Who is going to make money on the upcoming boom of artificial intelligence systems?

    According to a new Goldman Sachs report, AI is defined as “any mind represented by a machine or program.” This definition implies machines that can learn and improve their operations over time, and perform meaningful processing of a huge amount of disparate data.


    Although we first heard about artificial intelligence almost 60 years ago, Goldman believes that we are "on the verge of a period of rapid growth in the use and application of AI."

    By reducing the cost of many technologies, it becomes possible to process so-called "unstructured" data - such as speech and images.

    Some people who have access to the inside information of interested enterprises are confident that AI will continue to evolve at a much faster rate, due to rising wage costs in various industries. Ray Kurzweil , CTO of machine learning and natural language processing at Google, believes AI comparable to the average human level will appear around 2029.

    So who will play in this market?

    First, some large technology companies holding related patents.

    Among them, the undisputed leader is IBM, which owns about five hundred patents. IBM's supercomputer , Watson , is one example of such an AI system. Watson is a promising development capable of perceiving human speech and performing probabilistic searches using a large number of algorithms. In 2013, using the capabilities of the system helped reduce the level of error in diagnosing cancer by doctors.

    Other major owners of related patents are Microsoft, Google, and SAP .


    And here a real patent war is already inevitable, and not a sluggish patent trololo, in the area of ​​rounded corners of icons and drop-down menus.

    Secondly, many large technology companies are actively buying startups working in the field of AI.

    Over the past two years, Google has bought five different companies dealing with technologies such as pattern recognition, natural language processing, and neural networks. Yahoo tightly took up the work in the field of pattern recognition and natural language processing. Twitter last year bought a startup Madbits , engaged in deep learning technology . At the same time, Home Depot is using a recently acquired analytical laboratory to improve pricing procedures.

    There are also startups that have received significant amounts of funding, including Rethink Robotics ($ 127 million) and Sentient Technologies ($ 144 million).

    Goldman Sachs analysts, especially the bulls, talk about artificial intelligence technologies that come from Asia and the United States.

    So, how can investors make money on the boom?

    Goldman considers investments in the Japanese company NEC to be good; according to their data, they are number one in face recognition and text analysis. They also recommend several companies involved in components for automotive driver assistance systems: NIDEC, MobileEye, Nippon Ceramic, and Pacific Industrial.

    American Marketo and Opower, working in the field of personalized customer acquisition through the use of AI in the analysis of user data arrays, are also regarded as promising. Goldman analysts also suggest the growth of shares of Amazon and Twitter, two companies that use AI in their work.

    via Business Insider

    Also popular now: