Mind Matters Natural and Artificial Intelligence News and Analysis

TagJeffrey Lee Funk

Go-game

Would AI Still Win at Go If the Board Shrunk: 19 to 17 Spaces?

No, say Jeffrey Funk and Gary Smith — and would-be investors need to grasp AI’s weaknesses as well as strengths, for success

Statistician Jeffrey Lee Funk and business prof Gary N. Smith offer a warning for investors: Some AI stocks have been good investments but most high tech unicorns never pay off. It’s a not surprising, they say, when we consider that AI is powerful but brittle. An example they offer: AI easily beats humans at the game of go which features a 19 × 19-square board. If the game switched to a 17 × 17-square board, humans would quickly adjust but AI would flounder. They offer examples of how this sort of limitation plays out in the real world, including the true tale of a hapless AI-driven insurance company: An insurance company with the quirky name Lemonade was founded in 2015…

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unicorn

Tech Stocks: Are the Unicorns Losing Their Horns? Their Magic?

Jeffrey Lee Funk and Gary N. Smith reveal at MarketWatch that widely publicized, iconic unicorns have never made money or made only a little

Technology consultant Jeffrey Lee Funk and Pomona business prof Gary N. Smith are not exactly bullish on the new high tech-dependent startups (unicorns) that everybody talks about. Lots of media interest and commentating, sure, but where’s the money? In a recent op-ed at MarketWatch, Funk and Smith warn, “Unicorn losses are unprecedented in the history of U.S. startups and threaten stock markets and the economy.” Not what you heard? Think about this then: The authors, regular contributors at Mind Matters News, point out that many investors and analysts worry about China’s Evergrande Group’s current woes ($300 billion in liabilities). But Evergrand was once profitable. And the Ubers and Airbnbs? They’ve never been profitable and the liabilities are growing: Unicorn losses…