• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

What Companies Get Wrong About Machine Learning

Jeff John Roberts
By
Jeff John Roberts
Jeff John Roberts
Editor, Finance and Crypto
Down Arrow Button Icon
Jeff John Roberts
By
Jeff John Roberts
Jeff John Roberts
Editor, Finance and Crypto
Down Arrow Button Icon
September 27, 2016, 8:50 PM ET
Courtesy of Structure Security

If you had to pick a tech industry buzzword for 2016, “machine learning” would be a good choice. Every other company, it seems, is packing the phrase into their pitches, and it’s having an effect.

According to Carson Sweet of cloud security firm CloudPassage, many companies are asking for machine learning tools to solve problems—even if they don’t have a clear idea of what these tools can do.

Speaking at the Structure Security conference on Tuesday in San Francisco, Sweet and executives from two other cyber-security firms explained some common misconceptions about machine learning. One of these is that machine learning is the same thing as “artificial intelligence” (another top candidate for buzzword of the year).

As Mark Terenzoni of threat detection firm Sqrrl explained, AI is like building a brain, but one that is unable to produce deterministic outcomes (ones that will produce a predictable outcome) — that’s why mischief makers were able to manipulate Microsoft’s AI chat bot into spewing racist comments.

Machine learning, on the other hand, results in predictable responses and useful predictions. It can detect patterns in giant amounts of data and even present the results in visual graphics that highlight the most salient information.

Get Data Sheet, Fortune’s technology newsletter.

But there are important limits to machine learning, and the biggest of these is that it still requires humans to frame the right question.

“Machine learning is the tip of spear, but you have to do a lot of curating to create a model that makes sense to a security analyst,” said Terenzoni.

Kevin Mahaffey of mobile security firm Lookout (which helped expose that notorious iPhone bug) likewise noted that firms need “clean data” to feed machine learning algorithms. Simply shoveling random stacks of information, he said, will produce a “garbage in, garbage out” result.

Mahaffey, in response to a question from moderator Jonathan Vanian of Fortune, also clarified the difference between “machine learning” and “deep learning.” It turns to be a question of scale: deep learning describes the recent breakthroughs in computer power and cost that makes it possible for machine learning tools to explore millions of parameters.

Mahaffey, however, cautioned that while deep learning represents a remarkable technology, many firms still need to learn the basics of machine learning.

“We’re asking ‘how many grams of Kale do you want in your smoothies this morning’—while most organizations are still smoking a pack of cigarettes a day,” joked Mahaffey.

About the Author
Jeff John Roberts
By Jeff John RobertsEditor, Finance and Crypto
LinkedIn iconTwitter icon

Jeff John Roberts is the Finance and Crypto editor at Fortune, overseeing coverage of the blockchain and how technology is changing finance.

See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

What Microsoft’s new research tells CFOs about the ROI of AI
NewslettersCFO Daily
What Microsoft’s new research tells CFOs about the ROI of AI
By Sheryl EstradaMay 11, 2026
16 minutes ago
Stablecoin disruptors want to vanquish Visa but face a tough task ahead
NewslettersFortune Crypto
Stablecoin disruptors want to vanquish Visa but face a tough task ahead
By Jeff John RobertsMay 11, 2026
17 minutes ago
U.S. Treasury Secretary Scott Bessent adjusts his glasses during a meeting with U.S. President Donald Trump and President of Argentina Javier Milei in the Cabinet Room at the White House on October 14, 2025 in Washington.
Economynational debt
U.S. Treasury pays $3 billion a day in interest on national debt nearing $39 trillion mark
By Eleanor PringleMay 11, 2026
40 minutes ago
Why Amex’s CEO scrapped a bonus system that made executives compete for cash
C-SuiteNext to Lead
Why Amex’s CEO scrapped a bonus system that made executives compete for cash
By Ruth UmohMay 11, 2026
40 minutes ago
‘As long as the Strait of Hormuz stays closed, markets remain on a knife-edge,’ Deutsche Bank warns
PoliticsMarkets
‘As long as the Strait of Hormuz stays closed, markets remain on a knife-edge,’ Deutsche Bank warns
By Jim EdwardsMay 11, 2026
2 hours ago
The next test of leadership is how well you manage your AI agents
NewslettersCEO Daily
The next test of leadership is how well you manage your AI agents
By Diane BradyMay 11, 2026
2 hours ago

Most Popular

‘This is the way’: Elon Musk endorses Warren Buffett’s famed 5-minute plan to fix the national debt
Economy
‘This is the way’: Elon Musk endorses Warren Buffett’s famed 5-minute plan to fix the national debt
By Jacqueline MunisMay 10, 2026
23 hours ago
OpenAI CEO Sam Altman says Gen Z and millennials are using ChatGPT like a 'life advisor'—but college students might be one step ahead
Tech
OpenAI CEO Sam Altman says Gen Z and millennials are using ChatGPT like a 'life advisor'—but college students might be one step ahead
By Sydney LakeMay 10, 2026
24 hours ago
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
Future of Work
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
By Jake AngeloMay 9, 2026
2 days ago
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
Success
Red flag test: former CEO explains why he rejects job candidates who say they can start right away
By Orianna Rosa RoyleMay 9, 2026
2 days ago
Trump thinks he's flying to Beijing with leverage. China spent 6 years making sure he doesn't have any
Commentary
Trump thinks he's flying to Beijing with leverage. China spent 6 years making sure he doesn't have any
By Steve H. HankeMay 10, 2026
1 day ago
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
Politics
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
By Jason MaMay 9, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.