 Hello everyone couldn't talk when it's Diaz Salamat buggy and so on The best thing about my book is that it's available for free outside So we're having a signing session later on at the IOT. What is that place? Yeah, I The out he lounge, you know, I'll be sitting there, you know waiting for you to come by to please believe me of a copy And I can sign it for you and you can sell it for five euros on on eBay if you want So it's really a great pleasure to be here today, you know, I was as I was preparing for this Discussion I was thinking, you know, it's really interesting to see when you cut it down to all of the bottom lines of what we're all about You what is the purpose of business? What is the purpose of life? Well go back to the old Greek happiness, right? And is happiness an algorithm? Can we can we have a happiness app? There are quite a few happiness apps by the way that you can try but Would it be that easy? Can we be computed, you know, are we computable as people and? How far should we take it? Are there things that we cannot compute? Are the things that data will not tell us and there's lots of different opinions on this obviously and I've Gone quite a few of them. You know when I was preparing I was thinking already You know this thing here that all of us have now. This is our external brain. It's our second brain For some of our kids is the first brain, you know But basically this is where we keep our phone numbers our our our dating right our our money or music and very soon We keep our intelligence in here These devices will have a million times a computing power in roughly seven to eight years and unlimited connectivity So they become the global brain and That could be very helpful, but also very disconcerning because you know, maybe your own brain would stop working I mean, this is not as actually funny, you know most pilots in airplanes their brain stops working because they never fly themselves anymore It's a big problem in the US. It's called the glass cockpit syndrome So in the US they actually now have a rule that you have to fly by hand, so you don't forget it Imagine what would what happened if you only use this all the time we just say hey, you know a Date for tonight get married next week and boom you have a solution You'll stop thinking So, you know if the Internet of Things is this times a million At the Internet things is that we're all building is what I call a new meta intelligence It's all of this times a million times everything connected times everything always on always connected The benefits are huge solve climate change solve water solve energy solve cancer And I'm not joking on this right. This is all within reach on this and then All of the other things that are happening as a sort of a side effect now talk about what that means and how we can go from here I have two jobs. I Love technology. I've been in tech for a long time. I was an internet entrepreneur Most of the clients of my company are technology companies and software companies and so many of you Our clients so we talk about what the future of tech is and then there's this minor thing You know, what does it do to us as people as governments and every day goes by now? We see many more disruptions about what's happening around us fake news Of course, one of those things the influence of social media So there's two topics that I work on and that's essentially the idea of algorithms, you know technology and What I call andro rhythms in the book. It's very easy to understand and rhythms are human things And as I was writing the book the list was about 14 pages long, right? Emotions creativity design negotiation mystery lying, you know, all all the things are very hard to describe In fact, you could argue for example when we have a conversation. It may be more important what I'm not saying rather than what I'm saying Try to teach that to computer Very difficult. So those are two different worlds But the reality is humans live in the world of andro rhythms. We don't live in the world of algorithms We use algorithms As a famous philosopher one said we should not confuse the tool with the purpose That's the tool All of you are building those tools and we have to make nice tools or at the power of that we can sell But really what we're trying to do is this Jack Ma the CEO of Alibaba said it's not the technology that matters but the dreams behind it and Of course, that's sometimes hard to figure out what those dreams are But in this world, you know, we can say there's a huge game changer. It's not just the Internet of Things Artificial intelligence machine learning quantum computing brain computer interfaces We cannot think of the Internet of Things as a separate thing from artificial intelligence Because there's no way we could do anything with this data unless we have thinking machines That's all very densely interwoven and the question is where is it going? I think it's quite clear We're going into a world that is completely combining technology and people And there will be you our choice to see how far you want to go with this You know, if we will leave the Singularity University, some of you. I'm sure I have been there Their suggestion is by and large we merge with technology. I Find that rather appalling I have to say, you know, I'm I'm European. What can I say, you know, but I'd explain quickly in this world We're at an exponential point of takeoff When I first started doing internet stuff in 1995 music things mostly was too early on the curve You know doubling zero point zero one. It's still nothing and now we're four So gone for 18 16 32 seven steps to 128 30 steps to a billion straight into the sky I mean the world in 20 years will be so different. I would defy you to figure out to describe to me what it will look like The kids of my kids will never know how to drive a car Themselves, they will certainly not know how what a CD or DVD is it was around plastic things, right? Intellectual property copyright, you know downloading remember all the copyright debates is laughable now, right because it's in the cloud It's a whole different world So man machine symbiosis or symphony or Singularity or simulation Because you know when it when it comes this far We could easily simulate a reality because we're connected, right? We can just live inside of a virtual thing As Facebook wants to make us suggest not enough that Facebook has distorted the meaning of the word friendship Now they want to distort reality, but I was living inside of an augmented reality, right so they can sell us more ads I mean that is I just amazing, right? That's just how can you resist? We're gonna end up here, right? Becoming as God, you know, I'm not religious maybe you are but We're becoming extremely powerful here Many of us will in the future do jobs that it took a thousand people to do Analytics predictive analytics using social media engines, you know sentiment analysis I mean this is stuff that just ten years ago took a whole army in the skyscraper to figure out So we're becoming extremely powerful. We can do new things The question really is in This world What is a human? Is that a human? Are we just? fancy machine Well, I said lots of opinions on this I wouldn't be asking otherwise, but how computable are we and Other things that we can't find here When we're computing Our external brain, we know what's happening, of course every single company around the world including most of those in the room here are Investing seriously serious amount of money in artificial intelligence right in building a brain In fact, the Google project is called the global brain The attempt is to build a brain So Facebook in fact has a brain of two billion people. That's us Inside that brain and they can use that to think And the next step of course is this right? We are already are adoring our technology and we're preying at the altar of technology And I should be talking because you know, I'm obsessed with the mobile phone ask my kids But that's a little bit harmless, you know We laugh about this young wake up at 4 a.m. And set off a tweet or something you know or you know instead of dating we just tinder and we get to the result in 20 minutes, but You know, that's amazing, but it's not really it's not really destructive to society But imagine if this phenomena Becomes exponentially powerful in 10 years and we're talking about several thousand times as big Could we even exist without the internet? Would we want to get up if we can't connect with our digital cortex? These are you know scientific questions, but connectivity is a religion the mobile phones on the new cigarettes So that's basically a way for us to say no, no It's this is not even the beginning right on the scale on the scale of one to a hundred where five With all that stuff because now we have a friend Elon Who's going to make trillions building a neural lace right which connects our layers of our our neocortex to a digital cortex? Mean that must be the biggest business ever invented is to reduce humanity and put technology in its place I mean it sounds like a winning proposition but Where is this going I? Jokely call this a so far larity and not the singularity, but the so far larity Because we don't need a body anymore. We can just sit on the couch and remotely control the life around us In fact as Ray Kurzweil has suggested we can just have a head. We'll just keep the head everything else can go So that's kind of a disembodiment, but what's happening already today, you know, of course, we're shifting to voice control now This is a natural user interface. It does not require computing We speak to machines Headline of most of those companies are making those boxes like Amazon Echo Google and many others Speak to the computer like a friend Well, you can imagine what this could be going. I'm not going to touch on that But right a rapid shift towards kind of interfaces like Amazon Echo Where you know the echo knows you better than your wife and says no no no that's not gonna happen because you know I find So it's it's so you know, it's a really amazingly convenient, but it's also kind of weird, right? It's a cultural question or I think six or eight million Americans already have the echo I love the echo as a box But the thought of this box listening to me the whole time reminds me of so the the world war two in a Stasi scenario so this must be a German problem, but Anyway, so we're going into the future where this is our reality and the Internet of Things is just one piece of this It's an AI that says, you know, I got this suggestion like you can do that you can you know, and of course you can save energy You can reduce crime But let me ask you this would you rather have the politician Not this politician. We're not going to talk about that. And would you either have politicians being artificial intelligence because they would never make a mistake? Well, yeah, is it human to make mistakes or is it machines don't make mistakes well allegedly, right? Is it heaven or is it hell? Was of course like all technology can be hell can be heaven. It's up to us to figure it out Nuclear energy in theory you can make power plants or you can build bombs 99.4% the same material except for the radium So that's a very big question. Where do we go? And now we're doing this all of you in this room are doing this here We're building a global meta intelligence a brain a digital cortex and The benefits of this are I think the latest numbers are like 34 trillion dollars of new revenue shifts I mean you heard about the blockchain this morning. It's just part of this Clearly we must do that. We cannot say oh, that's just you know, it's dangerous. So We're not gonna do that So we have to think about you know, what happens here in this in this new way of looking at things You know, what is the next thing and basically we're going into a future of what are called? Cocknified machines You know, we have this joke created this little animation, you know, you take any old business You put it in the smart converter, you know, the AI goes on top and outcomes the new business Smart city is smart forming even smart banking Who would have thought of that? Smart humans know Because we can't go in the box we can't be an easily converted That's the hard part humans are really a pain, you know that because humans are so inefficient. I Mean we are the epitome of inefficient, right? We have to sleep. We have to eat, you know We we do bizarre things we invent stuff. We have imagination. We tell lies, you know, we're bad drivers We kill each other Should we remove all of that if we could? I mean we can probably can Is that a good idea? Where did we go next, you know the temptation of automation The automation of everything, you know used to be in the music business where I worked the digitization of everything And now it's the automation of everything, you know every company we work with and there's hundreds of companies all the one top Objective fire as many people as possible using technology Every company has the concern of course young people are expensive, right? They're inefficient So they expensive and then they complain even and have their own ideas. So The impact of AI and automation will have vastly more challenges than globalization And this is the real challenge, what do we do then is it automating our jobs or just tasks I Think the silver lining here is Computers will always take tasks and jobs, you know Basically things that we have to do but they will not take things that is about us And I'll explain in a second what I mean with this But the challenge is really this Technology is morally neutral says William Gibson until we apply it and We apply it everywhere literally everywhere Human genome Changing right the possibility of changing my genes to not have diabetes or cancer to live to be a hundred fifty years old in In Silicon Valley human longevity ink you may have heard about the company sounds like science fiction already exists at the end of dying That's fantastic right who needs to die who wants to die But anyway, this is moral these are moral questions, of course, we don't know what those morals are because they're completely different So we have social contracts. We have codes of behavior. We have ethics Hard to define. We have laws and regulations And I would submit to you if we go on this exponential trip on technology and we're going to go straight into the sky If we don't find a way to balance the two We're going to come to a point where it's kind of you know We'll have a lot of of this and then all of a sudden we have this growing into a huge thing That's out of control not just AI, but just how we change and I'll give you some examples in that shortly My colleague Luciano Froridio was an AI researcher said something very important There's the other day he says algorithms outperform human intelligence When it is not about the human stuff and there's a long list, you know understanding mental states intentions interpretations, you know ephemeral stuff believes It's very important. We can use Google Maps if it fails, you know, not a big deal We can book our stuff on Airbnb. We can even have pilots fly You know, there's lots of proposals to do away with the pilots now Because it is possible allegedly But then we get this right The latest incident on United If you should be so unlucky to fly with United, you know what I'm saying three weeks ago Right where a patient was beaten My passenger was beaten Because the computer said four people have to go and the computer said we've got eight and a fifty dollars For them to change their mind and not more and people at the gate couldn't do anything about it. The computer decided this The computer decided to go ahead and then say that there's lottery There's a limit and so on and the end result board as a doctor leave as a patient, right? That's the Vietnamese guy who was beaten there You remember that story So that's kind of a side note on what could happen when technology goes wrong So the biggest challenge in our society is not that technology will come and kill us You know forget all the stuff you hear in Hollywood and the robots and X machine. All right, that is a long time away. I Think that may be the case in a hundred years or so But beyond our horizon because these machines are pretty stupid and they they are definitely not human in that sense The biggest thing is that we become like them That we may start using technology where we shouldn't and that is a key question of what do we automate? What do we not because we live like this? I mean that's an interesting realization when you the world is actually not as logical as we always make it out to be right because Darryl Kahneman world-winning Psychologist says award-winning Noble price I think he says cognition is embodied. We think with the body not the brain Now if you remember the movie her you see in the movie her right, you know, the problem was in the end The guy found out that she's having sex with three thousand eight hundred fifty other people at the same time because she didn't have a body Right, it's possible We don't we have a body right we actually think differently we think in a much more holistic way So I'm going to propose another definition of artificial intelligence Which is relevant of course to the IOT Quite simple we have these intelligences social intelligence some of us have that Emotional intelligence hard to define what that is emotions Intellectual and tells and then we have this right we have artificial This is a new kind of intelligence and this is how we should look at it It's not at all the same like ours Intelligent machines are not thinking like we are thinking Let them think whatever they want we can use them for the grunt work, right? No big deal, but let's not teach them to be emotionally intelligent Even if we could do that So here's something I wonder if you recognize this intelligence at work here give you a short audio example Have you heard of this new technology when you're speaking about this new algorithm to copy voices Yes, it is developed by a startup called Lyreberg. This is huge They can make us say anything now really anything the good news is that they will offer the technology to any this is huge How does their technology work? Hey guys? I think that they use deep learning and artificial neural networks. Well, this is not Obama and Trump and Hillary But it's an it's an AI that speaks like them and I know I know you can tell it's not actually That good. It's pretty close Give it two years and it's achieved over AI can do that and speak like my wife For example So but I wonder about this thing, you know, I think wall the room have the same concern I think really what's happening is that exponential technological progress eliminates tasks Routines you could see on the economy graph here all routine is declining So it's not so much about our job is about how we do our job and which job we do So if if your job is all about routine and tasks, of course, it'll be gone, you know Like a checkout person at the supermarket So the key is for us to rise above that, you know, so what if the if the robot pours the beer? The robot is not going to have a conversation at the bar with with somebody That's not going to be replaced. So it's about the EQ the IQ all the stuff that we can combine These are the top skills in just five years and critical thinking creativity Emotional intelligence and that is the talent we need We don't just need great engineers and programmers. We need great humans Exponential humans That actually have those kids because that is the success factor of a company, you know I've observed in 15 years of doing this the number one factor in success is not technology If you have bad technology, you won't be successful, right? But number one factor is culture Backed up by great technology. I mean that is obvious to a lot of people, right? But we should look at it from this way. So really in this world, you know data is the new oil You've heard that many times. It's finally true. You see the graph here in the old days, you know oil companies and banks Most powerful companies of the world. That's the past all companies are toast pretty soon, right? You know that switch to solar energy. So they're all trying to jump ship Obama's pipeline will never ever be used because nobody's gonna want the gas in it Right, and this is the future Technology platforms data But if data is the new oil that feeds the IOT Do we need environmental protection? Nobody likes protection. I mean clearly that's a shocking word just like responsibility But I'm not talking about greenwashing here or any such thing I'm talking about if data is the oil and we make in trillions a year with data Do we need a protection that says there's something that is beyond data? Do we need that do we need an EPA for humanity? This is a big question Because we may end up here. Otherwise You know unprotected growth of data mining and this has been referred to in the oil business as externality So basically all companies have said, you know who who cares what happens with the oil or global warm It's not our problem because people need the gas to drive their car. So we sell it Just like in the US people say well people need guns to defend themselves. So it's not our problem. They kill each other. It's their problem Well, let me say we can't do this with the IOT We cannot build a system of a meta intelligence that connects eight billion people and you know 800 billion objects and our brain and our mobile and our bank accounts and then say well whatever happens as a You know burning platform Somebody else should worry about that. Maybe maybe you were the EU Commission could worry about that, right? That's not gonna be that easy. I Think we need to come to a place where we look at business like this complete overlap of technology humanity organization Being on the same page and this is I think this is really about figuring out What is the future value of a company great graph from Accenture? That talks about why we're doing this way We can find a way to regulate the issues and address them together. We don't actually need the government for that if we do this Well, of course, we're always gonna eat the government for something right to look at this, but These kind of side effects for example de-skilling, right? I mean makes you wonder how many skills we're losing if we're just gonna use an app and just speak to it Like Google Home makes you wonder if our technology is manipulating us Like I mean, that's already frankly happening everywhere, but not just on Facebook And then we're wondering enough. Maybe this kind of filter bubble is everywhere. We're not seeing the truth really and Where everything becomes a medium even our sex life and our kids The computer will suggest if we should have the baby or not based on genetic analysis That's already a huge debate. I'm sure you're aware of that, right? And then the insurance will say no, no, no, that's not gonna happen because it will be expensive So clearly in this world, this is what's happening in this in this graph You can see right here the enormous benefit of technology on this scale and the unintended consequences Artificial intelligence robotics and the Internet of Things are right in the top corner very powerful potentially very difficult Huge unintended consequences AI clearly So this is a question I have for you would you agree That we have an ethical imperative or are you going to argue that these are externalities and somebody else can walk them up With the argument will be fair, right? I'm not saying we shouldn't make the argument But should we have that to harness the power to serve the collective good? Which everybody in Silicon Valley talks about the collective good But you know what happens when Mark Zuckerberg writes his manifesto. He says, oh man, I've created a monster There's nothing you can do So there's something that we have to think about you know, where is where is this going on? Who has control and ultimately? Who's mission control for humanity? Who's controlling what we do where the data is what the rules are? Well right now that is Silicon Valley. I mean, it's obvious, right? So lucky us but You know, this is an interesting question You're Microsoft started having a service in Germany for that reason to move the mission control to Europe, right? So and then we have inequality. I Mean all of you know, of course when reading on that has been plenty lately technology has increased inequality Look at this graph here And that what's happening here You can see the country with the most IOT devices Korea, Switzerland US the rich countries Will African countries have the Internet of Things? Will it be possible for them to actually do this? Look at this graph. It's going to get worse And clearly sorry just a second here Getting too excited and So clearly in this direction we have to ask a question of inequalities and number one reason for terrorism And we're creating it by the plenty There's something we have to look at clearly where it's going So I'll come to the end the wrap up and we'll have a short conversation afterwards bottom line is this right? This is the era of digital ethics Everything is interdependent We can no longer say well, we built this it works great. We make lots of money and that's it, right? We can't do that Because now we're touching on the very basis of humanity. We're going inside of our body Changing our genes and changing our brain using AI Connecting everything and we can't just say you know, well, so what it's just like having a steam engine, right? Not quite And this is the world of mega shifts which I described in the book which we will faithfully read afterwards. I'm sure All the stuff that's happening there Great quote here ethics is the difference Between having the right or the power to do something and to do what is the right thing to do? and That is business that's why it's business Because you have the power to do something and you do the right thing you actually are better off in the end Something that fit the old companies failed to see So the future of technology Future of what we're doing is kind of what I call a hell van. You know, it's hell in heaven Really can be both right now. We are 90-10 10% hell, you know privacy surveillance a little bit of hell not much We don't want that to grow exponentially As Jack Ma says again about the dreams behind technology How do we keep that mix alive? Do we need a global ethics council? And who would that be would we even agree on the ethics that we have? I mean, we would agree on bottom line ethics like a machine should not kill people Without human supervision. I think if we took a vote on that everybody would except for the people who make the machine You know, we would agree on that And there are people who make that machine So let me say a final thing Technology is often confused with the utter tool of optimization and efficiency This is totally wrong What we're doing here with the Internet of Things is not about efficiency. That's just a side effect the CFO likes it, right? We should never put efficiency over humanity it the purpose of what we're doing is to create human value relationships trust and value meaning purpose General improvement and efficiency is one of those things that we we use for money, you know That that's a good thing, but it's not the final destination. Very important to keep that in mind. Okay The asylum are principles. I won't have the time to go through this You should read them yourself the future of life. They apply very well to IOT human values shared benefits ecosystem thinking responsibility Absolutely crucial for us to go in that direction to understand what we're trying to do here And I think that your position whatever company you're with on this issue is a number one issue of success in the future What is your position on the man machine? polarization How much are you on team robot or team human? As it's been called. There's been a term cooking for this But you know if you make robots, of course, you're on team robot But you can still be on team human and make robots obviously Difficult question. I think this is obviously something we have to define and think about where this is going So I think it's important that we have to invest as much in the amenity as we're investing in technology And I don't mean humanity in the sense of writing artworks or books, right? The people you hire have to be exponential humans to be successful in this future Not just great tech people Not just the left brain Because that's really what we need. I mean in five years computers will program computers in Ten years we have AI scientists. We already have them Well, they replace scientists not really but they'll do a lot of the grunt work, right? So really powerful stuff that we had to think about I summarize and then we'll take some questions. We'll have a short debate first a holistic approach will win holistic in the sense of externalities balance systems interdependence and investment in algorithms and and rhythms and I think this is really where things are going ultimately we have exponential technologies that are not about efficiency They're about transformation and general what I call human flourishing and That has to go into the business plan Mean I think you're aware that roughly in five to ten years. We're going to look at the change of Economic system economic logic because of technology technology creates abundance Like music like films like and what's gonna happen then we have to think about those things as well Stewardship, I mean, this is a wide open position all of you having a stewardship and saying this is the future where pro-action can meet precaution The key future talents will be emotional intelligence being human. That's the people we want to hire So the best possible combination would be of course somebody who's a brilliant engineer and a brilliant human You know Einstein once said imagination is more important than knowledge. I Think that was very easy to say for Einstein you're considering that he had a lot of knowledge You know Of course you have to have knowledge But in the future knowledge is kind of a thing in all a lot of computers will have knowledge. I Mean binary knowledge, which is really not much right, but they will have knowledge that they can read two million books in a minute That's a kind of knowledge that we can't really compete with so we need to seriously consider a global mission control We can't just leave this issue hanging up there and saying you know while it will self-regulate it will not We're talking about forty three trillion dollars here. This will not self-regulate There's something to think about Well, this is going I hope you like my summary is this fall from the book I'd always like to say embrace technology, but don't become it. Have a nice day