What Are Real-World Applications for Artificial Intelligence?
Everywhere I look, I see artificial intelligence (AI) at work.
It’s in the advertisements that pop up on the side of a website I’m looking at, encouraging me to buy whatever I’ve most recently looked at on Amazon.
It’s in my new music selections that were hand-picked for me based on the music I listen to.
AI has even helped me plan vacations, recommending activities I might enjoy based on my lifestyle.
Now, I know that some of you might find artificial intelligence scary. But in reality, most of its applications are simple, harmless and make life easier.
Artificial Intelligence Has Real-World Applications
These days, it’s AI that’s giving businesses their competitive edge. Because it’s what consumers want. They want life to be easier, and don’t even think of the latest technology as “AI.”
In today’s video, I explain how the data that AI generates gives companies actionable insights for real-world applications … and why AI stocks are set to rocket higher over the next several years.
September 6, 2018
The No. 1 Tech Investment Your Portfolio Needs
Hello, this is Paul with your Winning Investor Daily video. I was looking through one of my trade journals and I saw this extraordinary headline. It says: “Facial Recognition Technology Spots Suspect in Crowd of 60,000.” Now what it’s talking about is something that happened in China, where this person was identified in a crowd of 60,000 people in a stadium.
This person had been implicated in some crime, and artificial intelligence had plucked this person out. It’s really quite extraordinary when you think of what it would take for a human being to be able to do that, or even a team of beings to be able to do that. Or, for that matter, if we took what we considered to be at, one point, advanced technology to be able to do all of that.
And the reason why this is possible is because of facial recognition technology. And underpinning that is pattern recognition. And underpinning that is data and information, and putting together patterns. When you put it together, that’s artificial intelligence.
Now, some of you will be horrified by the application of artificial intelligence, in this particular case. However, just imagine that if we had artificial intelligence at work, September 11, 9/11 — and I was in New York during that time — might never have happened because we might have been able to identify some of these people ahead of time using artificial intelligence technology.
So, obviously, for any technology there are upsides and downsides. And it’s something that, as a group and as a society, we work out how to use. Now, I can tell you that most of the applications for artificial intelligence are really quite simple and harmless — helping you find a better vacation, helping you get to better music, helping you with books, helping you with jokes, helping you find websites that you want to actually be on.
In advertising, it’s showing you products that you have shown an interest in buying. Looking at your preferences and putting things in front of you so as to be able to limit the amount of time you spend in frustrating searches for things.
So, while I began with a very dramatic use of artificial intelligence — in a way that some of you might disapprove — the reality is that artificial intelligence is really changing every business. And the truth is that if you don’t get on board right away as a business, in all likelihood you’re going to get left behind.
That’s why last year, my main presentation at the Total Wealth Symposium, which is our featured conference that my publisher Banyan Hill holds once a year — and this year it’s in Las Vegas and it’s coming up in a couple of weeks — last year my focus was artificial intelligence.
When I went back this year to simply look at what I’d said and to see where the technology is and where it’s going, I can tell you that artificial intelligence is used in any number of industries.
It’s just rocketing upward — just skyward. It’s moving, and moving really, really fast. For example, Gartner, which is a very well-known, well-respected consulting company, estimated that artificial intelligence is adding $1.2 trillion in value in 2018. We’re talking about this year, 2018, and $1.2 trillion dollars — which is an absolutely staggering amount of money.
And their estimate is that it would generate about $3.9 trillion by 2022, which is really just a few years away. So, we’re talking about in very quick time.
McKinsey, which is perhaps the most prestigious consulting company and research company in the world, estimates that artificial intelligence is going to generate as much as $3.5 trillion to as much as $5.8 trillion across 19 industries.
And when you look, you’ll see that travel, transportation, retail, automotive, high tech — these are the top five industries. And if you look at these things, you’ll see the reason why artificial intelligence can play a big role here is because it requires taking strands of lots of pieces of data and information and finding context, finding usable patterns, and putting them together so as to create information that you can make decisions off of. That you can action without any additional input by a person.
If you look at travel — the air travel industry — for example, you have to consider the plane, maintenance of the plane, the weather, flight schedules, the various limitations of laws that determine how long a staff member can work. There are obviously issues around security and capacity.
I can tell you that’s so much for our current set-up to handle. So, it’s the perfect thing where we can find a way to use all that data so as to be able to create actionable information. This is something that’s going to create an extraordinary amount of value. And it’s clear that we’re going to see this applied.
Now the other thing that I did is go back to my presentation last year, which perhaps some of you may have watched because maybe you attended — and we’d love to see you again, if you’re attending. I believe that next week, my conference manager tells me that there will be a special offer for those that want to get the livestream of it.
However, getting back to what I was saying, which is that I went and checked the three artificial intelligence stocks that I recommended to everyone that attended the Total Wealth Symposium, and I can tell you that it reflects the fact this technology is soaring higher. It’s skyrocketing higher and the future is bright for it.
So, for example, the best-performing stock of the three that I put into my main presentation is up 145% — 145% in the time since I made that presentation. So it’s been a little under a year at this point, about a month under a year.
The second stock is up 86%, and the third one is up 29%. And just for comparison, the S&P 500 during that same timeframe is up 16%. So, even the lowest-performing stock in artificial intelligence has vastly beaten the S&P 500.
That’s because of the fact that it’s capable of creating so much value. And it can be used by so many different industries, because what it does it take all these different things — which right now might be on 15 computer systems and in the heads of hundreds of different people — and synthesizes it where it can be much more usable.
It’s something where you can have a high degree of confidence because you’re putting together data, information, context and situation so as to really have a high level of confidence to act.
So, artificial intelligence is flying high. I believe it is going to be flying high in 2018, 2019 and 2020. However, there’s also another technology that is going to be joining artificial intelligence, and I’ve decided to make that the focus of my Total Wealth Symposium presentation for this year.
I’ll be doing a Winning Investor Daily on that topic next week. So come back next week and I’ll have that one for you. Until then, this is Paul Mampilly for Winning Investor Daily.
AI Stocks Are on a Tear!
In today’s video, you’ll also hear me talk about the three different artificial intelligence stock recommendations I gave away at last year’s Total Wealth Symposium. In the 11 months since last year’s conference, those stocks have gone up 29%, 86% and 145%, respectively.
To give a comparison, the S&P 500 Index only went up 16% in that same timeframe. So, even the lowest-performing AI stock has vastly beaten one of the market’s leading indexes.
Not only are they flying high right now, but AI stocks will continue to far outperform the market over the next several years.
However, there’s one more major technology that’s setting up to join forces with artificial intelligence, and I’ve decided to make that the focus of my Total Wealth Symposium presentation this year. I’ll have more details on that topic in next week’s video, so be sure to keep an eye on your inbox.
And for those of you who weren’t able to sign up for this year’s sold-out conference in Las Vegas, my manager told me there’s still a way for you to get in on all the action — right from the comfort of your own home. I’ll make sure to include those details for you in next week’s update as well.
Editor, Profits Unlimited