We hope everyone had a great week!

Last week, our team was busy on the road!  We attended several events:  IEEE International Conference on Quantum Computing & Engineering (Paul), Oracle Cloud World in Las Vegas (myself, Matt, and Robert), Intel Innovation 2023 (Matt, me, and Paul), AI Summit in Austin (Paul), Connected Britain – London (Will), and Microsoft Special Event in NYC (myself and Melody).

This week, Will travels to NYC to attend Fastly Altitude, and then he will attend MWC Las Vegas. The rest of the team will be advising and researching from the office.

Next week, Melody will be attending Ceridian Analyst Summit and Insights User Conference (Las Vegas), Zoomtopia (San Jose), and HP Imagine (Palo Alto).  Robert will be attending the LogicMonitor Analyst Summit in Austin.

Our MI&S team published 16 deliverables:

• 4 Forbes Insight columns
• 3 MI&S blogs 
• 9 podcasts 
• 0 research papers

Over the past week, the press quoted us with 7 citations. They wanted to hear about Apple, Arm, Cisco/Splunk, Intel, and Microsoft.

 

MIS Quick Insights:

A.I./Machine Learning (Paul Smith-Goodson)

I attended Intel Innovation 2023 in San Jose this week. Here is a summary of information from the events I attended. Of course, there was much emphasis on AI and AI-related announcements.

• Intel is on track to deliver its ambitious five-nodes-in-four-years process technology roadmap, which aims to regain its leadership in chip manufacturing. Intel also demonstrated the world’s first multi-chiplet package that uses Universal Chiplet Interconnect Express (UCIe) technology, which enables high-speed and low-power communication between different types of chips.
• Intel plans to expand into the AI market using smaller AI models trained and inferenced with Xeon. Intel unveiled new details about its next-generation Intel Xeon processors, which will significantly improve power efficiency and performance for data center and cloud workloads. Intel also showcased an E-core processor with 288 cores, code-named Sierra Forest, optimized for AI applications. The 5th Gen Intel Xeon processors, code-named Emerald Rapids, will launch on December 14, 2023.
• More AI-related news is why Intel announced the launch of Intel Core Ultra processors, the first consumer processors to feature an integrated neural processing unit (NPU), which can accelerate AI tasks and enable local inference on the PC. The Intel Core Ultra processors, code-named Meteor Lake, will also deliver discrete-level graphics performance with integrated Intel Arc graphics. The Intel Core Ultra processors will be available on December 14, 2023.
• Gaudi2 market share is growing as its performance increases. In demonstrating Gaudi’s capabilities, Intel and Dell are collaborating to build a large AI supercomputer using thousands of Intel Xeon processors and Gaudi2 AI hardware accelerators. The supercomputer will be used by Stability AI, a generative AI company that creates realistic multimedia content using large language models. Alibaba Cloud also plans to use 4th Gen Intel Xeon processors with built-in AI acceleration for its Tongyi Foundation Models, which provide real-time analytics and insights for decision-making.
• Also an asset for AI, Intel announced the general availability of the Intel Developer Cloud, a service platform for developing and running workloads in Intel-optimized deployment environments with the latest Intel processors and performance-optimized software stacks. The Intel Developer Cloud was previously in limited release. Still, now it is open for all developers to access pre-trained AI models, test their applications on various hardware configurations, and optimize their performance using Intel tools.
• Intel also revealed new and upcoming software solutions to help developers unlock new AI capabilities across client devices, the edge, and the cloud. These include the 2023.1 release of the Intel Distribution of OpenVINO toolkit, which provides a unified framework for deploying AI models on various Intel hardware platforms; the Neural Network Compression Framework (NNCF), which enables post-training optimization of models for faster inference; and the Computer Vision Annotation Tool (CVAT), which simplifies the annotation of images and videos for computer vision tasks.

AR/VR (Anshel Sag)

• N/A

Carrier/Wireless (Will Townsend)

• MWC Las Vegas is just around the corner, and AI will be a big theme. The hype around Generative AI is at its apex, but the opportunity for service providers to leverage it to improve subscriber support and overall mobile network resiliency is compelling.

Datacenter:

Networking– (Will Townsend)

• Cisco announced its intent to acquire Splunk. It represents a triple-down on network observability, as it leans heavily into the category through prior acquisitions, including ThousandEyes and a handful of other acquisitions. I’m impressed with how the IT infrastructure giant continues to build an impressive full stack observability (FSO) platform. The latter is quickly becoming a massive differentiator for Cisco to improve network visibility, security, and performance.

Compute/Storage/Cloud (Matt Kimball)

• N/A

ESG (Melody Brue)

• Salesforce is introducing AI-powered capabilities for ESG reporting through its Net Zero Cloud platform, which will be available in October. The new features that leverage Salesforce’s Einstein AI to streamline ESG reporting include improved automated reporting tools and AI-driven features that can suggest reliable, auto-generated responses for ESG reports. The motivation behind this release is the increasing prominence of the Corporate Sustainability Reporting Directive (CSRD), which will require more large companies, including US-based multinationals, to comply with stringent regulations for 2024, including disclosure of climate-related financial risks and societal impact. Two notable additions to Net Zero Cloud are the CSRD Report Builder, facilitating automated CSRD report generation, and the Materiality Assessment, helping businesses identify what is material in terms of both their operations and societal impact, as mandated by CSRD. Salesforce aims to simplify the complex process of ESG data reporting, enhancing corporate transparency as companies pursue net-zero emissions. Einstein for Net Zero Cloud should help corporations better understand and communicate their sustainability data as reporting is increasingly going from voluntary to mandated.

Enterprise Data (Robert Kramer)

• Oracle CloudWorld 2023 concluded this week with data and AI as the center of attention. With AI feeding off of data, data becomes a critical factor.
  • Oracle has launched an Integrated Vector Database in Oracle Database 23c to enhance Generative AI use and help developers increase productivity. This addition, AI Vector Search, introduces a new vector data type and related features, allowing the database to store content from documents, images, and other unstructured data as vectors.
  • New AI features have been added to the Oracle Analytics platform. These features improve productivity and decision-making. LLMs enable data chats, and OCI AI Services extend Oracle Analytics Cloud (OAC) capabilities for more business needs. This provides users with better insights and strengthens their bond with the data. These updates make OAC more user-friendly and collaboration-focused.
  • The Fusion Intelligence Platform was also introduced, combining business data, analytics, AI models, and intelligent applications to help customers achieve better outcomes.
  • Stay tuned for my forthcoming article summarizing the event’s details and insight into Oracle’s push to influence the Healthcare and Agricultural industries.
• Informatica and Oracle have teamed up with Oracle Cloud Infrastructure (OCI) to serve thousands of joint customers in North America. They’ve introduced new integrations for Informatica’s Intelligent Data Management Cloud (IDMC) on Oracle’s Modern Data Platform. This partnership aims to enhance AI/ML usage by providing reliable and secure data and speeding up modernization processes.
• Cisco plans to buy Splunk to enhance digital resilience and security through combined technologies. This merger is set to change cybersecurity from a reactive approach to a proactive one, emphasizing threat prediction. In our AI-data-centric era, this union establishes them as frontrunners in security. The collaboration unlocks the full potential of data, enhancing security for various organizations. Look for an upcoming article on the partnership.

Financial Tech (Melody Brue)

• PayPal’s Venmo now lets you send money IRL with a Hallmark card, but it’s not cash. The companies have partnered to let people send money in select hallmark cards without the risk of losing cash in the mail or increased holiday mail theft. The Hallmark card contains a QR code the giver scans to load the amount from a Venmo account to a specified receiver. The gift is then added to the recipient’s Venmo account once that code is scanned. Cards cost $4.99; the QR code is active for 180 days. After that timeframe, if the code is not redeemed, the money is credited back to the gift-giver’s Venmo account.

IIoT and IoT (Bill Curtis)

• Amazon announced dozens of new consumer products, services, and features this week, reducing speculation about the company’s smart devices strategy and clarifying the future of generative AI in Alexa. The announcements covered enhancements to all six product lines – Echo, Fire TV, Fire Tablets, Ring, Blink, and Eero – but Amazon’s big bet on ambient intelligence is the most significant. Optimistically characterized as “a superhuman assistant, always working on your behalf,” Alexa’s new large language model makes voice interaction more conversational, personal, and situationally relevant. The new LLM transforms Alexa from a transactional model that handles questions and commands one at a time to a human-like interaction. You say the wake word once, and conversational context builds with each verbal exchange. Demonstrated on the new Echo Show 8 (third generation, also part of the announcement), the new model fuses input from multiple sensors (proximity, gestures, and other smart home devices) to dynamically change the UI and create whole-home situational awareness. These features roll out over the next year or so, but you can get a (very) limited preview of the new LLM on existing Echo devices by saying, “Alexa, let’s chat.” Ambient computing isn’t a new idea. 30 years ago, Mark Weiser (Xerox PARC) predicted computers would “disappear into our everyday lives.” That’s precisely where Amazon is heading by adapting LLMs for use in Alexa and other consumer products, and early results are impressive – and a little scary.
• One significant iPhone 15 feature overlooked in the announcement hoopla is the addition of Thread and Matter support. The iPhone 15 has a built-in 802.15.4 radio with software stacks for Thread and Matter, so it is the first smartphone capable of setting up and directly controlling low-power smart home gadgets such as lights, plugs, locks, window coverings, sensors, and actuators. Apple, Google, and Samsung are three of the biggest brands behind Thread and Matter, so don’t be surprised if future Pixel and Galaxy phones also incorporate these standards. Today, Thread and Matter support isn’t a compelling reason to go out and buy a new phone. Most consumers aren’t aware of these standards, and Apple isn’t aggressively promoting them as iPhone 15 features. But barriers to Thread and Matter adoption decrease rapidly as these capabilities become commonplace in new phones, so consumers are in for some pleasant surprises when installing new smart home devices.

Modern Work (Melody Brue)

• Patrick Moorhead and I attended Microsoft’s special AI event in New York City this week, where the company made several major product announcements and shared new AI features. There was a lot of new information packed into one day! I will do a more detailed analysis of what I saw and the conversations I had there shortly, but I will highlight some of the standouts for now.
  • Windows 11 gets an update on September 26 with a ton of new features, including Windows Copilot.
  • One Copilot for all apps and services. The Copilots merge to a unified AI-powered assistant experience across Windows 11, Microsoft 365, and Edge to combine the context from your device, work data, and web. My bigger recap will include more on how the Copilot will surface and how it can boost productivity.
  • Microsoft 365 Copilot will be GA on November 1. It will be available to business and enterprise subscribers for $30 per monthly user.
  • Bing Chat updates include the DALL-E 3 model from OpenAI, which looks like a significant improvement from Bing Image Creator. Bing Chat will also remember chat history and give more informed responses with Personalized Answers.
  • The “most powerful” Surface device Microsoft has ever built was introduced: The Surface Laptop Studio 2. This device is gorgeous and has new customizations to the haptic touchpad for accessibility. The features are great for creators. Morgan Stanley recently reported that 93% of “side hustle” creators use AI to increase revenue. The creator economy is valued at $104.2B, and Microsoft is clearly paying attention to this line of work.
  • Microsoft announced Content Credentials using a cryptographic invisible digital watermark to AI-generated images in Bing, including the time and date created. Credentials for Paint and Microsoft Designer are coming soon. This is important in copyright for brands and creators. The company is solid on protecting IP when using AI. It also announced indemnification if there were to be accidental copyright infringement using their Copilot AI tools. I spoke with one of their early access Microsoft 365 Copilot customers, and he said this was significant to his company. The company’s responsible AI posture is generally strong and transparent.
• Salesforce and Google have expanded their strategic partnership to enhance productivity with AI. The collaboration introduces bidirectional integrations between Salesforce and Google Workspace. The interactions between the platforms are powered by generative AI assistants Salesforce’s Einstein Copilot and Duet AI in Google Workspace to enable users to generate customized content, update records, trigger workflows, and automate processes across both platforms. This partnership is another example of the growing pervasiveness of generative AI in enhancing productivity and customer service for businesses, making work more efficient.
• Adobe announced its support for the White House Voluntary AI Commitments, backing safe and trustworthy AI innovation. Adobe has implemented comprehensive AI programs encompassing training, testing, and ethical considerations to ensure the responsible development of AI technologies. The company appears committed to security, employing rigorous security measures to protect its AI models and intellectual property. I think with Adobe’s Content Authenticity Initiative, which champions transparency and authenticity in digital content, the company is leading in trust in AI-generated content. Adobe’s commitment extends to empowering creators, advocating for their rights and control over their work, and collaborating with industry and government.
• Mitel announced the new 700d DECT handset series, which aligns with the continued relevance and popularity of DECT (Digital Enhanced Cordless Telecommunications) technology. The launch of the DECT handsets shows an enduring demand for the reliable, secure, and flexible communication solutions that DECT provides in sectors like healthcare, hospitality, education, and retail. DECT meets the specific needs of organizations operating in challenging environments, where mobility, clear voice communication, and durability are most important. The solutions provide enhanced communication and meet future regulatory and sustainability requirements, such as the new 2024 EU regulations.

Personal Computing (Anshel Sag)

• N/A

Quantum Computing (Paul Smith-Goodson)

• N/A

Security (Will Townsend)

• N/A

Columns Published 

1. Intel CEO Pat Gelsinger Weighs In On This Year’s Innovation 2023 Ahead Of The Conference, by Patrick Moorhead
2. COTA Leans Into Connectivity To Fuel The Fan Experience, by Will Townsend
3. How Cadence Design Systems’ $50 Million Racial Equity Investment Is Changing Lives, by Melody Brue
4. IBM Expands Watsonx Platform With Watsonx.data, by Robert Kramer

Blogs Published (MI&S)                                                             

1. LoRaWAN And Its Global Sustainability Mission, by Anshel Sag
2. Zoom Unveils New AI Companion Features, by Melody Brue
3. Qualcomm Upgrades And Expands Its Handheld Gaming Chip Lineup, by Anshel Sag

Research Paper(s):

• N/A

 

Podcasts:

The G2 on 5G by Moor Insights & Strategy, with Anshel Sag and Will Townsend

• DT and Microsoft Private 5G, Apple iPhone 15 and Qualcomm 5G Modem Deal, AT&T & Comcast 5G OIL

The Six-Five Podcast by Moor Insights & Strategy and Futurum Research, with Patrick Moorhead and Daniel Newman

1. Intel’s AI Portfolio with Greg Lavender & Sandra Rivera – Six Five On the Road
2. Software, Security & Services with Anil Rao & Zscaler – Six Five On the Road
3. The Uniqueness of Intel’s Developer Cloud – Six Five On the Road
4. The Future of Tech with Intel’s Rich Uhlig – Six Five On the Road
5. Unveiling the Silicon Revolution: Key Takeaways from the GlobalFoundries GTS 2023 Event – The Six Five On the Road
6. The Six Five In the Booth at Smartsheet ENGAGE 23 with Ben Canning, SVP, Product Experiences
7. Previewing Intel InnovatiON 2023 with Greg Lavender – The Six Five On the Road

Moor Insights & Strategy Podcasts, with Patrick Moorhead, Melody Brue, CP Smith-Goodson, Matt Kimball, and Will Townsend. 

• Ep8: Hot Desk: Microsoft’s AI Event, Cadence Design Systems’ $50 Racial Equity Invest & Hot or Not?

Other Podcasts

• N/A

 

Citations: 

1. Apple / Chip / Anshel Sag / https://www.linkedin.com/news/story/how-apple-lost-race-for-chip-wsj-5775084/
2. Arm / IPO / Patrick Moorhead / https://www.iheart.com/podcast/269-closing-bell-93533147/episode/closing-bell-overtime-how-todays-ai-123178171/
3. Cisco & Splunk / Acquiring company and AI Security / Patrick Moorhead / https://www.barrons.com/articles/cisco-buying-splunk-stock-price-cea4f067
4. Cisco & Splunk / Acquiring company and AI Security / Will Townsend / https://www.silverliningsinfo.com/security/cisco-triples-down-security-blockbuster-splunk-deal
5. Intel / AI / Patrick Moorhead / https://www.fierceelectronics.com/iot-wireless/intel-readies-its-ai-pc-neural-processor-new-take-ai-everywhere
6. Intel / AI and HPC / Matt Kimball / https://www.datacenterknowledge.com/intel/intel-announces-next-gen-288-core-xeon-server-processor
7. Microsoft / PC / Anshel Sag / https://www.engadget.com/can-microsofts-surface-pcs-get-out-of-their-rut-175518777.html

 

New Gear or Software We are Using and Testing that is Public Knowledge

• XReal Beam AR glasses
• XReal Glasses
• Varjo Aero VR headset

 

Events MI&S Plans on Attending In-Person or Virtually (New)

• September
  • Fastly Altitude – NYC, September 25-26 (Will Townsend)
  • MWC Las Vegas – September 27-28 (Will Townsend)
• October
  • Ceridian Analyst Summit and Insights User Conference, Las Vegas, October 1-4 (Melody Brue)
  • LogicMonitor Analyst Summit – Austin Oct 2-3 (Robert Kramer)
  • Zoomtopia, San Jose, October 3-4 (Melody Brue)
  • HP Imagine, Palo Alto, October 5 (Melody Brue)
  • Mobile Broadband Forum – Dubai, October 10-11 (Will Townsend)
  • Adobe MAX, Los Angeles, October 10-12 (Melody Brue)
  • Honeywell Connect, Oct 10-12 (Bill Curtis)
  • Box Works October 11, (virtual) (Melody Brue)
  • 5G Americas, Dallas, October 11-12 (Anshel Sag)
  • OpenText, Las Vegas, October 11 (Patrick Moorhead)
  • Lenovo Industry Analyst Event, Raleigh, October 16-18 (Patrick Moorhead, Matt Kimball)
  • GITEX Global, Dubai, October 16-20 (Melody Brue)
  • com Analyst-Only Executive Q&A October 19 (virtual) (Melody Brue)
  • 5G Techritory – Riga, October 18-19 (Will Townsend)
  • com Analyst-Only Executive Q&A October 19 (virtual) (Melody Brue)
  • WebexOne, Anaheim, October 23-26 (Melody Brue)
  • Qualcomm Snapdragon Summit, Maui October 24-26 (Patrick Moorhead)
  • Snowflake Data Cloud World Tour – Wash DC Oct 26 (Robert Kramer)
  • SAP TechEd Virtual Analyst Summit, October 30 (Melody Brue, Robert Kramer-virtual)
• November
  • Dell Analyst Summit, Austin, November 1 (Matt Kimball, Patrick Moorhead)
  • Cloudera Evolve, New York, November 2 (Patrick Moorhead)
  • Cisco Partner Summit – Miami, November 6-8 (Will Townsend)
  • VMware Explore Europe, Barcelona, November 6-8 (Patrick Moorhead)
  • IBM Research Analyst Day, Yorktown, Nov 9-10 (Paul Smith-Goodson)
  • NTT Field Event – Tokyo, November 10-18 (Will Townsend)
  • SC 23, November 13-15 (Patrick Moorhead)
  • Veeam Analyst Summit – Seattle November 13-15 (Robert Kramer)
  • Microsoft Ignite – Seattle, November 14-17 (virtual) (Will Townsend)
  • AWS re:Invent, November 27-30 (Patrick Moorhead, Robert Kramer, Will Townsend)
• December
  • Lattice Developer Event, December 4 (Patrick Moorhead)
  • Marvell IA Day, December 5 (Patrick Moorhead, Will Townsend)
  • TBD Event, San Jose, December 6 (Patrick Moorhead)
• January 2024
  • CES 2024, January 7-11^th (Bill Curtis, Patrick Moorhead)
• February 2024
  • ZohoDay2024, Texas, February 6-8 (Melody Brue)
  • Mobile World Congress, February 24-29th (Patrick Moorhead)

 

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The Team

Analysts

• Patrick Moorhead, Founder, CEO, Chief Analyst; Broad technology coverage plus deep insights into Cloud & Enterprise SaaS, Semiconductors, Automotive, Personal Computing Devices
• Melody Brue, Principal Analyst, Modern Work and ESG
• Bill Curtis, Analyst In-Residence, IIoT, and Deep IoT Technology
• Jacob Freyman, Junior Analyst
• Matt Kimball, Principal Analyst, Datacenter Servers, Storage, CI, and HCI
• Robert Kramer, Principal Analyst, Enterprise Data Technologies
• Anshel Sag, Principal Analyst; VR, PC Gaming, Mobile Platforms
• Paul Smith-Goodson, Principal Analyst; Machine Learning, A.I. and Quantum Computing
• Will Townsend, Principal Analyst; Security, Carrier Services, Networking

Operations 

• Dan Pickens, Business Director
• Paula Moorhead, Marketing Director, Website and Social Media
• Christian Babcock, Office Manager, AP & AR
• Lee LeClercq Williams, Business Associate
• Nigel Church, Business Associate, Writer, Editor
• Connor Kenyon, Six Five Sales & Business Development