2. The Advent of AI and Its Present and Future Application

Press [1].

Brown [2].

Gunkel and Wales [3].

Meltzer [4].

See Marr [5].

Ibid.

See the website of Google—Exploring 6 AI Myths, available at https://​ai.​google/​static/​documents/​exploring-6-myths.​pdf.

See the website of Amazon Web Services—What is Artificial Intelligence?, available at https://​aws.​amazon.​com/​machine-learning/​what-is-ai/​.

Schuett [6].

Ibid.

At present, drones are recognized as a key instrument and major item in the 4th Industrial Revolution, showing a rapid growth in various areas. Particularly regarding drones, it is said that a new drone ecosystem’ is being established in connection with the so-called ‘area of ICBM (IoT, Cloud, Big Data, Mobile/Machine Learning)’ going beyond the area or mere drone development, production, and sales. As one recent example, Qualcomm in the US seeks to combine its own smart-phone technology with autonomous flight of drones and considers adopting deep-learning devices. See the website of Qualcomm—Deep Learning on Embedded Devices: The Rise of Intelligence at the Edge, available at https://​www.​qualcomm.​com/​invention/​research/​projects/​deep-learning).

Interests in the market of autonomous vehicles continue to increase. This market is expanding rapidly in diversified areas by applying such concepts as smart car, connected car, autonomous car, and so forth. ‘Smart cars’ adopt IT, software, and electronic devices as part of the vehicle. ‘Connected cars’ connect the internet and mobile devices to the vehicle. ‘Autonomous cars’ drive the vehicle autonomously with no intervention of a driver.

For instance, Samsung Electronics Co., Ltd. introduced IoT in October 2017, making known its project called “Connected Thinking” through which home appliances can be manipulated more easily. This system makes it possible to manipulate various home appliances simultaneously by means of a smart-phone. Samsung Electronics is developing various compatible items such as smart TV, smart refrigerator, and so forth. See Maribel Lopez, Samsung Gets Serious About Smart Home Battle, Announces Enhanced Voice, IoT Cloud And New Hardware, Forbes (Oct. 27, 2017), available at https://​www.​forbes.​com/​sites/​maribellopez/​2017/​10/​27/​samsung-gets-serious-about-smart-home-battle-announces-enhanced-voice-iot-cloud-and-new-hardware/​#693489e03f4f.

It is also reported that based on a wealth of information and data, customized service will be made available for such smart devices as smart thermostat, smart window blind, smart lighting, smart coffee machine, and so forth. The Forbes Technology Council, IoT and You: Making Your House Smarter with Technology, Forbes (Jun. 28, 2018), available at https://​www.​forbes.​com/​sites/​forbestechcounci​l/​2018/​06/​28/​iot-and-you-making-your-house-smarter-with-technology/​#417734412cbf.

The US Congress as well supports the idea that areas related to the 4th Industrial Revolution will be a major issue in the future global trade market, and thus that the domestic legal system of the US Needs to be modified accordingly. See Atkinson D. Robert, 2016 Testimony before the Committee of Ways and Means Trade Subcommittee, Hearing on Expanding US Digital Trade and Eliminating Barriers to Digital Exports (Jul. 13, 2017), available at https://​waysandmeans.​house.​gov/​event/​hearing-expanding-u-s-digital-trade-eliminating-barriers-u-s-digital-exports/​; The International Trade Commission (USITC) also prepares various reports on global digital trade in 2018. See the USITC website, available at https://​www.​usitc.​gov/​press_​room/​spotlight/​global_​digital_​trade_​2_​business_​to_​business_​market.​htm (Jul. 30, 2018).

McKinsey, a US Consulting company, predicts that by 2025, IoT will form a new business ecosystem in connection with various existing industry sectors. This new ecosystem will embrace the general industry including B2B service (legal/accounting/business management consultation), B2B machinery and equipment, B2C transport, corporate financing, clothing, restaurant business, hotel business, communication business, health, culture business, and so forth. This suggests that the era of the 4th Industrial Revolution involves significant change in the service industry. See McKinsey & Company, The Internet of Things: How to Capture the Value of IoT (2018), p. 26, available at https://​www.​mckinsey.​com/​~/​media/​mckinsey/​business%20​functions/​mckinsey%20​digital/​our%20​insights/​the%20​internet%20​of%20​things%20​how%20​to%20​capture%20​the%20​value%20​of%20​iot/​how-to-capture-the-value-of-iot.​ashx.

According to the US Washington Post, Amazon.com has obtained a patent on the delivery service by means of drones that respond to human behaviors. Drones, as the medium, make possible the communication between the delivery service supplier and consumers. See Hamza Shaban. Amazon is Issued Patent for Delivery Drones that Can React to Screaming Voices, Flailing Arms, The Washington Post (Mar. 22, 2018), available at https://​www.​washingtonpost.​com/​news/​the-switch/​wp/​2018/​03/​22/​amazon-issued-patent-for-delivery-drones-that-can-react-to-screaming-flailing-arms/​.

As service is embedded in goods and goods are embedded in service, new issues also have been raised. For instance, the combination of goods and services has raised new issues regarding value estimation of goods and confirmation on the traditional way of estimating the amounts of tariffs. See Joshua P. Meltzer, Maximizing the Opportunities of the Internet for International Trade, E15 Expert Group on Digital Economy, Policy Options Paper, International Centre for Trade and Sustainable Development (ICTSD) & World Economic Forum (Jan. 2016), p. 12.

At present, ‘service’ is not clearly defined except that it is understood as based on the ‘physical existence of a service supplier and the ‘intangibility’ of service itself. Basically, the scope of service is quite comprehensive. The WTO GATS is applicable to every service area except certain types that are provided as part of governmental exercise of authority. For more details on service areas to which the GATS is applicable, see the WTO website: Services: Services Sectors, available at https://​www.​wto.​org/​english/​tratop_​e/​serv_​e/​serv_​sectors_​e.​htm. For more details on the WTO agreement on the concept of ‘service,’ see the WTO website: Services: Rules for Growth and Investment, available at https://​www.​wto.​org/​english/​thewto_​e/​whatis_​e/​tif_​e/​agrm6_​e.​htm.

In the context of digital trade, personal information is valuable as highly as a new monetary unit. Some scholars view that cross-border exchange or transaction of data should be regarded as an independent form of trade. See Margaret B. Sedgewick, Transborder Data Privacy as Trade, California Law Review, Vol. 105 (2017), p. 1513; Nivedita Sen, Understanding the Role of the WTO in International Data Flows: Taking the Liberalization or the Regulatory Autonomy Path?, Journal of International Economic Law, Vol. 21 (2018), p. 324.

Devices with, in front, the adjective ‘smart’ that is being widely distributed recently such as smart phone, smart car, and smart home are items of ‘goods trade’ under the current WTO agreement system. However, as the term ‘smart’ is used in a sense that such devices satisfy needs of humanity, they also involve characteristics of ‘service based on the collection and transmission of data on the other hand. See Nivedita Sen, supra note 12, p. 32.

For this reason, the new term, ‘servitization of goods’, has appeared. As a major example, medical devices provide medical service as a package. See South Centre & United Nations Economic Commission for Africa (UNECA), The WTO’s Discussions on Electronic Commerce, Analytical Note (SC/AN/TDP/2017/2) (Jan. 2017), pp. 5–6.

Whether a database is a type of goods or service is also ambiguous. Some classify a database as a type of ‘goods’ with the focus on hardware characteristics while some view it as service with the focus on networking among users. See Wolfgang Alschner, Joost Pauwelyn, and Sergio Puig, The Data-Driven Future of International Economic Law, Journal of International Economic Law, Vol. 20 (2017), p. 227.

It is noteworthy that in the era of AI, data in data flows itself is a core element of new goods or service. Around the globe and with no limitations by national borders, a tremendous amount of data is collected through Facebook, Google, etc. Such data is converted into core elements of other goods and services and becomes available, going through the process of searching, payment, transaction, and advertisement. Data itself is a key factor to international trade, and its flows and transactions are performed not merely in each country’s markets but in global unified markets (for instance, cyber space or cyber market). The formation of data in this manner with every subject in the society such as governmental agency, corporation, household, and individual participating in transactions is a significant difference from the existing trade system where only some of them participate. See Dan Ciuriak, and Maria Ptashkina, The Digital Transformation and the Transformation of International Trade, International Centre for Trade and Sustainable Development (ICTSD) & Inter-American Development Bank (IDB), Issue Paper (Jan. 2018), pp. 3–4, 6.

The new technology of 3D printing that is being widely spread will make the boundary between trade means and trade objects vaguer. If trading is practiced through the 3D printer technology, the final product will be goods but it will be data (more like service) that is actually traded across the border. See Nivedita Sen, supra note 12, p. 330.

The Agreement on Trade Facilitation has been introduced with the aim to simplify and computerize import/export customs formalities and to harmonize procedures among countries. Section I (Articles 1 to 12) specifies Articles V, VIII, and X of the GATT in more detail to accelerate customs procedures. Section II (Articles 13 to 22) specify developing country preferential provisions, and Section III (Articles 23 to 24) includes provisions regarding establishment of a permanent WTO board of directors for trade facilitation as well as final regulations. For more details, visit the website of the WTO: The Agreement on Trade Facilitation: An Overview, available at https://​www.​wto.​org/​english/​tratop_​e/​tradfa_​e/​tradfatheagreeme​nt_​e.​htm.

In July 2018, Crimson Logic in Singapore introduced the block-chain trade platform for the first time in the world. This platform links ASEAN countries with China, pursuing trade safety and transparency. This principle reflects the joint response policy of governments in that region to market demands. See Samburaj Das, ‘World’s First’ Trade Blockchain Launches in Singapore to Link China and ASEAN Nations, CCN (Jul. 19, 2018), available at https://​www.​ccn.​com/​worlds-first-trade-blockchain-launches-in-singapore-to-link-china-and-asean-nations/​.

Paragraph 2, Article I of the GATS specifies 4 modes of service supply applicable to service trade as below.

2. For the purposes of this Agreement, trade in services is defined as the supply of a service.

(a) from the territory of one Member into the territory of any other Member.

(b) in the territory of one Member to the service consumer of any other Member.

(c) by a service supplier of one Member, through commercial presence in the territory of any other Member.

(d) by a service supplier of one Member, through presence of natural persons of a Member in the territory of any other Member.

Among these, it is Mode 2 in Paragraph (b) that a service consumer goes personally to the country of service supply, purchases, and consumes the service.

GATS, Article XXVIII (b), (“supply of a service” includes the production, distribution, marketing, sale and delivery of a service”).

Ibid.

See Snider et al. [7].

OECD Policy Responses to Coronavirus (COVID-19)—Using artificial intelligence to help combat COVID-19, OECD (Apr. 23, 2020), available at http://​www.​oecd.​org/​coronavirus/​policy-responses/​using-artificial-intelligence-to-help-combat-covid-19-ae4c5c21/​.

See Hogan [8].

See Janeway [9].

Ibid.

See Somin [10].

See Lee [11].

See Lee [12].

See New [13].

See Zusammen. Für unser Österreich. Regierungsprogramm 2017–2022 [Together. For Our Austria. Government Program 2017–2022], available at https://www.bundeskanzleramt.gv.at/documents/131008/569203/Regierungsprogramm_2017–2022.pdf/b2fe3f65-5a04-47b6-913d-2fe512ff4ce6, pp. 75, 81; European Commission for the Efficiency of Justice (CEPEJ), European Ethical Chapter on the Use of Artificial Intelligence in Judicial Systems and their Environment 34 (CEPEJ(2018)14, (Dec. 3, 2018), available at https://​rm.​coe.​int/​ethical-charter-en-for-publication-4-december-2018/​16808f699c; Bundesregierung [Federal Government], Eckpunkte der Bundesregierung für eine Strategie Künstliche Intelligenz [Key Points for a Federal Government Strategy on Artificial Intelligence] (Jul. 18, 2018), at 1, no. 1a, available at https://​www.​bmbf.​de/​files/​180718Eckpunkte_​KI-StrategiefinalLa​yout.​pdf; Karla Pequenino, Governo Financia Inteligência Artificial na Saúde, Mobilidade e Educação, PÚBLICO (Oct. 24, 2018), available at https://​www.​publico.​pt/​2018/​10/​24/​tecnologia/​noticia/​governo-inteligencia-artificial-dados-administracao-publica-1848718.

See UK House of Commons Science and Technology Committee, Algorithms in Decision-Making (HC 351, May 2018), available at https://​publications.​parliament.​uk/​pa/​cm201719/​cmselect/​cmsctech/​351/​351.​pdf.

See UK House of Commons Science and Technology Committee, Algorithms in Decision-Making: Government Response to the Committee’s Fourth Report 2 (HC 1544), Sep. 2018), available at https://​publications.​parliament.​uk/​pa/​cm201719/​cmselect/​cmsctech/​1544/​1544.​pdf.

See Eggers et al. [14].

See Eggers et al. [15].

The White House -Office of Science and Technology Policy, American Artificial Intelligence Initiative: Year One Annual Report (Feb. 2020), p. 23, available at https://​www.​whitehouse.​gov/​wp-content/​uploads/​2020/​02/​American-AI-Initiative-One-Year-Annual-Report.​pdf.

According to the Strategic Plan 2018–2022 of the National Archives, it plans to digitize over 500 million pages by fiscal year 2024. See The National Archives & Records Administration, Strategic plan 2018–2022 (Feb. 2018), available at https://​www.​archives.​gov/​about/​plans-reports/​strategic-plan/​strategic-plan-2018-2022.

See Curle [16].

See Quaintance [17].

Ibid.

Ibid.

See Eggers and Beyer [18].

Ibid.

See Ferguson [19].

See Tatiana Schlossberg, New York Police Begin Using ShotSpotter System to Detect Gunshots, New York Times (Mar. 16, 2015), available at https://​www.​nytimes.​com/​2015/​03/​17/​nyregion/​shotspotter-detection-system-pinpoints-gunshot-locations-and-sends-data-to-the-police.​html.

See Rademacher [20].

See Border Patrol Testing Drones to be Its ‘Eyes in the Sky’, Fox News (Jan. 19, 2018), available at https://​www.​foxnews.​com/​tech/​border-patrol-testing-drones-to-be-its-eyes-in-the-sky.

See Ghaffary [21].

The White House website, AI for American Industry, available at https://​www.​whitehouse.​gov/​ai/​ai-american-industry/​.

Ibid.

The White House, The FY 2020 Administration Research and Development Budget Priorities, (Jul. 31, 2018), available at https://​www.​whitehouse.​gov/​wp-content/​uploads/​2018/​07/​M-18-22.​pdf.

Full text available at https://​www.​dni.​gov/​files/​ODNI/​documents/​AIM-Strategy.​pdf.

See European Commission, White Paper On Artificial Intelligence—A European Approach to Excellence and Trust, COM(2020) 65 Final, (2020), p. 8.

Ibid.

See supra note 34.

Ibid.

Ibid., pp. 14–15.

Ibid., pp. 12–13.

Ibid., pp. 14–15.

Ibid.

See Fabian Westerheide, and Cognitive World, China—The First Artificial Intelligence Superpower, Forbes (Jan. 14, 2020), available at https://​www.​forbes.​com/​sites/​cognitiveworld/​2020/​01/​14/​china-artificial-intelligence-superpower/​#696b7fea2f05.

See Campbell [22].

See Mozur [23].

See Library of Congress, Regulation of Artificial Intelligence in Selected Jurisdictions (Jan. 2019), pp. 39–40, available at https://​www.​loc.​gov/​law/​help/​artificial-intelligence/​regulation-artificial-intelligence.​pdf.

See Mozur [24].

See Zhang et al. [25].

See The Government of Japan, How Japan Uses AI and Robotics to Solve Social Issues and Achieve Economic Growth, Harvard Business Review (Feb. 4, 2020), available at https://​hbr.​org/​sponsored/​2020/​02/​how-japan-uses-ai-and-robotics-to-solve-social-issues-and-achieve-economic-growth.

See Synced, One Year Countdown: Readying AI Security for the Tokyo 2020 Olympics (Jul. 20, 2019), available at https://​syncedreview.​com/​2019/​07/​20/​one-year-countdown-readying-ai-security-for-the-tokyo-2020-olympics/​.

See Kanagawa Police to Launch AI-Based Predictive Policing System Before Olympics, The Japan Times (Jan. 29, 2018), available at https://​www.​japantimes.​co.​jp/​news/​2018/​01/​29/​national/​crime-legal/​kanagawa-police-launch-ai-based-predictive-policing-system-olympics/​#.​XrSAPqhKiUk.

See Editorial: AI Systems Hold Great Promise for Local gov’ts, but Efficiency isn’t Everything, The Mainichi, (Aug. 13, 2019), available at https://​mainichi.​jp/​english/​articles/​20190813/​p2a/​00m/​0na/​012000c.

See Hong [26].

See Akimoto [27].

See Osumi [28].

See Polyakova and Meserole [29].

Ibid., p. 7.

Ibid. p. 8.

Ibid., p. 8.

Ibid., p. 9.

See Reevell [30].

Ibid.

See Congressional Research Service (CRS), Artificial Intelligence and National Security, (Nov. 21, 2019), p. 24, available at https://​fas.​org/​sgp/​crs/​natsec/​R45178.​pdf.

Ibid., pp. 24–25.

Ibid., p. 25.

See The City of Moscow, Russian Federation: The SDGs to Promote Balanced Urban Development, from the 2^nd OECD Roundtable on Cities and Regions for the SDGs, available at https://​www.​oecd.​org/​cfe/​cities/​Moscow-Issue-Note.​pdf.

See Gaaze [31].

Ibid.

Ibid.

Ibid.

See Polyakova [32].

See Russia to Develop Space Surveillance Satellite to Monitor Space Debris as Part of Milky Way SSA Network, Space Watch Global (Jun. 2020), available at https://​spacewatch.​global/​2020/​06/​russia-to-develop-space-surveillance-satellite-to-monitor-space-debris-as-part-of-milky-way-ssa-network/​.

See President Vows Increased Support for Big Data Industry, The Korea Herald (Aug. 31, 2018), available at http://​www.​koreaherald.​com/​view.​php?​ud=​20180831000695.

See Seoul Metropolitan Government, Seoul Introduces the COVID-19 “AI Monitoring Call System” (Apr. 8, 2020), available at http://​english.​seoul.​go.​kr/​seoul-introduces-the-covid-19-%E3%80%8Cai-monitoring-call-system%E3%80%8D/​.

See Seoul Metropolitan Government, Seoul Introduces AI-based Taxis for the First Time in Korea (Mar. 14, 2019), available at http://​english.​seoul.​go.​kr/​seoul-introduces-ai-based-taxis-for-the-first-time-in-korea/​.

See Seoul Metropolitan Government, Seoul, the World’s Best e-Government to a Smart City; 50,000 IoT Sensors to be Installed throughout the City (Mar. 13, 2019), available at http://​english.​seoul.​go.​kr/​seoul-the-worlds-best-e-government-to-a-smart-city/​.

Ibid.

Government of the Republic of Korea Interdepartmental Exercise Mid- to Long- Term Master Plan in Preparation for the Intelligent Information Society (2016), pp. 40–42, available at https://​english.​msit.​go.​kr/​cms/​english/​pl/​policies2/​_​_​icsFiles/​afieldfile/​2017/​07/​20/​Master%20​Plan%20​for%20​the%20​intelligent%20​information%20​society.​pdf.

In 2014, the Korean military announced plans to reduce its number of troops more than 17% by 2022. Ibid., p. 40.

Ibid., p. 40.

Ibid., pp. 40–42.

Ministry of Science and ICT, Presidential Initiative for Artificial Intelligence (AI) in National Strategy for Artificial Intelligence (2019), pp. 1–3. Full text available at https://​english.​msit.​go.​kr/​cms/​english/​pl/​policies2/​_​_​icsFiles/​afieldfile/​2020/​03/​23/​National%20​Strategy%20​for%20​Artificial%20​Intelligence_​200323.​pdf.

See Min-hyung [33].

See Kyu-Seok [34], Yoon and Martin [35].

Eggers et al. [36], Mehr [37], Reis et al. [38], Engstrom [39].

See Victor [40], Wolfe [41], Mehmood et al. [42].

Ibid.

Ibid.

See Reardon [43].

See Burri [44].

See Timberg and Harwell [45].

Ibid.

Gesser et al. [46].

Ibid.

Ibid.

Ibid.

Ibid.

See Zastrow [47], Perrigo [48].

See Recommendations to the Government for the Fourth Industrial Revolution, Presidential Committee on the Fourth Industrial Revolution, available at https://​www.​4thir.​go.​kr/​cdn/​recommendation(eng).​pdf.

See Wagner and Furst [49], Denise Garcia, Lethal Artificial Intelligence and Change: The Future of International Peace and Security. International Studies Review, Vol. 20, Issue 2 (Jun. 2018), pp. 334–341; James Johnson, Artificial Intelligence & Future Warfare: Implications for International Security, Defense & Security Analysis, Vol. 35 (2019), pp. 147–169.

Ibid.

Ibid.

The commission is raising the minimum wage from 6,470 won per hour this year to 7,530 won next year, a 16.4% increase and the largest increase since 2001. The rise will continue until the minimum payment reaches 10,000 won. As of now, Korea’s per hour minimum wage is roughly in the upper middle among the OECD countries, when per capita GNP and GNI are factored in.

See Fleming [50], Calo [51].

Ibid.