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H2O.ai

Machine Intelligence
H2O: A Platform for Big Math
Arno Candel, PhD

Chief Architect
or: How to make A.I. and TensorFlow work for you
+20 more
H2O.ai

Machine Intelligence
Who Am I?
Arno Candel
Chief Architect,
Physicist & Hacker at H2O.ai
PhD Physics, ETH Zurich 2005
10+ yrs Supercomputing (HPC)
6 yrs at SLAC (Stanford Linear Accelerator)
4.5 yrs Machine Learning
2.5 yrs at H2O.ai
Fortune Magazine Big Data All Star
Follow me @ArnoCandel
2
Who	am	I?
H2O.ai

Machine Intelligence 3
Overview
Machine Learning (ML)
Artificial Intelligence (A.I.)
Computer Science (CS)
H2O.ai
Deep Learning (DL)
hot hot hot hot hot
H2O.ai

Machine Intelligence 4
A	Simple	Deep	Learning	Model:	Artificial	Neural	Network
heartbeat
blood
pressure
oxygen
send to regular care
send to intensive

care unit (ICU)
IN: data OUT: prediction
nodes : neuron activations (real numbers) — represent features
arrows : connecting weights (real numbers) — learned during training
: non-linearity x -> f(x) — adds model complexity
from 1970s, now rebranded as DL
H2O.ai

Machine Intelligence 5
Brief	History	of	A.I.,	ML	and	DL
John McCarthy

Princeton, Bell Labs, Dartmouth, later: MIT, Stanford
1955: “A proposal for the Dartmouth summer
research project on Artificial Intelligence”
with Marvin Minsky (MIT), Claude Shannon 

(Bell Labs) and Nathaniel Rochester (IBM)
http://www.asiapacific-mathnews.com/04/0403/0015_0020.pdf
A step back: A.I. was coined over 60 years ago
H2O.ai

Machine Intelligence 6
Step	1:	Great	Algorithms	+	Fast	Computers
http://nautil.us/issue/18/genius/why-the-chess-computer-deep-blue-played-like-a-human
1997: Playing Chess
(IBM Deep Blue beats Kasparov)
Computer	Science

30	custom	CPUs,	60	billion	moves	in	3	mins
“No computer will ever beat me at playing chess.”
H2O.ai

Machine Intelligence 7
Step	2:	More	Data	+	Real-Time	Processing
http://cs.stanford.edu/group/roadrunner/old/presskit.html
2005: Self-driving Cars

DARPA Grand Challenge, 132 miles
(won by Stanford A.I. lab*)
Sensors	&	Computer	Science

video,	radar,	laser,	GPS,	7	Pentium	computers
“No computer will ever drive a car!?”
*A.I. lab was established by McCarthy et al. in the early 60s
H2O.ai

Machine Intelligence 8
Step	3:	Big	Data	+	In-Memory	Clusters
2011: Jeopardy (IBM Watson)
In-Memory	Analytics/ML	
4	TB	of	data	(incl.	wikipedia),	90	servers,

16	TB	RAM,	Hadoop,	6	million	logic	rules
https://www.youtube.com/watch?v=P18EdAKuC1U https://en.wikipedia.org/wiki/Watson_(computer)
Note: IBM Watson received the question in electronic written form, and was
often able to press the answer button faster than the competing humans.
“No computer will ever answer random questions!?”
H2O.ai

Machine Intelligence 9
“No computer will ever speak any language!?”
2014: Google

(acquired Quest Visual)
Deep	Learning

Convolutional	and	Recurrent	
Neural	Networks,	
with	training	data	from	users
Step	4:	Deep	Learning
• Translate between 103 languages by typing
• Instant camera translation: Use your camera to translate text instantly in 29 languages
• Camera Mode: Take pictures of text for higher-quality translations in 37 languages
• Conversation Mode: Two-way instant speech translation in 32 languages
• Handwriting: Draw characters instead of using the keyboard in 93 languages
H2O.ai

Machine Intelligence 10
Step	5:	Augmented	Deep	Learning
2014: Atari Games (DeepMind)
2016: AlphaGo (Google DeepMind)
Deep	Learning

+	reinforcement	learning,	tree	search,

Monte	Carlo,	GPUs,	playing	against	itself,	…
https://deepmind.com
Go board has approx.
200,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,
000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000 (2E170) possible positions.
trained	from	raw	pixel	values,	no	human	rules
“No computer will ever beat the best Go master!?”
H2O.ai

Machine Intelligence 11
Microsoft had won the Visual Recognition challenge:
http://image-net.org/challenges/LSVRC/2015/
Step	6:	A.I.	Chatbots	have	Opinions	too!
H2O.ai

Machine Intelligence 12
What	Will	Change?
Today Tomorrow
Better	Data	—	Better	Models	—	Better	Results
Example:	
Fraud	
Prediction
H2O.ai

Machine Intelligence 13
H2O.ai	-	Makers	of	H2O
H2O	-	AI	for	Business	Transformation	
• Scalable	and	Distributed	Data	Science	and	Machine	Learning:

Deep	Learning,	Gradient	Boosting,	Random	Forest,	Decision	Trees,	

Logistic	Regression,	Generalized	Linear	Modeling,	K-Means,	PCA,	GLRM,	…		
• Fast,	accurate,	robust,	proven,	fully	featured	
• Apache	v2	open	source	(github.com/h2oai)	


Easy	to	Use	and	Deploy	
• h2o.ai/download	and	run	anywhere,	immediately	
• Client	APIs:	R,	Python,	Java,	Scala,	REST,	Flow	GUI	
• Spark	(cf.	Sparkling	Water),	Hadoop,	Standalone	
• Java	scoring	code	auto-generated
H2O.ai

Machine Intelligence 14
H2O.ai	-	Growing	Rapidly
+ 10 more recent hires
author
data.table
r2d3.us
ceo
grammar
of graphics
pure
software
kaggle
master
many many talents at H2O…
found Pentium bug
POSIX
h2o.ai/careers
H2O.ai

Machine Intelligence 15
High	Level	Architecture	of	H2O
HDFS
S3
NFS
Distributed	
In-Memory
Parallel	Parser
Lossless	
Compression
H2O	Compute	Engine
Production	Scoring	Environment
Exploratory	&	
Descriptive	
Analysis
Feature	
Engineering	&	
Selection
Supervised	&	
Unsupervised	
Modeling
Model

Evaluation	&	
Selection
Predict
Data	&	Model

Storage
Model	Export:	
Plain	Old	Java	Object	
Your	
Imagination
Data	Prep	Export:	
Plain	Old	Java	Object	
Local
SQL
LDAP
Kerberos
SSL
HTTPS
HTTP
H2O.ai

Machine Intelligence
Native	APIs:	Java,	Scala	—	REST	APIs:	R,	Python,	Flow,	JavaScript,	Java
16
library(h2o)	
h2o.init()	
h2o.deeplearning(x=1:4,y=5,as.h2o(iris))
import	h2o	
from	h2o.estimators.deeplearning	import	H2ODeepLearningEstimator	
h2o.init()	
dl	=	H2ODeepLearningEstimator()	
dl.train(x=list(range(1,4)),	y="Species",	training_frame=iris.hex)
import	_root_.hex.deeplearning.DeepLearning	
import	_root_.hex.deeplearning.DeepLearningParameters	
val	dlParams	=	new	DeepLearningParameters()	
dlParams._train	=	iris.hex	
dlParams._response_column	=	‘Species	
val	dl	=	new	DeepLearning(dlParams)	
val	dlModel	=	dl.trainModel.get
All	heavy	lifting	is	done	by	the	backend!
Built-in	interactive	GUI	and	
notebook	-	no	coding	necessary!
H2O.ai

Machine Intelligence 17
Gradient Boosting Machine

Tree Model
(nano-fast)
Auto-generated

Java scoring code
to easily

Operationalize Data Science
Easily	Bring	Models	into	Production
READ MORE
H2O.ai

Machine Intelligence
Spark	+	H2O	=	Sparkling	Water
18
• Spark	2.0	API	compatibility	
• Use	H2O	algorithms	in	
conjunction	with,	or	instead	of,	
MLLib	algorithms	on	Spark	
• Build	Ensembles	using	H2O	and	
MLLib	Algorithms	
• Visual	Intelligence	for	Spark.	Run	
Spark,	MLLib,	Scala	in	Flow	
• Export	MLLib	models	as	POJOs	
• Toolchain	for	ML	pipelines	and	
debugging	support
Sparkling	W
ater	
2.0
H2O.ai

Machine Intelligence 19
Live	H2O	Deep	Learning	Demo:	Predict	Airplane	Delays
10 nodes:

all 320 cores busy
real-time, interactive
model inspection in Flow
116M rows, 6GB CSV file

800+ predictors (numeric + categorical)
model trained in <1 min:

2M+ samples/second
Deep Learning Model
H2O.ai

Machine Intelligence 20
H2O Elastic Net (GLM): 10 secs
alpha=0.5, lambda=1.379e-4 (auto)
H2O Deep Learning: 45 secs
4 hidden ReLU layers of 20 neurons, 1 epoch
Features have non-
linear impact
Chicago, Atlanta,
Dallas:

often delayed
Significant	Performance	Gains	with	Deep	Learning
Predict departure delay (Y/N) on 20 years of airline flight data
(116M rows, 12 cols, categorical + numerical data with missing values)
WATCH NOW
AUC: 0.656
AUC: 0.703
(higher is better, ranges from 0.5 to 1)
Feature importances
10 nodes: Dual E5-2650 (8 cores, 2.6GHz), 10GbE
21
• Data	matrix	is	chunked	into	columnar	blocks	
• Algorithms	can	parallelize	over	these	blocks	
• Scalable	to	many	TBs:	Each	node	fills	its	memory	with	data		
• Columns	are	separate	entities	(fast	add/remove/modify)	
• Similar	to	data	frames	in	R,	Pandas,	and	now	also	Spark
Distributed In-Memory Data Frames
So How Does It Work?
22
p	cols
N/6	rows
N/6	rows
N/6	rows
N/6	rows
N/6	rows
N/6	rows
massively
p	cols
N	
rows
parallel
Parallel Parse into Distributed Rows
HDFS,	S3,	NFS,	SQL,	…
parser
23
map()
map() reduce()
reduce()
reduce()map()
map()
map()
map() reduce()
reduce()
reduce()map()
map()
map()
map() reduce()
reduce()
reduce()map()
map()
map()
map() reduce()
reduce()
reduce()map()
map()
map()
map() reduce()
reduce()
reduce()map()
map()
map()
map() reduce()
reduce()
reduce()map()
map()
reduce()
reduce()
reduce()
reduce()
reduce()driver Algo	calls

M/R	Task
Data	Parallelism	-	all	CPU	cores	are	at	work
Compute Paradigm: Fine-Grain Map/Reduce
final	result
map():	process	data,	reduce():	aggregate	results
24
• Distributed	in-memory	data	store	holds	data,	models,	etc.	
• Columnar	compression	(often	better	than	gzip	on	disk)	
• Low-level	Java	code	(byte[],	float[],	bit	operations,	etc.)	
• Data	read/write	access	at	memory	bandwidth	speeds	
• Custom	serialization,	networking	and	execution	layer	
• Auto-generated	REST	client-server	API	(R,	Python,	Flow,…)	
• Standalone	scoring	code	auto-generated	for	every	model
Implementation Details
25
Distributed Gradient Boosting Machine
find	optimal	split	
(feature	&	value)
• H2O:	First	open-source	implementation	of	scalable,	distributed	
Gradient	Boosting	Machine	-	fully	featured	
• Parallelized	Individual	Tree	Construction	
• Discretization	(binning)	for	speedup	without	loss	of	accuracy
age	<	25	?
Y N
all	data
age
12 118
income
1k 1M
Analytical	error	landscape
best	split:	age	25
H2O:	discretized	into	bins
12 118
age	25
age
26
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
map()
driver Algo	calls

histogram	
method
data	parallelism	-	global	histogram	computation
Scalable Distributed Histogram Calculation
global	histogram
local	histogram			-	one	each	for	w,	w*y	and	w*y2
w:	observation	weights	
y	:	response
Same	results	as	if	
computed	on	a	
single	compute	
node
Over	7000	enterprises	use	H2O
Financial Insurance MarketingTelecom Healthcare
27
H2O.ai

Machine Intelligence
User	Based	Insurance
WATCH NOW
WATCH NOW
“H2O is an enabler in how people
are thinking about data.”
“We have many plans to use H2O
across the different business units.”
28
Today’s Keynote!
H2O.ai

Machine Intelligence
Digital	Marketing	-	Campaigns
“H2O gave us the capability to do Big
Modeling. There is no limit to scaling in H2O.”
“Working with the H2O
team has been amazing.”
“The business value that we have gained
from advanced analytics is enormous.”
WATCH NOW
WATCH NOW
29
H2O.ai

Machine Intelligence
WATCH NOW
WATCH NOW
Matching	TV	Watching	Behavior	with	Buying	Behavior
“Unlike other systems where I had
to buy the whole package and just
use 10-20%, I can customize H2O
to suit my needs.”
“I am a big fan of open source. H2O is
the best fit in terms of cost as well as ease
of use and scalability and usability.”
30
H2O.ai

Machine Intelligence
WATCH NOW
WATCH NOW
Insurance	-	Risk	Assessment
“Predictive analytics is the differentiator
for insurance companies going forward
in the next couple of decades.”
“Advanced analytics was one of the
key investments that we decided to
make.”
31
H2O.ai

Machine Intelligence
Fintech	-	Fraud/Risk/Churn/etc.
“H2O is a great solution because it's
designed to be enterprise ready and
can operate on very large datasets.”
”H2O has been a one-stop shop that helps
us do all our modeling in one framework.”
”H2O is the best solution to be able to
iterate very quickly on large datasets
and produce meaningful models.”
WATCH NOW
WATCH NOW
32
Today’s Keynote!
H2O.ai

Machine Intelligence 33
H2O	Booklets
DOWNLOAD
Come get your booklets at our booth!
R Python Deep Learning GLMGBMSparkling Water
H2O.ai

Machine Intelligence 34
Data	Scientists	Love	This	Stuff
H2O GBM Model Tuning Tutorial for R/Python/Flow
https://github.com/h2oai/h2o-3/blob/master/h2o-docs/src/product/tutorials/gbm/
H2O.ai

Machine Intelligence 35
KDNuggets	Poll	about	Deep	Learning	Tools	&	Platforms
http://www.kdnuggets.com
H2O	and	TensorFlow	are	tied
usage	of	Deep	
Learning	tools	in	
past	year
H2O.ai

Machine Intelligence 36
TensorFlow	+	H2O	+	Apache	Spark	=	Anything	is	possible
In	progress:	Integration	with	GPU	DL	tools	(TensorFlow/Caffe/mxnet/etc.)
https://github.com/h2oai/sparkling-
water/blob/master/py/examples/
notebooks/TensorFlowDeepLearning.ipynb https://www.youtube.com/watch?v=62TFK641gG8
H2O
ALGORITHMS
EXPERIENCE
DATA
VERTICALS
• H2O	Flow	
Single	web-based	Document	for	
code	execution,	text,	mathematics,	
plots	and	rich	media		
• Visual	Intelligence	
UX	and	Interpretability	for	AI	
• Steam		
Elastic	ML	&	Auto	ML	
Operationalize	
Data	Science	
H2O.ai	Now	Focused	On	Experience

Beyond	Algorithms	and	Data

37
DATA	PRODUCTS
H2O.ai

Machine Intelligence 38
Steam	-	Automated	Platform	to	Build	and	Scale	Smart	Data	Products
DevOps/Data	Engineers
Data	Scientists
Advanced	Data	Scientists
Software	Engineers
Application	Software	Engineers
DATA
BUSINESS	
INSIGHTS
AI	–	Machine	Learning Automation Scalability Visualization
Coming	Soon
H2O.ai

Machine Intelligence 39
H2O OPEN TOUR 
w w w. O P E N . H 2 O . A I
We’re	coming	to	a	town	near	you	in	NYC	/	TX
Visit	our	Booth	Today!
H2O.ai

Machine Intelligence
A.I. and Deep Learning are hot (again)!
Make your own smart data products with H2O!


Try H2O today - installs in minutes!
40
h2o.ai/download
https://www.youtube.com/user/0xdata/videos
https://github.com/h2oai/h2o-3
H2O Google Group
@h2oai
Summary
We’re hiring: h2o.ai/careers/

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