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#432271 Your Shopping Experience Is on the Verge ...

Exponential technologies (AI, VR, 3D printing, and networks) are radically reshaping traditional retail.

E-commerce giants (Amazon, Walmart, Alibaba) are digitizing the retail industry, riding the exponential growth of computation.

Many brick-and-mortar stores have already gone bankrupt, or migrated their operations online.

Massive change is occurring in this arena.

For those “real-life stores” that survive, an evolution is taking place from a product-centric mentality to an experience-based business model by leveraging AI, VR/AR, and 3D printing.

Let’s dive in.

E-Commerce Trends
Last year, 3.8 billion people were connected online. By 2024, thanks to 5G, stratospheric and space-based satellites, we will grow to 8 billion people online, each with megabit to gigabit connection speeds.

These 4.2 billion new digital consumers will begin buying things online, a potential bonanza for the e-commerce world.

At the same time, entrepreneurs seeking to service these four-billion-plus new consumers can now skip the costly steps of procuring retail space and hiring sales clerks.

Today, thanks to global connectivity, contract production, and turnkey pack-and-ship logistics, an entrepreneur can go from an idea to building and scaling a multimillion-dollar business from anywhere in the world in record time.

And while e-commerce sales have been exploding (growing from $34 billion in Q1 2009 to $115 billion in Q3 2017), e-commerce only accounted for about 10 percent of total retail sales in 2017.

In 2016, global online sales totaled $1.8 trillion. Remarkably, this $1.8 trillion was spent by only 1.5 billion people — a mere 20 percent of Earth’s global population that year.

There’s plenty more room for digital disruption.

AI and the Retail Experience
For the business owner, AI will demonetize e-commerce operations with automated customer service, ultra-accurate supply chain modeling, marketing content generation, and advertising.

In the case of customer service, imagine an AI that is trained by every customer interaction, learns how to answer any consumer question perfectly, and offers feedback to product designers and company owners as a result.

Facebook’s handover protocol allows live customer service representatives and language-learning bots to work within the same Facebook Messenger conversation.

Taking it one step further, imagine an AI that is empathic to a consumer’s frustration, that can take any amount of abuse and come back with a smile every time. As one example, meet Ava. “Ava is a virtual customer service agent, to bring a whole new level of personalization and brand experience to that customer experience on a day-to-day basis,” says Greg Cross, CEO of Ava’s creator, an Austrian company called Soul Machines.

Predictive modeling and machine learning are also optimizing product ordering and the supply chain process. For example, Skubana, a platform for online sellers, leverages data analytics to provide entrepreneurs constant product performance feedback and maintain optimal warehouse stock levels.

Blockchain is set to follow suit in the retail space. ShipChain and Ambrosus plan to introduce transparency and trust into shipping and production, further reducing costs for entrepreneurs and consumers.

Meanwhile, for consumers, personal shopping assistants are shifting the psychology of the standard shopping experience.

Amazon’s Alexa marks an important user interface moment in this regard.

Alexa is in her infancy with voice search and vocal controls for smart homes. Already, Amazon’s Alexa users, on average, spent more on Amazon.com when purchasing than standard Amazon Prime customers — $1,700 versus $1,400.

As I’ve discussed in previous posts, the future combination of virtual reality shopping, coupled with a personalized, AI-enabled fashion advisor will make finding, selecting, and ordering products fast and painless for consumers.

But let’s take it one step further.

Imagine a future in which your personal AI shopper knows your desires better than you do. Possible? I think so. After all, our future AIs will follow us, watch us, and observe our interactions — including how long we glance at objects, our facial expressions, and much more.

In this future, shopping might be as easy as saying, “Buy me a new outfit for Saturday night’s dinner party,” followed by a surprise-and-delight moment in which the outfit that arrives is perfect.

In this future world of AI-enabled shopping, one of the most disruptive implications is that advertising is now dead.

In a world where an AI is buying my stuff, and I’m no longer in the decision loop, why would a big brand ever waste money on a Super Bowl advertisement?

The dematerialization, demonetization, and democratization of personalized shopping has only just begun.

The In-Store Experience: Experiential Retailing
In 2017, over 6,700 brick-and-mortar retail stores closed their doors, surpassing the former record year for store closures set in 2008 during the financial crisis. Regardless, business is still booming.

As shoppers seek the convenience of online shopping, brick-and-mortar stores are tapping into the power of the experience economy.

Rather than focusing on the practicality of the products they buy, consumers are instead seeking out the experience of going shopping.

The Internet of Things, artificial intelligence, and computation are exponentially improving the in-person consumer experience.

As AI dominates curated online shopping, AI and data analytics tools are also empowering real-life store owners to optimize staffing, marketing strategies, customer relationship management, and inventory logistics.

In the short term,retail store locations will serve as the next big user interface for production 3D printing (custom 3D printed clothes at the Ministry of Supply), virtual and augmented reality (DIY skills clinics), and the Internet of Things (checkout-less shopping).

In the long term,we’ll see how our desire for enhanced productivity and seamless consumption balances with our preference for enjoyable real-life consumer experiences — all of which will be driven by exponential technologies.

One thing is certain: the nominal shopping experience is on the verge of a major transformation.

Implications
The convergence of exponential technologies has already revamped how and where we shop, how we use our time, and how much we pay.

Twenty years ago, Amazon showed us how the web could offer each of us the long tail of available reading material, and since then, the world of e-commerce has exploded.

And yet we still haven’t experienced the cost savings coming our way from drone delivery, the Internet of Things, tokenized ecosystems, the impact of truly powerful AI, or even the other major applications for 3D printing and AR/VR.

Perhaps nothing will be more transformed than today’s $20 trillion retail sector.

Hold on, stay tuned, and get your AI-enabled cryptocurrency ready.

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#432262 How We Can ‘Robot-Proof’ Education ...

Like millions of other individuals in the workforce, you’re probably wondering if you will one day be replaced by a machine. If you’re a student, you’re probably wondering if your chosen profession will even exist by the time you’ve graduated. From driving to legal research, there isn’t much that technology hasn’t already automated (or begun to automate). Many of us will need to adapt to this disruption in the workforce.

But it’s not enough for students and workers to adapt, become lifelong learners, and re-skill themselves. We also need to see innovation and initiative at an institutional and governmental level. According to research by The Economist, almost half of all jobs could be automated by computers within the next two decades, and no government in the world is prepared for it.

While many see the current trend in automation as a terrifying threat, others see it as an opportunity. In Robot-Proof: Higher Education in the Age of Artificial Intelligence, Northeastern University president Joseph Aoun proposes educating students in a way that will allow them to do the things that machines can’t. He calls for a new paradigm that teaches young minds “to invent, to create, and to discover”—filling the relevant needs of our world that robots simply can’t fill. Aoun proposes a much-needed novel framework that will allow us to “robot-proof” education.

Literacies and Core Cognitive Capacities of the Future
Aoun lays a framework for a new discipline, humanics, which discusses the important capacities and literacies for emerging education systems. At its core, the framework emphasizes our uniquely human abilities and strengths.

The three key literacies include data literacy (being able to manage and analyze big data), technological literacy (being able to understand exponential technologies and conduct computational thinking), and human literacy (being able to communicate and evaluate social, ethical, and existential impact).

Beyond the literacies, at the heart of Aoun’s framework are four cognitive capacities that are crucial to develop in our students if they are to be resistant to automation: critical thinking, systems thinking, entrepreneurship, and cultural agility.

“These capacities are mindsets rather than bodies of knowledge—mental architecture rather than mental furniture,” he writes. “Going forward, people will still need to know specific bodies of knowledge to be effective in the workplace, but that alone will not be enough when intelligent machines are doing much of the heavy lifting of information. To succeed, tomorrow’s employees will have to demonstrate a higher order of thought.”

Like many other experts in education, Joseph Aoun emphasizes the importance of critical thinking. This is important not just when it comes to taking a skeptical approach to information, but also being able to logically break down a claim or problem into multiple layers of analysis. We spend so much time teaching students how to answer questions that we often neglect to teach them how to ask questions. Asking questions—and asking good ones—is a foundation of critical thinking. Before you can solve a problem, you must be able to critically analyze and question what is causing it. This is why critical thinking and problem solving are coupled together.

The second capacity, systems thinking, involves being able to think holistically about a problem. The most creative problem-solvers and thinkers are able to take a multidisciplinary perspective and connect the dots between many different fields. According to Aoun, it “involves seeing across areas that machines might be able to comprehend individually but that they cannot analyze in an integrated way, as a whole.” It represents the absolute opposite of how most traditional curricula is structured with emphasis on isolated subjects and content knowledge.

Among the most difficult-to-automate tasks or professions is entrepreneurship.

In fact, some have gone so far as to claim that in the future, everyone will be an entrepreneur. Yet traditionally, initiative has been something students show in spite of or in addition to their schoolwork. For most students, developing a sense of initiative and entrepreneurial skills has often been part of their extracurricular activities. It needs to be at the core of our curricula, not a supplement to it. At its core, teaching entrepreneurship is about teaching our youth to solve complex problems with resilience, to become global leaders, and to solve grand challenges facing our species.

Finally, with an increasingly globalized world, there is a need for more workers with cultural agility, the ability to build amongst different cultural contexts and norms.

One of the major trends today is the rise of the contingent workforce. We are seeing an increasing percentage of full-time employees working on the cloud. Multinational corporations have teams of employees collaborating at different offices across the planet. Collaboration across online networks requires a skillset of its own. As education expert Tony Wagner points out, within these digital contexts, leadership is no longer about commanding with top-down authority, but rather about leading by influence.

An Emphasis on Creativity
The framework also puts an emphasis on experiential or project-based learning, wherein the heart of the student experience is not lectures or exams but solving real-life problems and learning by doing, creating, and executing. Unsurprisingly, humans continue to outdo machines when it comes to innovating and pushing intellectual, imaginative, and creative boundaries, making jobs involving these skills the hardest to automate.

In fact, technological trends are giving rise to what many thought leaders refer to as the imagination economy. This is defined as “an economy where intuitive and creative thinking create economic value, after logical and rational thinking have been outsourced to other economies.” Consequently, we need to develop our students’ creative abilities to ensure their success against machines.

In its simplest form, creativity represents the ability to imagine radical ideas and then go about executing them in reality.

In many ways, we are already living in our creative imaginations. Consider this: every invention or human construct—whether it be the spaceship, an architectural wonder, or a device like an iPhone—once existed as a mere idea, imagined in someone’s mind. The world we have designed and built around us is an extension of our imaginations and is only possible because of our creativity. Creativity has played a powerful role in human progress—now imagine what the outcomes would be if we tapped into every young mind’s creative potential.

The Need for a Radical Overhaul
What is clear from the recommendations of Aoun and many other leading thinkers in this space is that an effective 21st-century education system is radically different from the traditional systems we currently have in place. There is a dramatic contrast between these future-oriented frameworks and the way we’ve structured our traditional, industrial-era and cookie-cutter-style education systems.

It’s time for a change, and incremental changes or subtle improvements are no longer enough. What we need to see are more moonshots and disruption in the education sector. In a world of exponential growth and accelerating change, it is never too soon for a much-needed dramatic overhaul.

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#432249 New Malicious AI Report Outlines Biggest ...

Everyone’s talking about deep fakes: audio-visual imitations of people, generated by increasingly powerful neural networks, that will soon be indistinguishable from the real thing. Politicians are regularly laid low by scandals that arise from audio-visual recordings. Try watching the footage that could be created of Barack Obama from his speeches, and the Lyrebird impersonations. You could easily, today or in the very near future, create a forgery that might be indistinguishable from the real thing. What would that do to politics?

Once the internet is flooded with plausible-seeming tapes and recordings of this sort, how are we going to decide what’s real and what isn’t? Democracy, and our ability to counteract threats, is already threatened by a lack of agreement on the facts. Once you can’t believe the evidence of your senses anymore, we’re in serious trouble. Ultimately, you can dream up all kinds of utterly terrifying possibilities for these deep fakes, from fake news to blackmail.

How to solve the problem? Some have suggested that media websites like Facebook or Twitter should carry software that probes every video to see if it’s a deep fake or not and labels the fakes. But this will prove computationally intensive. Plus, imagine a case where we have such a system, and a fake is “verified as real” by news media algorithms that have been fooled by clever hackers.

The other alternative is even more dystopian: you can prove something isn’t true simply by always having an alibi. Lawfare describes a “solution” where those concerned about deep fakes have all of their movements and interactions recorded. So to avoid being blackmailed or having your reputation ruined, you just consent to some company engaging in 24/7 surveillance of everything you say or do and having total power over that information. What could possibly go wrong?

The point is, in the same way that you don’t need human-level, general AI or humanoid robotics to create systems that can cause disruption in the world of work, you also don’t need a general intelligence to threaten security and wreak havoc on society. Andrew Ng, AI researcher, says that worrying about the risks from superintelligent AI is like “worrying about overpopulation on Mars.” There are clearly risks that arise even from the simple algorithms we have today.

The looming issue of deep fakes is just one of the threats considered by the new malicious AI report, which has co-authors from the Future of Humanity Institute and the Centre for the Study of Existential Risk (among other organizations.) They limit their focus to the technologies of the next five years.

Some of the concerns the report explores are enhancements to familiar threats.

Automated hacking can get better, smarter, and algorithms can adapt to changing security protocols. “Phishing emails,” where people are scammed by impersonating someone they trust or an official organization, could be generated en masse and made more realistic by scraping data from social media. Standard phishing works by sending such a great volume of emails that even a very low success rate can be profitable. Spear phishing aims at specific targets by impersonating family members, but can be labor intensive. If AI algorithms enable every phishing scam to become sharper in this way, more people are going to get gouged.

Then there are novel threats that come from our own increasing use of and dependence on artificial intelligence to make decisions.

These algorithms may be smart in some ways, but as any human knows, computers are utterly lacking in common sense; they can be fooled. A rather scary application is adversarial examples. Machine learning algorithms are often used for image recognition. But it’s possible, if you know a little about how the algorithm is structured, to construct the perfect level of noise to add to an image, and fool the machine. Two images can be almost completely indistinguishable to the human eye. But by adding some cleverly-calculated noise, the hackers can fool the algorithm into thinking an image of a panda is really an image of a gibbon (in the OpenAI example). Research conducted by OpenAI demonstrates that you can fool algorithms even by printing out examples on stickers.

Now imagine that instead of tricking a computer into thinking that a panda is actually a gibbon, you fool it into thinking that a stop sign isn’t there, or that the back of someone’s car is really a nice open stretch of road. In the adversarial example case, the images are almost indistinguishable to humans. By the time anyone notices the road sign has been “hacked,” it could already be too late.

As the OpenAI foundation freely admits, worrying about whether we’d be able to tame a superintelligent AI is a hard problem. It looks all the more difficult when you realize some of our best algorithms can be fooled by stickers; even “modern simple algorithms can behave in ways we do not intend.”

There are ways around this approach.

Adversarial training can generate lots of adversarial examples and explicitly train the algorithm not to be fooled by them—but it’s costly in terms of time and computation, and puts you in an arms race with hackers. Many strategies for defending against adversarial examples haven’t proved adaptive enough; correcting against vulnerabilities one at a time is too slow. Moreover, it demonstrates a point that can be lost in the AI hype: algorithms can be fooled in ways we didn’t anticipate. If we don’t learn about these vulnerabilities until the algorithms are everywhere, serious disruption can occur. And no matter how careful you are, some vulnerabilities are likely to remain to be exploited, even if it takes years to find them.

Just look at the Meltdown and Spectre vulnerabilities, which weren’t widely known about for more than 20 years but could enable hackers to steal personal information. Ultimately, the more blind faith we put into algorithms and computers—without understanding the opaque inner mechanics of how they work—the more vulnerable we will be to these forms of attack. And, as China dreams of using AI to predict crimes and enhance the police force, the potential for unjust arrests can only increase.

This is before you get into the truly nightmarish territory of “killer robots”—not the Terminator, but instead autonomous or consumer drones which could potentially be weaponized by bad actors and used to conduct attacks remotely. Some reports have indicated that terrorist organizations are already trying to do this.

As with any form of technology, new powers for humanity come with new risks. And, as with any form of technology, closing Pandora’s box will prove very difficult.

Somewhere between the excessively hyped prospects of AI that will do everything for us and AI that will destroy the world lies reality: a complex, ever-changing set of risks and rewards. The writers of the malicious AI report note that one of their key motivations is ensuring that the benefits of new technology can be delivered to people as quickly, but as safely, as possible. In the rush to exploit the potential for algorithms and create 21st-century infrastructure, we must ensure we’re not building in new dangers.

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#432190 In the Future, There Will Be No Limit to ...

New planets found in distant corners of the galaxy. Climate models that may improve our understanding of sea level rise. The emergence of new antimalarial drugs. These scientific advances and discoveries have been in the news in recent months.

While representing wildly divergent disciplines, from astronomy to biotechnology, they all have one thing in common: Artificial intelligence played a key role in their scientific discovery.

One of the more recent and famous examples came out of NASA at the end of 2017. The US space agency had announced an eighth planet discovered in the Kepler-90 system. Scientists had trained a neural network—a computer with a “brain” modeled on the human mind—to re-examine data from Kepler, a space-borne telescope with a four-year mission to seek out new life and new civilizations. Or, more precisely, to find habitable planets where life might just exist.

The researchers trained the artificial neural network on a set of 15,000 previously vetted signals until it could identify true planets and false positives 96 percent of the time. It then went to work on weaker signals from nearly 700 star systems with known planets.

The machine detected Kepler 90i—a hot, rocky planet that orbits its sun about every two Earth weeks—through a nearly imperceptible change in brightness captured when a planet passes a star. It also found a sixth Earth-sized planet in the Kepler-80 system.

AI Handles Big Data
The application of AI to science is being driven by three great advances in technology, according to Ross King from the Manchester Institute of Biotechnology at the University of Manchester, leader of a team that developed an artificially intelligent “scientist” called Eve.

Those three advances include much faster computers, big datasets, and improved AI methods, King said. “These advances increasingly give AI superhuman reasoning abilities,” he told Singularity Hub by email.

AI systems can flawlessly remember vast numbers of facts and extract information effortlessly from millions of scientific papers, not to mention exhibit flawless logical reasoning and near-optimal probabilistic reasoning, King says.

AI systems also beat humans when it comes to dealing with huge, diverse amounts of data.

That’s partly what attracted a team of glaciologists to turn to machine learning to untangle the factors involved in how heat from Earth’s interior might influence the ice sheet that blankets Greenland.

Algorithms juggled 22 geologic variables—such as bedrock topography, crustal thickness, magnetic anomalies, rock types, and proximity to features like trenches, ridges, young rifts, and volcanoes—to predict geothermal heat flux under the ice sheet throughout Greenland.

The machine learning model, for example, predicts elevated heat flux upstream of Jakobshavn Glacier, the fastest-moving glacier in the world.

“The major advantage is that we can incorporate so many different types of data,” explains Leigh Stearns, associate professor of geology at Kansas University, whose research takes her to the polar regions to understand how and why Earth’s great ice sheets are changing, questions directly related to future sea level rise.

“All of the other models just rely on one parameter to determine heat flux, but the [machine learning] approach incorporates all of them,” Stearns told Singularity Hub in an email. “Interestingly, we found that there is not just one parameter…that determines the heat flux, but a combination of many factors.”

The research was published last month in Geophysical Research Letters.

Stearns says her team hopes to apply high-powered machine learning to characterize glacier behavior over both short and long-term timescales, thanks to the large amounts of data that she and others have collected over the last 20 years.

Emergence of Robot Scientists
While Stearns sees machine learning as another tool to augment her research, King believes artificial intelligence can play a much bigger role in scientific discoveries in the future.

“I am interested in developing AI systems that autonomously do science—robot scientists,” he said. Such systems, King explained, would automatically originate hypotheses to explain observations, devise experiments to test those hypotheses, physically run the experiments using laboratory robotics, and even interpret the results. The conclusions would then influence the next cycle of hypotheses and experiments.

His AI scientist Eve recently helped researchers discover that triclosan, an ingredient commonly found in toothpaste, could be used as an antimalarial drug against certain strains that have developed a resistance to other common drug therapies. The research was published in the journal Scientific Reports.

Automation using artificial intelligence for drug discovery has become a growing area of research, as the machines can work orders of magnitude faster than any human. AI is also being applied in related areas, such as synthetic biology for the rapid design and manufacture of microorganisms for industrial uses.

King argues that machines are better suited to unravel the complexities of biological systems, with even the most “simple” organisms are host to thousands of genes, proteins, and small molecules that interact in complicated ways.

“Robot scientists and semi-automated AI tools are essential for the future of biology, as there are simply not enough human biologists to do the necessary work,” he said.

Creating Shockwaves in Science
The use of machine learning, neural networks, and other AI methods can often get better results in a fraction of the time it would normally take to crunch data.

For instance, scientists at the National Center for Supercomputing Applications, located at the University of Illinois at Urbana-Champaign, have a deep learning system for the rapid detection and characterization of gravitational waves. Gravitational waves are disturbances in spacetime, emanating from big, high-energy cosmic events, such as the massive explosion of a star known as a supernova. The “Holy Grail” of this type of research is to detect gravitational waves from the Big Bang.

Dubbed Deep Filtering, the method allows real-time processing of data from LIGO, a gravitational wave observatory comprised of two enormous laser interferometers located thousands of miles apart in California and Louisiana. The research was published in Physics Letters B. You can watch a trippy visualization of the results below.

In a more down-to-earth example, scientists published a paper last month in Science Advances on the development of a neural network called ConvNetQuake to detect and locate minor earthquakes from ground motion measurements called seismograms.

ConvNetQuake uncovered 17 times more earthquakes than traditional methods. Scientists say the new method is particularly useful in monitoring small-scale seismic activity, which has become more frequent, possibly due to fracking activities that involve injecting wastewater deep underground. You can learn more about ConvNetQuake in this video:

King says he believes that in the long term there will be no limit to what AI can accomplish in science. He and his team, including Eve, are currently working on developing cancer therapies under a grant from DARPA.

“Robot scientists are getting smarter and smarter; human scientists are not,” he says. “Indeed, there is arguably a case that human scientists are less good. I don’t see any scientist alive today of the stature of a Newton or Einstein—despite the vast number of living scientists. The Physics Nobel [laureate] Frank Wilczek is on record as saying (10 years ago) that in 100 years’ time the best physicist will be a machine. I agree.”

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#432165 Silicon Valley Is Winning the Race to ...

Henry Ford didn’t invent the motor car. The late 1800s saw a flurry of innovation by hundreds of companies battling to deliver on the promise of fast, efficient and reasonably-priced mechanical transportation. Ford later came to dominate the industry thanks to the development of the moving assembly line.

Today, the sector is poised for another breakthrough with the advent of cars that drive themselves. But unlike the original wave of automobile innovation, the race for supremacy in autonomous vehicles is concentrated among a few corporate giants. So who is set to dominate this time?

I’ve analyzed six companies we think are leading the race to build the first truly driverless car. Three of these—General Motors, Ford, and Volkswagen—come from the existing car industry and need to integrate self-driving technology into their existing fleet of mass-produced vehicles. The other three—Tesla, Uber, and Waymo (owned by the same company as Google)—are newcomers from the digital technology world of Silicon Valley and have to build a mass manufacturing capability.

While it’s impossible to know all the developments at any given time, we have tracked investments, strategic partnerships, and official press releases to learn more about what’s happening behind the scenes. The car industry typically rates self-driving technology on a scale from Level 0 (no automation) to Level 5 (full automation). We’ve assessed where each company is now and estimated how far they are from reaching the top level. Here’s how we think each player is performing.

Volkswagen
Volkswagen has invested in taxi-hailing app Gett and partnered with chip-maker Nvidia to develop an artificial intelligence co-pilot for its cars. In 2018, the VW Group is set to release the Audi A8, the first production vehicle that reaches Level 3 on the scale, “conditional driving automation.” This means the car’s computer will handle all driving functions, but a human has to be ready to take over if necessary.

Ford
Ford already sells cars with a Level 2 autopilot, “partial driving automation.” This means one or more aspects of driving are controlled by a computer based on information about the environment, for example combined cruise control and lane centering. Alongside other investments, the company has put $1 billion into Argo AI, an artificial intelligence company for self-driving vehicles. Following a trial to test pizza delivery using autonomous vehicles, Ford is now testing Level 4 cars on public roads. These feature “high automation,” where the car can drive entirely on its own but not in certain conditions such as when the road surface is poor or the weather is bad.

General Motors
GM also sells vehicles with Level 2 automation but, after buying Silicon Valley startup Cruise Automation in 2016, now plans to launch the first mass-production-ready Level 5 autonomy vehicle that drives completely on its own by 2019. The Cruise AV will have no steering wheel or pedals to allow a human to take over and be part of a large fleet of driverless taxis the company plans to operate in big cities. But crucially the company hasn’t yet secured permission to test the car on public roads.

Waymo (Google)

Waymo Level 5 testing. Image Credit: Waymo

Founded as a special project in 2009, Waymo separated from Google (though they’re both owned by the same parent firm, Alphabet) in 2016. Though it has never made, sold, or operated a car on a commercial basis, Waymo has created test vehicles that have clocked more than 4 million miles without human drivers as of November 2017. Waymo tested its Level 5 car, “Firefly,” between 2015 and 2017 but then decided to focus on hardware that could be installed in other manufacturers’ vehicles, starting with the Chrysler Pacifica.

Uber
The taxi-hailing app maker Uber has been testing autonomous cars on the streets of Pittsburgh since 2016, always with an employee behind the wheel ready to take over in case of a malfunction. After buying the self-driving truck company Otto in 2016 for a reported $680 million, Uber is now expanding its AI capabilities and plans to test NVIDIA’s latest chips in Otto’s vehicles. It has also partnered with Volvo to create a self-driving fleet of cars and with Toyota to co-create a ride-sharing autonomous vehicle.

Tesla
The first major car manufacturer to come from Silicon Valley, Tesla was also the first to introduce Level 2 autopilot back in 2015. The following year, it announced that all new Teslas would have the hardware for full autonomy, meaning once the software is finished it can be deployed on existing cars with an instant upgrade. Some experts have challenged this approach, arguing that the company has merely added surround cameras to its production cars that aren’t as capable as the laser-based sensing systems that most other carmakers are using.

But the company has collected data from hundreds of thousands of cars, driving millions of miles across all terrains. So, we shouldn’t dismiss the firm’s founder, Elon Musk, when he claims a Level 4 Tesla will drive from LA to New York without any human interference within the first half of 2018.

Winners

Who’s leading the race? Image Credit: IMD

At the moment, the disruptors like Tesla, Waymo, and Uber seem to have the upper hand. While the traditional automakers are focusing on bringing Level 3 and 4 partial automation to market, the new companies are leapfrogging them by moving more directly towards Level 5 full automation. Waymo may have the least experience of dealing with consumers in this sector, but it has already clocked up a huge amount of time testing some of the most advanced technology on public roads.

The incumbent carmakers are also focused on the difficult process of integrating new technology and business models into their existing manufacturing operations by buying up small companies. The challengers, on the other hand, are easily partnering with other big players including manufacturers to get the scale and expertise they need more quickly.

Tesla is building its own manufacturing capability but also collecting vast amounts of critical data that will enable it to more easily upgrade its cars when ready for full automation. In particular, Waymo’s experience, technology capability, and ability to secure solid partnerships puts it at the head of the pack.

This article was originally published on The Conversation. Read the original article.

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