By: Christian Lee, Zach Blaser, & Kevin Makowski Chat Bots By: Christian Lee, Zach Blaser, & Kevin Makowski

What Are Chatbots? Are a computer program designed to simulate interactions with human users, especially over the Internet. These programs can respond both textually as well as auditorily. Some chatbots have started to become so advanced that people cannot tell they are not talking to another person. Chatbots arose back in 1950 when Alan Turing introduced the Turing Test but have recently been gaining popularity at an increasing rate https://www.recode.net/2017/6/14/15796812/facebook-bots-ai-artificial-intelligence-research

Why the sudden popularity spike? Increase in mobile messenger popularity Decreased development costs Increased Support App Fatigue Increase in mobile messenger popularity - See Graphic -- use of the 4 big messaging apps has passed use of the 4 big social networking apps Decreased development costs - because but new free development tools by google/facebook/IBM Increased Support - Facebook messenger, skype, kik App Fatigue - people are tired of downloading new apps. Chat bots don’t require much of a learning curve .The average smartphone user has 30 apps but uses less than 5 regularly

Applications Negotiations Therapy Customer Service Situations where users are unable to use hands or read(i.e while driving) Menial Tasks (i.e Morning Weather) "We never called them chatbots. We called them bots. People took it too literally in the first three months that the future is going to be conversational." - Mark Zuckerberg Business Negotiations - Facebook’s chat bots learned to be able to bluff and pretend to care about an outcome in order to get the upper hand more so in the long run Therapy - Used for people with depression because lonely, someone who just needs someone to talk to. Situational: -Users have a disability -driving a car Customer Service: -Callback services so you don’t have to wait -Assistance finding something on a website Graphic -in April 2016 facebook changed their terms and conditions to support the use of bots

Business Opportunities Business deals Creation of a New Mobile Market Better Customer Service Programmers New mobile market - businesses have the ability to expand and capture customers on the messaging apps that have become so popular

Pros Automation Reduced Employment Costs Database vs. Memory Calculated risk Ease of Access Automation - Faster and more accurate access to information. Efficiency / Productivity - chatbots can handle many more interactions than humans in a shorter period of time / no manual searches Reduced employment costs - Chatbots can effectively replace people in low intensity customer support situations. Overstock AI Chatbot MILA manages the sick line, coordinates schedules and workloads in the backend Database vs. Memory - Easier to evaluate performance and update protocols Calculated Risk - A typical Chatbot comes with a calculated risk that is easy to evaluate Ease of Access - seamlessly interact with multiple apps and devices from one location. Chatbots replacing apps. a projected over 50 million devices included in the internet of things by 2020 chatbots easy interconnectivity very important

Cons Less personable interaction Job displacement Malicious Usage Hacking/Security Still Primitive Uncertain Future Less Personable interaction - many consumers like knowing they are talking to a living human being. Especially if they are upset or have a complaint Job Displacement - chatbots easy to update and maintain. Then would be better for business but would cost jobs. Malicious Usage - Chatbots used to scam people out of money on messaging apps Hacking - Transaction hacking potential,

References http://www.wired.co.uk/article/facebook-teaches-bots-how-to-negotiate-and-lie https://www.recode.net/2017/6/14/15796812/facebook-bots-ai-artificial-intelligence-research https://www.forbes.com/sites/forbestechcouncil/2017/03/16/all-talk-how-chatbots-and-ai-will-transform-the-way-we-do- business/#1b9144c9280e https://chatbotsmagazine.com/the-complete-beginner-s-guide-to-chatbots-8280b7b906ca https://chatbotsmagazine.com/trends-driving-the-chatbot-growth-77b78145bac https://www.cardfellow.com/chatbots-for-business/