IT'S MY PLEASURE TO INTRODUCE THE EXECUTIVE VICE

INTRODUCE THE EXECUTIVE VICE PRESIDENT OF THE A.I. AND

PRESIDENT OF THE A.I. AND RESEARCH TEAM AT MICROSOFT, DR.

RESEARCH TEAM AT MICROSOFT, DR. HARRY SHUM.

HARRY SHUM. [ APPLAUSE ]

[ APPLAUSE ] >> THANK YOU VERY MUCH.

>> THANK YOU VERY MUCH. HELLO, EVERYONE.

HELLO, EVERYONE. GOOD AFTERNOON.

GOOD AFTERNOON. THANK YOU FOR JOINING US TODAY

THANK YOU FOR JOINING US TODAY HERE IN SAN FRANCISCO.

HERE IN SAN FRANCISCO. EXACTLY A YEAR AGO AT SAN

EXACTLY A YEAR AGO AT SAN FRANCISCO, WE INTRODUCED THE NEW

FRANCISCO, WE INTRODUCED THE NEW DIVISION OF MICROSOFT CALLED THE

DIVISION OF MICROSOFT CALLED THE MICROSOFT A.I. AND RESEARCH.

MICROSOFT A.I. AND RESEARCH. AND WE ACTUALLY HAVE THE MISSION

AND WE ACTUALLY HAVE THE MISSION TO DEMOCRATIZE A.I. FOR

TO DEMOCRATIZE A.I. FOR EVERYONE.

EVERYONE. SO IT HAS BEEN A VERY EXCITING

SO IT HAS BEEN A VERY EXCITING YEAR IN -- YEAR.

YEAR IN -- YEAR. 2017 HAS BEEN DELIVERED TO BE AN

2017 HAS BEEN DELIVERED TO BE AN EXCITING YEAR.

EXCITING YEAR. SO I'M HERE TO SHARE SOME OF THE

SO I'M HERE TO SHARE SOME OF THE PROGRESS WITH YOU, I APPRECIATE

PROGRESS WITH YOU, I APPRECIATE THIS OPPORTUNITY TO SHOW YOU

THIS OPPORTUNITY TO SHOW YOU ESPECIALLY SOME VERY PRACTICAL

ESPECIALLY SOME VERY PRACTICAL WAYS THAT A.I. IS HELPING

WAYS THAT A.I. IS HELPING EVERYONE TO IMPROVE OUR LIVES.

EVERYONE TO IMPROVE OUR LIVES. EVERYONE IS TALKING ABOUT A.I.

EVERYONE IS TALKING ABOUT A.I. NOWADAYS, BUT A.I. IS REALLY NOT

NOWADAYS, BUT A.I. IS REALLY NOT NEW.

NEW. A.I. IS SOMETHING, REALLY THE

A.I. IS SOMETHING, REALLY THE ULTIMATE GOAL THAT IN THE MINDS

ULTIMATE GOAL THAT IN THE MINDS PEOPLE LIKE ALAN TOURING, THOSE

PEOPLE LIKE ALAN TOURING, THOSE PEOPLE IMAGINE THAT SOMEDAY IF

PEOPLE IMAGINE THAT SOMEDAY IF WE HAVE THIS UNBELIEVABLE

WE HAVE THIS UNBELIEVABLE COMPUTING POWER, WHAT COULD WE

COMPUTING POWER, WHAT COULD WE DEALER.

DEALER. THE FIRST THING ALAN TOURING

THE FIRST THING ALAN TOURING REALIZED IMAGINING DOING A.I. IS

REALIZED IMAGINING DOING A.I. IS MIMICKING HUMG

REALIZED IMAGINING DOING A.I. IS MIMICKING HUMAN INTELLIGENCE.

MIMICKING HUMAN INTELLIGENCE. AND MICROSOFT, OUR VERY OWN BILL

AND MICROSOFT, OUR VERY OWN BILL GATES, WHEN HE CREATED MICROSOFT

GATES, WHEN HE CREATED MICROSOFT RESEARCH 26 YEARS AGO, HE

RESEARCH 26 YEARS AGO, HE IMAGINED THAT SOMEDAY COMPUTERS

IMAGINED THAT SOMEDAY COMPUTERS COULD SEE, HEAR, TALK, AND

COULD SEE, HEAR, TALK, AND UNDERSTAND WHA

COULD SEE, HEAR, TALK, AND UNDERSTAND WHUMAN BEINGS.

UNDERSTAND WHUMAN BEINGS. THAT'S A.I.

THAT'S A.I. AND A.I. IS HAPPENING NOW FAST.

AND A.I. IS HAPPENING NOW FAST. YOU KNOW, WHY IS THAT?

YOU KNOW, WHY IS THAT? TO ME IT'S THREE FORCES CONVERG

YOU KNOW, WHY IS THAT? TO ME IT'S THREE FORCES CON

TO ME IT'S THREE FORCES CON CONVERGING TO MAKE THIS HAPPEN.

CONVERGING TO MAKE THIS HAPPEN. IT'S THE BIG BETA.

IT'S THE BIG BETA. I'M ALWAYS AWARE -- WHETHER IT'S

I'M ALWAYS AWARE -- WHETHER IT'S

IoT AND EVERYTHING, AND MASSIVE COMPUTING POWER WITH THE CLOUD.

COMPUTING POWER WITH THE CLOUD. MOST RECENTLY THE BREAKTHROUGH

MOST RECENTLY THE BREAKTHROUGH ALGORITHMS LIKE DEEP LEARNING

ALGORITHMS LIKE DEEP LEARNING THAT MOVED A.I. FROM THE LAST TO

THAT MOVED A.I. FROM THE LAST TO THE MAINSTREAM.

THE MAINSTREAM. TODAY WE'LL TALK ABOUT THE

TODAY WE'LL TALK ABOUT THE EVERYDAY A.I.

EVERYDAY A.I. A.I. IS AVAILABLE TO EVERYONE

A.I. IS AVAILABLE TO EVERYONE EVERYWHERE, AND WHATEVER YOU DO

EVERYWHERE, AND WHATEVER YOU DO IN YOUR PERSONAL AND THE

IN YOUR PERSONAL AND THE PROFESSIONAL LIFE.

PROFESSIONAL LIFE. SO HOW A.I.'S GOING TO HELP.

SO HOW A.I.'S GOING TO HELP. BUT IN MANY WAYS, IF YOU READ

BUT IN MANY WAYS, IF YOU READ THE PRESS, A.I. HAS GOTTEN A BAD

THE PRESS, A.I. HAS GOTTEN A BAD REPUTATION BECAUSE MUCH OF THE

REPUTATION BECAUSE MUCH OF THE A.I. DISCUSSION IS ABOUT HUMANS

A.I. DISCUSSION IS ABOUT HUMANS VERSUS MACHINES.

VERSUS MACHINES. BUT NOT ENOUGH ABOUT A.I.

BUT NOT ENOUGH ABOUT A.I. POSSIBILITIES.

POSSIBILITIES. WE KNOW A.I. WILL TRANSFORM

WE KNOW A.I. WILL TRANSFORM EVERY BUSINESS, HELP IN EVERY

EVERY BUSINESS, HELP IN EVERY LIFE, AND POTENTIALLY SOLVE SOME

LIFE, AND POTENTIALLY SOLVE SOME SOCIETAL CHALLENGES THAT WE ALL

SOCIETAL CHALLENGES THAT WE ALL FACE.

FACE. YOU MIGHT ASK THAT, THAT'S

YOU MIGHT ASK THAT, THAT'S GREAT, BUT WHAT ABOUT MICROSOFT

GREAT, BUT WHAT ABOUT MICROSOFT A.I.?

A.I.? WE BELIEVE THAT A.I. COMES DOWN

WE BELIEVE THAT A.I. COMES DOWN TO ONE THING -- PEOPLE.

TO ONE THING -- PEOPLE. A.I. WILL AMPLIFY HUMAN

A.I. WILL AMPLIFY HUMAN INGENUITY MAKING PEOPLE THE

INGENUITY MAKING PEOPLE THE HEROES AND DRIVING A HEALTHY

HEROES AND DRIVING A HEALTHY CONNECTION BETWEEN HUMANS AND

CONNECTION BETWEEN HUMANS AND THE MACHINES.

THE MACHINES. THAT'S WHAT WE BELIEVE AT

THAT'S WHAT WE BELIEVE AT MICROSOFT.

MICROSOFT. AFTER ALL, THAT'S REALLY ABOUT

AFTER ALL, THAT'S REALLY ABOUT MICROSOFT'S MISSION THAT IS

MICROSOFT'S MISSION THAT IS EMPOWER EVERY PERSON AND EVERY

EMPOWER EVERY PERSON AND EVERY ORGANIZATION ON THE PLANET TO

ORGANIZATION ON THE PLANET TO ACHIEVE MORE.

ACHIEVE MORE. NOW I WOULD EVEN ADD WITH A.I.

NOW I WOULD EVEN ADD WITH A.I. IT'S A POWERFUL MISSION.

IT'S A POWERFUL MISSION. NOT TOO LONG AGO, SATYA SHARED

NOT TOO LONG AGO, SATYA SHARED OUR WORLD VIEW, THAT IS THE

OUR WORLD VIEW, THAT IS THE INTELLIGENT CLOUD AND THE

INTELLIGENT CLOUD AND THE INTELLIGENT EDGE INFUSED BY A.I.

INTELLIGENT EDGE INFUSED BY A.I. IN A WAY IT'S ABOUT COMPUTING

IN A WAY IT'S ABOUT COMPUTING AND INTELLIGENCE FINALLY

AND INTELLIGENCE FINALLY HAPPENING WITH P.C

AND INTELLIGENCE FINALLY HAPPENING WITH P. KRMP

AND INTELLIGENCE FINALLY HAPPENING WITH P. KC. PHONES, AD

AND INTELLIGENCE FINALLY HAPPENING WITH P. KC. PHONES, A

HAPPENING WITH P. KC. PHONES, A THE IoT DEVICES.

THE IoT DEVICES. IMAGINE THAT YOU WALK INTO ANY

IMAGINE THAT YOU WALK INTO ANY ROOM, YOU KNOW, YOU WALK TO YOUR

ROOM, YOU KNOW, YOU WALK TO YOUR SPEAKER, YOU WALK TO A SCREEN.

SPEAKER, YOU WALK TO A SCREEN. YOU DON'T REALIZE THOSE THINGS

YOU DON'T REALIZE THOSE THINGS ARE HAPPENING, EXISTING IN THE

ARE HAPPENING, EXISTING IN THE ROOM.

ROOM. THEN YOU CAN ALREADY, YOU KNOW,

THEN YOU CAN ALREADY, YOU KNOW, TALK TO CORTANA TO GET THINGS

TALK TO CORTANA TO GET THINGS DONE.

DONE. YOU KNOW, MAYBE ACROSS THE ROOM

YOU KNOW, MAYBE ACROSS THE ROOM WITH THE HELP OF THE VIEW OF THE

WITH THE HELP OF THE VIEW OF THE -- WITHOUT THE VIEW OF THE

-- WITHOUT THE VIEW OF THE CAMERAS AND SPEAKERS.

CAMERAS AND SPEAKERS. OUR GOAL IS TO HELP EVERYONE

OUR GOAL IS TO HELP EVERYONE EVERYWHERE AND THAT TAKE

EVERYWHERE AND THAT TAKE ADVANTAGE OF A.I. EVERY DAY.

ADVANTAGE OF A.I. EVERY DAY. THAT'S EXACTLY WHY SATYA AND I

THAT'S EXACTLY WHY SATYA AND I CREATED IT, OUR A.I. IN THE

CREATED IT, OUR A.I. IN THE RESEARCH DIVISION, AND A LITTLE

RESEARCH DIVISION, AND A LITTLE OVER A YEAR AGO.

OVER A YEAR AGO. IT HAS BEEN AN EXCITING YEAR AND

IT HAS BEEN AN EXCITING YEAR AND WITH RESEARCHERS AND ENGINEERS

WITH RESEARCHERS AND ENGINEERS WORKING TOGETHER CLOSELY, WE'RE

WORKING TOGETHER CLOSELY, WE'RE MAKING GREATER PROGRESS, IN

MAKING GREATER PROGRESS, IN PARTICULAR WE'RE LEVERAGING

PARTICULAR WE'RE LEVERAGING TALENT AND TECHNOLOGY COMING OUT

TALENT AND TECHNOLOGY COMING OUT OF OUR MICROSOFT RESEARCH LABS

OF OUR MICROSOFT RESEARCH LABS BY ACCELERATING THE CYCLE FROM

BY ACCELERATING THE CYCLE FROM RESEARCH TO THE PRODUCT.

RESEARCH TO THE PRODUCT. TAKE A QUICK LOOK AT THE VIDEO

TAKE A QUICK LOOK AT THE VIDEO ABOUT SOME EXCITING THINGS THAT

ABOUT SOME EXCITING THINGS THAT WE HAVE BEEN DOING LAST YEAR.

WE HAVE BEEN DOING LAST YEAR. [ NO AUDIO ]

[ NO AUDIO ] HOW WE HELP PEOPLE WITHOUT

HOW WE HELP PEOPLE WITHOUT VOICES, HOW THEY CAN COMMUNICATE

VOICES, HOW THEY CAN COMMUNICATE WITHOUT A.I.

WITHOUT A.I. CLEARLY I COULD USE SOME HELP

CLEARLY I COULD USE SOME HELP HERE, TOO.

HERE, TOO. YEAH.

YEAH. >> IN THE MIDDLE OF OUR PRODUCTS

>> IN THE MIDDLE OF OUR PRODUCTS INTO THE HANDS --

INTO THE HANDS -- ♪

♪ >> IT'S GREAT TO SEE IDEAS AND

>> IT'S GREAT TO SEE IDEAS AND TECHNOLOGIES THAT HAVE COME

TECHNOLOGIES THAT HAVE COME SMACK IN THE MIDDLE OF OUR

SMACK IN THE MIDDLE OF OUR PRODUCTS AND INTO THE HANDS OF

PRODUCTS AND INTO THE HANDS OF OUR USERS.

OUR USERS. >> YOU HAVE LUNCH WITH TONY AT

>> YOU HAVE LUNCH WITH TONY AT C.J.'S FROM 12:30 TO 1:30 P.M.

C.J.'S FROM 12:30 TO 1:30 P.M. >> IT'S CHANGING THE WAY THAT WE

>> IT'S CHANGING THE WAY THAT WE WORK WITH THE LAND, AND IT'S

WORK WITH THE LAND, AND IT'S CHANGING THE WAY THE LAND WORKS

CHANGING THE WAY THE LAND WORKS FOR US.

FOR US. >> TALK AND LOOK IS NOT

>> TALK AND LOOK IS NOT ELIGIBLE.

ELIGIBLE. HOLD STEADY.

HOLD STEADY. LEASE AGREEMENT.

♪ >> HEY, CORTANA?

>> HEY, CORTANA? WHAT'S MY SCHEDULE TODAY?

WHAT'S MY SCHEDULE TODAY? >> A.I. IS GOING TO CHANGE

>> A.I. IS GOING TO CHANGE EVERYDAY LIFE.

EVERYDAY LIFE. OUR GOAL IS THAT WE MAKE IT A

OUR GOAL IS THAT WE MAKE IT A LOT BETTER FOR PEOPLE.

LOT BETTER FOR PEOPLE. ♪

♪ >> THIS IS, OF COURSE, A SMALL

>> THIS IS, OF COURSE, A SMALL SAMPLE OF SO MANY THINGS

SAMPLE OF SO MANY THINGS HAPPENING IN MICROSOFT WITH A.I.

HAPPENING IN MICROSOFT WITH A.I. AND R.

AND R. I WANT TO EXPLAIN THE AREAS THAT

I WANT TO EXPLAIN THE AREAS THAT WE ACTUALLY MAKE INVESTMENTS.

WE ACTUALLY MAKE INVESTMENTS. THERE ARE FIVE THINGS WE DO WITH

THERE ARE FIVE THINGS WE DO WITH MICROSOFT A.I. AND R.

MICROSOFT A.I. AND R. AND WE STARTED WITH MICROSOFT

AND WE STARTED WITH MICROSOFT RESEARCH.

RESEARCH. THERE WAS A LOT OF

THERE WAS A LOT OF GROUNDBREAKING A.I. TECHNOLOGY

GROUNDBREAKING A.I. TECHNOLOGY THERE THAT WOULD BUILD A LOT OF

THERE THAT WOULD BUILD A LOT OF A.I. PRODUCTS.

A.I. PRODUCTS. LIKE PRODUCTS LIKE BING AND

LIKE PRODUCTS LIKE BING AND CORTANA HELPING YOU WITH

CORTANA HELPING YOU WITH EVERYDAY LIFE.

EVERYDAY LIFE. AND INFUSING A.I. INTO ALL

AND INFUSING A.I. INTO ALL MICROSOFT PRODUCTS, YOU KNOW,

MICROSOFT PRODUCTS, YOU KNOW, WITH WINDOWS OFFICE AND MANY

WITH WINDOWS OFFICE AND MANY OTHERS.

OTHERS. AND THE PLATFORMS IS TRULY A

AND THE PLATFORMS IS TRULY A CLOUD IN THE A.I. PLATFORM THAT

CLOUD IN THE A.I. PLATFORM THAT CAN HELP MICROSOFT DEVELOPERS TO

CAN HELP MICROSOFT DEVELOPERS TO REVIEW THEIR A.I. APPLICATIONS.

REVIEW THEIR A.I. APPLICATIONS. AND WE ALSO SEE INCDIBLE

AND WE ALSO SEE INCDIBLE OPPORTUNITIES THERE WITH A.I.

OPPORTUNITIES THERE WITH A.I. SOLUTIONS.

SOLUTIONS. PRACTICALLY EVERY VERTICAL

PRACTICALLY EVERY VERTICAL INDUSTRY WILL BE DISRUPTED,

INDUSTRY WILL BE DISRUPTED, WHETHER IT'S HEALTH CARE OR

WHETHER IT'S HEALTH CARE OR TRANSPORTATION.

TRANSPORTATION. AND EVERY HORIZONTAL BUSINESSES

AND EVERY HORIZONTAL BUSINESSES PROCESS, WHETHER MARKETING,

PROCESS, WHETHER MARKETING, SALES, CUSTOMER SUPPORT, WILL BE

SALES, CUSTOMER SUPPORT, WILL BE DISRUPTED BY A.I.

DISRUPTED BY A.I. WE'LL SEE INCREDIBLE

WE'LL SEE INCREDIBLE OPPORTUNITIES THERE.

OPPORTUNITIES THERE. LET ME FIRST OF ALL SHOW YOU A

LET ME FIRST OF ALL SHOW YOU A FEW HIGHLIGHTS OF THE COOLEST

FEW HIGHLIGHTS OF THE COOLEST TECHNOLOGY WE'VE DEVELOPED FROM

TECHNOLOGY WE'VE DEVELOPED FROM MICROSOFT RESEARCH, GETTING INTO

MICROSOFT RESEARCH, GETTING INTO THE REAL PRODUCTS.

THE REAL PRODUCTS. THE FIRST EXAMPLE I WANT TO TALK

THE FIRST EXAMPLE I WANT TO TALK ABOUT IS ON SPEECH RECOGNITION.

ABOUT IS ON SPEECH RECOGNITION. JUST A FEW MONTHS AGO, WE

JUST A FEW MONTHS AGO, WE ANNOUNCED THAT FOR THE FIRST

ANNOUNCED THAT FOR THE FIRST TIME EVER WE HAVE THE SPEECH

TIME EVER WE HAVE THE SPEECH RECOGNITION SYSTEM THAT MATCHES

RECOGNITION SYSTEM THAT MATCHES A HUMAN PARITY IN TERMS OF HUMAN

A HUMAN PARITY IN TERMS OF HUMAN ERROR RATE.

ERROR RATE. THERE'S BEEN A DATA SET IN THE

THERE'S BEEN A DATA SET IN THE UNITED STATES CALLED A

UNITED STATES CALLED A SWITCHBOARD DATA SET THAT WAS

SWITCHBOARD DATA SET THAT WAS INITIALLY SET UP 25 YEARS AGO.

INITIALLY SET UP 25 YEARS AGO. THE HUMAN ERROR RATE IS AROUND

THE HUMAN ERROR RATE IS AROUND 5.1%.

5.1%. I'M NOT EVEN TALKING ABOUT

I'M NOT EVEN TALKING ABOUT ORDINARY HUMANS.

ORDINARY HUMANS. I'M TALKING ABOUT THE

I'M TALKING ABOUT THE PROFESSIONALS WHO DO TRANSCRIPT.

PROFESSIONALS WHO DO TRANSCRIPT. YOU KNOW, WAYS WITH MASSIVE

YOU KNOW, WAYS WITH MASSIVE COMPUTING POWER AND THE

COMPUTING POWER AND THE BRILLIANCE OF OUR RESEARCH WITH

BRILLIANCE OF OUR RESEARCH WITH HUMAN PARITY OF 5.1%.

HUMAN PARITY OF 5.1%. IN THE SECOND AREA I WANT TO

IN THE SECOND AREA I WANT TO TALK TO YOU IS MACHINE READING

TALK TO YOU IS MACHINE READING COMPREHENSION, OUR NATURAL

COMPREHENSION, OUR NATURAL LANGUAGE UNDERSTANDING.

LANGUAGE UNDERSTANDING. LAST YEAR WE ACQUIRED THIS DEEP

LAST YEAR WE ACQUIRED THIS DEEP LEARNING COMPANY CALLED MALUBA.

LEARNING COMPANY CALLED MALUBA. THEY DO AMAZING WORK.