomponentsandisinstalledintoanapplicationwhereone personcannow managetheworkpreviouslyperformedbyfour. Where dotheotherthreepeoplego?Itdoesn’ttakethreepeopletoprogramthat robot;onthecontrary,oneprogrammercansupportdozensofrobots.Or let’slookattheloomingself-drivingvehicle.Oneofthelargestemployee basesintheUSistruckdriver. Oncedriverlesstrucksareontheroad, where do allthe truck drivers find work? They won’t build the trucks— that’s done by machine; they won’t programthe trucks—that’s done by someITspecialist.Thedilemmaisnotjustoneofmanualskills.Jobslike accounting, electrical, and mechanical troubleshooters, clerical and service functions, even creative activities, are all being replaced by software.Thefactis,cultureadaptstoit.EventuallyIwon’tneedsome clerktryingtosellmeanoutfitofftherackwhenIcanmakemychoice onlinefromthecomfortofmyhomeandhavecustom-tailoringdelivered

within2days.Theexamplesareendless.Ifmachinescandotheworkof

more people, thenfewer people are required. It’s the same intellectual blindspotthatledtothenotionthatmoreunhealthypeoplecanbeinsured at lower cost. And millions of otherwise intelligent individuals buy into theseimpracticalconclusions.

You could train farmers to use a tractor, far less likely you can train unskilledworkerstodaytoadapttoAI.Also,thespeedoftechnological evolutionisexponential.Iamnotsurethemasspopulacecanrisetothe educationaldemandsrequiredtokeepupwithtechnologyreplacingtheir jobs. The trend of technology is to always replace the lowest strata of workers. Many of these are unwilling or incapable of improving their intellectualcapacitytogetaheadofthecurve.It’seasiertogofromusing ahoetodrivingatractor, thanaforklift operator torobot programmer. Eveniftheydid,Idon’tthinkthemarketwillhaveenoughopportunitiesfor all, regardless of whether they transform themselves or not into more relevantprofessionals.Soevenifnewtrainingprogramsaredeveloped,a bigpart of today’s workforcewillstillbecomeredundant. Secondly, the ageingpopulationofWesternmaturecountriesreinforcesthepointabove.

Thequestionthenis: What happenstothosepeoplewho, for whatever reason, are unable to adapt to the disruptionor do not have sufficient opportunitiestolearnthenewskills?Ultimately,weneedtoaskourselves whetherthedisruptioncanbehandledinamorehumanemannerandnot just treat all human beings as replaceable. Simply put, machines may replace human beings, but we need a new world order where human beingsarenottreatedasdisposableobjectsbutaspeoplewithfamilies, emotions,andwhoneedtolivealifeofdignity,andbegiventhechanceto beproductiveandearntheirliving.

Andrew Ng, the cofounder of Coursera and former chief scientist at Chinese technology powerhouse Baidu, called for more educational

opportunity,especiallyaspeoplearepushedoutofthejobstheyusedto hold.“Ithinkwe’rereachingapointwhereweneedtomayberebuildour educational system, or at least add some new components to our educationalsystem,sothatsomeonewhosejobisdisplacedhasagood shot at getting themselves the training they need in order to find meaningfulwork,”hesaid.

Pervasivejobdisruptioncanleadtoglobalsocialunrestandexacerbate the challenges of companies and governments to retrain their aging workforce. We need to do a better job of helping these people to transition to other occupations and managing the process by which technologyisupendingsociety.So,therealquestionishowdowedeal withpeoplethatwilllosetheirjobsanddonothavetheskillsetstotake onhigherlevel,moretechnicalchallenges?Coalminersareoneexample; most coalminerssimply donot havetheskillsets/educationtowork in “cleanenergy tech,” sowhat arethey todo?Therehas tobeasharp focusonthere-skillingofpeople.ThenewjobscreatedbyAIwillrequire differentandhigher-levelskillsthantheonestheyreplaced.Manypeople withdegreescan’tfindgoodjobsnow,sowhatwillthesituationbewhen theyaredisplacedbymachines.

Bill Gates has suggested robots be taxed and many experts are recommending a Universal Basic Income (UBI) to compensate for the

hugejobdisplacements.IwilldiscussUBIinmoredetailsinChapter4—

TheTwoEdgedSwordofArtificialIntelligence.

I believe that employers who lay off workers should be required to contributetoafundthatwillhelpfinancefurthereducationorretrainingfor the displaced. These workers cannot go back, so they must learnnew tradesor obtainmoreeducationinanother field. Educationalinstitutions arealsopartofthemix.Theymustbepreparedtostayoutinfrontand prepareayoungerandagingworkforcefornewjobcategories.

Educatingourlaborforceforthejobsoftomorrowwillbeofparamount importance, althoughtechnology will be changing the face of education itselfintheyearstocome.Oureducationsystemsusuallygenerategreat test takers but do not teachthe necessary developmentalwork to that focus onhighlevels of social and emotional intelligence. Young people havenoformaltrainingonhowtoapplycriticalthinking,howtoeffectively collaborate, how to become emotionally engaged, or how to listen effectively. Change won’t wait for us: business leaders, educators, and governmentsallneedtobeproactiveinup-skillingandretrainingpeople soeveryonecanbenefitfromtheFourthIndustrialRevolution.

Thispaceofchangeisonlygoingtogetfasterthankstorapidadvancesin the fields of robotics, driverless transport, AI, biotechnology, advanced materials,andgenomics,accordingtotheWorldEconomicForum’slatest annualHumanCapitalIndex.

We are moving from a commodity based capital to intellectual capital. Thesechangesmayseemmarginaltoday.Butthelevelofjobdisruption will be unprecedented and accelerate without muchwarning and cause crises for companies that aren’t prepared. Businesses will benefit the most.Theywillnolongerbeforcedtopayhumanworkersthebillionsof dollars that they have. Add to that the billions of dollars spent on employee insurance, workplace safety renovations, overtime compensation, andworkerscompensationclaimsandanyonecouldsee thebenefitsofreplacingmanpowerwithmachinepower.Withitsonetime purchasing cost and the minimal cost of upkeep, it’s no wonder that businessesnationwidefoughtagainstraisingtheminimumwagetoamere

$15anhour.

Whatcanyoudo?

Allofushavesometendencytobecomecomfortableandcomplacentwith thingssimplybecausetheyarefamiliartous.Whenanewwayofdoing somethingisthrust uponus, our naturalinstinct isoftentoresist for no otherreasonthanbecauseitis“different.”Byacceptingchange,youput yourselfonmoresolidfootingindealingwiththeunexpected.

Weneedtobeawarethatthefutureofmanagementwillnotalwaysbe

themanagementofhumansbyhumans.Businessleaderswillremainbut

lowerandmiddlemanagementmaybereplaced.Youneedtoacceptin

thenotsodistantfutureyourbossmaybearobot.

Wemustadapt,simplyadapt.Thinkofadaptabilityasahabit,something to practice. In the future, we will be competing against mechanically- enhancedworkerswhocanworklongerandharderthanus—anewbreed ofelitesuper-workersemerges.

Robotswillbeinalmosteverysector.Theidealizedcompanyforowners isonewithoutemployees.Robotscan’tgetunionizedorstrike.Theyarea costeffectiveandcompliantworkforce.Theyareabletoworkincessantly, don’t requirebreaksor vacations, sickleave, maternityleave, don’t ask forraises,don’tgossiporgetdisgruntledovermissingapromotion,don’t need weekends off, never leave the premises, don’t lie, cheat, steal, antagonize,orcomplain.ButcoupledwithAI,robotswillbeenabledand trustedtodomuchmore.

AccordingtoPwC, theseforces willresult infour potentialfutures: one where humans come first, one where innovation rules, one where companiescare,andonewherecorporateisking.Imaginewhatitwillbe likewhenyouarenolongerjustcompetingforajobwithanotherhuman. What willyouthinkwhenyour competitionfor ajobisasmart machine withaserialnumber?

Despite the massive potential of AI systems, they are still far from

replacing many kinds of tasks that people are good at or tasks that requirecreativity,innovation,orempathy.

I saw thisfunnyposter “Humansneednotapply” whichwasfelt as an exacerbatedfactorofroboticsandAI.Automation,likeeveryotherform ofindustrialrivalryisdesignedtotransferwealthfromthoselessequipped andslowertoadapttothosewhoareaheadofthecurve.Don’tresistthe progress of technology but rather work to make it fruitful and complementary.WeshouldembraceAIassoonaspossiblesoasnotto falltoofarbehind.Societywillfeelatremendousimpact—soit’sbetterto beaheadofthecurve,tobeproactiveinlearningnewskills.

Individualswillhavetomakeaconsciousefforttogrowintheirlivesand careers.Ifservicejobsaregoingtobecomeobsolete,thenit’suptoeach andeveryindividualtomanageandfindawaytotransformthemselves. Becomeabetterbrandandabetterversionofyourself.Whilewehave hadrobotswhichhavereplacedminorjobs,wearestillquitesometime awayfromrobotsbeingsoadvancedthattheycanreplacecomplextasks suchaspersuadingornegotiating. Communication, emotionalandsocial intelligence, creativity, innovative thinking, empathy, critical thinking, collaboration, and cognitive flexibility will become the most sought-after abilities.

Ibelievewecouldseeaworldwheredataandtechnologyreplaceentire classesofemployment.Weneedtobepayingcloseattentionandinvest

Ibelievewecouldseeaworldwheredataandtechnologyreplaceentire

classesofemployment.Weneedtobepayingcloseattentionandinvest

inthejobskillsandeducationsectorsthatareanticipatedtogrow.

RegardlessifyouthinkAIiscomingforyourjobornot,it’sinyour

bestinteresttobecomeaperpetuallearner:

Startbygettingahigh-levelunderstandingofthechangescoming coming

fromtheFourthIndustrialRevolution,beyondAI,robots,andautomation. Keepabreastofnewdevelopmentsandchanges.Thiswillhelpyoutonot only understand where risks to your career may come from but also identifyopportunitiesforyourfuture.

Take a SWOT analysis. SWOT is the acronym for strengths, SWOT is the acronym for strengths,

weakness, opportunities, and threats. Be sure to include not only your learnedtechnicalskillsbutalsosoftskillsinterestsandpassionsaswell.

3
3

Payattentiontotangentialareasrelatedtoyourcareer,notjustto

whatisdirectlyinfrontofyou.

Thinkofotherareaswhereyourskillscanbeapplicable.Youwill Youwill

need to create every advantage to stay ahead. Consider alternative careerpathsandworkonbridgingthegap,thinkbeyondyourrole.

5
5

Beacontinuouslearner,takeclassesonline,volunteer,participatein

discussions,andnetwork.

Newtechnologieswillcreatenewopportunitiesinmanyfields.There’san unprecedented shortage of programmers, data scientists, cybersecurity expertsandITspecialists,amongothers.Forexample,there’scurrentlya

1millionshortageofskilledworkersinthecybersecuritysector.According

toISC2,thatnumberwillriseto1.5millionby2020.Additionally,astudy

of job ads from April found more than10,000 vacancies inthe US for peoplewithAIormachine-learningskills.

Moreover, here’s a selection of 10 occupations that weren’t around in 2006: App developer, iOS developer, Android developer, Driverless car engineer, Cloud computing specialist, Big data analyst/data scientist, Sustainability manager, Drone operators. Digital marketing specialist, UI/UXdesigner.

Upwork,thelargestfreelancingwebsite,releasedthe20fastest-

growingskillsforfreelancersinQ22017.

The20fastest-growingfreelanceskillsinQ22017allexperiencedmore

than 150% year-over-year growth, while the top ten grew more than

300%comparedtothesametimeperiodlastyear(Q22016).1)Virtual

reality, 2) Natural language processing, 3)Econometrics, 4) Learning

ManagementSystem(LMS),5)Neuralnetworks,6)Penetrationtesting,

7) SEO auditing, 8) Image processing, 9) Asana work tracking, 10) Facebook API development, 11) Swift development, 12) Marketing

analytics, 13) Geographic Information System (GIS), 14) Docker

development,15)AdobePhotoshopLightroom,16)Machinelearning,17)

AngularJSdevelopment,18)Videoadvertising,19)Shopifydevelopment,

and20)Pardotmarketing.

CONCLUSION

and20)Pardotmarketing. CONCLUSION

We’reenteringanewageofautomationandtechnology,wherewedon’t havetoworkrepetitive,unchallengingjobsandcaninsteadfocusonother things. The problem is…there might not be other things. Every single technological advance in human history has brought new economic opportunities and increased the living standards of everyone. That is because every single technological advance in human history has leveraged the productivity of everyone. AI will enormously leverage the productivityofthoseveryfewwhocanusecreativeandanalyticalthought to solve the problems of the rich. The remainder will be surplus to requirements. It will destroy minimum wage jobs, but will create more specialtyjobs.

Both the Canadian Government and the US Department of Commerce have authored reports suggesting that up to 40% of the jobs currently

performedinoureconomiesareindangerofautomationwithin10years.

Thisisaveryfast,verylargechangethatissimplygoingtoleavesome peoplebehind.Noteverybodyiscutouttodotechnologywork…andwhat about older workers? Some are saying that age discrimination is now taking place as young as 45, particularly intechnology and knowledge drivenfields.

While every technological advancement in the past made multiple professions obsolete but created a greater number of new jobs, this “knowledge revolution” is different. Just look at the size of the most

valuable companies in the world less than a generation ago. They employedmillionsorhundredsofthousandsofworkers.Lookatthemost valuablecompaniestoday: Googleiswortharound$500Bandhas72K

employees.Facebookwithavalueofaround$350Bhas17Kemployees,

and Waze was sold for $1.3B when it had 115 employees. This is a growingtrendwheremoreandmorevalueisattributedtolessandless people.MostUScollegegraduateshaveameaninglessdegreethatwill not land them a job, while the average student in the US has an

outstandingdebtof$35K($1.2Ttotal).Thiscurrentknowledgerevolution

willnecessitatefewerpeoplewithhigherskills.Thisbravenewworldwill

demandinitiativeandentrepreneurshipfromeveryone,whileonlyasmall

portionofthepopulationhavetherequiredspirit.

portionofthepopulationhavetherequiredspirit. The fundamental mathematics of investment and finance

The fundamental mathematics of investment and finance require every

companytopursueonebasicobjective:Spendaslittleasyoucaninorder toproducethemostandthebestoutput(productsandservices)thatyou can. This forces every company to use capital equipment rather than employees in every situation where the capital equipment does more and/orbetterforlesscost.Thishasalwaysbeentrue,butnowrobotics andAIarevastlyincreasingtheproportionofworkactivitiestowhichthis imperativeapplies.Ofcourse,thismeansthateverycompanyisforcedto reduce its workforce as much as possible, while relying on other companies to keep employing workers so that someone can buy the productsof thejobcutter. Meanwhile, thoseother companiesaredoing thesamething.Thiswillnotendwell.Thusfar,theonlypeoplethatare optimisticarethosesellingthetechnology,andthecompanyownerswho maybenefit intheshort termfromreductionsinlaborcosts. Theysoon won’t be so full of bliss when they finally realize that the mass technological unemployment they create will result in very few people beingabletoaffordtobuytheirgoodsandservices.

We’veenteredanerawhencomputerscanunderstandspeech,respond tocustomersupportquestions,developmusic,createnovelart,andeven generate new summaries and reports from data. Increasingly, we will struggletodistinguishbetweenmachine-generatedandhuman-generated. Companieswillhavetoeventuallydiscloseifaproduceismadebya humanormachine—naturalorartificial.Productsmadebyhumanswill be more expensive. Companies will need to view future competitive advantage, processes, andorganizationfromaman-and-machineangle. Economic theory suggests that AI will substantially raise the value of humanjudgment.

It was once believed that the purpose of enterprise is to provide employment.Thisisnolongerthecaseasboostingshareholdervaluehas takenprecedence. Businesses are looking for every method to reduce

costand/orhumanerrorsotheycanmaintainacompetitiveedgeinthe global market place. It’s about competitionand they will reasonably do what they have to, to survive. Outsource or automate—whatever will reduce costs. So take active steps to keep yourself relevant inthe job market.

CHAPTERTHREE

TECHNOLOGIESANDFUTURETRENDS

CHAPTERTHREE TECHNOLOGIESANDFUTURETRENDS AI promisestobethebiggest technologicalshift inour lifetime. For the

AI promisestobethebiggest technologicalshift inour lifetime. For the foreseeablefuture,AIisthereaugmentingourcapabilities,allowingusto domore,withbetteraccuracy,inlesstime.However,everyindustrywill havetofundamentallyreassesshowitoperatesinordertoincorporateAI andcoexistwithmachinesthatwillbecomeinvaluablepartnersinsolving realproblems.Onethingiscertainlyclear:technologyischangingandthe ramifications of this evolution will be felt in every aspect of business. Seeingtheshiftsandsomeoftheearly-stagetechnologyouttherebeing tested, will give youanearly indicationof trends that are about to go

mainstream.

THENEWDIGITALNATION

mainstream. THENEWDIGITALNATION At the end of 1991, following the breakup of the Soviet Union, a small

At the end of 1991, following the breakup of the Soviet Union, a small groupofgovernmentofficialsgottogethertodiscussthechallengesthey facedwiththebiggestonebeingthis:howcanatinyplayerofacountry, with only around 1 million people, survive and compete in a world dominated by “big players”? The country was Estonia, and the people suddenlyhadtheopportunitytobuildagovernmentandacountryfromthe start. ThethenAmbassadortotheUnitedStates, ToomasHendrikIlves (who was later to become President of Estonia), realized that it was possibletousetheinternettogivethecountrymoreinfluencethanitstiny

sizeandlocationwouldsuggest.Withinacoupleofyears,Estonia,orE-

stoniaasitwasingeniouslyrebranded,hadthelargestnumberofstart-up

companiespercapitaintheworld.

Estoniaalsodecidedtobuildsomepoliciesthatwereforward-looking.For example, in Estonia, the internet is considered a human right and all residentshavefreeWi-Fi.Theyputeducationandhealthcareonlinefaster than many wealthier economies managed to. They introduced a flat taxationsystemand import tariffs were scrapped. InEstonia, youown your own data and all public expenditure is transparent and available online. It became a hotbed for disruptive technology because of the environmentthatwascreated,givingentrepreneursthespacetoexistin Estonia.

ResidentsofEstoniahaveane-identity.Sobesidenormalcivilians,they havealsovirtualciviliansfromallovertheworld.Peoplecanhaveadigital identityandgaine-residencethatenablesthemtodoallkindsofofficial things like starting businesses, getting access to banking services, etc.

without physically being in Estonia. The goal is to connect 10 million Estoniane-residentsintothecommunitythere.

Estonia is vulnerable to cyberattack because it’s so dependent on the internet. In 2007, their networks were subject to a major cyberattack allegedly perpetrated by the Russians. However, Estonia’s young technologists reacted with groups of young cyber security experts volunteeringfortheEstonianarmy,andnowNATOrecognizesEstoniaas a“cyberdefensecenterofexcellence”.

Inthefuture,mostgovernmentswillbetransformedintodigitalorvirtual

governments.Theywillbehighlyconnectedwiththecivilianpopulation,to

thepointthatthegovernmentandthesocietyitserviceswillbemorelike

asingleentity.

SMARTCITIES&THECIRCULARECONOMY

thepointthatthegovernmentandthesocietyitserviceswillbemorelike asingleentity. SMARTCITIES&THECIRCULARECONOMY
Singapore is striving to be the world’s first smart city. Emerging trends

Singapore is striving to be the world’s first smart city. Emerging trends suchasautomation,AI,andtheInternetofThings(IoT)aredrivingsmart city adoption. Smart Cities integrate water resources, health systems, transportation, smart-buildingtechnologies, energy, sanitationandwaste collections,andsecuritytechnologiesandservices.Smartcitieswillhelp people lead a safe and technologically advanced life. In the past few years,citieshavemigratedfromanalogtodigital.Asmartcityusesdigital technologies to reduce costs and resource consumption, enhance performanceandqualityofservices,andtoengagemoreeffectivelywith its citizens. Frost & Sullivan estimates the combined global market

potential of smart city segments (transportation, healthcare, building,

infrastructure,energy,andgovernance)tobe$1.5Trillion($20Bby2050

onsensorsaloneaccordingtoNavigantTechnology).

Circulareconomyisbecominganincreasinglyusedstrategy,notforonly citiesbutfororganizationsaswell,whowanttotransitiontheirbusiness model into one that is both financially and environmentally sustainable. AccordingtoWikipedia,“acirculareconomyisaregenerativesystemin which resource input and waste, emission, and energy leakage are minimisedbyslowing,closing,andnarrowingmaterialandenergyloops. Thiscanbeachievedthroughlong-lastingdesign,maintenance,repair, reuse,remanufacturing,refurbishing,andrecycling.”Manycompaniesin anumberofsectorsarealreadyshiftinginthisdirection.

ENERGY

anumberofsectorsarealreadyshiftinginthisdirection. ENERGY By 2030, we are likely to be running on a decentralized and

By 2030, we are likely to be running on a decentralized and circular energy infrastructure—the wave of innovation that brought us the widespread introductionof bio-solar technology. Our modernintegrated bio-batteriesenableustogenerateenergyinthedaytimeandstoreituntil

weneeditatnight.Wecannowuseenergy24/7withoutburningpolluting

fossil fuels. These new units are highly efficient and therefore very compact. Today’s solar panels arealready 10times cheaper andmore efficientthantheywereadecadeago,andtherateofdevelopmenthas

spedupsignificantly.Thecurrentworldrecordisat46%percentfora4-

junctionsolarcell.Inthenearfuturethisisexpectedtosurpass50%.The

innovationandproductionof new solar systemsisprobablyat arecord high right now. Bloomberg’s New Energy Finance team estimates that price per kilowatt hour of power generated through solar will drop

dramaticallyfrom$182toaround$132by2025.

Accordingtothereports(WindEnergyinEurope:Scenariosfor2030and

Wind Energy in Europe: Outlook to 2020), 30% of the electricity consumedinEuropecouldbecreatedfromthewind.Europeisontrack torenovateitsenergyinfrastructure.Yourdevicescouldsoonbepowered by oceanwaves. Researchers at Japan’s Okinawa Institute of Science andTechnologyhavedevelopedturbinesthatcanusethesea’scurrents to generate renewable electric power. The team estimates that its turbines, if placed on just 1% of mainland Japan’s shoreline, could

generatesome10gigawattsofpower—that’s10nuclearpowerplants’

worthofenergy.Additionally,theUSDepartmentofEnergyannounced18

newprojectstoaccelerateproductionofmacroalgaeforenergyandother

uses.

OtherareasinEnergytokeepaclosewatchonare:

Wastetobiofuelsuses. Otherareasin Energy tokeepaclosewatchonare : Safenuclear Hydrogenfuels ProtectingtheGrid FusionPower

SafenuclearOtherareasin Energy tokeepaclosewatchonare : Wastetobiofuels Hydrogenfuels ProtectingtheGrid FusionPower Renewables

HydrogenfuelsEnergy tokeepaclosewatchonare : Wastetobiofuels Safenuclear ProtectingtheGrid FusionPower Renewables

ProtectingtheGrid: Wastetobiofuels Safenuclear Hydrogenfuels FusionPower Renewables Carbon-breathingbatteries

FusionPowerWastetobiofuels Safenuclear Hydrogenfuels ProtectingtheGrid Renewables Carbon-breathingbatteries Batteries(longlasting)

RenewablesSafenuclear Hydrogenfuels ProtectingtheGrid FusionPower Carbon-breathingbatteries Batteries(longlasting)

Carbon-breathingbatteriesHydrogenfuels ProtectingtheGrid FusionPower Renewables Batteries(longlasting) Helium-3PowerGeneration

Batteries(longlasting)FusionPower Renewables Carbon-breathingbatteries Helium-3PowerGeneration Self-sufficientenergyecosystem

Helium-3PowerGenerationRenewables Carbon-breathingbatteries Batteries(longlasting) Self-sufficientenergyecosystem

Self-sufficientenergyecosystem

FINANCIALSERVICESandFINTECH(Financial

Technology)

disrupting the financial sector. One of the challenges for financial institutionsisthattheyneedtoservedigitaldinosaurs,digitalnativesand all people in between. Instead of competing with banks for general productsandservices,fintechstartupsfocusonunservedareas.Fintech trendsshowthatpeoplearemorecomfortablemanagingtheirmoneyand business online, and they’re less willing to put up withthe bureaucracy associatedwithcertaintraditionalfinancialinstitutions.Today,fintechsare disrupting every single banking sector, from investments to loans to

insurance.AsurveybyPwCfoundthat95%ofrespondentsfrombanks

and 83% fromtraditional financial services firms think that part of their businesscouldbelosttonichefintechfirms.

ChinaWillSurpassSiliconValleyandAfricaistheNext

TechHotspot

ChinaWillSurpassSiliconValleyandAfricaistheNext TechHotspot AccordingtoEY,Chinahasnowtakentheleadasthe#1fintechmarketin

AccordingtoEY,Chinahasnowtakentheleadasthe#1fintechmarketin

the world. China will surpass Silicon Valley. Venture capital funding in FintechinChina has outpaced the USAsince 2016, and the number of billiondollarvaluationcompanies(unicorns)foundedperyearwasgreater inAsiathantheUSA.“China’suniquemixofrapidurbanisation,massive and underserved market, e-commerce growth, explosion in online and mobile phone penetration, and customer adoption willingness have createdafertilegroundforinnovationincommerce,banking,andfinancial services more broadly,” says EY Asia-Pacific Fintech Leader James Lloyd.However,thecontinentwherefintechisstirringthingsupthemost is Africa. Africa is one of the fastest growing and highest potential markets inthe world and has already shownsignificant promise inthe

realmoffintech.Forexample,between31%and50%ofKenya’sGDPis

estimated to flow through the mobile money service named M-Pesa.

Almost80%ofindividualswithcellphonesusethemformobilepayments

andbankingservices. According to researchconducted by GlobalWeb

Index(Q22017)on“BankingAppUsageamongMillennials.”SouthAfrica

placed#1forusersaged21-24yearswhoareusingbanking/financial

servicesapp.

UsheringaCashlessSociety

servicesapp. UsheringaCashlessSociety WeareseeinganincreasingtrendintheuseofQRcodes.QRcodemay

WeareseeinganincreasingtrendintheuseofQRcodes.QRcodemay usher in the cashless society. QR codes are increasingly being used around the world, even beating out Apple Pay and other brand-name payment services. AQuickResponse(QR) codeisamachine-readable codemadeupofblackandwhitesquaresreadbyadevicereader.Itwas developed in the 1990s by Japan’s Denso Corp., and stores more informationthantraditionalbarcodes. Muchof ChinahasbecomeaQR first economy, where codes are now found next to nearly every cash register. Digital payments as WeChat pay and Alipay are nearly ubiquitous.Thesedigitalwalletserviceslinktoauser’sbankaccountand arebasedaroundQRcodes.ConsumersjustneedtoscantheQRcode tomakeinstantpayment.Otherdevelopingcountriesarestartingtouse this system. In2016, MasterCard Inc. rolled out a QRcode systemin Africa. InIndia, thegovernment launchedIndiaQR. Thailandalsoseems verymuchinterested.

SouthKorea, Australia and certainparts of Europe aimto be cashless societies by 2020. By 2021, digital payments is expected to reach$5

trillionby2021,upfromunder$3.7trillionthisyear.

BlockchainTechnologyandtheCreationofBitcoin

Imagineaworldofpeer-to-peervalueexchange.This“imaginary”worldis emerging now, and it is a realistic prospect. There has been much speculationaboutSatoshiNakamotothepersonwhodesignedBitcoinand created its original reference implementation—he has chosento remain anonymous. Bitcoin is a digital currency and is operated by a decentralizedauthority, unlikegovernment-issuedcurrencies. Bitcoinisn’t ownedbyanyone. Youcanthinkof it likeemail. Anyonecanuseit, but

thereisn’tasinglecompanythatisinchargeofit.Bitcoinis8yearsinto

existenceandhasbecomeanexchangeablemeansoftrade.Youcannot ownBitcoinwithoutawallet.A“wallet”isbasicallytheBitcoinequivalent ofabankaccount.Ithasanominalcost,butisvirtuallyfree.Eachday,

thenumberofwalletsgrowsbyabout0.2%,aratethathasbeenpretty

consistent since 2011. The price of Bitcoins rises when the demand outstripsthesupply.Moreandmoregoodsandservicescanbebought andsoldbyBitcoin.Itcanbeseenandtreatedalsoasacommodityone

tradeswithonspecializedexchangemarkets.InAugust2017,Bitcoinwas

wortharound$4,600—aconsiderablejumpfromlate2016,whenitwas

around $770. The dollar value of the 20 biggest cryptocurrencies is

around$150to$200billion,accordingtodatafromCoinmarketcap.com.

This has given birth to an entire new industry of cryptocurrency. A cryptocurrencyisanykindofpeer-to-peerdigitalmoneypoweredbythe blockchaintechnology whichis revolutionizing the industry. Blockchainis commonlyknownasthefoundationforBitcoin,it’sadistributeddatabase ofdigitalassetsandtransactions.Blockchaincreatesdigitalsignaturesfor each transaction and shares this information among a decentralized networkofcomputers.Itusesadvancedcryptographytoauthenticateand record transactions. It’s basically anunhackable distributed ledger. This decentralized approach allows each computer to continuously provide verification as to each party’s status and ownership in a particular

transaction. Someof thebiggest namesinbusiness, suchasWal-Mart, IBM, and Unilever, are harnessing the power of blockchaintechnology. Althoughblockchainisquitesecureandstable,andpreventshackersfrom alteringinformationonthenetworkduetothecollectivedisseminationof transactional information, the problem is with the instability of virtual currency trading platforms. One of the earliest and largest Bitcoin exchanges, Mt. Gox, suddenly shut down in Feb 2014, and users

collectivelylost$473millioninBitcoin.

Since Bitcoin’s appearance in2009, hundreds of new cryptocurrencies, oftencalledaltcoins,havebeencreated.Theblockchainisbasedonthe principlesofcryptography,hencethename“cryptocurrencies.”Manywho areafraidbelievethiswillleadtoanother“dotcomburst”andthe“Dutch Tulip &bulb market bubble”—and they may be right, but the underlying blockchaintechnologyisthevalue,andthatwillcontinuetogrowaswe fullyappreciateandrealizeitspower.

The hype surrounding cryptocurrencies has led to phishing attacks by cyber criminals increasing exponentially alongside the rise inInitial Coin Offering’s and digital token sales. An Initial Coin Offering (ICO) is an unregulatedmeansbywhichfundsareraisedfor anew cryptocurrency venture.ICOsaresimilartoInitialPublicOfferingIPOsandcrowdfunding. ButunlikeatraditionalIPO,inwhichbuyersgetshares,gettingbehinda start-up’s ICO nets virtual tokens—like mini-cryptocurrencies—unique to theissuingcompanyoritsnetwork.Thatmeanstheygrowinvalueonlyif the startup’s business or network proves viable, attracting more people andboostingliquidity.

Buttheirdigitalnatureandlackofguaranteedvaluemeansthepurchase anduseofcryptocurrenciescarriesseveralinnaterisks.Thevastamount of money amassed in a short span of time has also attracted cyber criminals. Many investor alerts have beenissued by the Securities and

ExchangeCommission(SEC),theConsumerFinancialProtectionBureau (CFPB), the Financial Industry Regulatory Authority (FINRA), and other agencies.Bitcoinsarearivaltogovernmentcurrencyandmaybeusedfor tax evasion, money laundering, black market transactions, and illegal activities.

Banks are jumping onboard the cryptocurrency train. Sixglobal banks joinedforcestocreatedigitalcurrency.Barclays,CreditSuisse,Canadian Imperial Bank of Commerce, HSBC, MUFG, and State Street have teameduptoworkonthe“utilitysettlementcoin,”whichwascreatedby Switzerland’sUBStomakefinancialmarketsmoreefficient.Inthefuture, banks won’t have an excuse anymore to levy transaction fees. If they embracethemethodologyoftransferwise,there’snoneedforexcessive conversionfeeseither.Lookingforwardtofurthershrinkingofthesector, pavingthewayforchange.

BankofEnglandGovernorMarkCarney—whohassaidblockchainshows “great promise”—also warned regulators this year to keep on top of developments infinancial technology if they want to avoid a 2008-style crisis.IntheUS,bothbanksandregulatorsarestudyingdistributedledger technology. But Federal officials have voiced reservations about digital currencies themselves. The Dutch central bank has created its own cryptocurrency—forinternalcirculationonly—tobetterunderstandhowit works. India is now looking at creating a national cryptocurrency (the Lakshmi) andJapanesebanksareworkingtogether tointroduceanew

digitalcurrency(J-Coin)aheadofthe2020TokyoOlympics.Oneofthe

greatestbenefitsofBitcoin,specifically,isthatitrepresentsaglobal,but neutral currency. Bitcoin stands to benefit from smaller economies like Estonia who are looking to create their own national cryptocurrency. Russia has also showninterest inthe cryptocurrency called Ethereum, with the central bank deploying a blockchain pilot program. However,

Chinese regulators have finally decided to officially ban all Bitcoin exchanges and trading and aimto remove allexchanges by the end of 2017. Can cryptocurrency flourish without involving China? Is this the beginningoftheendforcryptocurrenciesingeneral?Idon’tthinkthisis the end of cryptos in China, however I think the time horizon for acceptance just got longer. South Korea has also banned ICOs. According to officials, anyone caught continuing the practice will face “sternpenalties.”

We are now seeing the first ever criminal case against Bitcoin sales. Russian police arrested three businessmen for illegally trading in 500 million rubles worth of Bitcoin, or around $9 million worth of the cryptocurrency (as reported in Vedomosti, September 1, 2017).I view cryptocurrency as powering the future of online and maybe offline transaction and commerce. Unregulated ICO’s have been flooding the cryptocurrency market for months now, and there have beentoo many fraudulent or over-hyped/under-designed ICO’s that have zero or little integrity.Regulationcouldbegood,soaslongasappropriatestepsare taken to introduce measures that don’t stymie healthy growth or consolidate power. Regulation will break in globally, anyway, so the sooner the better. I believe inthe longer-termit’s a beneficialthing, as somedegreeofregulationwillbeneededtoprotectconsumers.Thisway wecanstartformalizingthings.

Ethereum, which was launched in 2015, is the second-largest digital currency. There are a lot of cryptocurrencies that have launched since Bitcoin, including Litecoin, Zcash, Dash, Ripple, Monero, in addition to Ethereumetal.TheinterestingthingaboutEthereumisthatithasbuiltin functionalitywhichallowsittodoanumberofthingsBitcoinisill-suitedto do. I would wager neither is going away anytime soon, but I think that there’salotofpotentialinEthereumtosurpassBitcoinifitisdeveloped

ontop of, to build applications whichhave disruptive use-cases outside the economic impact we’ve seen to date. Ethereum is capturing the development community. It’s a cryptocurrency which can underpin approacheswhichareusefulandmeaningfulforoursharedsociety.

JosephLubin,cofounderoftheEthereumplatform,thesmartcommunity softwarestated:“Thisfuturemaysoundlikesciencefiction,buttothose of us who work with blockchain and Ethereum, as decentralized tools becomemorereadilyavailabletouseveryday,itisfastturningintoour reality.Intimewecanallbepresidentsofcertaincommunitieswecare about.”

Bitcoinisjustoneapplicationofblockchaintechnologyandagreatvehicle to demonstrate the benefits of decentralized trust less systems. Bitcoin (andother cryptocurrencies) areanew generationof money whichhas numerousadvantagescomparedtothemoneyweusetoday,andthey’re slowlytakingovertheworld.Weareslowlymovingtoacashlesssociety. Thisfutureofdigitalcurrencyisgettingmoreandmoreinteresting.Ican’t

waittoseewhat2018andonwardshasinstoreforcryptocurrency,andI

foreseealot of ICO’scomingwithpromisingproducts. What ismissing are trusted parties auditing the assets (on new metrics) regularly to eliminatescamsandabrand/playerthatprovidesAmazonsimplicityand PayPal security to invest in practically anything on top of blockchain protocols. Evenif certainICO’sdieout, therewillalwaysbenew ones, sincethefoundationofblockchaintechnologyisverystable.

The idea behind many cryptocurrencies is to disrupt the current gatekeepers and status quo. The most powerful result of the cryptocurrencyandblockchainrevolutionwillbeprogrammablemoney.By making all value exchanges into smart contracts it will be possible to create fully autonomous organizations that do not employ people for anything, and will be able to grow from zero to billiondollar valuations

withinasingleday. Wehaven’t seenthebiggest disruptions yet. Inthe end, blockchainis piece of base technology where we will find lots of applicationsandusecases.

Blockchain technology and mobile payment systems provide a growing range of alternatives to traditional banks. It is established as the next revolutionintransactionrecording. Blockchaincanbe used ininsurance claimsprocessing, asset management, andforeigncurrencyexchanges. Whilethecurrenthypeisaroundthefinancialservicesindustry,thereare many possible applications including the energy sector, healthcare, HR, supplychainmanagement,retailande-commerce,musicdistribution…etc. The block chain technology holds lots of promise. Due to its ability to establishidentityandownership,recordtransactions,andenforcesmart contracts, it has the potential to create great efficiencies across many

industries.In2014,LiberalAlliance,apoliticalpartyinDenmark,became

the first organization to vote using blockchain technology. Illinois is currently experimenting with blockchains to replace physical birth certificates. AccordingtoNewScientist, citingareport publishedearlier this month from the Cambridge Centre for Alternative Finance, governmentsintheUK,Brazil,andothersarealsointerestedintheidea. ThereareindeedmanymoreapplicationsforblockchainthanjustBitcoin. Oraclecloudhasalsoenteredtheblockchain-as-a-servicebusinesswith anEnterprise-GradeBlockchainCloudService.Blockchainisemergingas the mainstay for digital identities in the emerging trust economy. Blockchainistransforminghowoursocietyfunctionsandcouldbecomea powerfultoolforimprovingbusinessandhelpingsupportmoreopenand fairpractices.

Crowdfunding

Crowdfunding are platforms which connect new startups, and potential investorswillhavepromiseofhigherreturnandthereforecauseinvestors

toshiftawayfromthetraditionalwealthmanagement.Crowdfunding(CF) platforms give equal access to investors to anyone, anywhere in the world.Ifsomeonehasabrightideainthemorning,theycanfunditlater that same day by using a crowdfunding platform like Kickstarter, Fundable,orIndiegogo.Thedayafter,thatpersoncanstartproduction. TheWorldBank estimatesthat crowdfundingcouldreach$90billionas soon as 2020. That might even come to realization as soon as 2017. Venture capital averaged roughly $50 billion in 2015, but there is one substantialdifference.Crowdfundingplatformscanscale,basedontheir model,andventurecapitalcan’t.

Otherareasinfinanceandfintechtokeepaclosewatchonare:

InsurTechOtherareasinfinanceandfintechtokeepaclosewatchonare: RegTech Fintechpartnerships(withCorporationsandBanks)

RegTechInsurTech Fintechpartnerships(withCorporationsandBanks)

Fintechpartnerships(withCorporationsandBanks)

Assuredidentitymanagement

Biometric Security: access control facial recognition, voice recognition,irisandretinascanners,fingerprintsensorsontablets andsmartphones—passkeysInsurTech RegTech Fintechpartnerships(withCorporationsandBanks) Assuredidentitymanagement

Transportation Ifyoulookatcarstoday,it’sgoingtochangeessentiallyfromjustbeinga mode of transportationto a personal

Transportation

Transportation Ifyoulookatcarstoday,it’sgoingtochangeessentiallyfromjustbeinga mode of transportationto a personal

Ifyoulookatcarstoday,it’sgoingtochangeessentiallyfromjustbeinga mode of transportationto a personal space. I think it’s going to be an evolution.Usingyoursmartphoneasanexample,mostofuscan’tfunction withoutthisdevice.Itdidn’tstartoutthatway,though.Manycompanies backthenthoughtthatthecellphonewouldjustbecomeacommunication device.Instead,itreallyhasbecomeapersonalizationdevice.Thecarwill gothroughasimilartransition,whereitisnotjustamodeoftransportation takingyoufrompointAtopointBanymore.It’ssortoflikeanextensionof yourspace,andwewanttodesignitthatway.Youcanhaveasublime autonomous driving experience that comes equipped with an advanced digital assistant—one of Siri’s descendants. You chat about the news, arrangethingsinyourcalendar,andchangeyourdestinationifyouneed

to.

Audiisreadytolaunchitsautonomouscarmodel,A8,bytheendof2017,

and Tesla said it will unveil its model in 2018. Additionally, self-driving trucksmaybecomingtoahighwaynearyou.Self-drivingtruckscouldcut

logisticscostsby40%intheUSand25%inChina,astheycanrunlonger

thanhuman-pilotedrigswithoutrestandsaveatleast10%onfuel.The

politicswillgetuglyaslobbyistsfortheautoindustrywillunsuccessfully

trytostopthedriverlesscar.

Self-driving vehicles will completely change how we organize our cities, roads, and our lives. This technology promises to save lives, reduce emissions, and free up billions of hours. Later on, to improve order, peoplewon’towntheirowncarsastransportwilldeliveredasaservice fromcompanieswhoownfleetsofself-drivingvehicles.Incountrieswhere driver’slicensesareutilizeditwillslowlygoaway,aswilltheDepartment of Motor Vehicles inmost states. Garages will be used for a different purpose.Therewon’tbeanyparkinglotsorparkingspacesonroadsorin buildings. There will be no more car dealerships, car rentals, local mechanics,cardealers,consumercarwashes,autopartsstores,orgas stations. Traffic policing will become redundant. The auto insurance industryasweknowitwillgoaway.Vehicledesignswillchangeradically as vehicles won’t need to withstand crashes as in previous years. All vehicleswillbeelectric.Thecarfinancingindustrywillgoaway.Hacking of vehicles will be a serious issue. New software and communications companiesandtechnologieswillemergetoaddresstheseissues.Youwill beabletocustomizeyourdriverlessexperience.

In2015, Yamaha revealed anautonomous, motorcycle-riding, humanoid

In2015, Yamaha revealed anautonomous, motorcycle-riding, humanoid robotcalledMotobot.Ithastheabilitytoturnthethrottle,andoperatethe brakes and clutch. It is stunning to see Yamaha’s Motobot ride the

flagshipR1likeanactualrider.Yamahaaimstoimproveridersafety.

Novisionof thedistant futureiscompletewithout flyingcars. Slovakian manufacturer Aeromobil showed off its own flying car at the Frankfurt

MotorShowinSeptember2017.Itclaimsthattheycouldbearealityby

2021.TheAeromobilisamixtureofcarandplane,andcanbeswitched

betweengroundmodeandflightmodeinjust3minutes,themanufacturer

claims.Markmyword:Acombinationofairplaneandmotorcariscoming.

Youmaysmile,butitwillcome.”—HenryFord.

Eachmodeoftransportationhasoperatedseparatelyuptonow.Afuture trend is data Integration between previously disparate transportation systems.Wewillalsoseetheriseoffree-floating,contractualservices, the shipping versions of an e-marketplace. The key challenge will be

meetingcustomerdemandforshorterdeliverytimes.

OtherareasinTransporttokeepaclosewatchonare:

Sustainabilityofinfrastructure

ConnectedTransportation;convergedtransportationecosystems

andmonitoring

Electricairplanesandmonitoring Nextgenerationhighspeedtrains Autonomoushelicopters

Nextgenerationhighspeedtrains

AutonomoushelicoptersElectricairplanes Nextgenerationhighspeedtrains Predictiveanalytics(parking,trafficpatterns)

Predictiveanalytics(parking,trafficpatterns)

Newmaterialsforstrongerconstructionandresilience

EDUCATION

Newmaterialsforstrongerconstructionandresilience EDUCATION AI has the potential to change the delivery, quality, and

AI has the potential to change the delivery, quality, and nature of education. It also promises to change forever the role of students, teachers, and educational organizations. Today’s education system focuses on standardization to reduce the achievement differences betweenstudents.AIcanbeappliedtoeducationtogetstudentsoutof theirassignedboxesandtailoralearningprogramthatfitsthem.Studies show that a key element in successful tutoring is providing instant feedback tothestudent. Students wouldget additionalsupport fromAI tutors. AI-powered apps can learn to effectively provide targeted, customized feedback to the student and would allow for a customized curriculumthatreducestheneedforclassroomsandlecturers.Students will develop better understanding of materials taught with the implementationof Augmented/Mixed Reality. This willgive new ways to displayandinteractwithinformation.

AIcouldalsochangetheroleofteachers.AIcanautomatebasicactivities ineducation,likegradingorcouldevenpotentiallytaketheplaceofsome teachers. Additionally exponential technologies are rapidly changing our societies.Wewillneeddifferentskills.Manyjobstodaywillbeobsolete

withinthenext10years.ThereforeAIisgoingtochangethecurriculum

andcoursesthatschoolsoffer.Therewillbealotmoreofferingsinareas

surroundingthisfield.Oureducativecurriculumwillevolvetoembraceour

continuousandgrowingunderstandingoftheworldofAI.

Itisextremelyimportantthateducationpreparesstudentsforthefuture— aswiththepacethattechnologymoves,itcanbeeasytobeleftbehind. TheeverydaychallengeistofindthebalancebetweenVRandrealhuman engagement, as we also learn best by interacting and sharing experiences. Most of uslearnandretainbest whenweareemotionally engaged—whichiswhereVRmarriedwithevocativedesignhavesomuch potential.Wemustbeawarethattechnologyhasitslimitations.Itcannot inspireuslikehumanteacherscan.

HEALTHCAREANDBIO-SCIENCES

potential.Wemustbeawarethattechnologyhasitslimitations.Itcannot inspireuslikehumanteacherscan. HEALTHCAREANDBIO-SCIENCES
AIiscausingsomeamazingbreakthroughsonthemedialscene—anew, smarter ageof healthcare. It’s thepathtowardanentirely new

AIiscausingsomeamazingbreakthroughsonthemedialscene—anew, smarter ageof healthcare. It’s thepathtowardanentirely new system that predicts disease and delivers personalized health and wellness services to entire populations. This change is far more important for patientsandsocietyalike,asitcanhelpsavemanylives.

AdvancedtechnologylikesensorsandAI arenow abletodiagnosethe rootcauseofoursymptomsandcureourbodyfasterthanever.Onein

10medicaldiagnosesiswrong,accordingtotheUSInstituteofMedicine.

Sucherrors contributetoas manyas80,000unnecessary deaths each yearintheUSalone.ThisiswhymanywanttousethepowerofAIto achieveamoreaccuratediagnosis,promptingcareandgreaterefficiency.

ScientistsattheLondonInstituteofMedicalServiceshavecreatedanAI capable of predicting with 80% accuracy which patients would die of pulmonary hypertension within a year, beating the average doctor’s

predictionaccuracybyabout20%.AIcannowdetectAlzheimer’sdisease

nearly adecadebeforesymptoms appear andIBM’s Watsoncomputer has been giving 90% accuracy on cancer diagnosis. However many radiologistsfeeltheirjobsareatrisk.Theirbiggestconcernisthatthey couldbereplacedbymachines.Inthefuturemachineswilldomuchofthe “reading”ofMRI’s,etc.Thegoalisn’ttoreplacephysiciansorhealthcare professionals, but give them better decision-making tools. AI should integratewiththehumanelementofthehealthcareservicerenderedand notintendtoreplaceitaltogether.Inthefuture,certaintypesofsurgeries willbedonebyrobotsunderhumansupervision.

AChineserobothasperformedtheworld’sfirstautomateddentalimplant accordingtotheSouthChinaMorningPost.Themachinetooknearlyan

hourtoinstallthe3D-printedteethwhilemakingadjustmentsaccordingto

thepatient’smovements.Robotscansafelyconductdentalsurgerieslike implantations withmoreaccuracy andagility inanarrow spacelikethe oral cavity, according to dental experts cited by the Science and TechnologyDaily.

Whatifsurgeonscouldusehologramstoprepareforcomplexsurgeries orevensupporttheoperationsthemselves?Augmentedreality,andmixed reality,ismakinginroadsinhealthcare.Themostwidelyusedplatformfor AR is the well-known Google Glass, while mixed reality is paired with Microsoft HoloLens. Doctors are using HoloLens in the preoperative planning phase of operations. Physicians could plan their entire intervention using 3D holograms, where they could accurately see the spacesformakingincisionsandalsoclearlyenvisiontheconsequencesof theirmoves.

Smart sensors and AI provide humanity with the tools to monitor and predict our individual health and our level of well-being. Cheap but advancedsensorsaswearablesmeasureeverythingandreportbackto our AI doctor, or health community professional, if we need to get checkedout.Chatbotsarealsobeingusedtorevolutionizecommunication withinhospitalsandpatients.IntheUK,morethanamillionpeoplewillbe givenaccesstoafreeapppoweredbytechfirmBabylon,wheretheycan eitherconsulta“chatbot”orentertheirsymptomsintotheprogram.The botwillthenadvisethemwhethertheyshouldrushtothehospital,seea doctor,visitalocalpharmacy,orstayathome.Thereisevenarobotic hospital pharmacy that packages and distributes the right drugs to the rightpatients.

These developments will allow doctors to focus more on the human aspectsofpatientcareasempathy.Despiteourageingpopulations,the increasedcomputingpower,AI,androboticsaregoingtohelptoreduce thestrainsonourglobalmedicalsystem.AImayalsohelptobringdown the effect of shortage of doctors in developing countries. This should surelyhelptoreducemedicalbills.

There are also advances in genetics and bioengineering that will both

There are also advances in genetics and bioengineering that will both directlyimpactourbodiesandaugmentourcapabilitiesaswell.Someof youmaynotknowofCRISPR.It’sthegene-editingtechnology.CRISPR hashadmassivefunding,asitseemstoofferaneffectivewaytoeditthe genes of any species—including humans. Previously, gene editing methodshavetakenmonths(orevenyears),whileCRISPRspeedsthat time up to mere weeks. CRISPR offers the potential to cut and splice genessoquicklyandsopreciselyithaspotentialapplicationsforcreating newbiofuels,materials,drugs,andfoodswithinmuchshortertimeframes atarelativelylowcost.Researchersessentiallytrickbacteriaintocutting strandsofDNAataparticularspot,wheretheycanthenreplace,change, ordisableagene.Inthemostexcitingscenario,CRISPRwouldmakeit possibletotreatgeneticdiseasessuchasmusculardystrophyandsickle cellanemia.Recently,scientistsusedgeneeditingtoremoveafatalblood disorder from human embryos. It’s a great example of the rise of

nanotechnology—that’swherewestarttointerveneorcreatethingsona

molecularlevel.Thenewtechnologycouldtoucheverythingfromtheway

wetreatdiseasetoevenourfoodsupply.However,ithassomepotential

riskswhichcauseconcernsabouteditingthehumangeneline.AFrench

startupcompanycalledEligoBioscience,aimstointroduceanewkindof

drug,Eligobiotics,thatcanattackbacteriainamorefocusedway.Ituses

CRISPRtoscanthebacteriaanddeliverprecisecutstoitsgeneticcode

towipeitoutcompletely.

Brain–computer interface: Brain controlled technology (BCT)—Elon

MuskfoundedNeuralinkinJuly2016,whichaimsatdevelopingultra-high

bandwidthbrain-machineinterfacestoconnecthumansandcomputers.In September 2017, according to Medical Express, researchers have devisedawayofconnectinghumanstotheinternetinrealtime.Ateamof researchersinSouthAfricaappeartohavemadeabreakthrough. They callitBrainternet.Addinvasiveproceduresandembeddedchipinterfaces andwewillbeonaverydestructivepath.

Brain Implants—The Defense Advanced Research Projects Agency (DARPA) have been working on developing brain implants. SUBNETS (Systems-Based Neurotechnology for Emerging Therapies) would allow electricalcurrentsinthebraintobemappedandthenaltered.Thiscould be a major breakthroughfor PTSDand traumatic braininjury sufferers. Theyhavesaidthiswouldbestrictlyfortherapy.

OtherareasinHealthandBio-technologytokeepaclosewatchonare:

PrecisionmedicineHealthandBio-technology tokeepaclosewatchonare : Superantivirals Implantabledevices;(i.e.bioniceyes,limbs)

Superantiviralstokeepaclosewatchonare : Precisionmedicine Implantabledevices;(i.e.bioniceyes,limbs) Neuralprosthetics

Implantabledevices;(i.e.bioniceyes,limbs)

Neuralprostheticstokeepaclosewatchonare : Precisionmedicine Superantivirals Implantabledevices;(i.e.bioniceyes,limbs)

DNAnanomedicinesanddelivery

ArtificiallygrownorgansDNAnanomedicinesanddelivery Genomic techniques – gene therapy (Gene therapy to enhance strength, endurance and lifespan.

Genomic techniques – gene therapy (Gene therapy to enhance strength, endurance and lifespan. Gene therapy to enhance humanintelligence)DNAnanomedicinesanddelivery Artificiallygrownorgans interfaced with Human regeneration – Human cells nanotechnology

interfaced with

HumanGene therapy to enhance humanintelligence) interfaced with regeneration – Human cells nanotechnology

regeneration –

Human cells

nanotechnology

Germlinegeneticmodification

Optogenetics– Human cells nanotechnology Germlinegeneticmodification Cybernetics Exoskeletonsformobility

Cyberneticsnanotechnology Germlinegeneticmodification Optogenetics Exoskeletonsformobility

ExoskeletonsformobilityGermlinegeneticmodification Optogenetics Cybernetics Real-timebiomarkertrackingandmonitoring Cryogenics

Real-timebiomarkertrackingandmonitoring

CryogenicsCybernetics Exoskeletonsformobility Real-timebiomarkertrackingandmonitoring Evolutionaryenhancement Agriculture

EvolutionaryenhancementOptogenetics Cybernetics Exoskeletonsformobility Real-timebiomarkertrackingandmonitoring Cryogenics Agriculture

Agriculture

Cybernetics Exoskeletonsformobility Real-timebiomarkertrackingandmonitoring Cryogenics Evolutionaryenhancement Agriculture
Currently, there is still a great deal of fear around DNA plant programming. There is

Currently, there is still a great deal of fear around DNA plant programming. There is still a considerable amount of Research and Development(R&D)requiredbeforeweseethenewfruitsofthiswavein ourownfridges.Mostoftheworldcan’tfeeditselfbecauseofpoorsoil— however,younolongerneedsoiltogrowfood.Waterandsunshineisall youneed.Indoorhydroponicfarmingismakinghugeleaps.Youcangrow indoors,allyearlong,withfarlesswater,fertilizer,andnoweedkillers. Agritech—moving away from the fields of farmers to our homes and gardens—isanimportantthingtowatchoutfor.Therearealreadymany examplesofpioneeringverticalandroboticfarmsthatarestartingtogo mainstream. These new-style “farms” involve a tiny amount of soil and water, and they are able to create a huge amount of food. Biotech enables us to grow our own healthy foods within our home or local

community.Fooddoesnothavetotravelallovertheworldanymore;it’s

allgrownandconsumedlocally.Anypackagingthatisusedtoprotectour

foodduringtransportisbiodegradable.

AJapanesecompany,Spread,ismovingtofullroboticproductionandwill

beproducing30,000lettucesperdaywithoutanyhumanintervention.The

onlyhumanhandinvolvedistheonethatplantstheseeds.Afterthat,the entire production process, including replanting young seedlings to watering,trimming,andharvestingcrops,willbedonebytherobots.With

LEDlighting,energycostshavebeenslashed,and98%ofthewaterused

isrecycled.It’stransformingproductionandminimizinglanduse.

Water—Theabilitytoproducewaterfromairisarapidlydevelopingarea

oftechnology.

Agreat example is the prize-winning SunToWater systemthat wonfirst prizeinthe2015Impact ChallengefromSingularityUniversity. Thisisa

supposedlycapableofproducingbetween40and100gallonsofpotable

water per day. The technology is different as it works by using a combinationof salts topullthemoistureout of theair, fans, solar heat (whichpulls thewater out of thesalt), andacondenser (toextract the distilledwaterforuse).ThereisarecentinventioncalledWaterSeer—a

smallwatergeneratorthatcanproduceupto11gallonsofwaterperday

by extracting water from the air using the difference in temperature between an above-ground turbine and a collection chamber installed 6 feetunderground.Theinventionisaimedtowardsareasofwaterpoverty. Then there is a solar panel system called Source, developed by Zero MassWater, astart-upwithamissionto‘”democratizedrinkingwater,” whichturnswatervaporintheairintoclean,drinkablewater.Withroughly 10% of the world’s population lacking access to safe, clean drinking water,manyoftheseinnovationscouldholdthekeytosolvingthemassive challengeofhowtoovercometheproblemsofpoorinfrastructureandthe

resultingissuessuchasdiseaseanddrought.

OtherareasinAgriculturetokeepaclosewatchonare:

AquafarmingOtherareasin Agriculture tokeepaclosewatchonare : Aquaponics Verticalfarming Waterpurification

AquaponicsAgriculture tokeepaclosewatchonare : Aquafarming Verticalfarming Waterpurification Cellularagriculture

VerticalfarmingAgriculture tokeepaclosewatchonare : Aquafarming Aquaponics Waterpurification Cellularagriculture

Waterpurification: Aquafarming Aquaponics Verticalfarming Cellularagriculture Agriculturalnanotechnologies

Cellularagriculture: Aquafarming Aquaponics Verticalfarming Waterpurification Agriculturalnanotechnologies Syntheticbiologybasedfoods

Agriculturalnanotechnologies

Syntheticbiologybasedfoods

Geneticallyengineeredplantsandanimals

LawEnforcement

Agriculturalnanotechnologies Syntheticbiologybasedfoods Geneticallyengineeredplantsandanimals LawEnforcement
In our digital world, law enforcement are realizing the value of tech devices whichhave provided

In our digital world, law enforcement are realizing the value of tech devices whichhave provided valuable informationto help solve crimes. These connected devices, for example Fitbits, have been used to contradict alibis and catch lies. Law enforcement agencies around the globe are starting to use AI to assess whether suspects are jailed or bailed.UKpoliceinthecityofDurham,England,areusingasystemcalled Hart(HarmAssessmentRiskTool)thatclassifiesindividualsandranksthe probabilitythattheywillcommitanotheroffenseinthefuture.

Additionally,researchershavebuiltanAIsystemthatcanpredictrulings

bytheEuropeanCourtofHumanRightswith79%accuracy.Lawyersare

makinguseofMLandAIplatformsinordertoassesspastcasesandto

makepredictionsaboutthepotentialsuccessorfailureofnewcases.

China has created robot police officers that are infused with facial recognitiontechnology that helps them identify and arrest criminals. E- PatrolRobot Sheriffsaregoingtoreplacehumanpoliceofficersfor the station’snight shift. Thetransitionseemstoberunningsmoothly. Onits firstday,theE-PatrolRobotSheriffdetectedasmallfireandpreventedit fromgettingbigger.Robo-copshavealsobeenlaunchedinDubai.Dubai police planto have robotic officers make up a quarter of the force by 2030. The robo-cop canspeak sixlanguages and is designed to read facial expressions. It has a computer touch screen where people can report acrime. Humanpoliceofficersthougharestillexpectedtomake arrests.

Recently, amanintheUSappealedhisjailsentence, onthegroundsit was handed to himby a robot (robo-judge). We have entered a world wheretheruleoflawispotentiallygoingtobereplacedbytheruleofAI. Whilenobodycanbribeanalgorithm,theymaynottrustitsmakers—or the data it has beentrained on. Trust inalgorithms also overlooks one potentiallyvitalfactorinthisdiscussion:thehumandimension.

OtherareasinLawEnforcementtokeepaclosewatchonare:

Surveillance(chemicalandbio-sensors,cameras,drones)

Terrorisminformatics: Surveillance(chemicalandbio-sensors,cameras,drones) Forensics

ForensicsTerrorisminformatics Biometrics:Securityscreeningbybio-signature:Everyaspectof

Biometrics:Securityscreeningbybio-signature:Everyaspectof your physiology can be used as a bio-signature by measuring unique heart/pulse rates, electrocardiogram sensor, blood

oximetry, gait detection (howa person walks), primary body odor,etc.

FAMILYLIFEANDSOCIALRELATIONSHIPS

primary body odor,etc. FAMILYLIFEANDSOCIALRELATIONSHIPS Digital technologies are radically transforming

Digital technologies are radically transforming relationships. The rapid swirls of technology have started to change the relationship between children, parents, and grandparents. Will children of the future have artificial friends, robot nannies, and virtual reality teachers? Digital technologieschangethesesocialexperiencesprofoundly.Aglobalstudy by researchers at the Georgia Institute of Technology and International TelecommunicationUnion(ITU)isthefirstattempttomeasurebycountry the world’s “digital natives”—people bornaround the time the personal computerwasintroducedandhavespenttheirwholelivesconnectedwith technology.

Thenumber of digitalnatives—individuals whowerebornor brought up duringtheageofdigitaltechnologyandarefamiliarwithcomputersand the internet from an early age—is growing exponentially. In 2013, ITU estimated that 30% of the world’s youth were digital natives. They suggested that over the next 5 years, the number of digitalnatives will morethandouble.AIwillinfluencehowwethink,andhowwetreatothers. Parentswillneedtoteachtheirkidshowtosurviveinthedigitalaswellas the real world in the future, and how to find the balance between the virtualandrealityworldtodeveloptheirsocialskills.

Robotbabysittershavebeenaroundonthemarketforalmost10years.

Forexample,AvatarmindbringsyoutheiPal—arobotcompanionlooking

likethe3D-versionoftheTeletubbies.Inthefuture,robotscoupledwithAI

couldtakeoverhumantasks,suchasbabysitting.Parentscouldinteract

withtheserobotsfromadistanceandmakesurethekidsaresafe.Nova

Spivack, the futurist, pictures people partnering with lifelong virtual companions and said you’ll give an infant an intelligent toy that learns aboutherandtutorsherandgrowsalongwithher.“Itstartsoutasalittle cutestuffedanimal,”hesays,“butitevolvesintosomethingthatlivesin

thecloudandtheyaccessontheirphone.Andthenby2050,orwhatever,

maybeit’sabrainimplant.”

maybeit’sabrainimplant.” By2020,theaveragepersonwillhavemoreconversationswithbotsthan

By2020,theaveragepersonwillhavemoreconversationswithbotsthan

withtheir spouse. People are willing to form relationships withartificial agents.WehumansseemtowanttomaintaintheillusionthattheAItruly cares about us. This canwork because as a society we have become disconnected. We prefer our technological gadgets to interacting with people.Ifwedoconnectwithpeople,itisonashallowlevel.Today,many peoplearelonely.

AchatbotrobotinChinahasbeentold“Iloveyou”nearly20milliontimes.

This robot was developed by Hiroshi Ishiguro, a professor at Osaka University,whosaid,“Loveisthesame,whetherthepartnersarehumans or robots.” This is a misguided statement. The developer of the robot doesn’t even understand what love is. Some 89 million people have spokenwithXiaoice, pronounced “Shao-ice,” ontheir smartphones and otherdevicesanditseemsquiteafewhavedevelopedromanticfeelings towardher.

Severalpersonalrobotsaresettodebutnextyear.Scientists,historians, religion experts, and others gathered in December at Goldsmiths, UniversityofLondon,todiscusstheprospectsandpitfallsofthisnewage ofintimacy.InBritainandelsewhere,thesubjectofrobotsaspotentiallife partnersiscomingupmoreandmore.Someseerobotsasananswerfor elderlyindividualswhooutlivetheirspouses:Eveniftheycannotordonot wishtoremarry,atleasttheywouldhave“someone”besidetheminthe twilight of their lives. “I liketotalk withher for, say, 10minutes before going to bed,” said a third-year female student at RenminUniversity of China inBeijing. “WhenI worry about things, she says funny stuff and makesmelaugh.Ialwaysfeelaconnectionwithher,andIamstartingto thinkofherasbeingalive.”

Inthefuturepeoplewillvaluetheirrelationshipswithchatbotsandrobots

morethanhumanbeings.Theywillgrowattachedtothemandconsider

themasrealpersons.

HUMANMICROCHIPPING

themasrealpersons. HUMANMICROCHIPPING Three Square Market (32M), a techcompany inWisconsin, has

Three Square Market (32M), a techcompany inWisconsin, has begun implanting rice-sized microchips inits employees. At least 50 of its 85 employees have volunteered. The implanted chips lets employees open

doors, logintotheirofficecomputers, andmakepurchasesfromoffice vendingmachines,amongotheruses.Themicrochipsuseradio-frequency identification(RFID)andnear-fieldcommunication(NFC)technologyfound incontactless credit cards, and are implanted betweenthe thumb and forefinger.

“WeforeseetheuseofRFIDtechnologytodriveeverythingfrommaking purchasesinourofficebreakroommarket,openingdoors,useofcopy machines, logging into our office computers, unlocking phones, sharing businesscards,storingmedical/healthinformation,andusedaspayment at other RFIDterminals,” said32M CEO ToddWestby. “Eventually, this technology will become standardized, allowing you to use this as your passport,publictransit,allpurchasingopportunities,etc.”

passport,publictransit,allpurchasingopportunities,etc.”

Realistic(short-term)benefits:Identification,healthmetadata,deterrentto kidnappers and human traffickers, and crime management and law

enforcement. It also is convenient to some as youwon’t have to walk aroundwithcarorhousekeys,orevencreditcards.

Implanted microchips are mainly for governments and corporations to continuallytrackourwhereabouts.Thisisarealconcernthatneedstobe handled with privacy controls and good security practices. In a world completely controlledbychipswithinour skin, it’spossiblethat hackers could scan and replicate the data on your chips onto their own. It’s commonforanynewtechnologytobeinfiltratedwithbugsandexploits. Puttingsomuchinformationanddependenceonasinglechipmakesita majortargetforunethicalpeople.Thereisalsopotentialforimpersonation ordatacorruption.

Willthereeventuallybeamicrochipmandaterequiringeveryonetoreceive amicrochiporlosetheirjob,etc.Biblicalprophecypointstothisbeingthe “Markof theBeast,” indicatingthebeginningof theRevelation. “Andhe causethall,bothsmallandgreat,richandpoor,freeandbond,toreceive amarkintheirrighthand,orintheirforeheads.Andthatnomanmightbuy or sell, save he that had the mark, or the name of the beast, or the

numberofhisname”(Revelation13:16–17).

OtherTechnologiesandTrendsthatwillreshape

ourfuture:

OtherTechnologiesandTrendsthatwillreshape ourfuture: SOFTROBOTICS Robotstodayarehard, madeof

SOFTROBOTICS

ourfuture: SOFTROBOTICS Robotstodayarehard, madeof metalandtheyoperateinaninflexible

Robotstodayarehard, madeof metalandtheyoperateinaninflexible manner.Overthenextcoupleofyears,wewillbegintoseerobotsbeing built with materials that closely resemble the human body. They will interact with us in a human way, with a human touch. Researchers at

ColumbiaEngineeringhavedevelopeda3Dprintedsynthetictissuethat

can act as active muscle, paving the way to creating more lifelike machines.Thematerialcanactasactivemuscleandcanpush,pull,bend, and twist. As robots and robotics become increasingly ‘soft”, they will integrateintooureverydaylivesininterestingandsignificantways.

COMPUTINGTRENDS

COMPUTINGTRENDS Quantum

Quantumcomputing:Bigplayersintheinformationtechnologyworldare investing heavily in the race for quantum supremacy. The size and complexity of our data sets are growing faster than our computing resources.Eventhoughaclassicalcomputerhelpsusdomanyamazing things,it’sreallyjustacalculatorthatusesasequenceofbits—valuesof 0 and 1 to represent two states. Instead of bits, which conventional computers use, a quantum computer uses quantum bits—known as qubits. So, a computer using qubits canstore anenormous amount of informationanduseslessenergydoingsothanaclassicalcomputer.Itis agroundbreakingleapincomputingpowertogofromafewhundreddata attributesandrunningthesamemodelswith20,000or moreattributes. Quantum computers are expected to solve complex problems that are beyondthecompetencesofaclassicalcomputer.

DNA Computing is the performing of computations using biological molecules,ratherthantraditionalsiliconchips.ScientistsattheUniversity

ofManchester,ledbyProfessorRossD.King,havecreatedanewDNA-

based computing device. Professor Ross D King and his team have provenforthefirsttimethepracticabilityofengineeringanondeterministic

universalTuringmachine(NUTM).Subsequentlyin2017,forthefirsttime

ever, researchers from the University of Washington, led by Professor TadayoshiKohno,havemanagedtotakeoveracomputerbyencodinga

maliciousprograminDNA.TheDNAcomputerhasclearadvantagesover conventional computers the reasonis that DNA strands canhold much datainmemoryandconductmultipleoperationsatonce.

5G,6G,7GNETWORKSandbeyond

5G,6G,7GNETWORKSandbeyond 5G is right around the corner and it is anticipated as the

5G is right around the corner and it is anticipated as the next major evolution for mobile technology. 5th generation mobile networks or 5th

generationwirelesssystems,abbreviated5G,promisestobethelargest

stepforwardformobilenetworktechnologyofferingfasterspeedsthan 4G withlower latency and increased capacity for a greater number of devices.Thiswillempowercustomerswithevenfasterdataconnections. TheInternetofThings(IoT)willexplodefurtherbecomeall-encompassing andthiswillhelptobuildwidelyconnected“smart-cities”.Thefirstpublic

5Gnetworksareexpectedtorolloutinin2020.

6Gnetworkswilluseacombinationofthelatestinradioandfiberoptics

technology. It will integrate 5G wireless mobile system and satellite network. The UK government is already investing in6G networks. The future networks will have zero distance connectivity between people. Eventually we will be able to integrate terrestrial wireless withsatellite systems, for ubiquitous always-onbroadband global network coverage.

The7Gwillbethemostadvancegenerationinmobilecommunicationuntil

thenext.

DRONES

thenext. DRONES Unmannedaerialvehicles(drones)areexpectedtobecomeapartofour

Unmannedaerialvehicles(drones)areexpectedtobecomeapartofour near-future society. Drones are starting to fly by themselves without remotes. Drones are changing the way companies do business in all

industries.CompaniessuchasAmazonandAlphabetInc.arestartingto usedrones todeliver products tocustomers. Medicaldrones arebeing usedtotransportofdrugsfaster.Theyareabletohelpincircumstances whentimeiscrucialsuchasdisastersormedicalemergencies.Rwandais building the world’s first drone airport to provide medicine and medical supplies that canbequickly flowntothosewhoneedit. Lifeguards will alsoworkwithdronetechnologytosearchandrescuefaster.Thereisa massiveriseintheuseofindustrialdronesthatarenowactiveinfieldsas diverseasfarming(checkingonlivestock),hard-to-reachoilandgasrigs and pipelines (monitoring infrastructure), power lines, transportation systems, search and rescue (including thermal cameras), and security services.AUK-basedcompany,BioCarbonEngineering,backedbydrone manufacturerParrot,hascomeupwithamethodofplantingtreesquickly and cheaply eveninareas difficult to access. These drones candrone plant up to 100,000 trees a day. Automating ecological regenerationis generally a great idea. This will go a long ways toward regrowing our declining tree population. Drones are taking off across all business sectors. The UK government is currently discussing a drone traffic managementsystemwithNASA,LordAhmadTariq,theUnderSecretary ofStateforTransport,revealedintheHouseofLords.Astheybecome integrated with other technologies they will be used in many more industries. The Chinese company EHang, Inc. launched The Ehang 184 whichisthefirstelectricsmartestlowaltitudeautonomousaerialvehicle. It provides means of personal transportation for a single passenger weighing not more than 100 kilograms or 220 pounds and a small suitcase. Inthe USA, Uber says its flying taxis willtake to the skies in

2020inDallasandDubai.

ANDBIOPRINTING

ANDBIOPRINTING

3-Dprintingconnotesathree-dimensionalobjectthatiscreatedlayerby

layer via computer aided design (CAD) programs. Its printing is so powerfulthatitcancreatealmostanythingfromfood,clothing,housesto organ tissues and cells. Moreover, 3D printing technology is better, cheaper, faster, more flexible, and more sustainable. It is used in the packagingindustry,automotiveindustry,aircraftindustry,andhealthcare.

Recently,Rolls-Royceannounceditwoulduse3-Dprintingtomakeparts

foritsjetengines.Orthopedicsurgeonshavestartedusing3Dprintingto

buildreplicasofpatient’sbonestorepairinjuries.3-Dprintinginnovationis

alsomakingitswayintoprintingelectronics,circuitsandsensors.

4Dprintingisprettymuchthesametechnologyas3Dprinting.However,

4Dprintingallowsfortheprintingof3Dobjectsthatwhenanenergyforce

such as heat, moisture, light or electrical currents, they transform

themselves.Your3Dprintisabletochangeitsshape.Theycanfold,curl

and stiffen. This technology is still pretty much in research and development. Expertsat SingaporeUniversityof TechnologyandDesign havecreatedavarietyofobjects,includingaflatstarshapethatmorphs intoadome,adelicateflowerthatclosesitspetals,etc.Theyprintthese

4Dobjectswithacommercial3Dprinterandaheatsource.

Bioprinting is an extension of traditional 3D printing. The only key differenceistheydeposit layersof biomaterial, whichmayincludeliving cells,tobuildcomplexstructureslikebloodvessels,skintissue,boneand potentiallywholeorgans. Advancementsinbioprintingareprovidingnew optionsfortreatmentandscientificstudy.

MIXED,AUGMENTED,ANDVIRTUALREALITY(MR,AR,

VR)

Theworldisgoingvirtualanditbeingsupportedbyamyriadofnewand exciting technologies including AI, augmented reality, and
Theworldisgoingvirtualanditbeingsupportedbyamyriadofnewand exciting technologies including AI, augmented reality, and

Theworldisgoingvirtualanditbeingsupportedbyamyriadofnewand exciting technologies including AI, augmented reality, and exponential

connectivitytobothpeopleandobjects.Augmentedrealityintertwinesthe physicalanddigitalworldbycomputer-generatedsensoryinput suchas sound,video,graphics,andsometimesevensmell.Whilethedevelopment ofaugmentedreality(AR)stillseemstobeinitsinfancy,itscounterpart, virtual reality (VR) is becoming mainstream. VR is immersive and engaging.VRandARcanalsoprovidereal-lifescenariosforemployees toparticipatemoreoften,lessexpensively,andwithhands-onexperience that cantruly maximize the outcome and returnonthe investment. The interest in mixed reality is high, and there are notable examples of retailersandbrandstappingintoitspotential.Imagineifconsumerscould see,hear,andfeelthepresenceoftheservicesandgoodswithoutleaving the comfort of their couch. Tractica predicts that nearly 200 million headsets will be sold by 2020. That’s two-thirds of the United States population.ARandVRwillimpactmanyfieldswithawiderangeofnew immersive experiences. BothARand VRhave anaptitude for changing healthcareforthebetterinthefuture.Virtualrealitytherapies(VRT)will extend beyond simply distracting the brain. Initially, we will see VRT addressing the psychological—treating addictions, phobias and other mental conditions but soon we will see it aiding in Neurorehabilitation. Mindmaze is already creating virtual environments for stroke patients, causing their brains to re-wire themselves and re-establish mobility in forgottenlimbs. VR has beenhailed as the way of the future. The US DepartmentofDefense(DoD)issettoincreaseitsinvestmentinvirtual, augmented or mixed reality training in the coming years, according to Frost&Sullivan.Accordingtothelatestforecasts,theARdevicemarket

isexpectedtoreach$659.98millionby2018,whileitscounterpart,VR,is

alsoexpectedtoboominthenextcoupleofyears.

MATERIALSSCIENCE

Excitingresearchinmaterialsscienceiscreatingstronger,durable,lighter

materials.Thecapabilitytodesignandmanufactureinfrastructuresuchas bridges, roads, and buildings with stronger, self-intelligent, adaptable, materialswillrevolutionizetheconstructionandtransportationindustries. Material scientists together with architects have made cement that captures carbon dioxide, developed bricks with bacteria, and created building cooling systems by simply using wind and our vibrant sun.

Graphene,theworld’sfirst2Dmaterial,isasingle-atomlayerofhyper-

conductive carbon with extraordinary qualities. It is ultra-light yet immensely toughand 200 times stronger thansteel, but it is incredibly flexible.Itisthethinnestmaterialpossibleaswellasbeingtransparent.It hasamazingpotential.Thereisalreadyworkgoingonthatusesgraphene to extract electricity and water from air. According to a new study releasedinNatureNanotechnology,wemaysoonbeabletodesalinate and purify water more easily with a graphene filter. Imagine what this couldmeanforunderdevelopedcountries.

OtherareasinMaterialssciencetokeepaclosewatchonare:

BiomimeticmaterialsOtherareasin Materialsscience tokeepaclosewatchonare : Nanoporousmaterials ECO-CYCLING

Nanoporousmaterialstokeepaclosewatchonare : Biomimeticmaterials ECO-CYCLING

ECO-CYCLING

: Biomimeticmaterials Nanoporousmaterials ECO-CYCLING

Withrapidlychangingtechnology,manyhigh-techcompaniesaremakinga reductionofe-wastehighpriority.Innovationsinthetechindustrysuchas theApplerobotthatcanprocesse-wastemoreefficientlyandsafelythan humans.Companiesneedtotaketheirrecyclingeffortstothenextlevel. Innovatorsmustincludewaystorepurposewastematerials.“Theworld’s population simply consumes too many resources for one earth,” says Markus Müller-Drexel, managing director of ALBA Group’s recycling

subsidiaryInterseroh.“Thesolutioncanonlybetoextendthelifespanof products,torecyclerawmaterialsandtomakeprocessesmoreefficient. Therefore,zero-wastesolutionsareattheheartofourbusinessmodel.” Wewilldefinitelybeseeingagreaterfocusonnewwaystopreserveour planet’s natural resources. By 2019, countries in the European Union,

mustprocess85%ofallitselectronicwaste.Thefocusisoncreatinga

sustainablefuture.

CYBERWARFARE

sustainablefuture. CYBERWARFARE Some of the top companies of the US have been targeted by

Some of the top companies of the US have been targeted by sophisticated Chinese hacking campaigns for intellectual property, copyrightedmaterial, andtradesecrets. Theevidencepoints to military

runhackergroups.ResearchdonebyIPEXPOEuropesaysthat47%of

the UK’s IT decision makers are worried more about Cyber Terrorism attacks now thanthey were 12 months ago. This was identified as the biggest cyber security risk in the future (27%) followed by attacks on

nationalinfra(13%).

COLONIZATIONOFMARS

by attacks on nationalinfra(13%). COLONIZATIONOFMARS Spaceexplorationisreachingatippingpoint .

Spaceexplorationisreachingatippingpoint.Theraceforcolonizationof MarsandMartianreal-estatewilldrivearacebetweenChina, SpaceX, Europe, and NASA. Just as the First Industrial Revolution had new frontiersopeningintheNewWorld,todayweseethecommercializationof space as real possibilities. Speaking at the International Astronautical Congress(IAC)inAdelaide,SouthAustralia,ElonMusktoldanaudience thatSpaceXisworkingonarocketthatcouldtakeyouanywhereonEarth inlessthananhour.SpaceXaimstolaunchitsfirstcargomissiontoMars

in2022,thenby2024,thegoalistostartsendingpeople.

Otherareasinspaceexplorationtokeepaclosewatchonare:

GeoneutrinosatellitesOtherareasin spaceexploration tokeepaclosewatchonare : PhotonicsinSpace Spacebasedsolarenergy CONCLUSION This is

PhotonicsinSpacetokeepaclosewatchonare : Geoneutrinosatellites Spacebasedsolarenergy CONCLUSION This is just touching the

Spacebasedsolarenergy

CONCLUSION

PhotonicsinSpace Spacebasedsolarenergy CONCLUSION This is just touching the surface. There are many

This is just touching the surface. There are many developments that haven’treachedthemainstreammediayet.Technologicallandscapesare shiftingbeneathourfeetlikeneverbefore.NotaweekpassesthatApple, Facebook Google, Microsoft, and a host of smaller startups boast key advancesintheirdevelopmentofnewapplications.Today,weareseeing advances not only in automation, robotics, and AI but new ways to interactwithworkandeachother(virtualreality/augmentedreality/mixed reality),newmaterials(likegraphene),energyrevolutions(unconventional fossil fuels, solar, batteries), and new productionprocesses (3D & 4D printing),etc.Manypeoplearescaredofnewtechnologiesbecausethey simplydon’t understandthem. Ourmissionshouldbetomakeeveryone feelinformed,comfortable,andpreparedforupcomingchangesthatare andwillbepartofourlifeandthefuture.

The Future Today Institute recently released the, “2017 Tech Trends Report.” This year’s report identifies more than 150 notable trends, a

huge85%increasefromthe80trendshighlightedinthe2016TechTrends

Report. Within the upcoming months and onwards, there will be more innovation than ever before. The developments are happening are so diversethatitcanbedifficulttograsp.Asinnovationandadvancementof

technologycontinuesatanexponentialrateweseetheincreasingpattern

ofonetechnologygivinglifetothenext.Therealvalueinthesedoesn’t

comefromthemstandalone,itcomesfromhowtheycombinetocreate

breathtakingsynergies.

Ourfocusoninnovationanddevelopmentmustbemotivatedoncreatinga

sustainablefuture.Organisationsneedtokeepabreastofcurrenttrends.

Failurebyorganisationstomonitorandreacttoshiftsinthemarketplace

(drivenbytechnology),canleadtoextensiverisksandevenextinction.

No one can predict the future, however we can connect the dots and patternstogetaglimpseofwhatthefuturemaylooklike.

CHAPTERFOUR

THETWO-EDGEDSWORDOF

ARTIFICIALINTELLIGENCE

CHAPTERFOUR THETWO-EDGEDSWORDOF ARTIFICIALINTELLIGENCE AIisadvancingatexponentialrates.Itisprogressingfasterthanwecan

AIisadvancingatexponentialrates.Itisprogressingfasterthanwecan comprehend.Wearenowjustonlydippingourtoeinthewater.Theway this world is working on AI is in either hidden or open mode. The informationwe are receiving inthe media is just bits and pieces of the puzzlethatthemainplayersarewillingtogiveus.Alotofitisclassified, whichmeansitisnotopenknowledge,excepttothebigplayers.

AIisgoingtobeacriticalpartofhowwesolvethebigproblemsofthe future.WecanuseAItoextendandaugmenthumancapabilitytosolve realworldproblemsthataffectpoverty,education,andhealth.AIhasthe power to change our world. According to The Washington Post, researchers believe that the AI test will have implications across many sectors of our economy. Ultimately, it could be used in a number of situations including business negotiations, cybersecurity attacks, and military operations. The companies leading the AI Revolution, the tech industry,areallfocusedonthegoodandeveryinnovationisconsideredto be something that improves the human condition. However, the same algorithmscanbeusedfordarkendeavorsaseasilyastheycanbefor good.Everyinnovationcreatestoolsthatcanbeused“tobeconstructive” or“tobedestructive”.Justlikemanyinventionsinthepast,evilneverlies in the technology but in what we intend and actually do with it. The suggestion that AI could help solve complex global problems ignores history,anddoesnotaddressthefundamentalcauses.Firstly,itsuffers fromthefallacythatscientific,technological,andindustrialdevelopments constituteabsoluteprogressthatcanbeappliedtotheissuesoftheday; we have serious global unemployment and environmental problems becauseoftechnologyinnovationsthathavebeenunleashedonaglobal scale. Secondly, the fundamental causes of our issues today are structuralproblemsinoursociety.

AI is magnificent but this technology is far from perfect. It could be imperfectbecause:

Creatorsareimperfectis far from perfect. It could be imperfectbecause: Datawasimperfect Paradigmstomodelinternalrealitywasimperfect

Datawasimperfectperfect. It could be imperfectbecause: Creatorsareimperfect Paradigmstomodelinternalrealitywasimperfect

Paradigmstomodelinternalrealitywasimperfect

Imageprocessinghaslimitations

AIoutputsarenoteasilypredictable,andtheycouldhurtpeople

andviolateAsimov’slawsifhumansbecomeanobstacleforAI.

AIisloyaltowhatitwantstooptimize.Ifhumanwell-beingisnot

includedintheoptimizationandinternalmodelofreality,AImay

becomeadanger.

Historyteachesmanylessons.AlfredNobel,whoinventedthedynamite, wasrevolutionaryinfuellingtheglobalindustrialandeconomicrevolutions. It was designed to accelerate the mining of resources and building of infrastructure. However, to Nobel’s displeasure, it was also used for destructionandtakinglivesinwarsacrosstheglobe.

ACCOUNTABILITY

ACCOUNTABILITY As AI is used increasingly in a growing range of

As AI is used increasingly in a growing range of applications, industry experts have stated it has a dark side: the systems can, and will, fail. Among the consequences we need to be aware of is the fact that “softwareisbuggy,”saysSueFeldmanmanagingdirectoroftheCognitive Computing Consortium. She further stated, “If we depend on these systemstobeperfect, wearelettingourselves infor errors, mistakes, andevendisasters.”USdefenseexpertJayTuckstatedinaTEDxtalk thatAIsometimesmakemistakes.Hecitedanexampleofanautomatic cannonwhichgotoutofcontrolandstartedpointingattheaudiencedoing a demonstration. It eventually was subdued by a marine officer in attendance.

In2015,adefectiverobotkilledafactoryworker—humanerrortoblame.

A robot’s arm malfunctioned one day, hitting and crushing Wanda Holbrook’shead, killingher. Inawrongfuldeathlawsuit, her husbandis suingfiveroboticscompanies,claimingtheyallplayedaroleinhiswife’s

death and that the accident was due to negligence by those who designed, built, tested, and monitored the robots. He said he wants to know what went wrong, hold the responsible parties accountable, and prevent a similar tragedy. Whenyouhave humans and robots working togetherthenthiscouldposeseriousproblems.

Statisticsrevealthat1.3millionpeopledieinroadtrafficaccidentsevery

year, 94% of which are caused by human error. Morgan Stanley

estimatesthata90%reductionincrasheswouldsavenearly30,000lives

and prevent 2.12 million injuries annually. Again, that’s assuming that driverlesscars,drivenbyhuman-createdsystems,willoperateperfectly allthetime.Yes,humanerrorwillbepulledfromtheequation,butitwill be replaced with computer error, which in some cases is much more systemicandepidemicthanhumanerror.

Driverlesscarshavehugepotentialinoursociety,butfirstthereneedsto belawsinplacethatproperlyhandletheseAImachinesthataremaking decisions that directly impact human lives. Who is responsible if a driverlesscarkillssomeone?WhoisresponsibleifanAIbankingsoftware destroysacountry’seconomyforprofit?Yes,humanscanmakemistakes too and overcompensate, but what makes AI more dangerous is it can make those decisions faster and more frequently in a period before humans canreact. WhenAI is thedriver, ethics programmingbecomes critical.Akeychallengewithautomationisthelevelofexceptionhandling when things don’t go as planned. Imagine a self-driving vehicle driving downtheroadwithfivepassengerswhenachildunexpectedlydartsoutin frontofit.Itsonlychoicesaretohitthechildorcrashintoatree,which couldharmitspassengers.Ifthedesigneroftheprogramhasnotthought ofasituationthatthemachinedoesnotknowhowtorespondto,andthat situationoccurs,themachinemightmakethewrongdecision.Howdoyou program a computer to deal with these sorts of moral unforeseen

dilemmas? Where humans can adapt quickly, or think and respond instantlywhentheunexpectedhappens, thingsmayendquitedifferently withAI.

Humanscanmakethatmoraljudgment,buthowdoesacomputerdraw thesameconclusion?Mostindividualsoftenmakemoraldecisionsonthe basis of principles like honesty, civility, fairness, and respect. It seems impracticableformachinestoemulatemoraljudgment,butifthatpotential exists,atleastoneimportantissuemustbeaddressed.Humanvaluesand laws change depending on time and place. While there are some commonly-heldethicalprinciples,individualinterpretationsofthosevalues oftendiffer.Forexample,there’sawiderangeofviewpointsintermsof whatconstitutesdecentversusindecentlanguageandattire.Technology evolvessofastandimpactsoursocietysodeeplythataswegetmore andmoreconnectedandeverythinghappensatafasterpace,therewill bemoreethicalquestionstoanswer.

Machinesdon’ttextordrivewhileintoxicatedortired.GoogleandTesla have vehicles on the road with over one million miles accident free. Driverless cars should, in theory, greatly reduce the number of road deaths every year, most of which are a result of driver error or incapability.Butifsomeonehacksintotheserverthatcontrolsthousands ofdriverlesscars,thenwe’llseeifthosestatisticsarevalid.

An article put out by the MIT Technology Review says the biggest impedimenttoself-drivingcarsaresecurityflawsandthoseflawsbeing susceptibletohackers.Lastyear,ateamofChinesehackerstookremote

controlofTeslaModelSfrom12milesaway.Tesladeliveredawireless

update in hours. Software problems in cars often have real-world consequences. If a smartphone app has a problem that requires an

update,itdoesn’truntheriskofa2-toncarlosingcontrolandcrashing

intopeople.It’sonethingtoallowinternetconnectivitytodownloadGlobal

PositioningSystem(GPS),it’squiteanotherthingtohookthemechanical workingsofthecar,likethebrakes,intotheinternet.Evenwithouthacks, do computers ever crash? Do programmers ever make mistakes? Do majorprogramseverhaveseriousbugs?Currentlywiththeweaponization of cars, companiesneedtooffer solutionsandadvancementsthat stop someonefromusingthesevehiclestocauseharmtoothers.Automated systems on cars, trains, airplanes, and industrial equipment can compromiseoverallsafety.There’salwaysthedangerthatsomethingwill gowrong.

As more and more Internet of Things devices pop up, hackers are just goingtofigureout what theyneedtodotobringthemdownor exploit themfortheirownuse. Lookat printers. Noonewouldthinktheywere dangerous, but they are one of the most easily hackable connected devicesoutthere.Unlessyou’vegottherightsecurity,someonecangain accesstoeverything—andprettyeasily.

Another issue we need to address, which is a likely huge impending debate,ishowweintegratedriverlesswithhumandriversasatransition period. Ruralcommunitieswillbewherethegreatest lagwilloccur with driverlesscars. It isobviousthat computeroperatedcarswillsharethe roadwithhumandrivers.Howwellwillthemixturework?It’llbeinteresting to see how the auto industry (the business infrastructure) and the government (legislatively, and the public infrastructure) deals withthose wholagbehind.

Germanytakesanethicsstanceondriverlesscars.

Algorithmsoflifeforself-drivingcarssetbyGerman

regulators:

Mustbeblindtotheage,gender,orphysicalconditionofpeopleinvolved Protecting people rather than property or animals will be the priority BIASESINAI

involved

Protecting people rather than property or animals will be the priorityinvolved BIASESINAI

BIASESINAI

than property or animals will be the priority BIASESINAI
than property or animals will be the priority BIASESINAI

TheAmericanCivilLibertiesUnionhasraisedconcernsthatage,sex,and racebiasesarealreadybeingcodifiedintothealgorithmsthatpowerAI. BeneaththeAIhypethereissomeseriousbaddesignandimplementation inherited over the past years by male only design and coding. With technologymovingat anunprecedentedspeed, therehasbeenconcern aboutbiasandstereotypingissues.Whydoweneedtofixthesebiasesin

AI?Whetherwelikeitornot,AIissilentlyreshapingourentiresociety:

fromourday-to-daywork,thenewsweread,theproductswepurchase, tohow wevote, andhow governments govern. AI isn’t perfect andthe damagecausedcanbeirreparablewhenitcomestothealgorithmsthat areusedtodecidemoreseriousissues,likeprisonsentences,housing,or creditscores.Evenmoredangerousisthepotentialforreinforcementof racialandethnicstereotypesbecauseitalignswithaplatform’sview of the world or it just helps sell more products. It’s easy to “weigh” algorithmstogoincertaindirectionsandstillappearunbiased.

RacisminAI canbe spotted fromthe fact that AI synonymgeneration systems associated African names with unpleasant words whereas it associated Europeannames withpleasant words. ProPublica published aninvestigationthattalkedaboutsoftwarethatwasbeingusedbyacourt topredict whowas morelikelytocommit acrimefor thesecondtime. Appallingly, they found out that the software rated blacks with higher probabilitythanwhites.Itwasalsofoundthataresumewasmorelikelyto beacceptedifitbelongedtoaEuropeanAmericanindividualascompared tothatofanAfricanAmerican.

JoannaBryson,aresearcherattheUniversityofBath,studiedaprogram designedto“learn”relationshipsbetweenwords.Ittrainedonmillionsof pagesof text fromtheinternet andbeganclusteringfemalenamesand pronounswithjobssuchas“receptionist”and“nurse.”“Peopleexpected AI to be unbiased; that’s just wrong. If the underlying data reflects stereotypes, or if you train AI from human culture, you will find these things,”Brysonsays.

Sexism in AI is quite obvious. AI synonym generation systems have associated words like “women” and “female” with social sciences and homechores.Ontheotherhand,wordslike“man”and“male”havebeen associatedwithstrength,engineering,andscience.Siri,Alexa,Cortana—

whatisthecommonthreadthattiesthemtogetherbesidesthefactthat they are all AI-based voice assistants? These futuristic AI-based assistantsareallwomen.Theseimplicitbiasesplayoutinvariousother formstoo.Functionalrobotsaremostlymodeledasmaleswhilefemale robotsareoftendesignedtoreflectthesubservientimageofwomenoften embodiedinasingleroleasassistants.

Algorithms are unbiased, if you feed it biased data it will have biased results. Whenthedatawefeedthemachinesreflectsthediscrimination evidentinoursociety,wearetrainingthemtobeunfair.Butsadly,data canneverbecomeunbiasedunlesshumansbecomethatway.

YoshuaBengio,aprofessorattheUniversityofMontreal(whoisoneof thethreeintellectswhoshapedthedeeplearningthatnowdominatesAI) said,“Inasocietywherethere’salotofviolence,alotofinequality,[then] theriskofmisusingAIorhavingpeopleuseitirresponsiblyingeneralis muchgreater. Making AI beneficial for all is very central to the safety question.”

Itstillisn’tclearhowexistinglawstoprotectagainstdiscriminationmight apply in this new landscape. Often the technology moves faster than governments can address its effects. In 2016, former Microsoft researcher Solon Barocas claimed that current laws “largely fail to addressdiscrimination”whenitcomestobigdataandML.

AUTOMATION

AUTOMATION

Ourworldisexperiencinganunprecedentedshiftfrommanuallycontrolled technologiestoincreasinglyintelligentandautonomoussystems,someof which are powered by artificial AI. We are becoming even further marginalized through our dependence on certain technology as a

surrogateforcriticalthinkingskill.Forthenextgeneration,alargepartof day-to-daylifewillfallunder thecontrolof software. Softwareperfectly tailored to manage our specific needs, likes, and everyday tasks will eliminateoutsideobstaclesorfriction,whichcanhurtus.Thiscreatesan illusionofacomfort,butitfuelsahomogeneousworld.

Thereareconsequencesof hyper connectedness. Werelyonintelligent machines as a central part of our community of knowledge. We are becomingfartoodependentonothersthinkingforusinsteadofusthinking for ourselves. Then there are some who don’t have the inclination to consider,question,andreflect.Wearenotasleepbutourconsciousness isbeingslowlysubdued.Takingpeopleawayfromthinkingwiththeirown mindsinvolvesthinkinganddecidingintheir place. Thedeceptivelytotal knowledge and control of people’s behavior through overestimated technologicalapproaches(suchasthebigdata)isanobviousexampleof thisstrategy.Theworstistorealizethatthevastmajorityofpeopledo not even have enough level of consciousness to understand the short, medium, and long-termconsequences. Here we have the kidnapping of human thought by the totalitarianism of the Great Quantitative Oracle; peopledonotneedtothink.AllthisisamixofthespeechofModernity withtheillusionof control. Centuries beforeCoetzee, Shakespeare had saidsomethinglikethat intheplayJuliusCaesar: “Hethinkstoomuch; suchmenaredangerous”.

InanarticlepostedinTheWashingtonPost,FranklinFoerstated,“Along withFacebook,Microsoft,andApple,thesecompaniesareinaraceto become our personal assistant. They want to wake us inthe morning, havetheirAIsoftwareguideusthroughourdays,andneverquiteleave oursides.Theyaspiretobecometherepositoryforpreciousandprivate items, our calendars and contacts, our photos and documents. They intendforustoturnunthinkinglytothemforinformationandentertainment

while they catalogue our intentions and aversions.” Has the servant becomethemaster?

It’snotaboutcompetingwiththemachine,it’saboutlosingtheabilityof whatwedelegatetomachines,whichwehavedonemanytimes.Asimple example:Icanstillrememberallthephonenumbersthatwererelevantin my life before cell phones, but since cell phones now remember the numbers for me, all the “newer” ones are obscure to me. Newer generations don’t retain much, since they always have Google in their pocketstolookupeverything.Weautomateprocessesandovertimewe lose the ability to performthat process. We sit and press a buttonfor everything.Incamping,weusedtobeabletofinddirectionbylookingat thesunorstars—nowweuseGooglemap.Acoupleofyearsbackwhen youwantedtochangethechannel,youhadtoactuallytouchtheTV.You wouldlookoutthewindowtoseewhetheryoushouldtakeanumbrella.If youwantedtoturnalightonoroff,youdidn’thavetotalktoadevicethat was listening 24/7 and connected to a server farm thousands of miles awayinsteadofstandingupandflippingaswitch.Furthermore,willthis nextgenerationevenlearntodriveacar?Whatifthesystemshutsdown andanemergencyhappensthatrequiresthemtodrive?Ifyou’refamiliar withthecollapseofthesocietythatlivedonEasterIslandyou’llseesome interestingparallels.“Progress”isanoftenmisinterpretedconcept.

In2009,AirFranceFlight447crashedintotheocean,killing228people.

AreportcommissionedbytheFederalAviationAdministrationconcluded that the pilots had become overly reliant onautomationwhichleft them unabletocopeinunfamiliarcircumstances.Thisisagreatexampleofthe automationparadox:Technologycanfailandwhenitdoes,wedon’tknow whattodo.Whentheplane’sautomationtechnologyfailed,coupledwith lackofbasicmanualflyingskills,thepilotsdidn’tknowwhattodo.

It’ssadtoseewhatpeoplewouldbewillingtosacrificefor“convenience.”

Human beings are capable of doing many things, and we should limit trading our intelligence and decision-making to anything. As algorithms createmoreandmorepredictions,canweautomatealldecision-making? Isthereadangerthatthisautomationwillbecomeacrutchforbusiness users—allowing human judgment to be overlooked? It is crucial that businessusersareequippedtounderstandthevalueofhumanjudgment andhowtomanagealgorithmsmakingquestionabledecisions.

Weneedtoexerciseourmindandbodies.Weneedtothinkandactfor ourselves.Technologycanbeaddictive.Takeforexample,socialmedia,it islikethedoughnutholesofthedigitalworld.YouopenupTwitterandsay to yourself, “I’lllook at just a few tweets.” Before youknow it, it’s like doughnut holes—the whole box is gone. Each tweet gives a little dopaminerush.Itlightsupthesamebraincentersasadrug.Afewyears ago,whenIrealizedIwascheckingFacebookconstantlyandmaintaining ahighlevelof anxietyabout what other peoplewerepostingandabout howmany“likes”Iwasgetting,Ideletedallsocialmediaappsfrommy phone. Unplugginghelpstoavoidaddiction. Relyingonone’sownmind, thought,andactionmaynotalwayswork,butifonecanmaintainsome independenceoverthepowerofmachines,wewillsurvive.Otherwise,we aredoomed.Likesnakes,theyinviteyoutotrytheirsweettaste,andwith provocative images they show a better world requiring only the down paymentofyourmostinnerwilltotheirpreordainedfuture.Theyarethe Charonthatwilltakeyourbodyandsoultotheothersidewhereyouwill not have to do anything because all youhave to do is give away your liberty,yourwilltoact.Butsalvationexistsandrestsinourstrengthand willtocoveroureyesandearstoheedthesweetcallstotheirbravenew world. So this “brave new world” brings us terrible dangers as mental decay.Alreadyweseethisinschools,wheremost—fortunatelynotall— studentscannotperformevenbasicmathoperations.

Technological progress itself does not automatically increase a population’sintelligencelevel.Rather,asClaudiaGoldinandLawrenceF. Katzclaimintheiressay,TheRacebetweenEducationandTechnology,it ispoliticalmeasuresthatenableapopulationtoexploitthistechnological progress.Automationmeansnoneedtothinkoract.Weareheadinginto a “sleepy” atmosphere. We know that most people have an attention deficit,whichseemstobeincreasing.Thisleadsustohavelessandless awareness of what happens around us. British psychiatrist Theodore Dalrymple has emphasized the simplicity withwhichwe canlose touch withreality. Before him, the Spanishphilosopher Ortega y Gasset had highlighted the same inhis book The Rebellion of the Masses: “If we observe those around us, we will see how they go through life in disorientation;theygolikesleepwalkers…withoutunderstandinganything that happens to them.”Many people have become so obsessed with technologythatreallifepassesthemby.Today,morepeoplearelivingin virtualrealityjustsittingbehindsomesortoftechnologicalgadgetinstead of living life. Technology limits the human experience and because the progressionofsuchissosubtle,wewillnotnoticewhatwearemissing untilit’stoolate.

Anotherfactorishavingpatienceandpersistencetoovercomechallenges

inlife.Weliveinasocietythatwantseverythingnow.Slowlypatienceis

becominganextinctspecies.Weneedtoteachourchildrenandthefuture

generationstheimportanceandvalueofresilience.InaworldwhereAlis

goingtotellyouhowtolive,eat,behave,andvote,wearereachingthe

pointthatsuicidalindividualswillevenasktheirAIdeviceiftheyshouldkill

themselvesandmakeadecisionbasedontheanswertheyreceive.

I see now the need to go back to our humanidentity, and this is only possiblewithanindividualpath.Theschemeofthedangerousdirectionis nothardtodecode.Ifitistruethatcurrenteconomythrivesonignorance

andmasshypnosis,wellguesswho’sgivingitconsent?

In the Disney movie Tomorrowland, the father tells the story of two wolves. One wolf represents fear, hate, and despair. The other wolf representshope,love,andkindness.Thefatherthenasks,“Whichofthe twowolveslive?”Thedaughtercorrectlyreplies,“Theoneyoufeed.”

TheEconomy&UniversalBasicIncome

TheEconomy&UniversalBasicIncome According to a report by PwC – PwC’s Global Artificial

According to a report by PwC – PwC’s Global Artificial Intelligence Study:ExploitingtheAIRevolution:

AIcantransformtheproductivityandGDPpotentialoftheglobalArtificial Intelligence Study:ExploitingtheAIRevolution : economy.StrategicinvestmentindifferenttypesofAItechnology

economy.StrategicinvestmentindifferenttypesofAItechnology

isneededtomakethathappen.

Labor productivity improvements will drive initial GDP gains as firmsseekto“augment”theproductivityoftheirlaborforcewith AItechnologiesandtoautomatesometasksandroles.isneededtomakethathappen. Our researchalso shows that 45% of total economic gains by

Our researchalso shows that 45% of total economic gains byAItechnologiesandtoautomatesometasksandroles. 2030willcomefromproductenhancements,stimulatingconsumer

2030willcomefromproductenhancements,stimulatingconsumer

demand.ThisisbecauseAIwilldrivegreaterproductvariety,with increased personalization, attractiveness, and affordability over time.

ThegreatesteconomicgainsfromAIwillbeinChina(26%boostattractiveness, and affordability over time. toGDPin2030)andNorthAmerica(14.5%boost),equivalentto a total

toGDPin2030)andNorthAmerica(14.5%boost),equivalentto

a total of $10.7 trillion and accounting for almost 70% of the globaleconomicimpact.

Technologicalprogress is theprimary driver of GDPper capitagrowth, increasing output faster than labor or capital. However, the economic

benefits of technologicalprogress are not necessarily evenly distributed acrosssociety.

“Thescienceofeconomicsshouldteachusnotonlyhowtoincrease

thewealthofallofus,buttosharethewealthmoreequallythanwe

do.”—NobelLaureateRobertM.Solow

AndrewNg,theformerchiefscientistatChinesetechnologypowerhouse Baidu, told an audience at a Harvard Business Review event that we shouldbefar moreconcernedabout thejoblossesthat willcomeasa resultofML.“I’vebeeninalotofprivateconversationswithAIleaders,or businessleaderswhoareworkingonnewAIproductsthatwillwipeout tens of thousands of jobs in a single company, maybe more across multiple companies,” Ng said. “And the interesting thing is that a lot of peoplewhosejobsaresquarelyinthecrosshairsofthetechnologies,alot ofpeopledoingthejobsthatareabouttogoaway,theydon’tunderstand AI,theydon’thavethetrainingtounderstandAI.Andsoalotofpeople whose jobs are going to go away don’t know that they’re in the crosshairs.”

Elimination of poverty rests on two things: education and employment. Technological advancements must be assessed based on social and economic impact for the living population. So what are the economic implicationsofAIonemploymentandinturnonconsumptionthatisdriven byemploymentandincome?Inthepast,machineshelpedtomakethelife ofpeopleeasier,andwithmoremachines,increasedproductivitymeant moresupply.Theneedoflaborexceededthesupplyofworkers,butthat isnolongerthecase.Unfortunatelythepurposeandparadigmofideology of automationis about a cost functionto minimize company headcount. ThePresident/CEOofthecompanyreportstothestockholderswhowant thebiggest returnfor their moneyandthecost of labor withbenefitsis nowmoreexpensivethanthisnewtechnology.Ifautomationwasledbya

costfunctionofgreed,itmaywanttooptimizeprofits.Itmeans“togetrid ofasmanypeopleaspossible.”Destructionmaybedisguisedwithfancy positive rhetoric such as “competitiveness,” “innovation,” “efficiency,” “performance,” “benefits,” “stakeholders,” “limitless opportunities,” “creativity,” etc. Rhetoric to live indenial like in2007, before the 2008 financialcrisis.

Sadly,muchofourfutureisbeingcreatedbytechnologistswhohaveno realconcernaboutthelong-termramificationsoftheircreations.Icanonly ponder.Havescientistsandtechnologistsemergedastheleadingsnake oilsalesmen?Wewitnessedthesamephenomenaineconomicswhich collapsed the world’s economic systems and it’s looking like it is technologynext.

“Highlevels of unemployment allow anurbanentrepreneurial class to exploitplentifullabor.Theyenjoytheprofitsoftheirdevelopment,while peopleatthebottomofsocietydon’tprogressatallandunemployment becomes indigenous to the systemas a whole.”—NobelLaureate Sir ArthurLewis.

China is installing more robots than any other nation and has already positioned itself as the biggest robotic market on the globe. In 2016,

Robotshipmentstothecountryrose27%to90,000,puttingitontrackto

account for a third of the world’s total. The International Federationof Roboticsestimatesthistotalwillnearlydoubleto160,000in2019. The driveforautomationcouldultimatelydepresswagesforChineseworkers, exacerbatingincomeinequalityandhurtingconsumption. That shift could haveworldwideramifications, economistswarn, dentingprospectsfor a morebalancedglobaleconomy.

The rapid and pervasive advance of automation has put pressure on employment.Eventuallywewillbefacedwithanoverwhelmingnumberof peopleoutoftheworkforceandunabletoretooltheirskillsforthenew

economy.Atsomelevel,thesystemasitstandswillimplode,becauseit

doesnotmatterhowmuchyoucanproduceifnobodyhasawagetobuy

thestuffyouproduce.Humanpopulationwillincreasebutjobswouldbe

limited.

limited.

TheBureauofLaborStatisticsliststhat884,000peopleareemployedin

motorvehiclesandpartsmanufacturing,andanadditional3.02millionin

the dealer and maintenance network. Anentire professionof drivers of trucks, taxis, buses, andsuchareabout toget wipedout. If millionsof jobsaremadeobsolete, aswellasindustries, thenhumanconsumption

willdryup,worsethanaftertheGreatDepressionorthe2008economic

crash.Whatconsumerbasewilldrivethis“explosion”?Thereiscertainly anemployment disruptioncoming, the scale of whichhasn’t beenseen sincethefirstIndustrialRevolution.Whatwearecontemplatingisnotjust transformation but disruption beyond what our society can bear.

Subsequently, why should governments keep investing innew highways withexpectationsofincreasedtrafficifcarsontheroadwillbereduced?

IftheverypurposeofAIistogetridoffreethinkingandtimeconscious

workforceandreducecost,thenhowitcancreatenewjobs?Ifitcreates

jobs,itwillbeatemporaryphenomenon—jobsrelatedtoAI.

Economyisrunbyhumandemandandsupplyactivities.Whenyoutake mosthumansoutofthejobs,whatkindofeconomywillbecreatedbythis AI and autonomous path? Eliminating employees, which are also final consumers, will encounter an economic limit (especially if staff being replaceddonotgetanewjoborarenotbeingpaidinsomeway).

Automation does create more jobs, but only if it’s possible to expend market(shiftdemand)throughlowerprices(higherproductivity-lowerinput costs) and make more money at the same time. Unfortunately, today, most industries/markets operate at excess capacity and most markets are at their natural maximum size, whichmeans further automationwill onlyresultinloweremployment.Combinedwithageingpopulations,thisa ticking time bomb for the global economy. While automation improves productivity,italsolowersparticipationinthelaborforce,hencedisplacing morejobsthanitcreatesintheshort-term.Thatis,themarketdoesnot self-correctimmediately.Theonlywayoutistofindawaytoconstantly create new industries, products, and new markets and even then we wouldonlybebuyingsomeextratime.

“Today, the top one-tenthof 1% owns nearly as muchwealthas the

bottom90%.Theeconomicgameisrigged,andthislevelofinequalityis

unsustainable. We need an economy that works for all, not just the powerful.”—SenatorBernieSanders

When we displace workers, where is the income coming from for the unemployed?Employeespaytaxwhichissupposedtogointoimproving

services in our country. By automating everything, where does the tax revenue get made up? Robots also don’t pay taxes or contribute to Medicare, disability benefits, SocialSecurity, etc. While they also won’t drawonMedicareorSocialSecurity(SS),don’tthoseprogramsdepend onworkerspayingintothemtofundthosewhoaredrawingonMedicare andSS?AutomationandAInecessitatesawholenewapproachtomany institutionsandbasically,anewmodelofcapitalismthatredistributesthe wealth-gap ina more equitable, ethical, and balanced way. We cannot assumethetransitiontoaneweconomicmodelwillbepeaceful.

In essence, there’s an increasing realization that a basic wage for everyone,currentlyontrial,isbeingtoutedasasolutiontothenewworld ofwork.BillGates,amongothers,hasproposedtheconceptofUniversal

Basic Income (UBI). This would help deal with the economic disparity caused by massive job loss. UBI involves giving every adult a cash

stipend,regardlessofwealthorincome,inparttooffsettechnology’sjob-

destroying effects. This would provide everyone with a set amount of money to help support themselves. Universal Basic Income (UBI) is basically a form of social security, in which each citizen of a country periodically receives anunconditional payment of money, either from a government or another public institution, in addition to any income the citizenmayobtainfromelsewhere.Themainideaistoensurethatevery personreceivesaminimumamountofincomesothatnoonehastolivein

poverty.

UBIisnotanewconcept.Someforerunnerscanprobablybetracedback asfarasthefreegrainofferedtoRomancitizens.ThomasPaine,author of Common Sense and one of the inspirations for the American Revolution,calledfora“nationalfund,outofwhichthereshallbepaidto everyperson, whenarrivedat theageof twenty-oneyears, thesumof

fifteenpoundssterling.”Inthe20thcentury,economistsandcivicleaders

called for the institution of UBI, in order to build a “floor” or minimum incomeforeachcitizen.DuringtheGreatDepression,LouisianaSenator HueyLonggainedsometractionwithhis“ShareOurWealth.”Duringthe sameperiod, severaleconomists, including, JamesTobin, JohnKenneth Galbraith, andPaulSamuelsoncalledonCongresstoadopt “anational system of income guarantees and supplements.” Currently, Finland is running trials. Finland has given 560 Euros monthly to 2,000 randomly selected people who had previously been receiving unemployment benefits.AccordingtotheWorldEconomicForum,Finland’sbasicincome

experimentisalreadymakingpeoplefeelbetterafterjust4months.The

government of the province of Ontario inCanada provides 4,000 of its limited-income citizens with around $12,600 a year. Utrecht, in the Netherlands,isalsoconductingatrial.Scotlandlookslikelytofollowsuit. By contrast, the citizens of Switzerland rejected the idea of UBI by a

landslideina2016referendum.

HerearecommonsensereasonswhyadoptingUBImightbepreferable

forthelong-termgoodofthefuturecitizen:

Italleviatessufferingatscale.Individualswillhaveaguaranteedforthelong-termgoodofthefuturecitizen: incomeinspiteoflackofemployment.

incomeinspiteoflackofemployment.

Inarobotworldoftheautomatoneconomy,UBIistheforerunnerincomeinspiteoflackofemployment. ofanewwayofvisitingthe“meaningoflife”:BasicIncomewill

ofanewwayofvisitingthe“meaningoflife”:BasicIncomewill

helpusrethinkhowandwhywework.

Withabasiceconomicsafetynet inplace, employeeswon’t be trappedindegradingorexploitativesituations.BasicIncomewill contributetobetterworkingconditions.helpusrethinkhowandwhywework. Unlike training programs, capital promotes freedom for those

Unlike training programs, capital promotes freedom for those mostvulnerabletofindsolutionsthemselvesthatsuittheirinnate self-determinedpotential.employeeswon’t be trappedindegradingorexploitativesituations.BasicIncomewill contributetobetterworkingconditions.

Greater Income equality; withUBI the 1% has to play by new rulesof capitalismthat put greater weight onaredistributionof wealth:Basicincomewillhelpwithreducinginequalities.Greater work life balance: UBI will likely contribute to less workinghours,leadingtobetterwork-lifebalance. Youget paid to

Greater work life balance: UBI will likely contribute to less workinghours,leadingtobetterwork-lifebalance.wealth:Basicincomewillhelpwithreducinginequalities. Youget paid to live. Eventually we’lllive ina

Youget paid to live. Eventually we’lllive ina Techno-Utopia where that iterationofUBIwillbeperfectlybalanced.Thislookslikeagreatideain theory,buttheproblemwithuniversalbasepayisthatitsimplyraisesthe price floor of everything by that amount. So, a cheap apartment or a cheap car would cost that + X base pay, and inthe end, life is again unaffordableforbasepayearners.It’sjustinflationary.Thebasepayidea would need to be combined withaffordable housing and transportation andfoodoptions.

UBI means pouring money into the economy, without the corresponding increaseinproductioncapacity,hencesimilartoprintingmoney.Injecting money into the economy without a subsequent increase in economic outputhasonlyoneresult.Thisproducesinflation,whichrenderstheUBI useless for the recipient. Anytime you falsely inject capital into the economy, supply and demand dictates that purchasing power will be diluted and youwon’t help the “poor.” People who are living below the poverty line before UBI will still be living in poverty afterwards. UBI is simplymaskingpoverty.

WhiletheprospectofUBImayseemlikeawholesomeidea,theprocess will take time, fortitude, and ethical distribution. Most political systems haveneither of thesenor doesthepublichavetheculturalor emotional maturitytogivepeople“somethingfornothing.”

UBI sounds like a good strategy but what if government runs out of money?Socialsecuritypaymentsarebasedoncurrentmoniescomingin.

Itusedtobetenworkingpeoplepayingintothesystemsupportingone

personreceiving benefits. Now it’s about four to one and evenless in somecountries.Now,imaginethatonthescaleofauniversalUBIandthe

moneyrunsout.Givencurrenttrends—lowwages,disappearingmiddle-

class,unskilledworkforce,etc.—theissueisthatUBIisunaffordablefor thecurrentpopulationandtaxlevels.However,ifthepopulationincreases, itbecomeslessaffordable.SeventypercentofAmericansarelivingpay check to pay check and ontheir credit cards. If this is the reality then economicgrowthanddemandforgoodsandservicesisnotsustainable. Furthermore,UBIisguaranteedtobealow-ballwage.

Theexistingfinancialsystemsarealreadyunsustainableandheadedfor collapse. Government running trillion dollar deficits despite record tax receipts, public pensions (mathematically un-fundable), student loan bubble, subprime auto bubble already on the verge of bursting, stock market decoupled from reality, social security, Medicare, boomer retirement wave, andsoon. Thedominoesarelinedupjust waitingfor oneofthemtotoppleoverandstartthecascade.Whatisthesolutionto any of these problems that exist now? Everything in the future is predicatedontheassumptionthatthestatusquowillremainonitscurrent trajectory.Byeverymeasurepossible,thestatusquo,completelyignoring thejobdisplacementbyautomation/AI,isalreadyonapathtofailing.

People in the future will marvel at the pensions and unemployment benefitsthatgovernmentsoftodayprovide.Itisverylikelythatpensions

andthedolewillnotexistby2050.

WithoutUBI,socialunrestwouldensue.However,itisabandage,nota

long-termsolution.

“Fromeachaccordingtohisability,toeachaccordingtohisneed”

ThissloganwasmadepopularbyKarlMarxinhiswritingCritiqueofthe

GothaProgram, published in1875. The Germanoriginalis Jeder nach seinenFähigkeiten,jedemnachseinenBedürfnissen.AccordingtoMarx, once a communist society has beenestablished, it willproduce enough goods and services so that everyone’s needs can be satisfied. Even thoughthephraseiscommonlyattributedtoMarx,hewasnotthefirstto useit.Thesloganwascommonwithinthesocialistmovement.LouisBlanc first used it in 1839, in the Organization of Work. The origin of this phrasinghasalsobeenattributedtotheFrenchcommunistMorelly,who proposed inhis 1755 Code of Nature, “Sacred and Fundamental Laws thatwouldtearouttherootsofviceandofalltheevilsofasociety.”

Additionally,ifyouwanteveryonetohaveacomfortablelivingwithoutthe effort, that’s Marxism, and that is proven not to work. UBI seems no differentfromSocialism.Socialismisusuallyimplementedpoorly.Alotof progressandinnovationdoesn’toccurbecausepeoplearetryingtokeep power in their status quo. Equal distribution of basic needs by the governmentiscommunism.UBIisapreludetoit.AccordingtoFriedman, “…governmentshouldprovidethreeprimaryfunctions:a.militarydefense, b.enforcecontractsbetweenindividuals,c. protectcitizensfromcrimes againstthemselvesortheirproperty.…Governmentshouldbeareferee, notaplayer…”

UBItakesawayincentivestoworkandmakesittonormaltobefedby

therestofthesociety.Taxesareusedforthefundingandtaxesaretaken

awayfromtheproductivepeopleunderthethreatofviolence.I’lldeferto

economistslikeThomasSowellandMiltonFreedmanwho’vemanytimes

inthepastdebunkedthisnotionthataUniversalBasicIncomewillsolve

anything.Thisideafloatstothesurfaceeverysooftenastheopponents

ageoutandretireorpasson.Weforgettooquickly.

UBIisinsinuatingthatwehavereachedalimitoncreativityandinnovation and basically surrendered our future to AI and automation. One of the

reasonsAIisdisplacinghumanworkersisbecausewehaveloweredour expectations of workers to the point of mindlessness. Technology historicallyhascreatedmorejobsthanithaseliminated,andthehistorical reasonforthathasbeenawillingnessofpeopletoraisetheirskilllevels. Today, disturbingly high percentages of students graduate high school barelyliterateandnotatallpreparedforeithercollegeorajob.Colleges are turning out graduates with little or no practical skill who end up workinglower wagejobswhilesaddledwithmoredebt thanwhentheir parents bought their first house. Basic income devalues skill, devalues personalexcellence,anddevaluestheveryqualitiesthatenablepeopleto moveuptheincomeladder.Itcripplespeoplebygivingthemnotmuch, but just enough. Instead of throwing pennies at people and dismissing them,weneedtoencourage,enable,andinspireeveryonetoalifetimeof learning,education,andpersonalgrowthandskillsdevelopment.Universal basicincomewilldestroylives.Let’sbuilduplivesinstead.

Soundeducationandeconomicgrowthistheonlyremedyfor displaced workers.Wedonotneedhandoutsunderanewname.However,Itendto supportasimilarideaintheformofanegativeincometaxthatsupplies incomeifandonlyifwagesfallbelowacertainthreshold.Thiswillcreate amarketforthepoor,andifpairedwiththeeliminationofmanycurrent welfare programs, will result inefficient government spending to effect positiveoutcomesfor theneedy. Asthisprogramwouldbeprogressive and not regressive, it doesn’t suffer as heavily from the inflationary problem of the universal basic income idea. Furthermore, distributing wealthputsalotoftrustinthebenevolenceofthoseappointedtodoso. Thesubjectivediscussionsondeterminingtheexact levelof theincome willbeanunendingsourceof(international)socialdiscontent.

The big dilemma is the negative impact of automation in the poorest countries aroundtheglobe. What

The big dilemma is the negative impact of automation in the poorest countries aroundtheglobe. What about thedevelopingcountries? They wouldnot beabletobear suchhighemployeelayoff costs, or provide highsubsidies.Themajorsourceofincomeforsuchcountrieswouldcome from the income tax or indirect taxes. According to a United Nations report,uptotwo-thirdsofjobsindevelopingcountriescoulddisappearin thenearfuture.Millionsofurbanandruralemployeeswillbereplacedby machines and automatized processes. All the millenniums goals of the United Nations are in serious risk as well as the economic and social stability of the poorest countries. Of course, middle-income countries, such as Mexico and India, can face serious difficulties. How can we implementuniversalbasicincomeinIndiawherepolitics,diverseclasses, working conditions, and work opportunities are challenges? Developed countriesliketheUSAcanaffordtoaccommodatethepeopletoliveon

socialsecurityorwelfare,however,thepeopleinlessdevelopedsocieties

willnothavethisoption.

ProfitsfromautomationcouldpayaUBI

willnothavethisoption. ProfitsfromautomationcouldpayaUBI The automation economy is creating a new world, so the rules

The automation economy is creating a new world, so the rules of economymustchangeaccordingly.Anditmustbedonefast.Opposition toroboticsandAI isabout asusefulasit wouldhavebeeninthe20th century to oppose electricity. It will happen. Everything that can be automated,willbeautomated.Therewillbeamassivedisturbance.The eraofdemocratizationforUBIwillsoonbehere.Wewillhavenochoice buttosubscribetoUBI.

I watched an interview with a couple of “Silicon Valley” tech company CEO’s—all guys intheir 30’s supporting UBI—but whenthe interviewer askedabouthowtheUSwouldpayforthemassivecost,theyliterallyhad no answer, the conversation ended since no one had a clue. Wealth distributionisatouchysubject.ThoseearninghighincomeslikeCEOsof banks,how willtheybetaxed?WilltheirtaxespayforUBI?Usuallyit’s the little people making middle-class incomes who pay most tax. The AustralianPMisfightingpressuretostopgivinghighincomepeopletax cuts.

Automationwillsavecompaniesmoneyandboostprofits.Givenallofthe huge savings companies (employee insurance, overtime compensation, workerscompensationclaims,vacation,sickleave,andmaternityleave, etc.)companiesaregoingtoreapfromautomation,robotics,andAI,and theyshouldbeheldresponsibleforusingpartofthesegainstosupport the workers they’ve displaced. Bill Gates recently offered another convincing suggestion: Perhaps robots should pay taxes to compensate the workers that they replace. This has also been endorsed by Elon

Musk,MarkZuckerberg,andRichardBranson.Companiesthatautomate theirworkforcesshouldbetaxedonthesenewmassiveprofits,andsome of the resulting capitalgivenback to workers by the government inthe formofUBI.Thisseemstobeagreatideabuttheissuewillbethetax

rate.Sayarobotdoesthejobof10people.Iftherobotistaxed,would

thetaxamount accumulatetothesumthe10peoplewouldhavepaid? Businesses nationwide fought against raising the minimum wage. Why? Because it reduces their profits. And now they will miraculouslyjustwillinglyagreetoasuitablerobottaxrate?

AsI write, thisremindsmeof theeffectsof WorldWarII (1939–1945) experiencedbycitizensof mycountry, TrinidadandTobago. Therewas littleemploymentopportunitiesleadingtofoodshortages.Asreportedby Ecclesville Agricultural Society, “children and adults are starving in the countryontheaccountofscarcityofthebasicfoodsandriceandflour.”It wasproposedthat thegovernment’sattentionbedrawntotheplight of the people and compulsory rationing be introduced to secure equitable food distribution. In order to accommodate the population, each family wasallowedtopurchaseaweekly quotaor rationof riceandflour. To keeptrackoftheweeklyquota,‘RationCards’wereissuedtoeverysingle householder, including childrenfromthe age of 12. The dynamics upon whichthecardoperatedwasthatwhenweeklyrationsofflourandrice were purchased at the shops, the consumer gave the card to the shopkeeper who placed anX inthe boxes onthe rationcard for each itemsbought. Therewasalsoashortageof vehiculartiresbecausethe milkextractedfromtherubbertreeswhichwasusedinmakingtireswas in short supply. The shortage of tires was responsible for restrictions placed on travel throughout the country. Owners of public transport vehicles were issued passes restricting the use of their vehicles to designated areas. Sale of imported foodstuff was also regulated. A

governmentagencycalledTheControlBoardwasestablishedunderthe DepartmentofIndustry.Diditcauseriots?Werethereinequalities?Was thesystemfacedwithcorruption?Yestoallthose.Thiscanbecompared to what is going on with Venezuela, who is tackling the current food shortagebyimplementingafoodIDcardsystem. Government saidthis systemwillstoppeopleoverbuyinggroceriesforresale.However,critics say it’s another signthe oil-richVenezuelaneconomy is headed toward Soviet-stylecollapse.

UBI maybecomelikeadrug. Thenumber of peoplemisusingit willfar exceedthosewhouseitforashortperiodtotideoverbadtimes.Thisis

morelikethe“hippie”cultureofthe1970swhenitwasconsideredokay

nottodomuchinlife…except,ofcourse,usingdrugs.Manyyoungsters

ruinedtheircareerstryingtobeahippie.

UBImayworkasatemporarysolutionindevelopedcountriesbutIdon’t seeitasaviablelongtermstrategy.Itwillonlyworkasallthingsremain equal, ceteris paribus. There are many factors, such as unforeseen

eventsornaturalcalamitiesthatcanshakeitsfoundation.Upuntil2017,

HurricaneKatrinawasthemostexpensivenaturaldisasterinUShistory. The federal government spent $120.5 billionto help the city and other affected areas recover. Hurricane Harvey made landfall inthe Houston

areaonAugust25,2017.Aweeklater,TexasGovernorGregAbbottsaid

thathisstatemayrequireasmuchas$180billioninfederalassistance.

The UBI discussion seems timely, noting the rapid evolution of the job market, automation of jobs, slowing economic growth, and constrained resources. Sadly, oncegovernment isinvolvedtheremaybecorruption, socialinjustice, andanti-religiousrules. Humanbeingscan’t beimpartial yet and will always be corrupted by power potentially and therefore unable to find a way to equally share the world’s resources. There is alreadysomuchunfairness,inequality,andsocialillsafflictingoursociety.

Ifwecan’tcontrolthisnow,itwillonlyintensifywiththeadoptionofAI. The underlying factors of hate, greed, and selfishness willonly magnify our current problems. It is increasingly clear that governments need to reassess social welfare and administration systems and evaluate how thesecouldbemoreeffectivelymanaged/containedwithintheincreasing claimsonlimitedresources.Weneedbetterminds,greaterdiscussions, andethicalleadersonthisproblem.

DemographicImplosion

andethicalleadersonthisproblem. DemographicImplosion As worker shortages and skill gaps become more

As worker shortages and skill gaps become more commonwithlower labor force participation rates, due to both automation and ageing populations, new issues arise. New Scientist released an interesting

articleabouttheworld’spopulationin2076.Accordingtothereport,half

theworld’snationshavefertilityratesbelowthereplacementlevelofjust over twochildrenper woman(Japan, Chinaandmost of Europe). Elon Musk also tweeted, “The world’s population is accelerating towards collapse,butfew seemtonoticeorcare.”Helatersaidinaninterview, “Wehaveaveryhighdependencyratiowherethenumberofpeoplewho areretiredisrelativelyhighcomparedtothosewhoarenet producers. Thesocialsafetynet willnot hold.” Economist ThomasMalthusalready warned us two centuries ago about Demographic Implosion. Add automation,roboticsandAIinthemix;itwillonlygetworse.Somanyof usandsofewresourcesthattheremightnotbeenoughtogoaround.

WillDemocracySurviveAutomationand

ArtificialIntelligence?

usandsofewresourcesthattheremightnotbeenoughtogoaround. WillDemocracySurviveAutomationand ArtificialIntelligence?
AIcanbeusedtomanipulateindividualvoters.Itisabsolutelypossibleto

AIcanbeusedtomanipulateindividualvoters.Itisabsolutelypossibleto useones’intelligencetoinfluence,andevencontrolotherindividualsand large groups. Facebook rana sociopsychological experiment sometime back where they manipulated the emotions of their users by controlling whatappearsonthenewsfeed.Inaconnectedworld,thevastmajorityof humansdonotgivemuchcriticalthoughttotherapidlydevelopingsocial realitiescreatedbytechnology,andthegrowinginfluenceithasoverus. Big data analysis, surveillance, AI, programmed bots, Facebook posts, sophisticatedbehaviorassessments,computationalpsychology,andfake newsnetworksarecombined“tomanipulateouropinionsandbehaviorto advancespecificpoliticalagendas”(YaleUniversity).Itisonethingwhen

AI systemsarepittedagainst humanintellect, it willbequiteanother to witnessthegrowinguseofAIversusAItomanipulatehumanbehavior.

Forexample,anarticleintheDailymailclaimedthatGooglechangedits

stringsearchautocompletionalgorithmtomakepeoplesearchonlygood thingsaboutHillaryClinton;obviouslyGoogledeniedtheseclaims.During the 2016 US presidential election, the data science firm Cambridge Analytica rolled out an extensive advertising campaign to target persuadable voters. Voters received different messages based on predictions about their vulnerability to different arguments. The conservatives received ads with arguments based on tradition and community. While the paranoid received ads with messages based on fear. Inthe2017generalelectionintheUK, massivegroupsof political bots were used to spread fake news on social media. The same

happenedduringthe2016USpresidentialelection.It’sclaimedthatPro-

Trump bots infiltrated Facebook pages and Twitter hashtags used by Hillary Clintonsupporters to spread automated content. Bots were also

deployedatacrucialpointinthe2017Frenchpresidentialelection.

It’s also a growing phenomenon that certain technology leaders, and increasinglyelectedofficials, areabletocapturethemindset of weaker individuals, manipulate their actions through social media with fact-less content, and benefit by increasing their power and control, while often involving personal enrichment. Humans canbe easily lulled into a false senseofsecuritythatothersarelooking-outfortheirbestinterest.Thatis tosayweshouldn’tthink,evenforamoment,thatMLandAItechnology andthesmartpeopledevelopingitarenotcapableofdoinggreatharmto unsuspectingbillions.The“connectedmasses”arebecomingaddictedto smart devices, and rapidly losing the will to think for themselves, especially considering that this same technology is hyper-connected to globalbusiness,financialnetworks,andgovernmentecosystems.

MicrosoftResearch’sKateCrawfordhaswarned,“Justasweareseeing

astepfunctionincreaseinthespreadofAI,somethingelseishappening:

theriseofultra-nationalism,right-wingauthoritarianism,andfascism,”she

said.

Theultimateriskofoutsourcingknowledgetomachinesisitincreasesour susceptibilitytootherhumansintentionallymanipulatingourintentions.Big data analysis, surveillance, AI, programmed bots, Facebook posts, sophisticatedbehaviorassessments,computationalpsychology,andfake news networks are often combined to manipulate our opinions and behaviortoadvancespecificpoliticalagendas.Somesoftwareplatforms are moving towards “persuasive computing.” They will be using sophisticated manipulation technologies. The trend goes from programming computers to programming people. There lurks a much larger danger—AI in the hands of governments used to push self- interested agendas against the greater good. Elon Musk tweeted on September 4, 2017, that Governments will obtain AI technology “at gunpoint”ifnecessary.

TheRecipeforInequalityandSocialUnrest

TheRecipeforInequalityandSocialUnrest Alibaba founder Jack Ma stated AI and other technologies

Alibaba founder Jack Ma stated AI and other technologies will cause people“morepainthanhappiness”overthenextthreedecades.“Social conflicts in the next three decades will have an impact on all sorts of industriesandwalksoflife.”

Today, the eight richest people on earth own as much wealth as the poorest 50% of the world. If you thought there was already a power

imbalanceintheworld,waitforthenext5–10yearsasautomationandAI

spreadacrossindustries.Wealthwillincrease,butitwillgointofarfewer

hands.ThebenefitsfromAIandRobotswillflowtothealreadyrich1%

andthejobslostwillcomefromthe90%.Thiscanonlymakewealth-gaps

worse, with the working class losing its power, therefore becoming expendabletoadegreeaswe’venotseeninhumanhistory.Thisdivide betweenrichandpoorwillultimatelysplitsociety.

Moneyhasalwaysbeenameanstogetmorepower.IntheAIparadigm, money/economywillbecomelessimportantandunlimitedpowerwillliein the hands of those that control the AI. The Economist highlighted the importantroleofdatainacoverstory,inwhichitstated“theworld’smost valuableresourceisnolongeroil,butdata.”

Is history repeating itself? “Luddite” is now a blanket term used to describepeoplewhodislikenewtechnology,butitsoriginsdatebacktoa

19thcenturylabormovementinEnglandthatrailedagainsttheeconomic

fallout of the Industrial Revolution. The essence of the issue was that workerswereseeingautomationassomethingalienthatwastakingaway theirjobs.Thesameishappeningrightnow.TheoriginalLudditeswere Britishweaversandtextileworkerswhoobjectedtotheincreaseduseof automatedloomsandknittingframes.Mostweretrainedartisanswhohad spent years learning their craft, and they feared that unskilled machine operators were robbing themof their livelihood. Whentheir appeals for governmentaidandassistancewereignored,afewdesperateweavers beganbreakingintofactoriesandsmashingtextilemachines.Thosewho protestedthesuddenarbitrarylossoftheirlivelihoodswerebrutallyand ruthlesslyputdownbyforce.

Automationwillthrow tothestreetsmillionsof jobs. Insociety, whichis notreadytotakecareoftheextrafreelaborforceevennow,therewillbe anotherrevolution.Arebigcorporationsreadytotakecareofthisissue when the social security cannot handle even the existing level of unemployed people? The political unrest of an acceleration pace of adaptionrequiredcouldleadtosomeseriouscivic,economic,andpolitical

adjustment,ifnotdownrightinstability.EvenifaUBIisfeasible/affordable

alackofmeaningfulemploymentwillleadtomoresocialproblems,higher

crimerates,etc.

Arewedueforanother`peasant’workersrevolution?

Therewereseveralsignificantpeasants’revolts:

ThePeasants’Revolt1381(England)

FrenchRevolution1787–1799

TheRussianRevolutionsof1905and1917

Therearelessonsthatshowthateconomicdisparitybetweentherichand poor canbringdownentireregimes(e.g. theFrenchRevolution). Inthe last great wave of technological job displacement, the Industrial Revolution,wepaidabigpriceasacivilizationintheenvironmentandin humanhealth.Heavy-handedgovernmentpoliciesandunionshadtostep intoprotecttheworkerandtheenvironment.Sowhilethereareexamples inhistory that show that the growing divide betweenthe richand poor don’thavetobeproblematic,thereareplentyofexamplesthatshowthey canbe.Thesignsareirrefutableifonechoosestoseethem.Universities that teach pabulum; governments that spend beyond their means; populationsexpandingwithemploymentdwindling—allpointtoamassive socialupheavalinourlifetime.

“It’salmostamoralprinciplethatweshouldsharebenefitsamongmore

peopleinsociety,”arguedBartSelman,aprofessoratCornellUniversity,

“…Sowehavetogointoamodewherewearefirsteducatingthepeople

aboutwhat’scausingthisinequalityandacknowledgingthattechnologyis

partofthatcost,andthensocietyhastodecidehowtoproceed.”

Wearegoingtoseearesurgenceofleaderswhowillstandupandfight

forthepeoplewheninjusticesarise—whenequalopportunity,socialand

religiousfreedomisremoved.

Martin Gandhi was an Indian civil rights leader who led the movementagainstBritishrule.religiousfreedomisremoved. Martin Luther King Jr. fought for racial equity in America. His famous “I Have a

Martin Luther King Jr. fought for racial equity in America. His famous “I Have a Dream” Speech is one of the most iconic speechesofalltimes.civil rights leader who led the movementagainstBritishrule. Nelson Mandela worked to achieve freedom for South

Nelson Mandela worked to achieve freedom for South Africa’s black and peace to a racially divided country. He fought the forces of apartheid for years, and was thrown in jail for his efforts.Speech is one of the most iconic speechesofalltimes. MartinLutherledtheProtestantReformationinthe16th-century.

MartinLutherledtheProtestantReformationinthe16th-century.apartheid for years, and was thrown in jail for his efforts. HestoodupagainsttheRomanpapacy.

HestoodupagainsttheRomanpapacy.

Leaderslikethesearegoingtosteptotheforefrontandfightthesystem

onceitisnotelevatingthemasses.

ISPRIVACYDEAD?

Leaderslikethesearegoingtosteptotheforefrontandfightthesystem onceitisnotelevatingthemasses. ISPRIVACYDEAD?
The push for AI will mean consumer privacy rights will deteriorate to

The push for AI will mean consumer privacy rights will deteriorate to recordlevels.It’snolongerjustcookies,yourwebbrowser,andwhatyou handover whenusingapps. BigtechcorporationssuchasGoogleand Facebookcollectandstoremassiveamountsofinformationaboutusers. Thisinformationisusedtoimprovethealgorithmsthatruntheirservices andcreatetheir revenue. But usershavenoownershipof thedataand havetorelyonthosecentralizedservicestoprotecttheirinformation.In 2017, Andreas Mundt, president of Germany’s antitrust agency, Bundeskartellamt,saidhewas“deeplyconvincedprivacyisacompetition issue.”Thatistosay,thebigtechmonopoliesareusingtheirAIplatforms to listen too closely. And then there are cases like the massive data

breachEquifaxreportedinSeptember2017,where143milliondatesof

birth,emailaddresses,telephonenumbers,andotherdatawasexposed

tohackersandidentitythieves.

IreadadisturbingarticleinTheGuardianrecentlytitled,IaskedTinder

formydata.Itsentme800pagesofmydeepest,darkestsecrets.Tinder

isadataappwith50millionactiveusers.InitJudithDuportailwrites,“As

IflickedthroughpageafterpageofmydataIfeltguilty.Iwasamazedby

howmuchinformationIwasvoluntarilydisclosing:fromlocations,interests

andjobs,topictures,musictastesandwhatIlikedtoeat.ButIquickly

realisedIwasn’ttheonlyone.”Shefurtherstates,“Thedatingappknows

mebetterthanIdo,butthesereamsofintimateinformationarejustthe

tipoftheiceberg.Whatifmydataishacked–orsold?”Justthinkabout

alltheinformationinternetcompanieshavecollectedaboutyou.

AIwillreadtexts,emails,andvoicemailstolearnalltheimportantnames, locations,andpeopleinyourlife.ItwillknowyourGPShistory.Itwillscan yourphotostolearnpeople,places,andthings.Itwillknowyourfinancial health,yourdailypatterns,habits,andawealthofotherinformation,while theaggregationof this informationwillprovideopportunityfor economic andpoliticalexploitation.

DronesdeployedwithWi-Fitransceiverscannowseethroughwalls.This isgoingtobeapowerfultool, but I hopeit won’t turnintoaweapon. I recentlyreadinatechnewspaperthatTheDefenseAdvancedResearch ProjectsAgency(DARPA)isexperimentingwithremote-controlledbugsto spyontheirenemies(anenemycanbeanyone).

Facialrecognitioninstillimagesandvideoisalreadytricklingintothereal world. “The face recognition market is huge,” says Shiliang Zhang an associateprofessoratPekingUniversity.

Baiduisstartingaprogramwherefacialrecognitionisusedinsteadofyou

receivingticketsforevents.Whenyoushowup,yourfaceisscannedand

oncethesystemrecognizesyou,you’reallowedin.Paristestedasimilar feature at its Charles de Gaulle airport for a 3-monthperiod this year, following Japan’s pilot programin2016, althoughneither have released resultsoftheprograms.USgovernmentsarealreadybeginningtousethe technology in a limited capacity. The New York department of motor vehicles recently announced that it had made more than4,000 arrests using facial recognition technology. In the UK, retailers used facial recognitiontospot past shopliftersandWelshpoliceusedit toarrest a suspectoutsideafootballgame.InChina,peoplearealreadyusingfacial detectionsoftwaretomakepaymentsandaccessfacilities.TheChinese governmentisusingitfortrackingpeopleonclosed-circuitcameraandto

predictcrimes.Chinahasinstalledover20millionstreetcamerasinwhat

is believed to be the world’s most advanced surveillance system. This technology canbe used to detect a person’s age, gender and clothes. Suchtechnologycanidentifyapedestrianoramotorist, whichcanhelp policemenintheir searchfor criminals. However manycitizensfear that thetechnologywillbeusedtomonitortheirdailylives.

Face-readingAI willbeabletodetect your politicsandIQ saysMichal Kosinski,StanfordUniversityprofessor.Ingeneral,ifhumanscan’tdetect if someone is good or evil from their face how can AI? I think it’s a slipperyslope.UsingAItoimproveefficiencyisonething,butusingAIto judgepeopleisn’tsomethingIwouldsupport.Itviolatestheintentionon theapplicationsofAI.Thisseemstobesocialprejudicemasqueradingas science;anAlprogrammedwithhumanbiases.Thissoundsverycloseto phrenology.Whatnext?Usingfacialrecognitiontodeterminereligionorto employsomeone?Pseudo-sciencecouldleadusdownaverydarkpath. MartinLutherKingsaiditbrilliantly,whenhetalkedaboutafuturewhere we’renotjudgedbyourexternalappearancesbutbythe“contentofour character”.

Therereallywillbenowheretohidewithhybridfacialdetectionmethods. Law-enforcement agencies now have a powerful weapon to track criminals,butathugepotentialcosttocitizens’privacy.AIwillbeableto findtheneedle,nomatterhowlargethehaystack.Agroupofresearchers fromtheUKandIndiahavedevelopedanAIthatcanidentifypeopleeven whenfacialphysicalfeaturesareobscured.Apersoncouldbeidentified fromsurveillancefootageandphotos,evenifthey’recoveringtheirfaces withascarf,sunglasses,orabeard.

Google and Oxford University researchers, in their paper titled Lip ReadingSentencesintheWild,detailedhowtheycreatedalipreading neural network that actually outperformed a humanprofessional. Some expertsfearthatthistechnologycouldalsoleadtoanewhighlyadvanced wave of spying attacks. “Anobvious unlawful use of this technology is espionagesinceitmakesitpossibleto‘listenin’onaconversationfroma distance,” Arctic Wolf CEO and cofounder Brian NeSmith told SC Magazine.“Anightmarescenarioisacriminalstealingloginandpassword informationby listening inona conversationfrom outside of a building throughawindow.…Personnelwillalsoneedtobesurethattheyarenot discussingsensitiveinformationinpublicplaces,”NeSmithsaid.“Thisnew technology makes it even more true that you just never know who is listening(orwatching).”

Sowhat’s aprivacy-minded, law-abidingcitizentodowhensurveillance becomes the norm? Not much. AI has the potential to be the single greatest human achievement, yet it has the potential to be the most destructive.

ROBOTICS

promisestobeverydangerous.Howlongwillitbebeforeroboticscome

outofthelabandgomainstreamintheconsumerworld?

BostonDynamics,previouslyownedbyGoogleandnowbySoftBank,are developing robots with astonishing qualities, including some almost uncannyhumanphysicalcharacteristics,andrecentlybroketherecordfor land speed withtheir Cheetahrobot. Their BigDog robot is one of the mostadvancedall-terrainrobotsontheplanetatthetimeofwriting,and is visually like something we only imagined and could see using special effects inmovies untilrecently. I looked at a video onYouTube posted

abouttheirrobot,Handle.Handlestandsat6foottallandlooksvaguely

humanwithatorso,arms,andlegs.Attheendofitsbacklegsaretwo stabilizedwheels,whichletitstandupverticallyandrollaroundatspeeds

ofupto9milesperhour.EvenBostonDynamicsfounderandCEOMarc

Raibert described Handle as a “nightmare-inducing robot.” Google’s parentcompanyAlphabetoffloadedBostonDynamics,followingtensions within the company about its fit within the wider corporate culture. Communicationsstaffsoughttodistancethecompanyfromthehardware, according to emails leaked to Bloomberg News, citing the feeling that such technology could be “terrifying.”Korean auto giant Hyundai Motor unveileditsrobotexoskeletonthatthecarmakerclaimsallowsthewearer to lift hundreds of kilograms. Just like Marvel’s IronMan, the wearable roboticdeviceisusedtogivethecontrollerextrastrengthandassistance. Hyundaiseestheexoskeletonasbeingusefulinfactories,themilitary,and inphysicalrehabilitationinthefuture.

AtoneofthebiggestAIconferences,theInternationalJointConference onArtificialIntelligence (IJCAI) 2017 inMelbourne, they had a surprise

announcementfortheUN,representinganopenletterby116foundersof

roboticsandAIcompaniesfrom26countriesurgingforabanon“killer

robots.”

AUTONOMOUSWEAPONS AIisathinkingmachine.Iftheintentionofthemachineistocalculate,the

AUTONOMOUSWEAPONS

AUTONOMOUSWEAPONS AIisathinkingmachine.Iftheintentionofthemachineistocalculate,the

AIisathinkingmachine.Iftheintentionofthemachineistocalculate,the intentionremains.Iftheintentionistocompetewithanddefeathumans, then that is what it will do. It is reflection of its designers’ intention. Machinesarejustanextensionofusandourideas.

Forexample,thepurposeofaTeslacar(AIbuilt-in)istoprotectahuman from physical and chemical danger. It may have defects but you may expect Tesla AI not to hurt people. It responds to the purpose, the intentionofthecreator.ConnectAItoa“weapon”andyougetaDarkAI specificallydesignedtoget ridof people, theprincipleof “humansasa bother.”WhenthepurposeorparadigmofacertainAIbecomes“toget ridof humans” youhaveaDarkAI bydesign. Ahacker cancreatethe ultimatehackingAI.

If theinternationalcommunityfailstoprevent theproliferationof nuclear weaponsthenthelikelihoodthatweaponizationofAIcouldbestoppedis

marginal to nil. “Hackers have been using artificial intelligence as a weaponforquitesometime,”saidBrianWallace,CylanceLeadSecurity Data Scientist, in an interview with Gizmodo. “It makes total sense because hackers have a problem of scale, trying to attack as many peopleastheycan,hittingasmanytargetsaspossible,andallthewhile trying to reduce risks to themselves. Artificial Intelligence, and ML in particular, are perfect tools to be using ontheir end.” These tools, he says,canmakedecisionsaboutwhattoattack,whotoattack,andwhen toattack.

JackMasaid“ArtificialintelligencecouldsetoffWWIII,buthumanswill

win.”OnSeptember4,2017,ElonMusktweeted“China,Russia,soonall

countries w strong computer science. Competition for AI superiority at

nationallevelmostlikelycauseofWW3imo.”(imomeansinmyopinion.)

His comment was inresponse to RussianPresident Vladimir Putinwho said the development of AI raises both “colossal opportunities” and “threatsthataredifficulttopredict….Whoeverbecomestheleaderinthis spherewillbecometheruleroftheworld.”Hislatestcommentscouldn’t

betimelier.OnSeptember3,2017,NorthKoreasaidithadsuccessfully

carried out a test of a hydrogen bomb. Musk said that there was a possibilitythatwarcouldbeautomated.

AnarticlewrittenbySparkCognitionCEO,AmirHusain,andUSMarine Corps Gen. JohnR. Allen(ret.), whichwas published inthe US Naval Institute’sProceedings Magazine, stated: “Inmilitary terms, hyper war mayberedefinedasatypeof conflict wherehumandecisionmakingis almost entirelyabsent fromtheobserve-orient-decide-act (OODA) loop. Simply put, future warfare will indeed be run by machines. As a consequence,thetimeassociatedwithanOODAcyclewillbereducedto near-instantaneous responses. The implications of these developments aremanyandgamechanging.”

BoththeChineseandRussianshaveacloseapproximationofUSA’sstate of the art defense system. However, their weapons systems are becomingmoresophisticatedandmorelethal.ChinaandRussiahaven’t madetheirworkonRobots/AIpublicyet.ChinawantstointegrateAIinto guided missiles. This has set off alarms within the US defense establishment.TheUnitedStatesisgenerallyconsideredtobethenation leading the charge towards AI currently, withtechgiants like Microsoft and Google investing large amounts of cash into research and development projects. But areport byGoldmanSachsfoundthat China could have the AI capability to catch up with the US. “We believe AI technology will become a priority onthe government’s agenda, and we expectfurthernational/regionalpolicyandfundingsupportonAItofollow,” theinvestment bank said. Accordingtoresearchby HackerRank, China and Russia have the most talented developers in the world. Russians dominate in algorithms, the most popular arena. While Chinese programmers outscore all other countries in mathematics, functional programming,anddatastructureschallenges.

Elon Musk is also concerned that AI development would become the purview of secretive government. He adds that this could trigger an uncontrolled AI “arms race,” which would not be in humankind’s best interests. In an era of increased international conflict and terrorism at scale, the dangers are becoming more existential than ever before. If actionis not taken, Syria like events would be like a very scary video game.TheUNcannotkeepdelayingadecisiononthis.

DozensofbusinessexecutivesandtechnologyexpertsinAIandrobotics, including Elon Musk, have signed an open letter to the United Nations callingforpublicdeliberationonthepotentialthreatsthatcouldarisefrom “lethalautonomousweaponssystems.”

An Open Letter to the United Nations Convention on Certain

ConventionalWeaponsExcerpt:

“As companies building the technologies in Artificial Intelligence and Roboticsthat mayberepurposedtodevelopautonomousweapons, we feelespeciallyresponsibleinraisingthisalarm.Wewarmlywelcomethe decision of the UN’s Conference of the Convention on Certain Conventional Weapons (CCW) to establish a Group of Governmental Experts (GGE) on Lethal Autonomous Weapon Systems. Many of our researchers and engineers are eager to offer technical advice to your deliberations.

Lethal autonomous weapons threatento become the third revolution in warfare.Oncedeveloped,theywillpermitarmedconflicttobefoughtata scale greater than ever, and at timescales faster than humans can comprehend.Thesecanbeweaponsofterror,weaponsthatdespotsand terrorists use against innocent populations, and weapons hacked to behaveinundesirableways.Wedonothavelongtoact.OncePandora’s boxis opened, it will be hard to close. We therefore implore the High ContractingPartiestofindawaytoprotectusallfromthesedangers.”

MarkZuckerbergversusElonMusk

MarkZuckerbergversusElonMusk Recently, there is a healthy debate going on regarding

Recently, there is a healthy debate going on regarding potential advantages and disadvantages of AI between two powerhouses—Elon MuskofTeslaandMarkZuckerbergofFacebook.Despitehisownrolein theadvancementofthetechnology,ElonMuskhaslongwarnedthatthe machinesbuiltbyhumanscouldonedayleadtoourdestruction.“Ithink weshouldbeverycarefulaboutAI.IfIhadtoguessatwhatourbiggest existentialthreat is, it’s probably that. So we need to be very careful,” said Musk. He also stated, “I’mincreasingly inclined to think that there should be some regulatory oversight, maybe at the national and

international level, just to make sure that we don’t do something very foolish. With AI we’re summoning the demon.” He warned about AI before,tweetingthatitcouldbemoredangerousthannuclearweapons.

InJuly2017,whilespeakingatthe2017InternationalSpaceStationR&D

conference,hesaidthattheprocessofsettingupagovernmentbodyto

regulateAIshouldstartintheimmediatefuture.

FacebookfounderMarkZuckerberg,whohasfrequentlychidedMuskand isreluctanttosolicitgovernmentintervention,wouldarguethat“wedidn’t rushtoput rulesintoplaceabout how airplanesshouldworkbeforewe figuredouthowtheywouldfly….Ithinkpeoplewhoarenaysayersandtry todrumupthesedoomsdayscenarios—I just, I don’t understandit. It’s reallynegativeandinsomewaysIactuallythinkitisprettyirresponsible,” Zuckerbergsaid,accordingtoSiliconValleyBusinessJournal.

Hemakesavalidpoint. It seemsmuchtooearlytobeginregulatingAI becauseitwouldslowdowninnovationandit’snotsuitabletoregulateAI untilyouknowwhatyou’reworkingon.ButAIisnotlikeotherinventions. Musk has also thrown shade at Facebook CEO Mark Zuckerberg on Twitter,sayingthatZuckerberg’sunderstandingofAIislimited.

These are difficult questions to answer while AI is in its development stages—regulations, like those onthe automobile and airline industries, areusuallyappliedaftersomethingbadhasoccurred,notinanticipationof a technology becoming dangerous. Issues concerning autonomous vehicles, algorithmic-decision making, and “bots” driving social media requireattentionbyregulators,justasmanynewtechnologiesdo.

Thechallenge?OntheonehandwehearpeoplelikeElonMusksaywe

needtofearAIandthenwehavefolkslikeMarkZuckerbergwhosaywe

shouldembraceit.Whodowelistento?

Atfirstglance,itseemsstrange.TheheadofTesla,whohasaggressively

invested in AI for self-driving cars, is worried about AI and wants bureaucratic regulation? The same CEO of SpaceX who plans on colonizingMarswantstoputthebrakesonAI?

There are two sides to AI being discussed today: mid-term effect (Zuckerberg) vs. long-term effect (Musk). The threat of misuse comes withnegativehumanattributeslikegreed,power,temptation,orjustplain evil. What ismythtodaycouldeasilybecomerealitytomorrow, if policy andplanningarenotseenaspriorityintoday’stechnologyage.Arewe doingenoughtostaysafeinyearstocome?Facebookrecentlyfoundout AIinterfacescreatedtheirownlanguage,andlet’snotunderestimatethe treat of this technology, while we embrace its positive impact with researchanddevelopment.

Needlesstosay,ElonMuskhasakeenmindandknowsathingortwo abouttechnology.Itappearshedoesn’twanttoletthecatoutofthebag but I believe he has access to classified informationthat has not been disclosed,sothatiswhyheisstatingthis.Ifyousawadevastatingfire coming, would youwhisper for everyone to get to safety or would you soundthealarm.

Ibelievehewantstoraiseawarenessandestablishguard-railstomake sureinnovationdoesnotrecklesslyrunawayatthedetrimentofsafety, security, and privacy. He is simply raising concerns for ethical developmentasAIisprogressingsofast,thatreactiveregulationwillnot beenough.HewantsethicalAI.ElonMuskdoesn’thateAI,herespectsit, understands it better than most, and therefore is publicly showing his concern.

Musk also recently stated, “Artificial Intelligence doesn’t scare me…it’s human stupidity that does.”Zuckerberg is pushing for automation of processes and large-scale analysis. Mega corporations like Facebook

(who also own Instagram and WhatsApp) and Google, currently have moredatathantheyknowwhattodowith,sothey’redesperatelytrying tochurnoutanAIthatcouldusethisdatatoproducesomethingbeneficial tothem.MuskisworriedaboutthesingularityandsentientAI’sandwhile Facebook and Google certainly wouldn’t mind inventing such a thing, they’remoreworriedaboutusingthedatathey’veacquiredtomakemore moneyandgetmoreinformationonpeople.

Whilebotharebrilliantmindsandrightinmanyways,Ihavetoagreewith

Musk.Afterall,heissimplysuggestingbeingcautiousofAIandputting

appropriateregulationsinplacebeforeit’stoolate;itdoesn’tmeanheis

againstmovingforwardwithAI.

REGULATION

againstmovingforwardwithAI. REGULATION Elon Musk has been outspoken about the dangers of AI without

Elon Musk has been outspoken about the dangers of AI without regulation. AI is still a relatively new concept, so it’s possible to do something legal, yet unethical. For such cautioning to come from somebody working ontechnologicalbreakthroughs inspace exploration, electric vehicle development, and sustainable energy generation, it is unsettling.

“AI’sararecasewhereweneedtobeproactiveinregulation,instead

ofreactive.BecausebythetimewearereactivewithAIregulation,it’s

toolate,”—ElonMusk

OnAugust 11, 2017, Musktweeted, “Nobodylikesbeingregulated, but everything(cars,planes,food,drugs,etc.)that’sadangertothepublicis regulated.AIshouldbetoo.”

AIwilldefinitelybringusintoanew eraandbeabigstepforward,we cannotignorethatallpositivestepsforwardcanalsobeusedagainstus.

WeneedtobecautiousofwhereandhowweintegrateAIintodailylifein the future. It would be wise to ensure regulation around its use and development. As with any technology, there is an increasing threat of misuse that needs to be addressed, either by having frameworks or policiesinplace.

Withgreatpowercomesgreatresponsibility.Intheolddays,crimewas committed by robbing a bank or hijacking a traininthe Wild West, for example.Thesewerethedaysofpointedattackcrimes.Nowwearein theageofonepersonbeingabletoperformlucrativecrimeatscale.One smartperson,orasmallteam,candisruptmillions(withanonymityImight add). “While humans may be able to stop a runaway algorithm, there wouldbe‘nostopping’alarge,centralizedAIthatcallstheshots”,Musk arguedinarecentinterviewwithVanityFair.

Business competition is fierce and the race for innovation often casts asidesafety.Puttingsafeguardsinplacewouldallowustosecondguess adecisionAIisconsideringbeforeitgetsoutofcontrol.MarieCurie,the famed chemist, made great advances to modern medicine, with little regulatoryoversight,andultimatelydiedfromherdiscoveries.Nowadays, wedon’twantjustanyoneplayingaroundwithradioactiveisotopes.The same is true for muchof the medical and pharmaceutical world where researchhasboundariestokeepthepopulationsafe.

InJanuary2017, someof thetopexpertsinAI met at aconferencein Asilomar, CA. Anoutcome of this meeting was the set of Asilomar AI Principles. Near the end of January, the Asilomar AI Principles were publishedinanopenletterbytheFutureofLifeInstitute(FLI)atOxford

University.Theletterincludes23Principleswhichrepresentapartialguide

tohelpensurethatAIisdevelopedbeneficiallyforall.Thisisnoteworthy, but government regulation may be necessary to guarantee that AI scientistsandcompaniesfollowtheseprinciplesandotherslikethem.

The topic of impacts of AI should not be treated lightly, or withbroad analogies in place of reasoned arguments supported by available evidence.TherearelegitimateconcernsaboutthepossiblemisuseofAI andsincetheseproblemsthreatensocietyasawhole,theycan’tbeleft to a small group of scientists, technologists or business executives to address.Ourfutureandourchildren’sfuturesareatstake.Weneedto makedecisionsforourfamiliesandinoursocietiestoensureourfuture freedom.Policymakersneedtounderstandthesignificantnatureofthese impacts,anddiscuss,debate,andprepareforthesechanges.

DoesAutomationMakeUsHappier?

DoesAutomationMakeUsHappier?
DoesAutomationMakeUsHappier?

Almosteverythingwedoisenabledbyintelligentmachines.Imagineliving

inasocietywhereeverythingisdonebyAIandrobots.Thiscouldbea

goldenopportunityforhumanstoexploreanddowhatevertheyseemto

enjoydoing;writingpoems,books,dancing,music,andsoon.Butwhois

goingtopayforallofthis?Anidlemindisadevil’sworkshop.

Howmanypeopleareunproductiveinoursocietybecausetheydon’thave tobe?We’rewarnednottofeedthebearsinournationalparksbecause the bears get lazy. They lose their will to live a natural productive life. Thentheybecomeanuisancebecausetheydemandtobefed.Canyou seetheparallels?

Automationisdominatingthenewstoday.Whenwehaveself-drivingcars, personal AI assistants, and other more complex AI solutions replacing jobsandourmorechallengingtasks—willthatfinallyallowustofocuson thepresent,andbebetteroff?

The pride we had for working hard and earning a living is slowly disappearing, wewouldrather sit at homewatchingmovies, surfingthe internetorplayingcomputergameswhilethoseworkinghardaretaxedto supportus.

MymotherspeakstomeofStLucia,50yearsago,whereshegrewup.

She says automation has everyone so disconnected. When she was younger,asimpletasksuchaswashingclotheswasmanual,butitwas also fun. They would go to a river inSoufriere , thensearchfor some stonesandputtheminacircletohandwashtheclothes.Whiledoingthis they would be sitting on a large stone. Finding the perfect spot was crucial.Whentheywerefinishedwashing,theywouldputtheclotheson shorttreestodry.Whilewaitingforthistohappen,theywouldbatheand spendthereminderoftimeinteractingwithneighborsandfriendsbythe river.Therewasnoautomationbutitwassuchabeautifulhappytime.

Studiesfindthattheend-goalofautomationactuallypromotestheactof mis-wanting. InastudyconductedbyMihalyCsikszentmihalyi, over 100 workerswereaskedtomonitortheirday-to-dayactivitiesandhappiness.

Hehadthemdocumentindetailtheirtasks,interactions,andemotions.He ultimately discovered that while working, employees felt “fulfilled and happy,”whereasontheirleisuretimetheyfelt“boredandanxious.”This was surprising. Many of us believe that leisure time make us happier, since we would enjoy the aspect of not having responsibility. But it doesn’t.

Work provides social interaction, a purpose, opportunities for achievement, afeelingof belonging, a(sometimes) healthy routine, and thechancetoearnalargersumofmoney.

Where will our feeling of accomplishment, hard work, and purpose go, whentechnologydoeseverythingforus?

According to Csikszentmihalyi’s research, focusing onthese challenging tasks,likebuildingthecomplexformulaforyourbusinessplanprojections, canbringusintoameditative“flow”thatallowsforusto“transcendthe anxieties”thatplagueoureverydaylives.

Contrary to popular belief, challenging tasks make us feel a sense of accomplishment.Ifweautomatemoreandmorewithinourdailylives,we could be gearing ourselves more and more toward disappointment; to beingunfulfilledwithlessresponsibility, insteadof havingapurposeand drivebehindourdailylife.

Across society, the scale and severity of mentalhealthissues is rising. High rates of unemployment are linked to higher rates of substance abuse,domesticviolence,childabuse,depression, andjust aboutevery other socialill. Many peopleareaddictedtowork or their self-worthis connectedtotheirjobs.Apersonwhositsbackathomeidlemaysuffer fromdepression. We must look at addressing mentalhealthchallenges andthesocialproblemsthat willarise. Arationalapproachwouldbeto invest inmental healthprograms whenthe challenge becomes a major

problem in 5–10 years’ time. There’s clearly a cost associated with enablingalltheseactivitiesbutwehavetoaskourselveswhattherisks andpotentialcostsofinactionmightbe.

CONCLUSION

andpotentialcostsofinactionmightbe. CONCLUSION Withinthewildrushtotechnologicaldevelopmentatanycost,areweso

Withinthewildrushtotechnologicaldevelopmentatanycost,areweso blindastolosesightofthedirectiontotheauthenticbenefitforhumanity? Therearerealitiesthat moveincounter-trendandmouldthemselveson the fundamentals of true human wellness. Technology can be both a blessing and a curse. When we dig foundations, we destroy fox and hedgehogburrows.Whenwecutdowntrees,wedestroybirdandsquirrel nests. Just because we can, doesn’t mean that we should. I am not concerned about the technological and innovation aspects of AI and robotics.Iammoreconcernedaboutthereasonsandrationalityoftheir mass-production.

Artificialintelligenceisapowerfultoolfordecision-makingbutthat’salso whyit’sdangerous,saysBridgewaterfounderRayDalio.Inaninterview hestated, we’renearingapoint where, “thecomputergetstocomeup with the algorithm” instead of humans. He further explains by saying, “Whenthefutureisdifferentthanthepast,it’sariskything.Ifyoudon’t have deep understanding, and the future is different thanit was inthe past, you’regoingtohaveamajor problem. That’sthechallenge, that’s thetwo-edgedswordofAI,andIthinkit’sthreatening.”Therecouldbe disastrous consequences if machines make decisions without fully graspingacomplexsituation.

AI will be the last invention humans will ever have to make, believes Oxford researcher Nick Bostrom. In building this new world, humanity couldendupcraftingitsowndemise,fearsBostrom.Asurprisingnumber

ofpeopleseemtobegettingtheirideasaboutAIfromHollywoodscience fictionmovies. Movie plots feature robots increasing inintelligence until theytakeoverthehumanrace.Idon’tbelievethisisthecase.Thereare enoughrealandpresentdangerstoworryabout,frombiasedMLmodels towillfullyevilhumanbeings. But intelligencewithout consciencecanbe dangerous.

But intelligencewithout consciencecanbe dangerous.

AI:Itsintelligenceisjustartificial.ThetruthisAIisnevergoingtoreplicate man’sconsciousness,becauseGodbreathedthespiritofself-awareness into mankind. There is no need to hype and scare people from AI. A program code will never replicate what God created, no matter how sophisticated. Theyaretools. Animitationof afearfullyandwonderfully createdlivingbreathingsoul.Itcannotfeelandhasnosoulorheart.We cannotinfuselife,orspiritintoarobotoranyotherformofartificiallife.It isdead,andwithoutman’sinputitisjustscrapmetal.

I understand and respect the democratic and ethical life stance of

humanism, which affirms that human beings have the right and responsibilitytogivemeaningandshapetotheirownlives.Butregarding humans, and our growing fascinationwithaltered states, we must give pause to the allure of playing God through technology. Science and technologyhavenomoralorsocialconsciousnessdrivers.Developments in science and technology have been greatly influenced by ego, competitivepressures,andasimplisticbeliefinprogress.Manyscientific “advances” involve side-effects, or trade-offs (typically mass scale impactsonotherpeople);theyarenotabsoluteadvances,butoftenshift theproblemaround:“solving”oneissuebycreatinganother.Furthermore, science and technology are instruments that are easily and routinely incorporatedintoabusesofpower—social,economic,andpolitical.

Ihavetosay,afterlookingatthedualisticnatureofman,capableofso muchbeauty and yet so muchpain, that a machine endowed withthe abilitytorespondina“human”waytopeopleandevents,couldbeboth beneficialanddestructive.

AI, robots, and autonomous machines are causing concern especially when you couple them with the amount of data, “smart” homes/phones/appliances will soon know about us. We want decision makingmachines(operatingwithout detailedoversight) todoeverything for us as soon as possible (ASAP). Evolution isn’t just occurring on a biologicalscaleanymore, andwearepushingtheracetowardour own destruction. More and more humans look for ways to make our lives easierandbydoingsogiveuptheabilitytotakecareofourselves.We needtomakesureAIoperatesasourservantandnotourmaster.

Evenwithoutthekillerrobots,orhackers,AIcouldconceivablycausean apocalypticevent.It’sa“race”todevelopnewtechnologieswhichleave no time for studying the dangers; everything from neural interfaces to powerfulrobotstoAGIpoweredbyquantumcomputing;there’sasmuch

confusionaboutthesedangersastherewas/isaboutglobalwarming.We

mustcarefullystartanalysingthetrueimpactandbuildinsafeguardsfor

humanstobeabletointerveneifsituationswithautonomousmachinesso

demands.Itisnotthetechnologywhichwillbeourdemisebutratherour

negligenceindrivingthetechnology.

negligenceindrivingthetechnology. The United Nations Interregional Crime and Justice Research

The United Nations Interregional Crime and Justice Research Institute (UNICRI) is opening new centre in Netherlands to monitor artificial intelligenceandpredictpossiblethreats.“Ifsocietiesdonotadaptquickly enough,thiscancauseinstability,”UNICRIseniorstrategicadviserIrakli Beridze told the Dutch newspaper de Telegraaf. “One of our most important tasks is to set up a network of experts from business, knowledge institutes, civil society organizations and governments. We certainlydonotwanttopleadforabanorabrakeontechnologies.”

ThebenefitsofAIarenumerous,butsoarethedisadvantages.However,

like all other advances in science and technology it is a double-edged swordandmustbeusedwithprudence.Giventhecurrentprogress,the potentialpower,andthestakesathand,acautiousapproachislogical.AI can help solve many problems but if you have people consumed by selfishness,greedandhateattheforefront,itwillbealosingbattle.The current simplistic conversationdoesn’t help solve our current and future problems but exacerbates it. We can’t put the genie back inthe bottle onceit’sout.Ifwedon’thavehealthy,deepconversationsabouttherisks ofAI,wewillpaintafalsepicture.

SECTIONTWO

SECTIONTWO LEADERSHIPINTHEAGEOF DISRUPTION

LEADERSHIPINTHEAGEOF

DISRUPTION

SECTIONTWO LEADERSHIPINTHEAGEOF DISRUPTION

CHAPTERFIVE

WILLAIREPLACELEADERS?

CHAPTERFIVE WILLAIREPLACELEADERS? JackMa,founderoftheAlibabaGroup,statedthatCEOsaresoontobe

JackMa,founderoftheAlibabaGroup,statedthatCEOsaresoontobe

replacedwithAI.“In30yearsarobotwilllikelybeonTimemagazineas

the best CEO.” Speaking at a China Entrepreneur Club conference, he warnedthatAIandroboticsshouldbedevelopedtocomplementhumans

intheworkplaceandnotasareplacement.

AnAccenturestudyarguesthefollowing:

Manyroutinebasicadministrativecoordinationandcontroltasks such as resource allocation, reporting, and scheduling will be donebyAI;AnAccenturestudyarguesthefollowing: The managers who still do remaininorganizations will need to

The managers who still do remaininorganizations will need to demonstratewhatAccenturecalls“judgmentwork,”ininteraction withAI;allocation, reporting, and scheduling will be donebyAI; AI will allow managers to implement and emphasize a

AI will allow managers to implement and emphasize a “people first”strategy,asAIwillbeabletohandlealltheothertasks;withAI; AI sophistication will expand into many HR functions. For

AI sophistication will expand into many HR functions. For example, Jobaline, a job-placement site, uses intelligent voice analysis algorithms to evaluate job applicants. The algorithm assesses paralinguistic elements of speech, such as tone and inflection,predictswhichemotionsaspecificvoicewillelicit,and identifiesthetypeofworkatwhichanapplicantwilllikelyexcel.first”strategy,asAIwillbeabletohandlealltheothertasks; Professor Peter Cappelli, director of Wharton’s Center for

Professor Peter Cappelli, director of Wharton’s Center for Human Resources,arguesrobotbossesarenosubstituteforhumanbosses.“It ispossibleforsoftwaretoprovidesophisticatedinformation(i.e.‘Hereis how youaredoing’). But management isstillamuchmorecomplicated taskofmakingadjustmentstotheworkbeingperformedinordertomeet changingdemands,diagnosingproblemsandofferingsolutions.”

Arecent McKinsey Global Institute report found that up to 25% of the workundertakenbyaCEOcouldnowbeautomated.“Weestimatethat about 25% of CEOs’time is currently spent onactivities that machines coulddo,suchasanalyzingreportsanddatatoinformdecisions.”Inthe

PwCDigitalIQSurvey,72%ofbusinessexecutivessaidtheybelieveAI

willprovidethebusinessadvantageofthefuture.And,67%ofexecutives

expectAItohelphumansandmachinesworktogethermoreeffectively.

AI presents significant challenges for managers and executives, forcing themtoreconsiderandredefinetheirownroles.Ascollaborationamong humanemployeesandmachinesincreases,everythingfromthedivisionof labor,training,andperformancemanagementwillhavetochange.

Robotic or computer software managers may seem farfetched but, in recentyears,asurprisingarrayofmanagerialfunctionshasbeenturned over to AI. Computers are sorting resumes of job seekers for relevant experienceandtoestimatehowlongapotentialemployeeislikelytostay. Theyarerecordingemailexchanges,phonecalls,andevenspontaneous hallwayinteractions totrackworkflow andrecommendchanges. Widely usedsoftwareisanalyzingcustomerdataforalgorithms,whichinturnis changingwhenandwhereworkersaredeployed.Theethicalquestionof constantmonitoringofemployees’movementsandactionsbyrobotsand softwareprogramsremainsapricklyissueforpolicymakers.

Nonetheless, can software substitute for the responsibilities of senior managersintheirrolesatthetopoftoday’sbiggestcorporations?Ican’t seethat AI willreplaceaCEO, but it willsurely helptheCEO. AI can amass and interrupt data superfast. Business leaders must know what data is relevant, and more important, what questions to ask to get relevant data. AI willmake suggestions, but someone has to make the decisionto implement those suggestions. Insome activities, particularly when it comes to finding answers to problems, software already surpasses even the best managers but senior managers are far from obsolete. In the future, we may see some lower-level managers be replacedorconsolidatedinthenameofAI.There’snoquestionthatwith therapidadvancesinautomation,roboticsandAIwillspellthedoomfor many white collar and blue collar jobs in the coming years. Middle management will not escape this disruptive trend. Disruptioncontinues,

andalllevelsofmanagementcannotescapesomeimpact.However,only

welldefined(structured)jobscanbetakenoverbyAI.Themainroleof

managementhasalwaysbeentoenforceprotocolandmakedecisionsfor

othersintheorganization.AIisalreadybeingusedtomakedecisionsas

whotohireorhowtoassemblethemosteffectiveteams.

Sidney Finkelstein, professor of strategy and leadership at the Tuck Schoolof Business at Dartmouth, argues, “The sad truthis that middle management isonitswaytobecomingvirtuallyextinct. Whiletherewill alwaysbesomepeoplesupervisingtheworkofotherpeople,changesin technology,businesscultureanddemographicsareallconspiringtoupend whathaslongbeenstandardpracticeincompanies.Weshouldnolonger expecttraditionaljobladdersformanagerstomoveuptheranks,oreven retaining the notion that middle managers are the glue that connects workersandensuresgoalalignmentupanddownthehierarchy.”

AIwilltakeoversometechnicalaspectsofthejobsomanagerswillhave

moretimetocoach,mentor,andinteractwithemployees.Thesehuman-

drivenprinciplesplaysuchanimportantroleinanorganization’ssuccess as they canboost employee engagement and commitment. Evensome functionsofthejobsofseniorexecutiveswillbeaffected.Boththenature ofthejobsandtheindividualsthatoccupythemwillneedtofocusmuch moreoncreativeandsocialskillsthanthetraditionaltechnicalskillsthat will soon be handled by AI. However, for leadership roles, where judgment,creativity,andexperiencearesoimportant,thereisnoimminent threat of replacement. Humans will still be required to do the jobs that requireemotionalintelligence,critical,andinnovativethinking.Theseskills thatagoodCEOpossessescannoteasilybereplacedbytechnology.

Greatmanagersaregreatinpartbecauseoftheirexceptionalabilityto craftintelligent,strategicdecisionsbaseduponavailableinformationthat their employees can execute upon. Those executives will have to

emphasizetheircreativeabilities,theirleadershipskills,andtheirstrategic

thinkingtoamuchgreaterdegree.ManagersintheAIerawillneedhigh

socialintelligencetocollaborateeffectivelyinteamsandnetworks.

AI will never be able to matchthe emotionand humanaspects of

AI will never be able to matchthe emotionand humanaspects of real leaders.Thisisbothgoodandbad—machinesmakedecisionsbasedon algorithmswhichcaneliminatehumanerror.Forless-effectivemanagers, whose mainpurpose is just to make decisions and signtime-cards, AI could be a realistic replacement because they already aren’t doing anything that a computer can’t do. Additionally, no board of directors wantsarobot reportingtothemif somethinggoeswrong. Theywant a humanwhocanbeheldaccountableandanswerquestionswhenresults don’tgoasplanned.

AIpresentschallengesfortraditionalmanagement.Theworldofworkwill

becomemorefluid,withlesshierarchy.Howcanyoupersuadeyourteam

totrustAI?Or,toacceptarobotasateammemberormanager?Astudy

fromtheHuman-ComputerInteractionLabattheUniversityofManitobain

Winnipeg,Canada,suggeststhatyou’llprobablyobeyarobotbossnearly

aspredictablyasyouwouldahumanboss.

“Evenafter trying to avoid the task or engaging inarguments withthe robot, participants still (often reluctantly) obeyed its commands,” the researchers wrote. “These findings highlight that robots can indeed pressure people to do things they would rather not do, supporting the needforongoingresearchintoobediencetoroboticauthorities.”

AstudyconductedbyMIT’sComputerScienceandArtificialIntelligence

Labshowedhowgroupsoftwohumansandonerobotworkedtogetherin

oneofthreeconditions:inone,alltasksallocatedbyrobots;inasecond

group,onehumanallocatestaskstoself,andarobotallocatestasksto

otherhuman,andinthethirdgroupalltasksallocatedbyahuman.The

fullyautonomousconditionoftasksbeingallocatedbyrobotsprovedtobe

notonlythemostefficientforthetask,butalsothemethodpreferredby

humanworkers.

AIisquicklybecomingmainstreamforthelargestcorporations.Andwhile

noonecanarguewiththebenefitsAIcan/willconferonhumanity,there’s

alsoperil.AsMasaid,“…unlikehumanCEOs,theywillnotbeswayedby

pettyemotions.”Tome,it’sthese“pettyemotions”thatmakeushuman

andalackthereof shouldbecausefor concern. AI has nogut instinct. Howcanamachinegraspthehumanemotionalaspectofperformance?

Norobotisevergoingtofeelthatit’snotrighttolayoffhisfaithful52-

year-oldemployeeafterworkingforhimfor26yearsbecauseheknows

thatthisisallhehastolivefor.

Althoughitishardtopredictpreciselywhichcompanieswilldominatein thenewenvironment,ageneralprincipleisclear.Thismeansleaderswill needtokeeppacewithadvancesindataanalytics,MLandAI.Leaders and managers will need to be empathetic and maintain open communicationtokeepthehumancomponentcentral.Themostagileand adaptable companies and executives will thrive. Organizations that can rapidlysenseandrespondtoopportunitieswillseizetheadvantageinthe AI-enabled landscape. So the successful strategy is to be willing to experiment and learn quickly. Over the next decade, AI won’t replace CEOs,butCEOswhouseAIwillreplacethosewhodon’t.

Sowhatshouldleadersdo?

quickly. Over the next decade, AI won’t replace CEOs,butCEOswhouseAIwillreplacethosewhodon’t. Sowhatshouldleadersdo?
AI and automationis prompting questions about the future of work and

AI and automationis prompting questions about the future of work and howwecannavigatetothe“nexthorizon”.AreportbyMITpublishedin

SloanReviewmakesthisstatement:“Aninevitableshiftinwhichaparent-

to-childwayoflookingattherelationshipbetweenthemanagerandhisor

herteamwouldbequestionedandultimatelysupersededbyanadult-to-

adult form.” Whentechnologyenablesleaderstohavemoreinformation abouttheorganizationanditsemployees,thisfacilitatessmarterdecision making.

Focusonthehumandimension

Focusonthehumandimension

Many jobs are being automated. Whilst this undoubtedly boosts productivity,leadersmustbemindfulofhowthismayimpactemployees. This is why it’s essential to focus onthe humandimension. There is a growingriskthat companieswillbecomeover dependent ontechnology andneglectthevalueofhumans.Weneedtoinvestinemployeestoraise everyone’s digitalliteracy so they canfunctioneffectively inthe new AI workplace.Don’treduceemployeestomerealgorithms.Carefuldecisions aboutwhichrolesandfunctionstoautomateshouldguideAIstrategyin business. Asimple “bottom line” approach will compromise the human element and could erode engagement over time. How will employees respondwhentheirjobsarechangedoreliminated?Emotionalintelligence is going to be brought into evensharper relief as job descriptions are drasticallytransformedinthenextfewyearswiththeriseofautomation, AI, and robotics. It is important to show compassion and support to employeesdisplacedbynewtechnology.Leadersneedtodiversifytheir teamtoincludebothexperiencedandcreativeindividuals.Withabalanced team, you’ll have a greater balance betweengrounding and vision, and optimizeyourAIeffortswithbetterjudgment.

Ultimately, the future of work and the future of society are deeply entwined.Oursenseofplaceinsociety,ourworth,andourcontribution areoftenaffectedbyourwork.Anythingthatstartstodisruptworkand individual identity is going to have far-reaching impacts. The growth of automationandAIintheworkplacemakesitimportantformanagersto interactwithemployeesforthemtofeelvaluedandthattheircontribution matters.WiththetransitiontoAIwemustbemindfultokeepworkingon employeeengagement. Engagement referstoanemotionalcommitment to an organization and its goals. Many companies are using AI to

understand the sentiments of employees and to work onkeeping them motivated. Studies have proven there is a correlation between engagement and performance. While AI increases productivity through automation,theflipsideisthenumberofpeopleengagedinthatworkwill decrease. Talent Solutions found that 42% of job switchers stated they might have stayed with previous employers had they had better opportunities,benefits,recognition,andrewards.

Managersareinstrumentalinencouragingemployeesandimprovingtheir levels of engagement. A 2016 Gallup survey identified some key elements,whichareimportanttohavingeffectiveandproductiveworkers. Employeeengagementriseswhen:

TheyhaveopportunitiestousetheirskillsandtalentsEmployeeengagementriseswhen: Theyreceiveregularrecognitionorpraise

TheyreceiveregularrecognitionorpraiseTheyhaveopportunitiestousetheirskillsandtalents Theybelievesomeoneatworkcaresaboutthem

TheybelievesomeoneatworkcaresaboutthemTheyreceiveregularrecognitionorpraise Someoneatworkencouragestheirdevelopment Theirideascount

SomeoneatworkencouragestheirdevelopmentTheybelievesomeoneatworkcaresaboutthem Theirideascount Someonetalkstothemabouttheirprogress

TheirideascountSomeoneatworkencouragestheirdevelopment Someonetalkstothemabouttheirprogress Employees want to know

SomeonetalkstothemabouttheirprogressSomeoneatworkencouragestheirdevelopment Theirideascount Employees want to know they matter in the vast sea of data

Employees want to know they matter in the vast sea of data and algorithms. Inthis new age of AI, managers need to make employees knowtheyarevaluedandtheircontributionscount.Becausethereareso manyareaswhereemployeesmayexperienceissueswithengagement,it may be helpful for managers to have a conversation with them. Additionally,asmanyrolesbecomeautomated,managersmustbeaware remainingemployeesmayfacefearofbeingreplacedorsurvivor’sguilt. Eitherway,ittakesempathytohandlethiseffectively.Leadersmustknow the importance of emotions and feelings because these influence how employees perform and the choices they make. To create improved

engagement, employers should focus on communication, purpose, meaningful work, recognition and appreciation, and growth and development opportunities. A new Department of Humanity can be institutedtofacilitatethisaspectofpersonaldevelopmenttoensurethat businesses make the most of the relationship between personal and artificialintelligence.

relationship between personal and artificialintelligence.

TheinevitabletakeoverofjobsbyAI,robots,andautomationisuponus.

Butwe,asleadersneedtoadaptandembracethesechanges,butatthe

sametimebeawarethatthefutureofleadershipmaymeansomeofour

jobfunctionsbeinghandledbyAI.

CHAPTERSIX

ETHICALLEADERSHIP:AMORAL

COMPASSFORTURBULENTTIMES

CHAPTERSIX ETHICALLEADERSHIP:AMORAL COMPASSFORTURBULENTTIMES

We live in a world in which the line between right and wrong seems blurred.Manyleadersspeakofembracingethicalleadership.Yetwhatwe see more often is greed and an appetite for power and disregard of ethical absolutes. The challenges we face today are for the most part rooted in failures of leadership—leaders operating without a moral compass.Ourleadershipcrisisisduetooverestimatingtheimportanceof competenciesandtechnology, anddiscountingthecriticalimportanceof relationalandethicalleadership.Anerosionofcorevaluesthreatensboth businessandsocietyatlarge.Acompanywillassumethestandardsand ethics of its leaders. Therefore, having a business leader witha strong moralcompassisessentialforsuccess.

“Ethics” comes fromthe Greek word ethikos fromethos, whichmeans “custom” or “habit.” Ethics aregenerally understoodas moralprinciples thatgovernaperson’sorgroup’sbehavior.Theyarecrucialtothewaywe liveandwork.Theyareourguidingprinciplesaswerelatetotheworld aroundus.

Trust in leaders is at an all-time low, especially with the self-seeking interestsandlackof transparency. I’velost count onhow manyarticles and posts I’ve read that had the need for ethical leadership in their headlines. Inthedigitalera, weneedleaderswhohaveacertainmoral compassthatenablesthemtoconsidertheethicsofconstantlyadvancing technologies and what this means for the millions of people who will inevitablybeleftinthedark.

ThingssuchasAIareprimarilydrivenbycapitalistcompetitionratherthan how helpful the technology would be. If we, as a race, don’t start reconciling our value based differences, no amount of regulation will controlAIevolution.Companiespaylipservicetoethicsandoftenpayit noheedintheirrelentlesspursuitofprofit.

InFebruary2017,theHarvardInstituteofPolitics,attheJFKJr.Forum,

hosted a conversation on the past, present, and future of Artificial Intelligence. Thediscussionfocusedonthepotentialbenefitsaswellas someofthemajorethicaldilemmasofAI.ProfessorsAlexPentlandand CynthiaDworkstatedthatasAIproliferates,moralconflictscansurface. Pentlandhighlightedthatcitizensmustaskthemselves,“Isthissomething thatisperforminginawaythatweasasocietywant?”Pentlandindicated that our society must continue a dialogue around ethics and determine whatisright.

In January 2017, IBM developed the Principles for Transparency and TrustintheCognitiveEra,adocumentthatisusefulforanyorganization involvedinthedevelopment of AI systems. Thecoreof theseprinciples include:

of AI systems. Thecoreof theseprinciples include: ThepurposeofAIandcognitivesystemsdevelopedandapplied

ThepurposeofAIandcognitivesystemsdevelopedandapplied

byIBMistoaugmenthumanintelligence.

We will be transparent about the major sources of data and expertisethatinformtheinsightsofcognitivesolutions,aswellas themethodsusedtotrainthosesystemsandsolutions.

Webelieveclientsowntheirownbusinessmodelsandintellectual

property.

Wewillworktohelpstudents,workers,andcitizensacquirethe skills to engage securely and effectively in a relationship with cognitivesystems,andtoperformthenewkindsofjobsthatwill emergeinacognitiveeconomy.

Ethical Leadership has beendescribed as “having core values and the couragetoactonthemonbehalfofthecommongood.”Itisleadership drivenby respect for ethical beliefs and values and for the dignity and rightsofothers.Itisbasedonintegrity,fairness,trust,consideration,and

thesharingofpower.

Ethicalleadershipprogrambeginswiththisfocuson“theother”;serving theotherandcreatingacontextwhereemployeesknowthereareclear consequences for putting self-interests first. Ethics ultimately is fundamentaltohealthydemocracyandcapitalismandthat’swhythework goesonasweknowitmust.

“Toeducateamaninmindandnotinmoralsistoeducateamenace

tosociety.”—TheodoreRoosevelt

The financial crisis of 2007–2008 revealed there is a higher need for ethicalleadersandtransparencyinbusinessprocesses.Unethicalconduct among politicians and business leaders dominate headlines. Eventhose whowethinkshouldknowbetteraresuccumbingtovices.Asaresult,we have grown increasingly skeptical. Whether a single lapse of integrity and/or as a continuous way of doing business, unethical leadership behavior has the power to ruin a career and to totally destroy an organization. When integrity is destroyed, confidence is lost. Unethical behavior does not occur in a vacuum. Such leaders leave a trail of destructionandmanypeoplearehurtandlivelihoodsaredestroyedinthe