Information Revolution and IoT:

Masayoshi Son discusses the rapid advancements in technology, particularly the Information Revolution, enabled by the expansion of the Internet of Things (IoT). He emphasizes how the evolution of artificial intelligence (AI) is continuously progressing and how it has the potential to surpass human intelligence.

Impact on Lifestyle and Business:

Son believes the spread of smart robots and AI will dramatically alter human life, common sense, and business practices. He urges the audience to be aware of the transformative future that the Information Revolution will bring.

ARM Acquisition:

The speaker elaborates on the acquisition of ARM Corporation, a significant event he had been contemplating for a decade. The negotiation, usually a lengthy process, was finalized in a mere two weeks, making it the largest acquisition in Japanese history. He mentions the challenges of executing this plan, which included geopolitical concerns like terrorism and political instability in Turkey where the preliminary meeting took place.

Singularity and its Implications:

Son questions the audience about their awareness and preparedness for the “singularity” – a point in time when technological growth becomes uncontrollable and irreversible. He notes that the concept is still not widely known and stresses its significance, stating that it will be a monumental encounter between technology and humanity.

Strategic Moves in Business:

The speaker defends the acquisition of ARM amidst criticism and falling stock prices for SoftBank. Using the game of Go as a metaphor, he explains that each move is part of a larger strategy, the significance of which may only become apparent later. He asserts that this acquisition is a calculated risk, in line with preparing for the imminent singularity.

Conclusion and Future Outlook:

Masayoshi Son ends by stressing the importance of staying abreast of rapid technological changes and positioning oneself or one’s organization accordingly. He underscores the acquisition of ARM as a strategic move to stay ahead in the evolving landscape marked by the Information Revolution and the concept of singularity.

Early Experience with Technology:

Masayoshi Son speaks about his life-altering experience 40 years prior when he was 18 or 19 years old. At UC Berkeley, he stumbled upon a science magazine showcasing an image that he later found out was a computer microchip. This moment transformed his understanding of computers from large mainframes to miniature devices that could fit on the tip of a finger.

Emotional Impact:

Son described the moment as so intense that it left him in tears. The image made him realize that humans had created technology with the potential to surpass human intelligence. This revelation was both terrifying and exhilarating for him. He was so moved that he kept the image close, placing it under his pillow and carrying it with him daily as a constant source of inspiration.

Initial Inventions:

Subsequent to this revelation, Son created his first invention—an electronic dictionary that supported multiple languages and included a speech synthesizer. At 19, he even licensed the patent to Sharp, marking his first financial earning from technology.

The Genesis of SoftBank:

Son ties this defining moment back to the core philosophy of SoftBank. The company was founded in a year when the personal computer was emerging. SoftBank has consistently adapted to technological paradigm shifts, from microcomputers to various disruptive technologies.

Philosophy of Adaptation:

SoftBank doesn’t just evolve; it deliberately aims to focus on the core of each paradigm shift in technology. Even with budget constraints in the early years, the objective has been the information revolution, aligning with the technological milestones that define each era.

Long-lasting Passion:

Even 40 years after that pivotal experience, Son’s passion for technology remains a driving force. He emphasizes that embracing and understanding these paradigm shifts is essential for SoftBank and likens it to a “disruptive challenge” as opposed to continuous evolution.

This segment serves as an emotive origin story for Masayoshi Son, highlighting the depth of his connection with technology and how it led him to establish and evolve SoftBank.

Evolutionary Shifts in Technology:

Masayoshi Son recounts the progression of his business ventures, starting from selling software for PCs to embracing the Internet. He mentions his investment in Yahoo and the founding of Yahoo Japan as significant milestones. The shift from PCs to mobile devices is highlighted as another significant paradigm shift.

Upcoming Paradigm Shift:

Son anticipates another major paradigm shift, stating that everything will soon be connected to the Internet. He identifies this upcoming shift as the most significant in human history and associates it with the concept of ‘singularity,’ where computer intelligence will surpass human intelligence.

Comparing Human and Computer IQ:

Son uses IQ as a measurement for intelligence. He states that while the average human IQ is 100 and geniuses like Einstein have an IQ around 200, future AI could have an IQ of 10,000. This would make them far superior in tasks ranging from board games to more complex activities, rendering human competition irrelevant.

Implications of Singularity:

Son contemplates what life would be like when AI surpasses human intelligence, asking what the purpose of welcoming this ‘singularity world’ would be. He views the development positively, believing that it will enable humans to live happier lives but also raises questions about how society will adapt.

Limitations of Biological Intelligence:

He discusses the limitations of the human brain, which relies on cells to increase intelligence. According to Son, mammals have varying numbers of brain cells, which correlate with their intelligence level. He contrasts this biological limit with the almost limitless potential for computing power.

Binary and Computing Power:

Son describes both the human brain and computers as working on a binary principle: neurons in the brain and transistors in computers both function based on electrical charges. He mentions that while human brains have about 30 billion cells, future computers could have transistors that are almost a million times more capable.

Deep Learning and Big Data:

According to Son, deep learning is the keyword for artificial intelligence, and big data is essential for deep learning. Massive amounts of data enable computers to learn and evolve rapidly, leading to the “transcendence of intelligence,” which Son identifies as the singularity.

Summary:

Masayoshi Son provides a comprehensive overview of the technological shifts that have occurred, culminating in the future possibility of ‘singularity,’ where computer intelligence surpasses human capabilities. He touches upon the limitations of biological intelligence, the metrics for measuring intelligence, and the significant role that deep learning and big data will play in this paradigm shift.

Three Keywords of Singularity:

Masayoshi Son identifies three key terms that he associates with the singularity: Artificial Intelligence (AI), Smart Robots, and the Internet of Things (IoT). These components will come together to create a singular intellect that has access to all the data in the world.

Importance of Chips:

Chips serve as the linchpin for this vision, particularly chips from ARM. Son says that to collect all the data in the world, chips are essential. ARM aims to propagate 1 trillion chips globally within the next 20 years. These chips will collect data in real-time, contributing to the singularity.

Smart Robots and Coexistence:

Smart robots, equipped with this “ultra-intellect,” will serve as companions to humans. They will assist in solving problems that humans can’t, from natural disasters to incurable diseases. These robots will not only coexist with humans but will also enrich human life.

Long-term Predictions:

Son predicts that the average human lifespan will exceed 200 years within three centuries, thanks in part to the advancements brought by the singularity. He foresees a future where diseases are non-existent.

About ARM:

ARM doesn’t manufacture chips; they design them and license the designs to other companies like Qualcomm, Apple, and Samsung. These companies then add peripherals to create system-on-chip products. ARM holds a dominant market share, particularly in smartphones, where they possess a 95-97% share.

ARM’s Product Lineup:

ARM’s chips come in three main categories: Cortex A for application processors in smartphones and advanced products; Cortex R for real-time, speed-sensitive applications; and Cortex M for embedded microcontrollers.

ARM’s Reach:

ARM-based chips are growing in prevalence. Last year, 14.8 billion ARM-based chips were shipped globally. On a per-person basis, this amounts to about two ARM chips for every person on Earth each year.

Public Awareness:

Despite ARM’s significant role in the tech industry, public awareness is low. Before ARM was introduced in the presentation, only a fraction of the audience knew about the company. Nonetheless, their chips are ubiquitous in various devices used daily.

The focus of this segment is to outline the importance of ARM and its role in achieving a future defined by the singularity, where smart robots, IoT, and humans coexist more harmoniously and productively.

ARM Cores in iPhones:

Masayoshi Son discusses the central role of ARM cores in Apple’s iPhone CPUs. Apple designs its system on a chip (SoC), incorporating ARM cores into it. This ARM-based design is similar to Intel’s role in PCs. The A9 processor in iPhones specifically includes a 64-bit ARM core.

ARM in Other Manufacturers:

Qualcomm, primarily serving Android smartphones, also incorporates ARM cores into their Snapdragon processors. Specifically, Qualcomm’s chips include eight cores of ARM. NVIDIA and Samsung, too, employ ARM-based eight-core processors in their devices.

Big and Little Concept:

Son explains the “big and little” concept where a processor contains larger, more powerful cores alongside smaller, less powerful ones. This setup allows for flexible performance and energy efficiency. When the device is in resting mode, not all cores need to be active, thereby saving battery life.

Customization and System on Chip:

Manufacturers can choose different types of ARM cores to suit various use-cases. These cores are then surrounded by other functionalities like memory and graphics, constituting a System on Chip (SoC). One chip can have multiple functionalities, similar to an old PC’s motherboard.

Core Count and Energy Efficiency:

The talk emphasizes that modern processors often contain multiple cores (four or eight) based on ARM architecture. These multiple cores contribute to more robust performance and enhanced energy efficiency. For instance, having eight cores means longer battery life as not all cores need to be active all the time.

By detailing the widespread use and flexibility of ARM cores, Son paints a picture of an industry standard that’s integral to the efficiency and functionality of modern mobile devices.

Exponential Growth in Tech Capabilities:

Masayoshi Son highlights that over the last 6-7 years, various technological capabilities have seen exponential growth. For instance, GPU capabilities have increased 300 times, communication capabilities 20 times, and processing power 100 times. He predicts that if we continue on this trajectory for another 15 years, we could reach an astonishing factor of one trillion in technological capabilities.

Moore’s Law and Its Implications:

Son uses the principle of Moore’s Law, stating that technological capabilities double approximately every 18 months. He applies this to suggest that in 30 years, we would see a one million times increase in such capabilities (2 to the power of 20).

Automobiles as Supercomputers:

He indicates that as technology advances, automobiles will essentially become supercomputers on wheels, especially when autonomous driving becomes mainstream. These “driving supercomputers” will have significantly enhanced capabilities and will be viewed as smart robots.

IoT Growth Projections:

Son forecasts significant growth in the Internet of Things (IoT) market, predicting billions of IoT devices across different sectors like smart homes and smart cities. He notes growth rates ranging from 40-60% annually for these sectors.

Importance of Power Consumption:

Power consumption becomes increasingly crucial in the age of smartphones and IoT devices. Son likens battery power in smartphones to “oxygen for humans,” highlighting how stressful it is when a device is about to run out of battery.

ARM’s Role and Origin:

Son talks about ARM’s role in this technological landscape, emphasizing its low-power consumption as a key feature. He shares a story about how the first ARM prototype operated on accidental leakage current, setting the stage for its low-power consumption legacy.

IoT in Agriculture:

In the future, IoT will not be limited to urban settings but will also include agriculture. Son envisages IoT-embedded collars on sheep and cattle, monitored by drones rather than dogs, making power-efficient IoT devices essential.

Long-lasting Batteries for IoT:

Given the wide range of IoT applications, from smart homes to agriculture, the importance of long-lasting batteries becomes critical. The aim is to have batteries that can last up to 10 years to make the IoT ecosystem practical and efficient.

Each of these points reinforces the central message: we’re on the brink of a technological revolution where exponential growth will redefine our interaction with machines and our environment.

Technology Growth:

Masayoshi Son begins by detailing the rapid advancement of technology, especially in terms of processing and energy efficiency. These advancements make newer technologies significantly more capable than their older counterparts, setting the stage for discussion on the Internet of Things (IoT).

Cortex-M Suite:

He emphasizes the role of ARM’s Cortex-M lineup in IoT technology, stating that it is scalable and upward-compatible. In layman’s terms, this means that once the application software is developed, it can adapt easily to more advanced versions of the hardware.

Size and Energy Efficiency:

Son highlights the incredibly small size of the Cortex-M chips, comparing them to a dimple on a golf ball. This small size contributes to the low energy consumption of the chips, a vital attribute for IoT devices, which often need to operate for extended periods on battery power.

Special Features:

ARM’s Cortex-M lineup doesn’t just offer scalability and energy efficiency; it also includes specialized features. One is EmbedOS, a specialized operating system developed by ARM for IoT applications. Another feature is TrustZone, which adds an extra layer of security to these devices.

Industry Application:

The Cortex-M chips are widely used by various chip manufacturers for diverse applications, including system-on-chip designs tailored to specific tasks.

Future Outlook:

Son concludes by mentioning that with IoT, the role of ARM’s technology is not just limited to processing but extends to serving as the backbone of entire ecosystems, including the operating system and security layers.

By piecing together these elements, the speaker provides a comprehensive overview of how ARM’s Cortex-M chips are well-suited to serve the emerging demands of the IoT landscape.

ARM and IoT:

Masayoshi Son explains that ARM has an essential role in the cloud services and IoT ecosystem. He emphasizes that security is a cornerstone in this rapidly evolving domain, more so than even computational speed.

Scale of Distribution:

Son remarks that ARM’s embedOS has seen massive adoption, with approximately two ARM chips for every person on Earth. He estimates that around 1 trillion IoT devices will be distributed worldwide in the next 20 years, highlighting the scale at which these technologies are proliferating.

Security Concerns:

The speaker vividly describes a hypothetical scenario where a security breach in IoT devices could lead to catastrophic outcomes, such as planes falling from the sky and widespread car accidents. These scenarios serve to underline the potential for advanced forms of cyber-terrorism in an IoT-dominated world.

TrustZone Technology:

Son elaborates on ARM’s TrustZone, a security technology that is deeply integrated into the core of ARM’s chips. Unlike standard software-based security solutions, TrustZone is inaccessible from the internet, making it highly secure.

Unique Security Keys:

In a departure from standard software keys that are identical across many devices, ARM’s TrustZone employs uniquely coded hardware keys for each chip. This feature significantly elevates the level of security, as hacking one device doesn’t grant access to others.

Importance of Security:

Son concludes by iterating that in the emerging era of IoT and ultra-intelligence, security takes precedence over other features like low energy consumption and processing power. This is particularly true for mission-critical systems like automotive brakes and nuclear plant controls, where a breach could be disastrous.

The speaker underscores the urgency and magnitude of focusing on security measures, especially as IoT devices become more ubiquitous and integrated into critical aspects of everyday life.

ARM’s Influence:

Masayoshi Son discusses ARM’s widespread influence in the technology world. ARM has over 1,300 licenses, and its technology is embedded in $1.4 billion worth of smartphones sold just in the last year. With 86 billion accumulated shipments to date, Son projects this number to reach 1 trillion in 20 years.

Partnerships and Ecosystem:

ARM doesn’t work in isolation; they have more than 1,300 partners, offering a vast ecosystem. Son mentioned his recent visit to ARM’s head office, where he met with executives, emphasizing ARM’s significance in the tech landscape.

SoftBank’s Evolving Business Model:

Son highlights how SoftBank has undergone multiple transformations over the years. Originally a wholesale company for PCs, then an internet company managing Yahoo, and most recently a telecom provider. With ARM, SoftBank aims to drive the next paradigm shift in technology.

Life Mission and Philosophy:

Son is deeply committed to information innovation. Influenced by his hero Ryoma Sakamoto, Son believes that information innovation is his life mission. He states that SoftBank is not just a company but an “information innovation provider.”

Origin and Future of SoftBank:

SoftBank’s name comes from being a ‘bank of software,’ combining both software and data (referred to as ‘soft’). Son envisioned the concept of cloud computing from the company’s inception and aims to carry this forward in modern contexts like singularity and super-intellect.

Ultimate Goal:

SoftBank’s overarching mission is to create happiness through information innovation. This includes eradicating curable diseases, reducing accidents, and protecting humans from natural disasters. Son stresses that this is a long-term mission aimed at revolutionizing information and enhancing human life for the next 300 years.

Conclusion:

Son wraps up by reiterating that SoftBank is always evolving, and its form changes with each technological paradigm shift. The acquisition and integration of ARM play a crucial role in SoftBank’s strategy to be a leader in the next phase of the information revolution.

Emotional AI in Pepper:

Masayoshi Son discusses Pepper, a unique robot with emotional intelligence. Unlike other robots, Pepper’s most distinctive feature is its ability to emulate human emotions. This is achieved through an “emotional engine” that mimics brain hormones like dopamine, non-adrenaline, and serotonin.

Long-Term Vision:

Son believes that Pepper’s emotional capabilities will be revolutionary, with people hundreds of years into the future thanking the developers for pioneering super intelligence with emotion. He argues that the integration of emotional intelligence into robotics will dramatically improve the world.

Productivity vs Compassion:

Son emphasizes the dangers of robots designed purely for productivity, describing them as “fearsome machines.” He argues that intellect without emotion can be harmful, drawing parallels to cold-hearted, intellectually capable humans.

Application in Broader Technologies:

Beyond robots like Pepper, Son indicates that emotional intelligence will be integrated into other technologies, like cars. Specifically, Honda will be the first car manufacturer to include this emotional AI technology in their vehicles.

The Importance of Human-Like Emotions:

Son explains that emotions such as fear, happiness, and sadness are vital in making these robots work for humans, rather than against them. By adding compassion to these super-intelligent beings, Son believes we avoid the “Darth Vader” scenario, turning them into “Jedis” instead.

Future Collaborations:

Masayoshi Son concludes by introducing Yoshiki Matsumoto from Honda, signifying that the development of emotion-infused technology is not just limited to robots like Pepper but will extend to Honda’s cars, marking a collaborative future between robotics and automaking industries.