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Gartner Data & Analytics Summit

Summit 2017
20 – 22 March 2017 / London, UK

Key Trends in Artificial Intelligence and


Machine Learning
Alexander Linden

CONFIDENTIAL AND PROPRIETARY


This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other intended recipients. This presentation may contain
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© 2017 Gartner, Inc. and/or its affiliates. All rights reserved.
Artificial
Intelligence Technical discipline:
Solves business problems
through the extraction of
A sociotechnical knowledge from data.
construct:

Machine capabilities which Deep Learning


solve complex tasks that were
recently only possible by Machine Learning
humans (equally well or better)
Data Science
Predictive Analytics

Big Data Data


Advanced Mining IDA
Analytics

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We Are an AI Company, an ML Company or Even AI-First

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MEGATREND: Machine Learning Implies a Paradigm Shift
in Problem Solving

Classical Engineering
Seed
Weather and time

Soil Farmer Food

ML algorithms
Farming HPC ML solutions

Data
Data scientists

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Extreme Progress in Just Five Years

MSFT's ImageNet Solution


AlphaGo
Google's NMT
Self-driving cars Baidu’s
in the desert Speech
Deep learning Recognition
Computer Self-driving Train drivers Solutions
beats top cars in (ImageNet, replaced by robots
chess normal Kaggle)
player traffic

1997 ... 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

IBM Watson beats Tesla has over a


Jeopardy experts billion miles of
autonomous
driving data

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Dramatic Progress: ... and Computers Opened Their Eyes ...

Misclassification Rate
30%

25%

20%

15%
Krizhevsky and Others,
University of Toronto

10%
Late 2014 Through 2016

5%

0%
2010 2011 2012 2013 2014 Baidu Microsoft Google … Microsoft Human

ImageNet Challenge (1,000 Categories and 1.2 Million Image Subset of 15 Million Image Dataset)

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AI Misconceptions ...

"Watson is a cognitive technology


that can think like a human." lead to unproductive and
Quote from https://www.ibm.com/watson unrealistic fears:
captured 4 March 2017

"AI will take


85% of jobs
or kill us all"

Fearing a rise of killer robots is like


worrying about overpopulation on Mars
— Andrew Ng

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If the human brain were so simple,
that we could understand it, we would
be so simple, that we could not.
— Emerson Pugh

By BruceBlaus — Own work, CC-BY-3.0,


https://commons.wikimedia.org/w/index.php?curid=28761830
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Amazing Innovation
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Broad AI Remains a Fantasy for >20 Years …
Key Issues

1. What is machine learning and AI?


2. What are the benefits?
3. What are risks, limitations and how to go from here?

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Key Issues

1. What is machine learning and AI?


2. What are the benefits?
3. What are risks, limitations and how to go from here?

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… at the Core, ML Is About Creating Mappings
Informed by Input/Output Pairs
Type of Problem Inputs Outputs
Loan Application Application data Will the applicant repay the loan? (0 or 1)
Demand Prediction Market situation How many products will be bought? (n)
Self-Driving Cars Car sensory data Break, accelerate, tilt the wheel? (x, y)
Propensity to Buy Profile and transactions Will the customer buy or not? (0 or 1)
Failure Prediction Sensor readings Will a failure happen with 4 weeks (0 or 1)

Customer Churn Profile and activities Will customer cancel the contract? (0 or 1)
Medical Diagnosis Pixel data from a retinal scan Will the disease break out? (0 or 1)
Advertisement Ad + context + user profile Will the user click on ad? (0 or 1)

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Neural Nets

1 b
y = a * x + b + error ∑
a
x

1 b
f(∑)
a
x

Sigmoid function
Intermediate presentation

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Deep Learning Visualized: http://playground.tensorflow.org

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There Is a Zoo of Machine-Learning Approaches Out There ...

Compute
Requirements

Extremely popular
Log Chart

Very popular

k-NN 20 years Less popular

Occasional
Random Forest
SVMs Two-Layer Neural Nets
Decision Trees
Scorecards
Simple Regression Depth
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Deep learning attempts to improve machine learning, by
the creation of intermediate representations of the data.

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Example: Face Recognition

Basic Complex
Edges shapes shapes

TASK: Does this


image contain a face?
Increasing abstraction through intermediate layers

Output: 0 or 1

Input: Raw pixel data

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High-Performance Computing Often Required

10-Node Small GPU Large GPU Largest GPU


Desktop Spark Cluster Board Cluster Cluster
1. Face Recognition 1 year 4 months 4 weeks 4-5 days 12 hours

2. Demand Prediction 3 weeks 4-5 days 12 hours 3 hours 30 minutes

3. Machine Translation 20 years 2-4 weeks

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Why Now? Virtuous Cycle

High-Performance
Deep
Compute Learning

Complexity
What Next? Algorithms

Data

Systems Virtuous Cycle


and Sensors

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Key Issues

1. What is machine learning and AI?


2. What are the benefits?
3. What are risks, limitations and how to go from here?

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Deep Learning Works Best in Application Domains ...

Most data
The more
elements
data sources
have almost
the better
no meaning

Little or no
domain
knowledge
available

BUT: Don't write off shallow machine learning yet!

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By 2019, deep
learning will provide
best-in-class
performance for
demand, fraud and
failure prediction

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"Using deep learning ...
PayPal has cut its false-
alarm rate in half."
Hui Wang, Sr. Director of Global Risk Sciences, PayPal
in American Banker, 1 September 2016

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Deep Learning Addresses One of the Biggest "Big Data"
Challenges: Data Fusion
Data
Weather

Microeconomics
Increasing abstraction via intermediate computational layers

Macroeconomics
Demand
Social

Transactions

Interactions

Traffic

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Deep learning
moves the burden
from data
preparation to
network
architecture
selection
and (currently) to extreme computing requirements

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Deep learning enables extremely rich content analytics and
motor control
Previously

Now and soon

... also at
the output layer

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Image

O
Audio
U
T
P
Text
U
T
S Tabular/ Classical Data Science

Structured Business Analytics

Tabular Text Audio Image Video Diverse

INPUTS

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Image Visual Search

O
Audio
U
T
P
Text
U
T
S Tabular/ Classical Data Science

Structured Business Analytics

Tabular Text Audio Image Video Diverse

INPUTS

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Give me more like this

DCGAN (Facebook, 2015)


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Visual Search
Image Image Filtering

O
Audio
U
T
P
Text
U
T
S Tabular/ Classical Data Science

Structured Business Analytics

Tabular Text Audio Image Video Diverse

INPUTS

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Content Synthesis

and also Manuel Ruder and Thomas Brox (Uni Freiburg)

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Works for Videos and also Manuel Ruder and Thomas Brox (Uni Freiburg)

Credit to https://deepart.io (Germany)


Content Synthesis

Input A Input B

INPUTS OUTPUT

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Visual Search

Image Image Filtering

Super Resolution

O
Audio
U
T
P
Text
U
T
S Tabular/ Classical Data Science

Structured Business Analytics

Tabular Text Audio Image Video Diverse

INPUTS

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Super Resolution

Original Low-Resolution Image First Iteration Second Iteration

Try yourself at http://waifu2x.udp.jp

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Visual Search

Image Image Filtering

Super Resolution

O
Audio
U
T
P
Text Machine Translation
U
T
S Tabular/ Classical Data Science

Structured Business Analytics

Tabular Text Audio Image Video Diverse

INPUTS

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Google Neural Machine Translation

Source: http://nlp.stanford.edu/projects/nmt/Luong-Cho-Manning-NMT-ACL2016-v4.pdf
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Wake-up call!

Text analytics + Google NMT reported


error reduction
chatbots rates of 30% to 80%

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Image Search Visual Search

Image Synthetic animation Image Filtering

Image Generation Super Resolution

Visual Q&A
O
Voice Synthesis Lip Reading
Audio Real-Time Translation
U
Speech Imitation
T
Text Creation Image Captioning
P NLG
Text Machine Translation Speech Recognition OCR, ICR
U
Chatbots Speak Proofreading
T Image Recognition Surveillance
Classical Data Science Chatbots Listen Robotics
S Tabular/ Speech UI Visual Search Surveillance
Information Extraction Self-Driving Cars
Structured Business Analytics
Medical Diagnosis Scene Classification
POS Tagging Video Analytics Compression

Tabular Text Audio Image Video Diverse

INPUTS

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Key Issues

1. What is machine learning and AI?


2. What are the benefits?
3. What are risks, limitations and how to go from here?

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Still Early ...

... too expensive


... mostly conducted in isolation
Projects are yet ... not agile and collaborative enough
... just utilizing maximum 3-4 data sources
Tools ...
... have often insufficient UIs (too old — or too juvenile)
... lack in collaboration feature
... lack in cross-platform model management
... are yet either pure cloud or no elastic scale or pure on-premises

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Current Data Science Platforms Are Not (Yet) Satisfactory

From "Magic Quadrant for Data Science Platforms,"


14 February 2017 (G00301536)
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Landscape of ML Solutions MAKE
Skymind's Deeplearning4j
Salesforce Einstein
Caffe
SAP Clea Google's TensorFlow Theano
Microsoft Cognitive Toolkit
Business H2O.ai's Deep Water
Users Application Baidu’s Pebble Intel BigDL
Engineers Amazon Web Services’
Apache MXNet
Embedded Machine-Learning
Machine Learning APIs ML
From "Magic Quadrant for Data Science Platforms," 14 February 2017 (G00301536)
Engineers
Data R, Python,
Scientists Data Science Scala, Matlab
Data Smart Data Discovery Platforms
Analysts Deep-Learning
Frameworks
Data Analysis
Software Deep-Learning
Intel's Nervana Cloud Platforms
Azure Deep-Learning Hardware
Rescale
AWS
Nvidia, AMD, IBM, Intel
BUY
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Google Cloud Platform
Deep-Learning Adoption Patterns

 20-30 firms
 Own tooling
Skilled Inexperienced
End Users End Users
Tools and APIs Only APIs
 3-5K firms  Most Gartner clients
 Have data scientists  Have no data scientists on staff

 Let others come up with solutions!


APIs, SaaS, APIs, SaaS,  Evaluate solutions — understand costs
packaged apps and Tools and APIs packaged apps and
custom-made solutions custom-made solutions

 800-1000 organizations
Advanced  End users use tools for strategic advantage
 Service providers create custom-made solutions
 IT vendors create APIs, SaaS or packaged apps

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ML Projects Fail ...

Complexity of the pipeline/stack

Insufficient:
 Data
 Domain insights
 Compute infrastructure
ML task can be very complex
 Skills
 Luck Simply unknown if "good enough" solutions exist

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Insufficient Data

Debugging is different to
classical software engineering

Too dirty Too little

Inconsistent Too biased

Incomplete Too dynamic

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Too Little Data

No. of Data No.


Collect more Points Needed
2
Variables
1
4 2
8 3
16 4
256 8
Syndicate data 65.536 16
~ 4 billion 32
~ 16 quadrillion 64

Generate data Utilize partial solutions


from simulations (deep features, transfer learning)

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Biased Data

250

200

150

100

50

0
?
5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85

Analyze Data science audits Document

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ML Projects Hidden Costs: Dynamic Data

Out-of-Sample

In-Sample
Failure

Past NOW Future


Training

Projects can become


VERY expensive

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Boundary Between Impossible,
Doable and Must-Have

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Scratching the AI Boundary

RISK
Tactical Decisions
High
 >5 seconds ... min.
 Nonroutine analysis
 Not simple I/O
FAQs, new product
Medium description, new features, Strategic Decisions
Operational Decisions price changes, chats  Unstructured
 Routine  Many steps
 Less than 2 seconds  Nonroutine activities
 Simple I/O New product lines, new
Low web design, acquisitions,
Cross-selling, image business plans
recognition, marketing,
retention, management, task
assignment, failure prediction

Low Medium High


Individual Business Impact
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How Do Companies Gear Up?

Get funding Project work


Peers
Screen
Own projects Get more funding
Ideation
Feasibility/ROI estimation
Get more resources
Involve Different stakeholders
Grass roots Collect Data —
Pilots internal,
Limited budget external ...
Catalog
Data Agile and efficient
Get resources Scientist Secure processing pipelines
ML
Hire Engineer Clarify Deployment
With funding Data  Advisors
Engineers
 Student interns
Upskill  Hackathons
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(Ongoing) Scoping of AI/Machine-Learning Projects

Events and Decisions Data Assessment Business Exploration Deployment Monitoring Text
1 3 5 7 8 Images
Audio
Videos
6 Testing and
Measurements (Geo., ...)
2 Storytelling
Ideation Transactions
9
4 Machine-Learning Potential Transactions
Prototyping Recalibration
Events

What is the "old" solution? What is the desired latency during "inference"?
What can we do better? Can we buy, outsource or make?
How can we define "better"?
How often do we have to recalibrate?
Do we collect the best data?
Can we buy/acquire more? What is the desired transparency?

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Recommendations and Next Steps

 Make machine learning part of your digital strategy.


 Build a data science initiative (Data Lab, COE, CC, team).
 Revisit old problems that resisted a good solution so far.
 Shallow machine learning will remain superior for many problems!
 Adventure into deep learning only if your organization has the
necessary skills:
– Others will adopt deep-learning-based solutions via APIs, applications or
external service providers.
– But they must still be able to evaluate.

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Recommended Gartner Research

 Innovation Insight for Deep Learning


Alexander Linden, Tom Austin and Svetlana Sicular (G00319191)
 Magic Quadrant for Data Science Platforms
Alexander Linden, Peter Krensky, Jim Hare and Others (G00301536)
 Machine-Learning and Data Science Solutions: Build, Buy
or Outsource?
Peter Krensky and Alexander Linden (G00315415)

For more information, stop by Gartner Research Zone.


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