FUTURE OF ARTIFICIAL INTELLIGENCE - Fujitsu Global

1 1 FUTURE OF ARTIFICIAL INTELLIGENCE Andrew Trabulsi June 2015 2 What are the major investment trends?What s the IP landscape look like?What s coming next?3 Where s the money going? 4 Source: Capital IQ, Quid, iftfFunding where are we?Private investment growing rapidly, M&A peaked in 201202,0004,0006,0008,00010,00012,00014, 00016,00018,00020,0002010201120122013201 42015*Past five years of funding into ARTIFICIAL INTELLIGENCE ($mn)M&APrivate Investment5 Source: Capital IQ, Quid, iftfHow s the market shaping up?Key investment areas since 2010 Cybersecurity!Medical10%MapReduce9%NLP9% Ads8%ERP8%Robotics7%Shopping7%Computer Vision6%Market Composition MapReduce!Natural Language!Processing!Medical!Cancer diagnostics!Recruiting!Robotics!Computer Vision!Music!Personal Assistant!

2 News Analysis!Ads!Shopping!Financial services!Enterprise Resource!Planning!6 Source: Capital IQ, Quid, iftfWhere s it going?Notable private investments and M&A deals since 2010 Quid, Solutions, LLCD atabricks, Media Pte. , Technologies, LLCDeep Mind Technologies, Ltd.$49mn $105mn$54mn $120mn$59mn $200mn$104mn $400mnPrivateM&A7 But what are they doing with all this money? 8 Source: Thomson Reuters, Quid, iftfPatent development is taking offOver 7x growth in IP development from 2004 - 2013050100150200250300350400200420052006 2007200820092010201120122013 Previous ten years of patent filingsMachine Learning PatentsSource: Thomson Reuters, Quid, iftfThe IP ecosystem is diverseMachine Learning patents across use casesText Classification!Text Classification11%Customer Analytics11%Querying Methods8%Medical Diagnostics7%Data Mining7%Cybersecurity6%MRI Analysis6%Facial Recognition4%IP Deconstruction Social Network !

3 Analysis!Natural Language!Processing!Video Analysis!Molecular Analysis!Querying Method!Querying Method!Personal Assistant!Customer Analytics!Cybersecurity!Data Protection!Semiconductors!Data Mining!Neural Network!9 10 Source: Thomson Reuters, Quid, held by only a few playersIntellectual property not predominantly held by start-upsMicrosoftIBMY ahooGoogleNippon Telegraph & Telephone CorpHewlett-PackardBehavioral Recognition Systems, held%1409%906%594%493%342%282% What s next? 12 Combinatorial InnovationWon t be just single technology or use case that changes game13 Combinatorial InnovationWon t be just single technology or use case that changes game14 Source: Thomson Reuters, Quid, iftfRevisiting our patent analysisOver 7x growth in IP development from 2004 - 2013050100150200250300350400200420052006 2007200820092010201120122013 Previous ten years of patent filingsMachine Learning Patents15 Source: Thomson Reuters, Quid, iftfIt s really a much bigger development across use cases 2004 - 2013010020030040050060020042005200620072 00820092010201120122013 Previous ten years of patent filingsAutomated Judgement PatentsMachine Learning Patents16 Source.

4 Thomson Reuters, Quid, iftfInnovations build on top of each otherIP development across use cases 2004 - 2013020040060080010001200140020042005200 62007200820092010201120122013 Previous ten years of patent filingsComputer Vision PatentsAutomated Judgement PatentsMachine Learning Patents17 Source: Thomson Reuters, Quid, iftfTo create a wide range of opportunitiesIP development across use cases 2004 - 2013020040060080010001200140016001800200 0200420052006200720082009201020112012201 3 Previous ten years of patent filingsNeural Network PatentsComputer Vision PatentsAutomated Judgement PatentsMachine Learning Patents18 Innovations overlap with one another. It won t just be advances in a single field that change the world or imp-act our daily lives. It will be combinations of advances, across fields, that do.

5 Understanding this, helps put to-day s innovations into perspective for Thank you!