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a very high number of transactions. “You got a choice, you go broke by raising prices or you go broke by losing money because you can’t raise prices,” Rensi continued. “So I understand the need to perhaps make a public statement that you’re going to $15 and I don’t quarrel with that aspect of it. But when the rubber meets the road, you’ve got to look at what are the franchisees going to do because they’re 80% to 90% of the system and a lot of them are already there.” Rensi noted that the federal minimum wage helps determine union labor contracts from the AFL-CIO. “The higher the minimum wage goes federally, the higher their union contracts go,” Rensi explained. “You got the Service International Workers Union going out to McDonald’s and Burger King and Wendy’s like crazy. What are they going to do for those quick service restaurant workers? They’re going to force the cost of labor up, which means it’s going to force management to find alternatives, which means they’re going to lose jobs. And technology is always cheaper than people.” CLICK HERE TO READ MORE ON FOX BUSINESS Rensi added that consumers will ultimately end up carrying the costs associated with the wage hike, and that the push toward automation is aimed at maintaining the convenience and speed of fast food. He also warned that automation will allow “institutional big guys” to take over the industry at the expense of small business. Ticker Security Last Change Change % MCD MCDONALD’S CORP. 236.26 -0.16 -0.07% QSR RESTAURANT BRANDS INTERNATIONAL, INC. 63.63 -0.27 -0.42% WEN THE WENDY’S CO. 22.23 -0.04 -0.18% Powered By McDonald’s isn’t the only restaurant making moves toward automation. In September, competitor Burger King announced a new redesign that will provide guests with new ordering and delivery models tailored to customer needs or wants. A conveyer belt system will deliver food from the kitchen to the drive-thru and food will be placed in coded lockers on the exterior of restaurant locations for guests placing online and delivery orders. Wendy’s also rolled out self-ordering kiosks in 1,000 of its stores back in 2017.
Video Amy McGovern is one of those rare people who moved to Oklahoma for the weather. Which isn’t to say she personally enjoys the tornadoes that regularly tear through the state or the routine pummeling with golf-ball-size hail. “I’m on roof number three in 15 years,” she laughs. But that severe weather is her reason for coming: A computer scientist who formerly worked in robotics, she was recruited by the University of Oklahoma’s school of meteorology. And last fall, with $20 million from the National Science Foundation, she launched one of the country’s foremost institutes applying artificial intelligence to weather and climate. As new techniques in machine learning become ubiquitous and yield startling applications, such as recognizing faces or mimicking human writing, her center is part of a new push to see if they can read the clouds. SPACEX LAUNCH LEAVES BEHIND COLORFUL CLOUD EFFECT OVER FLORIDA SKIES Dr. McGovern’s institute, which also includes six other universities and a variety of private partners, is part of that effort. In addition to developing artificial-intelligence methods to improve prediction of extreme weather and coastal oceanography, they are working to ensure the tools they develop are viewed as trustworthy by the human forecasters who will ultimately use them. “We’re testing the whole cycle,” she says. “We will actually save lives and save property.” AI is already making existing prediction methods more efficient and contributing to increases in the speed and accuracy of forecasting, and it shows promise for tracking the paths of severe
weather like tornadoes and hail with greater precision. The technology isn’t going to replace traditional weather forecasting but rather augment and strengthen existing methods. Boosting efficiency There is enormous opportunity in more accurately forecasting and better preparing for severe weather. According to the National Oceanic and Atmospheric Administration, in 2020 there were a record-setting 22 weather and climate disasters that each did more than $1 billion in damage. Modelers estimate the recent freeze in Texas destroyed infrastructure and disrupted supply chains worth $90 billion. And for all the improvements in forecasting over the years, there is still a lot we don’t know. According to Dr. McGovern, the government is fairly comprehensive in giving advanced warnings of tornadoes, anticipating 80% of them, but prone to false positives, with 80% of warnings turning out to be mistaken. Since the beginning of modern weather forecasting in the 1950s, meteorologists have primarily relied on “numerical weather prediction” — mathematical models that simulate the world and atmosphere in accordance with the physics of water, wind, earth and sunlight, and the infinite ways they interact. In the pursuit of an ever more detailed rendering, today’s models incorporate about 100 million pieces of data each day, a level of complexity comparable to simulations of the human brain or the birth of the universe. GET FOX BUSINESS ON THE GO BY CLICKING HERE For decades, this has produced steady improvements in forecast accuracy. But in recent years, the proliferation of Earth-observation satellites as well as new sensors, like the air-pressure monitors in billions of mobile phones, have outstripped scientists’ ability to integrate them into weather models. And even crunching a fraction of these data
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