Home » IBM CEO Ginni Rometty’s CES 2016 Keynote (Full Transcript)

IBM CEO Ginni Rometty’s CES 2016 Keynote (Full Transcript)

Then I jump to a different consumer application with a partner called Finnair. I’m originally from Detroit. Detroit Pistons, Auburn Hills, the big, the Palace where they play, that’s basketball, 100 beacons, Watson is real time analyzing the sentiment of the fans, matching that with what’s happening on the floor in the game, real time offers actually related to what just happened to any player going to every individual, custom. Another way, you could imagine you would engage and do this with any kind of place where consumers aggregate together.

Or, Whirlpool. In fact, if you went to the briefing center here, you’d see it. Real-time — real-time devices, obviously, what Whirlpool makes, data connected, the connected appliance, plus Watson IoT cloud and you have a cognitive oven stove, whatever it is. So, if you go down there, you’ll see a Jenn-Air connected to Chef Watson, and you’ll see how they work together, learning the preferences, the needs of a family and making recommendations. That’s the world I see in front of us.

Now, what do you need to do that? I will end with three critical success factors. You need the right platform. You’re going to need new forms of data — not just more — and analytics and an ecosystem. When I say “the right platform,” Internet of Things, you all know this. It’s about real-time data. But what most people can’t do is as a result of the insights take immediate action. You need a platform to do that. We’ve built out a cloud platform in 41 countries, a platform called Bluemix for those of you that build the applications. The largest cloud foundry deployment in the world, 120 services. Then the services and software for a hybrid world to connect to your existing businesses, and then Watson APIs that allow you to put cognition in everything you do.

Second thing, you’re going to need new forms of data, new forms. I just said there’s so much. But what I mean by new is we’re committed to help you, and part of that is by building out a huge capability on data and analytics. We are approaching $30 billion of investment in having built analytics capabilities, including 30 acquisitions, 15,000 experts, hundreds of mathematicians. But we also need to bring you data that you don’t possess but you need.

How do you make sense out of some pretty big amounts of social data? It needs to be curated, Twitter, Facebook. Or, the weather. Everybody in here working on Internet of Things, the weather is the most pervasive impacting source of data there is. And you may or may not be aware, it’s why the IBM Company acquired The Weather Company. Now, those of you, everybody’s got a weather app, and probably theirs is on your phone. When you hit it, you might just think it’s going to one of the government weather agencies. Well, not true. It’s a very sophisticated real-time platform. 3 billion weather reference points a day are collected, sophisticated in analytics, and anywhere from 26 billion to 30 billion transactions a day go against that. Now, we’re going to combine weather with all your operational data.

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And then next up, since that platform can go way beyond weather, telematics, sensors, and you can start to see what you could do for insurance risk, for retail demand, for auto safety. In many ways, The Weather Company, it’s an IoT company, and weather just happened to be one of the first use cases it had.

There’s a second then kind of data that I think you’re going to need, and some of you have started, but not everyone. It’s the huge flood of video that will matter in this world of Internet of Things and cognitive. Now, streaming is growing exponentially. If you look at all the data out in the world a different way, 80% of it is going to end up being video. If you’re in entertainment, media, you understand that. But it will now transform every industry, it won’t matter. Right?

How many of us, you don’t have to turn on the news to think about a police car with a cam or a policeman with a lapel camera. Those of you in retail, I think you know that, if someone sees a video, they’re two times more likely to buy. So, we’ve added video services to all of our Internet of Things cloud, over the top video services. You’re probably surprised, but we do that already today for Wimbledon, for the Masters, for NFL, for HBO, for Sony Movie Channel, for Time Warner, for Verizon. Anyone then can serve up the right video at the right moment, and we are just starting on being able to prepare for you a lot of this dark data that you need but you don’t have to own.

So, two critical success factors: the first, the platform; the second, new forms of data and analytics. And then the third is an ecosystem. And that brings me to the most exciting part of, I hope, this afternoon together.

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Now, we’re very committed to build these out by industry and by domain, and we’re well underway. Watson Health, we announced back in April with many partners: Johnson & Johnson, Medtronic, CVS, Epic, Boston Children’s Hospital, Memorial Sloan-Kettering, the cancer center, Apple Research Kit. We’ve done a number of acquisitions. But last month we also announced our Watson IoT business.

Now, we’ve been working in IoT for quite a long time already, 4,000 clients, seven of the 10 largest auto companies, eight of 10 largest oil and gas, and 11 of 12 aerospace and defense. But now this is about bringing cognition into IoT. Back to where I started, I really believe this will insert any IoT that’s going to differentiate you in the future will have to be cognitive. And we opened up this unit, we headquartered it in Germany, headquartered in Munich, a thousand people are there but there are eight centers around the world. We have the Watson IoT set of analytics, Watson IoT cloud platform, and then a whole, whole ecosystem of partners. And that’s what I want to now show you, is the partners we’ve brought today; and in fact, the announcements we’ll be making, because the Watson Internet of Things is not a future, it is here today. And I have got three great announcements here and the leaders of their companies to join me to show you some of this.

So, let me now, with great pleasure, give you a little introduction to my first guest. Many of you know him. Kevin Plank. He is the founder, CEO of Under Armour. He is certainly one of this nation’s, if not the world’s, most successful entrepreneurs. As you know, Under Armour already at $4 billion, 14,000 employees. And Kevin, he will tell you, he’ll tell you himself, his mission is simple: to make all athletes better, through passion, design; and of course, relentless pursuit of innovation. I have gotten to know Kevin. You will find he is just getting started. And we are announcing here today our partnership, and you’re going to see the beginning of the app that’s rolling out now to transform personal health and fitness. Kevin coined the word “connected fitness.” UA Record is their dashboard. It will be powered by Watson. Think of this as the Internet of athletes.

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