"When a product is connected to the network it has two brains. A little local one that can perform cheap calculation, and a big one in the network that can do potentially anything at all: massive facial recognition, searching all of Amazon, advanced artificial neural networks, whatever. Think of Siri on iPhone: iPhone’s little brain records and compresses the voice, and does simple matching with local data. Siri also talks to the network, and that’s where the speech recognition happens. And the Wolfram|Alpha facts and calculations. And anything else Apple adds to Siri’s big brain in the future."