Would you wear a perfume designed by artificial intelligence? Thanks to Alex Wiltschko, you may already have without realising it.
The founder of Osmo and its perfume creator tool Generation, Wiltschko is reshaping one of the world’s most secretive arts, using what he calls Olfactory Intelligence (OI) to democratise scent.
“There are 600 perfumers in the world. There are more astronauts alive than there are perfumers, but it doesn’t mean that you and I can’t design scent and can’t participate deeply in the scent design process. We believe that everyone should have the right to be creative and in the medium of scent and fragrance.”
The premise is simple – harness AI’s computational power to create perfumes to any brief. And there’s space, he argues. “There are maybe 100,000 fragrances on the market. But how many photographs? How many paintings? How many songs?
“I grew up in south Texas, and my parents were scientists,” says Wiltschko, who has been fascinated by smell since childhood. His early attempts at being a perfumer were, by his own admission, “garbage”. The issue was not talent, but access. “The world of fragrances has kept them a complete secret for 300 years, and that always stuck with me.”
Undeterred, he pursued a doctorate in olfactory neuroscience at Harvard University to study how the brain processes smell. “I learnt very acutely that we don’t know that much.” He went on to Twitter, then Google Brain, where he founded parent company Alphabet’s olfaction group, before stepping away – with Google’s blessing – to digitise scent full-time.
For three years, Wiltschko and his team have been “deep in the weeds of research, development and science”, making the breakthroughs that underpin Generation. “We can now take a smell from one location, digitally encode it, then decode and reprint it as the same smell elsewhere. That’s what generates the data to train the OI algorithm that lets us build the experience.”
It’s easier to demonstrate than explain. During our call, we set a brief: niche, feminine and nostalgic. Within seconds, Generation produces Childhood Reverie, with top notes of orange, mint and bergamot “to evoke summer air and outdoor adventures”, layered over violet, berries, peach and honey, recalling childhood desserts. Alongside comes a moodboard of pastel skies. Generation also outputs the molecular formula, with precise ratios enabling a lab to create it. This is the most important step, Wiltschko explains, that would normally take a perfumer months to formulate.
Each client receives three OI-generated samples before Generation’s master perfumer, Christophe Laudamiel, steps in to refine them for the market. “We have to smell it, and everything that goes out of the door, there are human perfumers involved,” Wiltschko stresses. “The AI doesn’t make the process happen, it just speeds it up.”
During our half-hour interview, Generation produces two distinct but complementary perfumes from the same brief. “For a master perfumer, that’s a year and a half of work,” he notes. The implications are vast.
Where fragrance was once the preserve of heritage houses and conglomerates, Generation allows emerging brands – even individuals – to launch bespoke scents quickly and at low cost. In theory, a boutique could brief Generation and have a fragrance ready within weeks, bypassing the layers of exclusivity that have defined perfumery for centuries.
Though it was launched only recently, Generation has already produced a scent for Seattle’s Museum of Pop Culture, inspired by a nine-metre statue of guitars. “It even smells electric,” says Wiltschko with a laugh.
For all the innovation, he is unfazed by competition. Isn’t he worried others will copy the idea? “I’ve been working towards this for nearly 20 years, and it’s by far the hardest thing I’ve ever done. If someone wants to replicate it, start your engines. Good luck.”
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Company%20Profile
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Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
- Visibility: Often dramatic with thick "walls" of sand
- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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