Author: Paul Wallbank

  • Creating a Silicon Brain

    Creating a Silicon Brain

    Should we be rethinking how computers are designed? The co-founder and CEO of chip designer Nervana, Naveen Rao, believes so as artificial intelligence applications change the way systems work.

    “A brain only uses 20 watts of power to do far more than a laptop,” observes Naveen Rao at a breakfast following Intel’s Artificial Intelligence Day in San Francisco last week.

    “Presumably the brain is doing more computation than your laptop,” he continues. “What are we missing? Why is there such a big difference between what a computer can do and a brain can do. Let’s try to understand that and maybe what we learn can change how we design computers.”

    A lifetime passion

    Rao, whose company was acquired by Intel for over four hundred million dollars last August, was discussing the quest to make computers operate more like brains and less like adding machines.

    For Rao this has been a lifetime passion, having graduated as an electrical engineer and spending most of his career designing computer chips at Sun Microsystems and various startups he quit his job to do a PhD in neuroscience, “after ten years, I wanted to return to my passion of trying to use biology to better understand computers.”

    From that combination of study and experience Nervana was founded in 2014 and raised twenty million dollars from investors before being acquired by Intel.

    Replicating the bird, not the feathers

    The key part in creating a computer that acts more like a brain is to get the individual CPUs to be working together in a network similar to the mind’s neural paths, “look at a bird compared to a plane.” Rao says,” we don’t replicate the feathers, but we do the function.”

    Doing this meant rethinking how processors are designed, “there are tried are true methods of chip architecture that we basically questioned.”

    “We don’t need high levels of generality. We don’t need this to work on energy or weather simulations. We removed some of that baggage.”

    Paring back the processor

    So the Nervana team stripped down the individual processor and removed many functions, such as a cache, that are built into today’s advanced CPUs. Those lighter weight, and less power hungry, units can then be combined into neural networks more suited to artificial intelligence functions than today’s computers.

    “Nvidea, this sort of fell into their laps,” observes Rao of Intel’s key competitor in the AI, graphics and gaming space. “It just so happens the graphics functions on their chips are suited to Artificial Intelligence applications.”

    Without the more complex functions of modern CPUs, Rao and the Nervana team see the opportunity to build more flexible computers better suited to artificial intelligence applications.

    Intel focuses on AI

    That focus on AI has seen Intel branding its AI initiatives under the Nervana brand name as the iconic Silicon Valley company tries to move ahead with more nimble competitors like Qualcomm and NVidea.

    For the computer industry, artificial intelligence promises to be the next major advance, something necessary if we are ever going to make sense of the masses of data being collected by smart devices and the reason why Microsoft, Google, Amazon and Facebook are all making massive investments in the field.

    Regardless of whether Intel and Nervana are successful in the AI marketplace, Rao sees the entire field of neural computing as a great opportunity. “It’s exciting, there’s lots of chances to innovate.”

    Paul travelled to San Francisco as a guest of Intel

     

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  • When the robots came for the financial planners

    When the robots came for the financial planners

    Then the robots came for the wealth managers…

    While much of the focus on the effects of automation in the workforce falls upon manual, skilled and lower level clerical jobs, much of the impact of the next wave of automation will fall on higher level roles.

    The rise of the robot financial advisor is a good example of this, as Finextra reports, Well Fargo bank has teamed up with fintech startup SigFig to automate wealth management.

    Wealth management has been a lucrative field for banks in recent years however it has come with a reputational risk as poorly trained, incompetent or unethical advisors have pushed customers into investments more aligned with the staffs’ commission structures than the clients’ interests.

    Given the costs and risks of employing well paid financial advisors, it’s understandable banks would be attracted to automating the function.

    The problem for the banks is automated tools will commoditise the marketplace and almost certainly drive down margins.

    So, along with the well paid jobs, the river of gold that was wealth management dries up for the banking sector.

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  • Trusting the web

    Trusting the web

    Following last week’s US election attention has fallen onto the role of Facebook in influencing public opinion and the role of rumours and fake news.

    The CEO of Facebook, Mark Zuckerberg, says claims that his company’s news feed influenced the US election are nonsense but, as Zeynep Tufekci the New York Times writes, the platform has shown in its own experiments that the service does influence voters.

    Sadly misinformation is now the norm on the web given anyone can start a blog and post ridiculous and outlandish claims. If that misinformation fits a group’s beliefs, then it may be shared millions of times as people share it across social media services, particularly Facebook.

    Facebook’s filter bubbles exacerbates that problem as each person’s news feed is determined by what the company’s algorithm thinks the user will ‘like’ rather than something that will inform or enlighten them.

    Those ‘filter bubbles’ tend to reinforce our existing biases or prejudices and when fake news sites are injected into our feeds Facebook becomes a powerful way of confirming our beliefs, something made worse by friends gleefully posting fake quotes or false news that happens to fit their world views. If you click ‘Like’, you’ll then get more of them.

    Over time, Facebook risks becoming irrelevant if the news being fed from the site becomes perceived as being unreliable

    For Facebook, and for other algorithm driven services like Google, the risks in fake news don’t just lie in a loss of credibility, there’s also the risk of regulatory problems when news manipulation starts affecting markets, commercial interests or threatens established power bases.

    The fake news problem is something that affects the entire web and its users, for Facebook and Google it is becoming a serious issue.

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  • The shine goes off the wearable tech market

    The shine goes off the wearable tech market

    Friday was a bad day for former startup darlings FitBit and GoPro with both companies disappointing investors.

    GoPro, whose cameras for a while defined a new wave of adventure videos, announced a loss of $104 million dollars on the back of production issues and further disillusioned stockholders with a forecast of further poor sales in the upcoming holiday season.

    Those shareholders have many reasons to be disillusioned with the camera maker’s shares reaching $98 two years ago after floating at $24. Today they are sitting at $11.

    FitBit shareholders have suffered similarly, with the fitness band’s shares falling to eight dollars after listing at $20 almost two years ago. Their announcement of further problems on Friday saw the stock price dropping thirty percent on the day.

    It may be easy to scorn investors in hindsight, but both companies were emblematic of a new generation of wearable technology and much of their problems today owes as much to them trying to stay ahead of the curve as it does from smartphones developing most of their products’ functionality.

    The travails of FitBit and GoPro are typical of a time when new technology is changing business. Some companies  shine brightly then fade while others have a rocky road to success. We’ll have to wait and see if FitBit and GoPro survive.

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  • Regulation and technology

    Regulation and technology

    It’s often easy to underestimate the effects of regulation on the development of industries and innovation.

    Around the world jurisdictions are struggling with balancing regulation and innovation, last week in the UK Uber lost an employment tribunal case 0ver the employment status of its employees . While in Switzerland the country is struggling with rules over Blockchain as the nation tries to build a ‘Crypto Valley’.

    Striking the right balance in regulation isn’t trivial. As the development of Silicon Valley’s finance models shows, government rules were critical to how the venture capital sector has evolved.

    The US Small Business Investment Act of 1958 was the first step in the sector’s development with the creation of “Small Business Investment Companies” (SBICs) to fund and manage smaller enterprises in the United States. In 1978 the sector received a greater boost when pension funds were allowed to invest in the sector.

    We’re now seeing a similar thing happening in the US where the Digital Millennium Copyright Act – a law passed to protect the Twentieth Century business models of record companies and movie studios – is being softened to allow end users to examine and maintain the software on the devices they own.

    If the trial is allowed to become permanent, it will almost certainly see a far freer and innovative software environment which may even help overcome some of the security problems with the Internet of Things.

    Often though that balance isn’t correctly struck and recently we’ve seen many poor decisions that have concentrated power, particularly in the financial and airline industries where governments have allowed huge conglomerates to dominate their markets which stifles innovation and growth.

    Those innovation stifling regulations though don’t guarantee companies’ survival as the taxi industry discovered. Despite reams of laws and regulations protecting their licenses, Uber effectively blew up the business as they offered travellers a far better option to the often poor services provided by local cab companies.

    Regulation is always going to be a balancing act between protecting the community’s interest and allowing business and society to evolve. It’s one reason why as citizens and taxpayers we need to be demanding our governments are open and transparent in their dealings and law making.

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