July 24, 2018 Semiconductor Get real with artificial intelligence (AI) "Seriously, do you think you could actually purchase one of my kind in Walmart, say in the next 10 years?" NTELLIGENCE I "You do?! You'd better read this report from RTIFICIAL RTIFICIAL cover to cover, and I assure you Peter is not being funny at all this time." A ■ Fantasies remain in Star Trek. Let’s talk about practical AI technologies. ■ There are practical limitations in using today’s technology to realise AI elegantly. ■ AI is to be enabled by a collaborative ecosystem, likely dominated by “gorillas”. ■ An explosion of innovations in AI is happening to enhance user experience. ■ Rewards will go to the problem solvers that have invested in R&D ahead of others. Analyst(s) AVIGATING AVIGATING Peter CHAN T (82) 2 6730 6128 E
[email protected] N IMPORTANT DISCLOSURES, INCLUDING ANY REQUIRED RESEARCH CERTIFICATIONS, ARE PROVIDED AT THE Powered by END OF THIS REPORT. IF THIS REPORT IS DISTRIBUTED IN THE UNITED STATES IT IS DISTRIBUTED BY CIMB the EFA SECURITIES (USA), INC. AND IS CONSIDERED THIRD-PARTY AFFILIATED RESEARCH. Platform Navigating Artificial Intelligence Technology - Semiconductor│July 24, 2018 TABLE OF CONTENTS KEY CHARTS .......................................................................................................................... 4 Executive Summary .................................................................................................................. 5 I. From human to machine .......................................................................................................10