Transcripts For BLOOMBERG Bloomberg West 20131216 : vimarsan

BLOOMBERG Bloomberg West December 16, 2013

All part of a secret company project. And Silicon Valley turns its attention to style as the players like apple and Facebook Commission the first the world top architects to design new headquarters. Worst to the lead, facial Commission Technology could be that one of the next big things from facebook to walmart, and they are working on it did not only some Technology Getting closer to widespread use, it is also getting closer to government regulation. Starting in february, the u. S. Commerce department will hold meetings with industry and privacy advocates to draft a voluntary code of conduct for facial recognition products. Scanning agood good scanning faces for ads. Cory johnson is joins us from new york. It could be really big. In some ways it already is, but we are starting to see as Processing Power goes way down, and security concerns go way up, a lot of people look at this as a way to solve a letter problems. I think in places where we have seen it, and Government Security that actually use this, like in las vegas, where they do not want people counting cards when they have used facial working knowledge facial recognition that bills you for a long time. It is about to get much broader. How exactly did facial recognition work . Other different types of technologies . , the imagerontend of someones face is captured, and then algorithms look for where things are. Look for the eyes, nose, the mouth. You start to find things with those figure points that make the face particularly unique. That is when you compared to a database and match the identity. The ability to do all that processing on the fly is what makes it much more accessible. When that technology was there years ago, the processing hour wasnt. Now it is involved in desktops and everywhere else. Of conferees re spell the buddies are planning to use this technology . Facebook is planning to use this for tagging and marketing purposes. Walmart says theyre using it only for security at their facilities right now. Apple and google are looking at this to unlock phones in the same way that apple has a thumb print on their new iphone 5 and theyre hoping to look at this in a different way so that the photos who you are. Finally, Lockheed Martin is using this with specific Government Security military uses. They may be the leader in the field because that is where the leap feel has been up to this point. Thank you. If you recognize the face in that graphic but i want to bring in our washington correspondent whos been looking into the regulation side of this. The process about of the Commerce Department and how this is going to work. Testesident obama actually the Commerce Department to look into this as well as well as the number of privacy issues come a that was back in 2012. Holder multistake process, and so the Commerce Department is going to bring it industry groups, and also privacy advocates. They will be getting in february, the whole is to have a convict agreement by june. It will be voluntary, but if the Companies Find sign on, they could be subject to oversight by the fdic. Whole thing reminds me of the mayor nor to report of the minority report. And a lot of companys are expired temerity with this arts parenting with this. Internet giants can match photos to individuals in the facebook tagging system. For the business side of this, one Research Firm estimates the Global Market for racial facial recognition but its could reach several billion dollars by 2018. Privacy is a concern if there is some really strict regulations. That number could change. Are you expecting any controversy here, any tension at these meetings . Absolutely. This is a very controversial topic them and you retailers sitting next to privacy advocates. Privacyates he gets advocates ask you because still be on a miss in public. We talked to one of the pioneers of this industry, he says there needs to be some piece to this. Transparency in the industry, at the level of the customers. Were not talking about the knology with minor impact with society were talking about technology with district of consequences. Group makes the case that regulation could slow the technology rated walmart is looking at it, apple is looking at a cost that will be part of their argument. Has there been any pushback from lawmakers who want to see tough privacy rules . Privacy always a hot button issue, and im assuming there will be people who are not happy about this. Theyre not really talking about legislation so much, they are the stakeholder process take place. Senator al franken who is a big privacy advocate in congress did send a letter voicing his concerns to the Commerce Department. His point is that this data is permanent. It is not like credit cards or bank account numbers. Want to get into the wrong hands it is not very easy for you to change your face. It is something he is voicing concerns about at this point. A number of lawmakers also back in the spring expressed some concerns over global glass and facial recognition with that. They did take that off the table and say they did not included, but hackers are trying to grade some work around there. It will take a hot topic. Thank you for that update, we will be watching. Google is expanding its arsenal of robots with the new acquisition to find out why boston dynamics and a wildcat robot is a smart target for the search giant. You on bloomberg west, can always watch a streaming on your phone, tablet, and a bloomberg. Tv. , ihis is bloomberg west am emily chang. Google is grabbing another company for its robotics arsenal. The search giant acquiring dynamics,te austin known for creating a machine that can run and walk like a cheetah. Founder about the plans for glass and robotics. When its not going to be on the market . Next year. Can you tell me anything about the robot stuff youre working on . That will be best left for andy. Not a lot of information there. So what is former android hae there . Y working on i believe this Company Boston dynamics was spun out of something that was going on at m. I. T. You are familiar with this project, and it is totally mind blowing and bills with these robots can do. Boston dynamics was founded by an m. I. T. Professor roulette gave up his tenure and left m. I. T. To pursue his vision to create some of the coolest robots in the world. Flies in mocha motion they specialize and roccin locomotion. It captures their imagination when i show these to my students. It is on the cutting edge with what you can do in a challenging environment today. We are looking at how they move right now, but what are some of the Practical Applications about his robots . It seems like something that the military should be buying, not google. I do know that boston dynamics has done a number of contact for the military, for example they are building a robot called atlas which is being used something that is something called the robotics challenge. Pricere competing for a to build a robot that can use tools, quite above allers, and responded disasters in areas like after the fukushima disaster. These are robots that can interact with the physical world and a very powerful and capable way. That would be relevant to the military, but i think there are a range of civilian applications. Anything that involves going out to the field, Disaster Response situations. Interesting. I want to bring in jon erlichman. You spoke with the google heads. There been so much speculation about what these Robotics Companies could be working toward and perhaps a production line, longterm google manufacturing supplychain, what is looking most likely at this point . Some people dont do that the big dog could track down some of those amazon drones, a new form of amazon versus google. There are a couple of things to highlight. Ofgle does make lots acquisitions and all sorts of different areas. We shouldnt be trying to sort of tie this back toward what google has been traditionally. Were buildingals a moat around its advertising business. The deals they do now coupled with some of the various projects we talk about, from Driverless Cars to the global glass, which highlighted the bear, to balloons that are powering the internet, google fiber, all of these are google looking for its next leg of growth. A lot of times the conversation of what google is becoming is more like a new version of ge. Looking for those seven growth looking for those new legs of growth as opposed to tying this back to what google has been in the past. We just dont know yet. They have done it lots of robotics deals, but this is a company that is ambitious and is trying to figure out where its future is going to take it tied to the technology that it can go out and buy because it is google. Theohn, you mentioned that founder must be very passionate about this company because thats because the game of his tenure at m. I. T. To work on it. What do you budget and compelled them to sell to google . That in imagine 19 faculty want to make an impact on the world, and it allowed him to make a greater impact. A longterm investment into the technology of robotics, and if i use the analogy of a self vehicle, they went and hired the very best people in the world to lead that effort. With this acquisition as above the other recent acquisitions, theyre getting some of the top superstar talent in the world affiliated with some of these darpa challenges. I dont know where it might lead in terms of the very shortterm, but in the longterm it is an investment and the core fundamental technologies of interacting with the world. I have to think that that has a value. It is absolutely fascinating, and we will be continuing to watch for any little clues. Professor of Mechanical Engineering at m. I. T. , and our very own jon erlichman, thank you very much both of you. Architectureys revolution. We getting a peek at the plans for techs stylish new headquarters. This is the Early Edition of bloomberg west, i am emily chang. Blackberries executive ranks are getting thinner as interim ceo puts his stamp on the company. Global Public Policy mark cameron and others all leaving paid their departures follow those of the cmo, cfo, and coo. Blackberry said in september he would lay off 40 of its workforce. And markfamously again Zuckerbergs Harvard dorm room, and Apple Computers were first built and steve jobs garage. That is about to change. My partner cory johnson has more from new york. Nations most important a, is thein the but most important economic engine, as far and i card register, it is a joke as far as architecture, it is a joke. Paul global or explained in a jittery it issue in the january issue of vanity fair. This is a great piece. I think that this these captured Silicon Valley better than any Magazine Article ive ever read. Describe what Silicon Valley looks like. The most amazing thing to be about Silicon Valley is that it looks mostly like any other place. You have stanford in the mountains, and that is pretty nice, but most of it is kind of a banal suburb. You expect some magic, but it is not there. I have lived there for 15 years now, and it is kind of amazing. I was a money manager for a while, and i would go to let the companies that would never make headlines, and they were inevitably in a strip mall, and little place you could park your car and there would be 30 people there, but they would be a huge company. Silicon valley at the beginning was very opportunistic. These guys started in garages, and then when they moved the next level they just took what office place they could find. I think one of the things you influence. The intel they have a Corporate Culture about being cheap, and not flashy in any way. You are right there. That set a tone for some of the first big companies. They didnt do anything but expand the little building they had. That is taking advantage of what grand rapids was offering in terms of furniture in the 1970s, which was cubicles, cubicles command more cubicles. final jobs appearance was all about this incredible design. He set the tone for everything, and knew how to up the nk. Ante. He knew how to up the ante in and even apples existing quarters are a little bit different than the competition. They are little bit sleeker, and little more refined, not much, but he really dreamed of something that would translate the apple athletic into the architectural scale. This is on an old Hewlett Packard owned site. A little ironic. I wonder, this is hard to imagine to work again. Work in. I love the ambition of it, and i love that he wanted to raise the architectural level of Silicon Valley, but i do not think he fully understood that a building is not a gargantuan ipod. It is not an object, it is much more complicated that involves a lot more inconsistency and a certain amount of mass. Link is a perfect shape shape,g is a perfect huge, bigger than the pentagon. It will not encourage interaction, which what he and the architect say it is being designed to do. A really interesting facebook reddit, and at amazon project that youre not too fond of, but i thought it was older interesting that you really identify twitter as possibly the most interesting and important future of technology, why . What twitter is doing, as a Work Environment it is really good, but not in itself very different from google and others. A lot of the other companies that have designed lose lively structured Work Environments. They took over three floors in an Old Industrial warehouse type building in downtown friends ever cisco and ape art of the downtown area and urban. Ty Silicon Valley hate people outside of san francisco. That is an urban building in an urban place. A end up with a different type of technology. Valley hatedlicon the city and what it represented, but all of the workers who are under 30 say i want to live in the city with a do not want to live in the valley, they want to live in the city. Andge number of startups they are in the valley. We are at the beginning of a seismic shift. The really Huge Companies are not going to move, but a lot of the others are. Look at this hes in vanity fair, thank you so much. We will be right back with more of bloomberg west, talking code next. This is the early addition of bloomberg west, i am emily chang. Now, for your Bloomberg Top headlines. The fda is taking aim at antibacterial soap. Under a new rule proposal the to will require many factors prove that the popular soaps are safe and effective. Theres no evidence that antibacterial soap is better than regular sub, and it says there may be longterm health risks in using it. Isretary of state john kerry in vietnam for meetings on climate change. While there he also talked about chinas new defense zones. China should not try to extend the zone further south, where it has territory disputes with the anon and the philippines. And china is calling its mission to the moon a success after its unmanned moon rover sent back pictures of the moon surface. China became the third spacecraft to land a craft on the moon over the weekend. The next launch is scheduled for 2017. Krisher, to others, celebrity signed up for the code. Org initiative. Learning the skills isnt important for your furniture, it is important for our countries future. If we want america to stay on the cutting edge, we need a known americans like you to master the tools and technology that will change the way we do just about everything. The Nonprofit Organization got 15 Million Students in 100 countries to sit down for an hour long coding session. Of five students in the United States participated in the event. Can this translate into many more hours of Computer Science education . Guysbeen talking to you from the very beginning about this, and it is great to see you getting traction. How do you feel about the numbers so far . This has been the most amazing week of my life. One week ago i was up at 2 00 a. M. , and we had 35,000 classrooms signed up to do this our code, and all i could think was one of the servers cant handle it . In history has opened up to the amount of uses we were going to happen. You had more girls participate in this hour of code didnt that in the last 70 years of Computer Science, is that true . Absolutely. More girls expanded experience better science last week than in the history of it. How to get teachers to do that Going Forward . One of the great things we do with the hour of code is we are not recruit the students, we recruited the teachers. They have an even number of boys and girls, but we did not actually go out to go out for the girls, the teachers didnt and they brought in equal ratios because that is what you have in math classes at the gross classes. This has given us free nude optimism in the potential of the american teacher. The other people that you have recruited personally, i know that you guys have been the boots on the ground getting these people to join you, mark zuckerberg, bill gates, jack orsi come i have they given you any feedback about this process . Mark zuckerberg has been there from the very beginning. We are hard it is hard to tell you apart. Everyone has opened us with open arms welcomed us with open arms. Theyre been very few people who thought this is not a good idea, because who is against Teaching Technology to kids . How you

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