The Binding Problem
The Binding Problem comes into play in any processing environment. Basically stated it is the problem of how an object can be bound so that it may be operated upon. One of the most popular areas of study involves image processing which humans do with ease but computers still struggle with. But the problem is a general one and becomes increasingly hard to solve as the number of operations and objects proliferates as it is doing today on the Internet. Considering the number of processors, the increasing ubiquity of networks, the explosion of data, the proliferation of smart devices, one can easily see that the problem is basically intractable.
However there are certainly major advances being made. Google is working hard to solve the general problem of finding an object on the Internet. Nuance is focused on allowing voice interfaces that link Humans to computing resources. Synaptics is doing the same thing with touch. Robotics (iRobot) and location services (Trimble) are other aspects of our coverage in this area. Putting digital information back into the physical world is another element and companies like Three-D Systems and Stratasys are leading the development and commercialization of this process.
Over time this area will develop into an environment where it will become increasingly difficult to tell the difference between real physical objects and virtual ones. The world will become more like The Matrix but hopefully without the metaphysical issues. Although public companies are not well-established in this space we are closely watching companies like Second Life.