The Information: A History, A Theory, A Flood

A book by Jame Gleick

In 2011 alone, 1.8 zettabytes (or 1.8 trillion gigabytes) of data was created. Currently we create 2.5 quintillion bytes of data per day — so much that 90% of the data in the world today has been created in the last two years alone. This data comes from everywhere: sensors used to gather climate information, satellites keeping track of deep space events, DNA sequencing, posts to social media sites, digital pictures and videos, purchase transaction records, and cell phone GPS signals to name a few. This data is big data.

You can check out a sliver of the data we generate in a single minute in this infograph - but keep in mind that these numbers are from 2011 which means that by now most of them will have increased by a factor of 2. Here's another infograph, one that takes a look at how big data is changing the IT landscape and how it will continue to do so in the future > - annual data generation is expected to increase 4300% by 2020... mindboggling!

The possibilities are limitless. Literally every industry and branch of science will ultimately be affected. Big data can help us to better understand everything from diseases to the environment, it can help alleviate traffic problems and reduce waste, under specific circumstances it even allows us to predict the future. When you take into account developments like Adam, the robot scientist and Eureqa, a software tool that can detect equations and hidden mathematical relationships in your data, the future looks bright indeed. Unfortunately, big data also has a dark side but more on that next sunday.

Adam: http://www.wired.com/2011/04/robot-scientist-language/
Eureqa: http://www.creativemachineslab.com/
Big Data: http://en.wikipedia.org/wiki/Big_data

BBC Horizon: The Age of Big Data
In Los Angeles, a remarkable experiment is underway; the police are trying to predict crime, before it even happens. In London, one trader believes that he has found the secret of making billions with maths and In South Africa, astronomers are attempting to catalogue the entire cosmos. These very different worlds are united by one thing - an extraordinary explosion in data.

Horizon meets the people at the forefront of the data revolution, and reveals the possibilities and the promise of the age of big data.

The Future Markets Making up the Market of the Future

Exponential Finance, an intensive 2-day conference, hosted by Singularity University in partnership with CNBC, brought together top experts to inform financial services leaders how technologies—such as artificial intelligence, synthetic biology, quantum computing, crowdfunding, digital currencies and robotics—are impacting business.

Want to find out what Wall street got to hear? You are in luck because all talks have been made available online for free. There are quite a lot of them but you can check the short descriptions to figure out which ones might tickle your fancy.

Exponential Thinking (Peter Diamandis) - Exponential Finance 2014
Opening talk from Peter Diamandis, the Greek-American engineer, physician, and entrepreneur best known for being the founder and chairman of the X PRIZE Foundation. He's also the co-founder and chairman of Singularity University, CEO and co-founder of the Zero-Gravity Corporation, the co-founder of Planetary Resources, vice-chairman & co-founder of Human Longevity, Inc and the co-author of the New York Times bestseller Abundance: The Future Is Better Than You Think.


> Artificial Intelligence <
Understanding the AI Landscape (Neil Jacobstein) - Exponential Finance 2014
Neil Jacobstein will discuss how businesses, financial institutions and individuals are utilizing AI to address credit risk analysis, investment decisions, sentiment analysis, high frequency trading and avoiding corporate/market flash crashes. Neil will also provide an overview of AI—from 50 years of successful AI applications to augmenting humans with AI—and what this means for the world at large.

Will IBM's Watson and Other AI's Overtaketake Wall Street (Rhodin) - Exponential Finance 2014
Michael Rhodin of IBM will explain how Watson has moved beyond Jeopardy into finance, and what this and other AI solutions mean for Wall Street. Specifics include: The Watson Applications Ecosystem; Automating finance sector jobs; Role of AI on global financial centers; and the future of Watson.

Is AI Your Enemy or New Best Friend? (Daniel Nadler) - Exponential Finance 2014
Daniel Nadler describes the virtual artificially intelligent, financial industry-focused assistant that his company, Kensho, is creating. Why is this possible now for the first time, and what will this mean for the playing field in five years’ time? This high-level conversation will cover the implications of these Virtual AI Assistants—from the labor market to risk management to financial advisors.


> Data Science & Analytics <
The Data Science Revolution (Jeremy Howard) - Exponential Finance 2014
Data Science (Big Data, Data Analysis, Machine Learning) is said to represent a larger potential disruption than the industrial revolution. This session will address the impact on the financial world by data driven decision-making, predictive modeling, machine learning, intelligent computing and more.

Harvesting Gold from Your Data - Finally! (Collins, Caruso-Cabrera) - Exponential Finance 2014
Keith Collins, CIO of SAS, takes a look at the applications available now and those of tomorrow that will assist you in making the most of your data. How do you differentiate between relevant/representative data and “big” data?

Disruptive Tools In The Data Science Toolkit (Dr. Gurjeet Singh) - Exponential Finance 2014
Gurjeet Singh of Ayasdi, named Fast Company’s 2014 Most Innovative Company in Big Data, addresses the cutting edge of big data and how machine learning/big data is and will be used in business going forward.

Will The Robo-Advisors Take Your Job? (Diamandis, Edelman) - Exponential Finance 2014
A conversation between Peter Diamandis and acclaimed financial advisor Ric Edelman. The discussion will focus on the future of the financial advisory business and how Ric sees exponential technology changing his business and the overall landscape.


> Networks and Computing Systems <
The Global Evolution of Networks and Computing Systems (Brad Templeton) - Exponential Finance 2014
As processing power continues to grow exponentially, as trillions of devices and sensors come online, and as technology costs continue to decrease dramatically, we are entering an era of new possibilities. In this session, Board Member of the Electronic Frontier Foundation (EFF), founder of the first internet-based business, Brad Templeton will dive into Moore’s Law, abundant bandwidth, the trillion-dollar impact of autonomous vehicles, the network of everything, and more.

Living In A Virtual World (Philip Rosedale) - Exponential Finance 2014
As we saw with the recent $2B acquisition of Oculus Rift, virtual reality (VR) is big business. In this session, Philip Rosedale, one of the pioneers of VR, as well as the creator of Second Life and CEO of his latest venture, High Fidelity, will take us through why VR has the potential to have such an outsized impact over the coming decade. Learn how virtual reality will change almost every aspect of our life, such as: how we interact with others, how we learn, how we conduct business, who we are friends with, and where we spend our free time.


> Quantum Computing <
Quantum Computing: A Threat to Leading Financial Players (Vern Brownell) - Exponential Finance 2014
As the former CTO of Goldman Sachs, Vern Brownell understands the technical challenges facing large financial institutions. He’ll share his unique perspective as the head of the leading quantum computer manufacturer, D-Wave, to provide an understanding of quantum computing and its radical impact on present and future computing.

Insights from the World's First Quantum Computer Software Company (Dr. Phil Goddard)
By harnessing the power of quantum mechanics, quantum computers offer the potential to solve extremely large- scale optimization problems faster than traditional computers. Dr. Goddard will provide us with insight into some of these problems that are now becoming addressable with a particular emphasis on the financial world.


> 3D Printing <
The Imminent Disruption of the $10T Manufacturing Industry (Reichental) - Exponential Finance 2014
With applications ranging from cars, décor and consumer products to custom implants, jet engines and hearing aids—3D printing is revolutionizing product design and supply chain management, and opening a world of possibilities for creatives. This talk will also touch on the potential unintended consequences of 3D manufacturing technology, such as fraud and 3D printed weapons.


> Synthetic Biology and Digital Medicine <
Digital/Synthetic Biology (Raymond McCauley) - Exponential Finance 2014
The digitization of biology is driving massive disruption in the life sciences field. Human genome sequencing is the single best example of faster, better, cheaper. Previously confined to research tools, these new solutions are now entering the clinical and consumer markets. This session will shine light on the drivers in this field, new business models, where technology costs are trending, and innovative startups that have the potential to be significant disruptors.

The Technological Disruption of Healthcare (Dr. Daniel Kraft) - Exponential Finance 2014
Convergence of fast-moving technology is rapidly changing the face of health and medicine. From mobile health and wearable sensors to artificial intelligence and personal ‘omics, this talk will explore implications for personal health, workforce health and the corresponding areas of emerging investment opportunity.


> Capital Formation <
Innovations in Capital Formation (David Rose) - Exponential Finance 2014
David Rose, a serial entrepreneur and active angel investor in New York, as well as the founder and CEO of Gust, will share his insights on the rapidly evolving world of capital formation—from crowdfunding to peer-to-peer lending to the growth and rebirth of equity capital markets. David will illustrate how it’s never been easier to raise capital and why these new innovations create significant threats, as well as opportunities, for incumbents and startups alike.

Crowdfunding (Koplovitz, Barnett, Cox, Fitzgerald, Millman) - Exponential Finance 2014
Kay Koplovitz leads a panel discussion addressing how crowdsourcing models are impacting and disintermediating traditional capital sources. Participants include industry experts Chance Barnett of Crowdfunder, Luan Cox of Crowdnetic, Katie Fitzgerald of CircleUp. and Michael Millman of JP Morgan.

Innovative Regulations: Not an Oxymoron (David Weild) - Exponential Finance 2014
The “Father of the JOBS Act,” David Weild will offer insights into what Congress, the SEC and other regulatory groups are doing to keep America competitive and foster innovation.


> Robotics <
Robots: Changing Everything (Rob Nail) - Exponential Finance 2014
Rob Nail will provide an overview of robotics technology, the far-reaching impact this technology is having throughout the world, and how what is coming will change business globally. As robotics use accelerates, many branches of the financial world will change. In this session we’ll address: Why companies like Google are making massive bets on Robotics; Massive labor force implications; Machine to machine payments; and Insurance and liability issues.

Robots: Changing Everything (Scott Hassan) - Exponential Finance 2014
In this talk, Scott Hassan, CEO of Suitable Technologies, will “beam” around the world in 80 seconds, hopping between continents and traveling across time zones—instantly. Scott will demonstrate how to fulfill the need for shared awareness with other people, places and things.


> Digital Currencies & Smart Contracts <
The Transformative World of Digital Commerce and Finance (Staci Warden) - Exponential Finance 2014
Executive director of the Center for Financial Markets at the Milken Institute, Staci Warden provides an overview of digital commerce and how this emerging area has the potential to radically change how we bank, how payments are made, what a trusted transaction means, and more.

The Evolving Digital Commerce Ecosystem (Warden, Barhydt, Hill, Silbert) - Exponential Finance 2014
As Bitcoin and other alternative currencies capture our imaginations, new possibilities for digital commerce and financial services are emerging. This panel provides a glimpse into how new opportunities including digital derivatives, smart contracts, wire based settlement, cross border payments and peer to peer banking are being enabled by new technologies and gives us a glimpse of what’s next in the world of digital commerce and finance.


> Financial Futures <
Bankers Beware (Caruso-Cabrera, Lyons, Milne, Sidhu, Weissbluth) - Exponential Finance 2014
Exponential technologies are presenting a 360 degree assault on every part of the banking business. It couldn’t come at a worse time, as the industry tries to respond to regulatory pressures and rebuild trust in the wake of the financial crisis and great recession. Hear from emerging leaders— Elliot Weissbluth, CEO of Hightower; Jay Sidhu, CEO of Customers Bancorp; Ben Milne, CEO of Dwolla; and Karen Pascoe, Senior Vice President at MasterCard – Emerging Payments Group — who are all bent on transforming the banking experience by embracing accelerating technologies and new business models.

Ray Kurzweil - Exponential Finance 2014
Ray Kurzweil has been called “the restless genius” by The Wall Street Journal and “the ultimate thinking machine” by Forbes magazine. In his role as a Director of Engineering at Google, Kurzweil heads up a team developing machine intelligence and natural language understanding. During this session, renowned CNBC reporter Bob Pisani will chat with Ray about accelerating technology with a particular focus around artificial intelligence and machine understanding.

Dan Hesse (Diamandis, Caruso-Cabrera, Hesse) - Exponential Finance 2014
Large incumbents are increasingly threatened by new innovations and the quickening pace of change. Many ventures that used to require a large multinational company can now be successfully pulled off by a few individuals. In this fireside Michelle Caruso-Cabrera and Peter Diamandis will chat with Sprint CEO, Dan Hesse, on how he is building a winning organization in an era of rapid technological change.

The Long and Short of Trading the Future (Pisani, Maguire, Ruegsegger) - Exponential Finance 2014
CNBC’s Bob Pisani talks with Ed Maguire, Senior Technology Analyst at CLSA, and Ben Ruegsegger, Senior Thematic Analyst for AllianceBernstein’s Global and Thematic Portfolios, on how investors get exposure to technology trends early in the cycle, but also the tricky business of investing in “valley stocks” – publicly traded stocks with large maturing businesses as well as small, growth businesses not yet large enough to have major impact. Key topics include how to judge the maturity of an industry, how to determine the future value of a new technology, what opportunities exist for investing now in “maturing” disruptive technologies like genomics, big data, and the internet of things, the critical importance of early legwork, and how to anticipate and judge investment “bubbles”.

Future Proof (Caruso-Cabrera, Concannon, Frank) - Exponential Finance 2014
When technological innovation moves faster than regulation infrastructure can be put in place, are some innovators at risk of missing their opportunity? This panel looks at balancing the regulatory environment as technology reinvents our financial markets. We’ll hear from Barney Frank, one of the architects of the landmark Dodd-Frank Wall Street Reform and Consumer Protection Act and Chris Concannon, President and COO of Virtu Financial, the trading firm COO whose IPO was scrapped in the wake of the negative national attention on high-frequency trading.


> Exponential Organizations <
Exponential Organizations: The New Breed of Business (Salim Ismail) - Exponential Finance 2014
Salim Ismail takes you through a new breed of organizational structure that has started to emerge over the last few years. “Exponential Organizations” leverage externalities like big data, community, crowd, user engagement, gamification and other techniques to achieve 10x performance benchmarks relative to their competitors.

Jay Rogers - Exponential Finance 2014
Crowdsourced car designs, micro factories, small batch production: Local Motors has definitely gone a very different route for a vehicle manufacturing company. In this keynote speech by Local Motors CEO Jay Rogers, we’ll hear about his journey to create this different kind of company—an exponential one. Understand how he has created this highly successful organization and utilized some of the principles that Salim Ismail touched on in the previous session.

As machines get smarter, evidence grows that they learn like us

It's a long read (5 pages) but if you are interested in the history and future of neural networks and machine intelligence it's most definitely worth your time. https://www.simonsfoundation.org/quanta/20130723-as-machines-get-smarter-evidence-they-learn-like-us/ - You can find a collection of interesting bits from the article below but you might want to check it out in full.

Studies suggest that computer models called neural networks may learn to recognize patterns in data using the same algorithms as the human brain.

One of the most promising of these algorithms, the Boltzmann machine, bears the name of 19th century Austrian physicist Ludwig Boltzmann, who developed the branch of physics dealing with large numbers of particles, known as statistical mechanics. Boltzmann discovered an equation giving the probability of a gas of molecules having a particular energy when it reaches equilibrium. Replace molecules with neurons, and the Boltzmann machine, as it fires, converges on exactly the same equation.

Each virtual synapse tracks both sets of statistics. If the neurons it connects fire in close sequence more frequently when driven by data than when they are firing randomly, the weight of the synapse is increased by an amount proportional to the difference. But if two neurons more often fire together during random firing than data-driven firing, the synapse connecting them is too thick and consequently is weakened.

Neural networks have recently hit their stride thanks to Hinton’s layer-by-layer training regimen, the use of high-speed computer chips called graphical processing units, and an explosive rise in the number of images and recorded speech available to be used for training. The networks can now correctly recognize about 88 percent of the words spoken in normal, human, English-language conversations, compared with about 96 percent for an average human listener. They can identify cars and thousands of other objects in images with similar accuracy and in the past three years have come to dominate machine learning competitions.

Adult brains are less malleable than juvenile ones, much as a Boltzmann machine trained with 100,000 car images won’t change much upon seeing another: Its synapses already have the correct weights to categorize a car. And yet, learning never ends. New information can still be integrated into the structure of both brains and Boltzmann machines.

studies of brain activity during sleep have provided some of the first direct evidence that the brain employs a Boltzmann-like learning algorithm in order to integrate new information and memories into its structure. Neuroscientists have long known that sleep plays an important role in memory consolidation, helping to integrate newly learned information. In 1995, Hinton and colleagues proposed that sleep serves the same function as the baseline component of the algorithm, the rate of neural activity in the absence of input.

The easiest way for the brain to run the Boltzmann algorithm, he said, is to switch from beefing synapses up during the day to whittling them down during the night. Giulio Tononi, head of the Center for Sleep and Consciousness at the University of Wisconsin-Madison, has found that gene expression inside synapses changes in a way that supports this hypothesis: Genes involved in synaptic growth are more active during the day, and those involved in synaptic pruning are more active during sleep.

A Boltzmann-like algorithm may be only one of many that the brain employs to tweak its synapses. In the 1990s, several independent groups developed a theoretical model of how the visual system efficiently encodes the flood of information striking the retina. The theory held that a process similar to image compression called “sparse coding” took place in the lowest layers of the visual cortex, making later stages of the visual system more efficient.

The model’s predictions are gradually passing more and more stringent experimental tests. In a paper published in PLOS Computational Biology in May, computational neuroscientists in the United Kingdom and Australia found that when neural networks using an algorithm for sparse coding called Products of Experts, invented by Hinton in 2002, are exposed to the same abnormal visual data as live cats (for example, the cats and neural networks both see only striped images), their neurons develop almost exactly the same abnormalities.

The human brain, of course, remains much more complicated than any of the models; it is larger, denser, more efficient, more interconnected, has more complex neurons — and juggles several algorithms simultaneously. Olshausen has estimated that we understand only 15 percent of the activity in the visual cortex. Although the models are making progress, neuroscience is still “a bit like physics before Newton,” he said. Still, he is confident that the process of building on these algorithms may one day explain the ultimate riddle of the brain — how sensory data gets transformed into a subjective awareness of reality.

The Metamorphosis of Prime Intellect

In the best possible future, there will be
no war, no famine, no crime,
no sickness, no oppression,
no fear, no limits, no shame...
...and nothing to do.

http://localroger.com/prime-intellect/mopiidx.html
A Novel by Roger Williams

This online novel contains strong language and extreme depictions of acts of sex and violence. Readers who are sensitive to such things should exercise discretion.

Chapter 1
Caroline at Play

Chapter 2
Lawrence Builds a Computer

Chapter 3
Caroline and Anne-Marie

Chapter 4
After the Night of Miracles

Chapter 5
Caroline Approaches

Chapter 6
After the Change

Chapter 7
Caroline and Lawrence

Chapter 8
After the Fall

Rack your brains over brains running on racks

This month's issue of Nature delivers a special on the brain that really gets you thinking. They take a detailed look at how Europe's Human Brain Project and the US BRAIN initiative are taking shape but the real prize is this interesting write-up on some of the most promising currently existing neuromorphic hardware. Check out Neurogrid, SpiNNaker, BrainScaleS, SyNAPSE and the neural net simulation called Spaun.
http://www.nature.com/news/neuroelectronics-smart-connections-1.14089

Here's a collection of interesting bits from the article that will make you click onwards to read the thing in full.

Just a few years ago, Kwabena Boahen completed a device called Neurogrid that emulates a million neurons, about as many as there are in a honeybee's brain. Now applications for 'neuromorphic technology' are finally in sight.

In 2012 Boahen contacted Chris Eliasmith, who is responsible for Spaun: a design for a computer model of the brain that includes the parts responsible for vision, movement and decision-making. Previously, a simulation of Spaun on a conventional computer had shown that, with 2.5 million simulated neurons plus a simulated retina and hand, it could copy handwritten digits, recall the items in a list, work out the next number in a given sequence and carry out several other cognitive tasks. But the Spaun simulation ran about 9,000 times slower than real time, taking 2.5 hours to simulate 1 second of behaviour.

Boahen contacted Eliasmith with the obvious proposition: build a physical version of Spaun using real-time neuromorphic hardware. “I got very excited,” says Eliasmith, for whom the match seemed perfect. “You've got the peanut butter, we've got the chocolate!”

With funding from the US Office of Naval Research, Boahen and Eliasmith have put together a team that plans to build a small-scale prototype in three years and a full-scale system in five. For sensory input they will use neuromorphic retinas and cochleas developed at the INI, says Boahen. For output, they have a robotic arm. But the cognitive hardware will be built from scratch.

The system is explicitly designed for real-world applications. On a five-year timescale, says Boahen, “we envision building fully autonomous robots that interact with their environments in a meaningful way, and operate in real-time while [their brains] consume as much electricity as a cell phone”. Such devices would be much more flexible and adaptive than today's autonomous robots, and would consume considerably less power.

In the longer term, Boahen adds, the project could pave the way for compact, low-power processors in any computer system, not just robotics. If researchers really have managed to capture the essential ingredients that make the brain so efficient, compact and robust, then it could be the salvation of an industry about to run into a wall as chips get ever smaller.

“But we won't know for sure,” Boahen says, “until we try.”

> http://www.nature.com/news/neuroelectronics-smart-connections-1.14089
> Neurogrid; http://www.stanford.edu/group/brainsinsilicon/neurogrid.html
> SpiNNaker; http://apt.cs.man.ac.uk/projects/SpiNNaker/
> BrainScaleS - http://brainscales.kip.uni-heidelberg.de/
> SyNAPSE - http://www.research.ibm.com/cognitive-computing/neurosynaptic-chips.shtml
> Spaun; http://nengo.ca/build-a-brain/spaunvideos

Juice Rap News - History is Happening

Giordano Nanni and Hugo Farrant have been broadcasting their satirical news show from a suburban backyard home-studio in Melbourne, Australia for quite a while now. Given how awesome their productions are it amazes me that they still aren't household names! I've shared some of their shows before but their latest creation just might be one of their best yet. ;)

"Today we travel into the pure world of sci-fi to investigate the much vaunted, mysterious potential future event known as 'The Singularity'. What will a machine consciousness mean for humanity? What are the ethical, political, military and philosophical implications of strong A.I.? And what would an AI sound like when spitting rhymes over a dope beat? All this and more shall be revealed in Rap News 28."

Net Neutrality [RAP NEWS 25]
The Energy Crisis - feat. Copernicus [RAP NEWS 22]
Big Brother is WWWatching You - feat. George Orwell [RAP NEWS 15]
"THE NEWS" - feat Sage Francis [RAP NEWS 21]