We are on location for the next couple of weeks at the ces, the Consumer Electronics show. Its one of the largest trade shows in america, and were going to show you some of the interviews we did with tech leaders, and were going to show you some of the latest technology. This is the communicators on cspan. [background sounds] gary shapiro, this years ces. What are some of the buzz products . Well, ces 2018 is pretty big. And the products, you know, this is a lot of focus on Artificial Intelligence in many different ways. So we have the smart speakers which is alexa, google home and now, obviously, googles huge here. Were talking about bringing products into the home and into the car. Were also talking about Artificial Intelligence in another way, we have a big focus on smart cities for the first time. We have the secretary of transportation here talking about it and a lot of groups focusing on it. Thats business to government, business to those that are investing and making our lives and cities better because two of thirds of the population will live in cities soon compared to onethird in 1960. Other big thing, of course, is as we continue that Movement Toward selfdriving cars, or we know were getting there, theyre progressing rapidly, car introductions, huawei had a major phone introduction, smartphones are Getting Better designed with longer batly life, doing different battery life, doing different things, things like that. So a lot of things are occurring and robotics, of course. Thats one that will continue to grow every year. And it makes sense, because robotics, smartphones, the internet of things as we get older the people that take care of us in a developing world, we need Technological Solutions nor a lot of things, and thats one of the ways well be able to take care of our parents and ourselves, frankly. Host we spent a lot of time over in the robotics area of this convention. Its grown enormously. Guest of course robotics would grow. Since i was a kid reading science fiction, this has been the future. Robotics are gaining personalities, theyre becoming more humanlike, if you will, and theyre going to learn what we like. Right now a now a robot, theyre single funk, kind of like an old navigational device. With Artificial Intelligence in virtually everything, theyll learn and get better and better and know what we like. Host one of the other themes that weve found here is 5g, the advent of 5g. Guest certainly the world is going to 5g, the u. S. Has to be part of that. Thats very significant and important. 5g will give you 100 times the speed to download a movie or to watch something. And itll also give you close to zero latency which is the gap between sending and receiving. Think about how important 5g to be part of the selfdriving equation. When life or death matters whether your car communicates with another other or sees a pedestrian or responds, 5g is part of the solution. Its also part of the solution to get broadband into rural parts of america i. Wont be the most expensive to put into place, itll get a lot of information very quickly to people and allow all americans to become part of developed world, if you will. Host weve talked about several of the products here, but wheres the policy and the regulation that goes to those products . Guest well, with 5g specifically we have to invest in infrastructure, we have to make sure the spectrums there, we have to encourage the companies, we have to finish the standardization process. With selfdriving or cars, under the obama and the trump administrations theres been the same forward momentum, the same vision of a world as secretary chao said at ces where disabled and elderly people will be empowered and the rate of human error cause action which is now about 94 of accidents will go down dramatically saving thousands of lives and hundreds of thousands of injuries each year. Host sometimes when you come out to ces, it looks like a car show in portions of it. Guest well, certainly this year weve grown about 27 , about 300,000 square feet for cars, vehicle technologies. We politely say. And the truth is the entire car ecosystem were not selling cars to the public, this this it this years models were pushing. A lot of the infrastructure like johnson control, intel, qualcomm, others are saying this is what we can do in the future, this is where we can go. So the entire ecosystem is here. And, of course, the Car Companies themselves theyre seeing this, theyre also given their own visibility, their own concept cars. The Technology World today is not a world where you can be a Single Company and do great things. You have to partner with other companies so everyone is aggressively partnering. Thats why we get the innovation leaders from around the world here, because in four days they can see everyone they need to see that would take them several months otherwise to go around the world and meet with. Host this is the first time weve seen you since the fccs Net Neutrality rollback. Before we go further, i want to get your view and the view of cta on what they did. Guest well, its a complexed, nuanced issue. I personally thought it was the right thing to do because the fcc change that happened just a couple years ago under the Obama Administration gave the fcc enormous powers it should not have. It should not have the power to regulate every device which hooks up to the internet including oftens. The automobile including automobiles. The Automobile Companies were concerned about this. Weve seen depending who the Political Party is controlling the fcc, the things they can force on companies totally block innovation and great bottoms. I was part of the voluntary principles that worked so well for 18 years. We went around the fcc, convinced them to accept it both the broadband carriers provided it, that they agreed to provide and the companies that the internet uses. And everyone was happy with that, it worked great. And the truth is the different sides are not far apart even today. The republicans and democrats and the broadband providers and broadbandusing companies, they agree on Net Neutrality. Its the implementation thats wrong. And i think theres also agreement throughout america that what we really need is competition in broadband. In europe theres a hundred Different Companies providing telecommunications. Their prices are a lot lower than us, and in some cases their speeds are better than ours. Why is it . Its competition. We need it. Wifi provides a little bit of fiber, fios through verizon provides, cable provides some of it, but we need as much competition as possible. And then the whole issue of met neutrality becomes Net Neutrality becomes so much less important. If they can change their company out, its not a problem. What can happen today is the ftc could step in, and congress will step in immediately. With this decision or without this decision, the internet is not going to go away. My problem that ive had with this is both sides have exaggerated so badly whats going to happen and concerned consumers that we are in a position now of where theres people that are, have such malicious intent toward the present chairman of the fcc that his kids are being bothered, theyre getting death threats. This is not american, to go after a public official who, frankly, is a brilliant guy doing what he thinks is right with a lot of substance and nuance behind him and a lot of good people kiss agreeing on disagreeing on both sides. The extremes are a reflection of a direction that i believe the country should not be going in. Host what does it take to put on a show like this . Guest we plan so far ahead, and we aggressively reach out to have our own partners so we can see where the technologys going, because we cant do everything. We also block out space in las vegas for the next 20 years, we market around the world, we have of a fulltime team of people that are aggressively around the world. We want to get those 7,000 media from around the world, the 60,000 people that come from outside the United States. Its important for our event, its important for the u. S. And las vegas economy, its important for the companies that invest on a global basis for a Marketing Budget to be here, so the average person who comes here has over 32 meetings and is very, very efficient in what they do. Host ces takes over the city, and this is a city thats used to having a lot of people. Guest las vegas is a city in the United States that has more hotel rooms, we use everything we possibly can. We are thrilled that we just broke ground this week on a brand new Convention Center thats supposed to launch for ces 2020. We look very much forward to that, a Convention Center with uninterrupted power. [laughter] state of the art facility. Entertainment, work force around las vegas, its the only major Convention City where the airport is only 15 minutes away from virtually every major hotel with a Convention Center. This is the best Convention City in the world, bar none. Host how many square feet does ces take up . Guest well, we count ourselves by the amount of space that exhibiters buy, and were about 2. 76 million net square feet of exhibit space, but generally that translates to close to 5 million gross square feet. The truth is you could have a team of five people trying to see the show in four days, even if they split up, theyll not see the entire show. Our car the car show alone, portion alone, i think, is about half the size of vatican city. Host gary shapiro, one other thing you coout here is garys book club. What is that . Guest ive written a couple books, and theyve become bestsellers thanks to ces, but i think that opportunity should be spread as well. We identify a number of authors based on dozens that apply as having something really relevant to say. I just finished an interview with john grisham, the best selling author. He wrote a book called the tumor, but its about this new technology called ultrasound technology, im focused ultrasound. Shall i 3, 2, 1 that . [laughter] theyre looking at a hundred different things, its fda approved for brain tumors, prostate cancer, and its outpatient. No chemo, no surgery. Its not a cureall, but its a cure a lot in a very unintrusive way where you can drive in yourself, drive out three hours later, and your treatments over. Host gary shapiro guest sorry. Host president and ceo of the Consumer Technology association which owns and sponsors ces. Thanks for your time. [background sounds] [inaudible conversations] host and now we want to introduce you to frank soqui of the intel corporation. Whats your title and what do you do . Guest im the general manager for Virtual Reality. I focus on Virtual Reality as it impacts our client pcs as well as how we work with other parts of our organization including data center, the device side of things and [inaudible] host how big of a opponent is v. R. To intel . Guest oh, my gosh. You know, i see this as a once in 20year transformation thats going to impact probably every element of computing we have. You know, think about how immersive v. R. Is, how interactive its going to be, as the low latency data sets that have to give you an amazing amount of detail and to be able to build that into the cloud, were hitting on coms, on computing, graphics, its an amazing opportunity. And when i say once in a 20year evolution, i [inaudible] way back when compute didnt even have a user interface. The graphic graphic face transformed everything, then touch transformed everything. [inaudible] host how is it developed . Guest how is v. R. Developed . Host yeah. Guest think of it this way, part of it is an evolution of what we have today. Elle use ad ill use ad design as an example. Its a flat experience, its 2d, and you try to make 3d models. Hey, me and you as design engineers, now i can see that design in Virtual Reality space, i can collaborate, spin it around, change things really time. Realtime. If youve ever built something, theres a physicality behind thatthat youre collaborating with somebody else. What were doing is taking v. R. To the next level. Thats one example of how i see it evolving. And then i like to say v. R. Is an element of giving us better ability to control things the way we like to see hem. Were seeing that in two areas, one the sports group where youre seeing the nfl play from any angle you want, the way you want to see that, and even in esports. We work with Companies Like liberty or be real, now the audience can participate in that game from any point that have any point they want. We see those technologies evolving. So Virtual Reality is giving us the ability to work in a way that is the way we went to work versus the way weve been kind of forced to work. Host what component of v. R. Finish. [inaudible] guest cpu which is very host not a gpu. Guest no, ill go through theres several pieces. Gpu is another piece of it. On compute side, certainly the to create these virtual environments, you have to demonstrate the ability to physics that operation. Oh, my goodness. Host keep going. Yeah, looks like we just had an electrical blowout. With all the electricity going on, im not surprised. Our cameras are still rolling. Guest on the graphic side of things, obviously, this is a graphic component to this. Graphics play a very Important Role because our highend cpus use highend graphics. Weve been workingingly with microsoft to working closely with microsoft. Our. [inaudible] were talking about what were doing with storage and memory, taking those large data sets because Virtual Reality has large data sets and not losing detail. We have an example with the Smithsonian Institute where you can see art and you want to go from art exhibit to art exhibit very quickly, so the speed is important, but i want to zoom in on that detail. And then youve seen what weve done with htc and wireless technologies. That was a pcbased technology that were bringing to v. R. , we have single wire technology, things in backpacks. I dont want to have three wires connected. I mean, i cant think of what we dont touch thats needed for these type of virtual environments. Host so, mr. Soqui, is the cloud transformational when it comes to v. R. , and how important is [inaudible] guest yeah. So the cloud is transformational. You cannot ignore the efficiencies, especially the large data sets that were operating on. Everything needs to be cloudenabled. But we always have this thisserration about dissertation of [inaudible] you absolutely do. The way you balance on that, on the client side of things, even [inaudible] why do you need so many graphics, because these workloads keep getting heavier and heavier, and you need a balance between those two elements. Actually, three elements when you think about edge. My hypothesis is it has to be very, very low latency. If you dont have a low latency, people get motion sick. And you have to have a guaranteed quality of service that goes behind that. So when im in the v. R. Experience between whats happening on the cloud and getting served up to the edge devices like pcs or phones, you want to make sure that service is there. And i would submit on top of that you want to layer security on top of that because some of these are collaborative experiences where im doing automotive idea or entertainment [inaudible] so theres a security layer has got to be on that. So cloud and edge are very important. Then 5g will bring it up to the client end point, you need the bandwidth. This is, again, huge data sets. Youll lose an experience. This is why its more than just a single element. Host weve all seen the videos or weve all had the glasses on yep. Host and seen this v. R. Happening, but intel has a big tent down here. Guest yeah. Host whats in there . Thatthat a v. R. Tent, isnt it . Virtual reality tent . . In a way. Were demonstrating autonomous driving, now what does v. R. Bring to autonomous driving. Think of your car as another environment that youre going to be traveling in and out of. Let me hypothesize a future state for you on augmented and Virtual Reality. I think these a. R. And v. R. Worlds will disappear. Were going to wear manager like my grasses that are seethrough and do augmented reality and become [inaudible] and ive got to be able to do that from outside of my building as i transition to [inaudible] autonomously, and now i can afford to be in other experiences while im being transported as well as my home or office. These are the kinds of problems were working on solving. Host whats the difference between virtual and augmented reality. Guest oversimplistically, augmented is a seethrough experience. But im still seeing the real world around me. My ability to go walk around because im not occluded. In v. R. , i go into something. Im not seeing the real world. Even theres receptions there. Theres cameras that let me detect the real world around me to bring real objects in or avoid collision. Generally, thats how you see them. A. R. Is see through, v. R. Is immersive. Host howd you get into this business . Guest oh, my goodness. [laughter] i i got into this business a long time ago, but this particular business, Virtual Reality augmented reality, its a match ago extension of some of natural extension of some of my interests at intel. Im always interested in whats evolving and what has a ton of potential. I like seeing Technology Come to bear, but i also like seeing the benefit that it brings, so i always look for opportunities like that. The way i got here is that journey has brought me through communications, workstation, data certain, i was an iot, gaming kind of brought me here, i concentrated