The United States government is a major supporter of artificial intelligence (AI) research and development through agencies like DARPA, NSF, NIH, ONR, and IARPA. (1) Finland and the U.S. are projected to see the largest economic gains from AI through 2035 with each seeing 2% higher economic growth. (2) Many industries like manufacturing, professional services, retail, and healthcare are expected to see large increases in value added from AI. (3)

1. ARTIFICIAL INTELLIGENCE IN THE U.S.A. – SUMMARY PRESENTATION
FOR BUSINESS FINLAND – FEBRUARY 5TH 2018
PHOTO COURTESY OF GREG RAKOZY
1

2. Team Finland Future Watch - brief2
Executive Summary
 Artificial Intelligence (AI) is finally starting to deliver real-life benefits to early-adopting companies and countries like Finland and
the U.S.
 Business Finland commission a report on the outlook of AI within the U.S. Government, key research institutes, energy, healthcare,
Fintech, Mobility/autonomous vehicles and Logistics & Global Supply Chain. This presentation is a summary of some of the
findings. The full version of the 340 page report is available on request
 Finland currently ranks second after the United States among 12 developed economies in terms of the potential of artificial
intelligence.
 The United States Federal Government’s support for unclassified AI R&D is managed through the Networking and Information
Technology Research and Development (NITRD) program, and supported primarily by the Defense Advanced Research Projects
Agency (DARPA), the National Science Foundation (NSF), the National Institutes of Health (NIH), the Office of Naval Research
(ONR), and the Intelligence Advanced Research Projects Activity (IARPA).
 In 2015, the U.S. Government’s investment in unclassified R&D in AI-related technologies was approximately $1.1 billion, with
preliminary estimates showing growth to $1.2 billion in 2016.
 Artificial Intelligence could double economic growth by changing the nature of work and creating a new relationship between man
and machine—and between two leading countries in AI like the USA and Finland—according to a report by Accenture.
 By 2035, AI Technologies could increase labor productivity 40% or more, doubling economic growth in 12 developed nations.
Accenture finds that AI’s immediate impact on profitability is improving individual efficiency and productivity.
 The economies of the U.S. and Finland are projected to see the greatest economic gains from AI through 2035, with each attaining
2% higher GVA growth.

3. AUTHORS
Brian Frederiksen
Kvantum Consulting
3
linkedinbf@gmail.com
Actionable Insights for Finnish companies at www.marketopportunities.fi

4. 4
INDUSTRIES MOST
AFFECTED BY AI
PROJECTION OF $14
TRILLION OF GROSS
VALUE ADDED (GVA) BY
2035, WITH ESTIMATES
FOR AI’S IMPACT ON
SPECIFIC INDUSTRIES
Industry
2035 GVA (Baseline) 2035 GVA (AI steady state)
Manufacturing
$8.4 trillion $12.2 trillion
Professional Services $7.5 trillion $9.3 trillion
Wholesale & Retail $6.2 trillion $8.4 trillion
Public Services $4.0 trillion $4.9 trillion
Information &
Communication
$3.7 trillion $4.7 trillion
Financial Services $3.4 trillion $4.6 trillion
Construction $2.8 trillion $3.3 trillion
Transportation &
Storage
$2.1 trillion $2.9 trillion
Team Finland Future Watch
Fuel for Growth, Artificial Intelligence Poised to Double Annual Economic Growth Rate in 12 Developed Economies and Boost Labor Productivity by up to 40 Percent by 2035,
According to New Research by Accenture https://www.accenture.com/us-en/insight-artificial-intelligence-future-growth

5. Team Finland Future Watch
Source: Accenture and Frontier Economics
5
THE ECONOMIES OF THE
U.S. AND FINLAND ARE
PROJECTED TO SEE THE
GREATEST ECONOMIC
GAINS FROM AI
THROUGH 2035, WITH
EACH ATTAINING 2%
HIGHER GVA GROWTH,
ACCORDING TO
ACCENTURE.COM.

6. Team Finland Future Watch6
U.S. DRIVERS OF AI DEVELOPMENT
Image Courtesy of CB Insights

7. Team Finland Future Watch7
Most Active
Corporate
Investors in
Artificial
Intelligence
Image Courtesy of CB Insights

8. Team Finland Future Watch8
MOST WELL-FUNDED STARTUPS IN 34 U.S. STATES
 More and more startup companies
are applying machine learning
algorithms across industries
including marketing, healthcare,
and retail.
 Deals to AI startups reached a
record high in 2017, from 160 deals
in 2012 to 658 in 2016. Although
non-US deal share has been
increasing over the time period,
well over a majority of the deals—
around 70%—went to startups in
the US in the last 5 years.
 The top 3 states for deals were
California (51%), New York (11%),
and Massachusetts (9%).
The United States of Artificial Intelligence Startups, CB Insights
https://www.cbinsights.com/research/artificial-intelligence-startup-us-map

9. Team Finland Future Watch9
The Deep Learning Market Map: 60+ Startups Working Across E-Commerce, Cybersecurity, Sales,
and More, September 30, 2016,
https://www.cbinsights.com/research/deep-learning-ai-startups-market-map-company-list/

10. Team Finland Future Watch - By Brian Frederiksen10
100 ARTIFICIAL
INTELLIGENCE
STARTUPS
REDEFINING
INDUSTRIES
Courtesy CB Insights – The Innovation Summit

11. Team Finland Future Watch - By Brian Frederiksen11
KEY AI
INCUBATORS &
ACCELERATORSIN
THE USA
AI Nexus Lab (New York): In exchange for 8% equity, companies receive a
$100,000 investment from Venture Capital.
Alexa Accelerator, (Seattle, WA): The companies chosen are taking part in a 13-
week program in Seattle to work with technologists and product leaders from
Amazon and Techstars. Startups receive $100.000 of funding upon acceptance.
Comet Labs (San Francisco, CA): Investment is provided on a case-by-case basis
and under the form of a warrant, a convertible note, or a discounted equity
investment.
CyberLaunch (Atlanta, GA): A 90-day accelerator program that provides $20-
100,000, depending on the stage of the venture, and makes direct introductions to
investors.
Microsoft (USA): They have dozens of AI startups in their portfolio. Eligible
startups are also able to scale their business with up to $120,000 of Azure cloud
services per year.
Nvidia Inception (Santa Clara, CA): Benefits for startups include consideration
for the GPU Ventures Program worth $500,000–$5,000,000 as well as assistance in
the field of sales & marketing, joint development, and product distribution.
 Play Labs (Cambridge, Boston, MA): A new accelerator, apparently for MIT-
affiliated startups. MIT-affiliated startups will get an initial investment of $20,000,
The Hive (Bay Area, CA): They co-create AI startups providing seed funding of
$1.5 million to $2 million.
Y Combinator (Mountain View, CA): They would fund an AI startup in every
vertical. Their standard funding is worth $120,000 in return for 7% of the
company's equity.
Kirilov, Kiril, AI Incubators and Accelerators, https://cloudtweaks.com/2017/09/funding-ai-startups-and-accelerators/

12. Team Finland Future Watch - By Brian Frederiksen12
AI TOP ACQUIRERS
 CORPORATE GIANTS
LIKE GOOGLE, IBM,
YAHOO, INTEL,
APPLE, AND
SALESFORCE ARE
COMPETING IN THE
RACE TO ACQUIRE
PRIVATE AI
COMPANIES, WITH
FORD, SAMSUNG, GE,
AND UBER EMERGING
AS NEW ENTRANTS.
Image Courtesy of CB Insights

13. Team Finland Future Watch - By Brian Frederiksen13
AI DEAL SHARE
ALMOST HALF OF
INVESTMENTS, ON AN
ANNUAL BASIS, ARE
SEED/ANGEL INVESTMENTS.
Image Courtesy of CB Insights

14. Team Finland Future Watch - By Brian Frederiksen14
AI Healthcare
Market to Reach $6.6
Billion by 2021
Accenture Analysis

15. Team Finland Future Watch - By Brian Frederiksen15
HEALTHCARE STARTUPS
IN THE U.S. WHO ARE
UTILIZING MACHINE
LEARNING AND DEEP
LEARNING TO INCREASE
EFFICIENCY AS WELL AS
OVERALL PROFITABILITY.
Image Courtesy of CB Insights

16. Team Finland Future Watch - By Brian Frederiksen16
HEALTHCARE
 106 OF THE MOST
PREVALENT STARTUPS
IN HEALTHCARE
UTILIZING ARTIFICIAL
INTELLIGENCE IN
2017
Graphic Courtesy of CBInsights.com

17. Team Finland Future Watch - By Brian Frederiksen17
HEALTHCARE
 AI FINANCING
HISTORY 2012-
2017
Graphic Courtesy of CBInsights.com

18. Team Finland Future Watch - By Brian Frederiksen18
ENERGY
DATA FROM THE BDO
M&A DATABASE SHOWS
HOW AVERAGE DEAL
VALUE FOR THESE KINDS
OF MERGERS AND
ACQUISITIONS HAS SHOT
UP, WHILE DEAL
NUMBERS HAVE BEEN
CLIMBING STEADILY
THROUGH THE LAST
COUPLE OF YEARS.
Graphic Courtesy of Energy & Resources and Global, UTC

19. Team Finland Future Watch - By Brian Frederiksen19
FINTECH COMPANIES
THAT USE AI IN FINANCIAL
SERVICES
Graphic Courtesy of CBInsights.com

20. Team Finland Future Watch - By Brian Frederiksen20
CONNECTED CAR
INDUSTRY
41 AUTO TECH
STARTUPS
Graphic Courtesy of CBInsights.com

21. Team Finland Future Watch - By Brian Frederiksen21
THE AUTO TECH
SPACE
TYPES OF
INVESTORS AND
COMPANIES
Graphic Courtesy of CBInsights.com

22. Team Finland Future Watch - By Brian Frederiksen22
LOGISTICS AND SUPPLY
CHAIN
MOST ACTIVE
INVESTORS
Graphic Courtesy of CBInsights.com

23. Business Finland
Pekka Sivonen pekka.sivonen@businessfinland.fi
Arto Pussinen arto.pussinen@businessfinland.fi
Tomi Rauste tomi.rauste@businessfinland.fi
Brian Frederiksen
Kvantum Consulting
Email: linkedinbf@gmail.com
Cell: +1 (424) 333-8853