ARTIFICIAL

INTELLIGENCE IN
BUSINESS
Dr. Amanish Lohan
 WHAT IS
INTELLIGENCE?
 SO, WHAT IS
ARTIFICIAL
INTELLIGENCE?
WHAT WAS OUR
PURPOSE ?
You thought
I was a
fantasy?
7 ORIGINAL FIELDS IN AI
➤ Simulating higher functions of the human brain
➤ Programming a computer to use general language
➤ Arranging hypothetical neurons in a manner that they can form concepts
➤ A way to determine and measure problem complexity
➤ Self-improvement
➤ Abstraction - defined as the quality of dealing with ideas rather than events
➤ Randomness and creativity
THE TURING TEST
➤ Computer needs to possess the following capabilities:
➤ Natural language processing
➤ Knowledge Representation
➤ Automated Reasoning
➤ Machine Learning
Exabyte Gigabyte
THE ENORMITY OF DATA
➤ Till 2005 - 130 Exabytes
➤ 2010 - 1,200 Exabytes
➤ 2015 - 7,900 Exabytes
➤ 2020 - 40,900 Exabytes
TIMELINE OF AI IN THE WORLD
1961 1997

Unimate - first Deepblue by IBM

1978 Beat chess champion Gary 2016
Industrial robot
1952 XCON Google Deepmind’s

Arthur Samuel developed first Developed to configure computer AlphaGo defeats Lee Sedol

Self-learning computer program based on user demand in the game Go

1970s
Saw a dip in funding

For projects related

To AI

1958 1986 2017

John Mccarthy creates First Facebook shuts down

LISP - workhorse of AI Driverless car by Ernst Dickmanns an experiment after

1965 2000 bots start speaking
and his team
Joseph Weizenbaum Kismet in own language
Invents ELIZA - English By Cynthia Breazeal could
Speaking robot Recognise and simulate emotions
DARTMOUTH CONFERENCE OF 1956
➤ “Every aspect of learning or any other feature of intelligence can in principle be so precisely
described that a machine can be made to simulate it. An attempt will be made to find out how
to make machines use language, form abstractions and concepts, solve kind of problems now
reserved for humans, and improve themselves”. (John Mccarthy)
HISTORY OF ARTIFICIAL INTELLIGENCE
➤ 1952-69
➤ Creation of the General Problem Solver (GPS) - designed to imitate human problem-
solving skills
➤ Possibly the first program to embody the ‘thinking humanly’ approach
➤ Newell and Simon came up with the famous Physical Symbol System:
➤ “A physical symbol system has the necessary and sufficient means for general intelligent
action”
➤ Similarly, Herbert Gelernter (1959) established the Geometry Theorem Prover - able to
prove theorems that students of maths found tricky
HISTORY OF ARTIFICIAL INTELLIGENCE
➤ John McCarthy moved from Dartmouth to MIT. In that same year:
➤ He defined the high-level language Lisp (dominant AI language for the next 30 years)
➤ Published a paper called Programs with common sense - described the Advice Taker - the
first complete AI system in history
➤ 1963 - James Slagle developed SAINT - to solve closed-form calculus integration problems
➤ 1967 - Daniel Borrow developed STUDENT - solved algebra story problems
➤ 1968 - Tom Evan developed ANALOGY - geometric analogy problems which appear in IQ
tests
SNAP BACK TO
REALITY
➤ Herbert Simon predicted an AI would be
chess champion in a decade
➤ Overconfidence due to successfully solving
simple problems
➤ Problem solving was based on few objects
and few actions and hence short solution
sequences
➤ The ability of AI neural networks to learn new
things was extremely limited
“ The spirit is willing but the flesh is weak
Translated to
The vodka is good but the meat is rotten

Not so smart AI
RESURGENCE OF AI
➤ DENDRAL program - developed at Stanford
to solve the problem of inferring molecular
structure from information by a mass
spectrometer
➤ MYCIN - developed to diagnose blood
infections. Was able to perform as well as
some experts and better than junior doctors
➤ The major difference was the input being
provided to the machines
AI ENTERS THE INDUSTRY
➤ R1 - first commercial expert at Digital Equipment Corporation - to help configure orders for
new computer systems
➤ Saved the company over $ 40 million over the year

➤ Japan announced a 10-year plan called ‘Fifth Generation’ to build intelligent computers
starting from Prolog
➤ The AI industry boomed from millions to billions of dollars in 8 years
➤ Companies building expert systems, vision systems, robots and software and hardware
specialisations