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Monday, January 01, 2001

Veteran Entrepreneur Takes Helm of World?s First Commercial Research Effort to Create True Artificial Intelligence
Tel Aviv, Israel -- January 1, 2001 ? Ai Research & Development Ltd., the Research arm of Artificial Intelligence NV (Ai) today announced that Jack Dunietz, former CEO of Magic Software Enterprises (NASDAQ: MGIC), has accepted a full-time position as the company?s President.

With a staff of 25 world-renowned scientists and engineers, Ai is creating a computer that can converse just like a human. Using proprietary mathematical and cognitive methodologies, Ai?s technology will enable machines to learn from experience, demonstrate creativity, and mediate between people and the digital environment, replacing current user interfaces with human language.

?It is an exciting period for me. Making the Ai dream happen has long been an ambition of mine, and it is now materializing for me,? said Dunietz. ?I will devote all my attention now to making Ai the enterprise that will bring true artificial intelligence to the world.?
Dunietz, the visionary who laid the groundwork of the company, is leading his team in an effort to truly create a new life form. Ai?s technology ? expected in 2010 ? will set a new standard for human-machine relationships, equal in impact to that of the steam engine and personal computer.

To achieve this goal, Ai has created a ?child machine? and is teaching it to converse as it grows. Ai is the first to pursue this developmental approach, which most accurately follows the ideas of computing visionary Alan Turing, and is aimed at passing the Turing Test, known in the academic and scientific community as the gold standard for machine intelligence. To date, Ai?s algorithmic computer model ? internally code-named ?Hal? ? has reached the conversational capacity of a 15-month-old child. Using developmental metrics analogous to human chronological age, Ai will announce a series of milestones as Hal matures.

Dunietz, one of the pioneers of the high-tech industry, has founded, managed, and taken public several companies. In addition to Magic Software Enterprises, he has played a leadership role in the development of Mashov Computers Ltd. (TASE: MSHV) and several successful start-ups. He holds degrees in computer science and philosophy.

About Ai

Artificial Intelligence NV (Ai) is the world?s leading AI research project, focusing on creating genuine Artificial Intelligence ? the technology that enables machines to converse with humans in natural language. Based on a groundbreaking approach, Ai?s technology will pass the Turing Test for machine intelligence within a period of 10 years. Ai is an international company with offices in Boston, Massachusetts and a research center in Tel Aviv, Israel.