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JM Jim Masso On The Energy Gang

“Everyone's excited about AI, right? Like it's every interview, it's about AI. What are you doing with AI? Well, hey, but I'm also doing this really cool stuff with hardware. Oh, that's great. Let's talk about AI. But we've got this great business that does compression technology. Yeah, but software, please. I think it's important to know that the physical systems also still really matter.”

The Energy Gang · Climate & Energy · November 2026

“Everyone's excited about AI, right? Like it's every interview, it's about AI. What are you doing with AI? Well, hey, but I'm also doing this really cool stuff with hardware. Oh, that's great. Let's talk about AI. But we've got this great business that does compression technology. Yeah, but software, please. I think it's important to know that the physical systems also still really matter.” — Jim Masso, The Energy Gang

Context

Asked where AI will take Honeywell's business in five years, Masso describes how every conversation gets steered to software, even though physical systems are what make the plants run.

Transcript

The Energy Gang Around 45:32 into the episode
Jim Masso

…process quickly enough. But it all started with a very fundamental problem back to the history of automation. How do we augment the operator? How do we make it easier to run the plant? How do we make operators more intelligent, thereby having this cognitive capability built into our systems?

Ed Crooks

So where does the technology go next then? It's obviously fairly hard to predict. It's changed a great deal just in the past five years. But if you were to speculate about where you think we're going to be five years from now, how is AI going to make your business different?

Jim Masso

So first of all, I think one of the things, and I've mentioned this before, it always does start with people. I think one of the concerns people hear about AI and what does it do for jobs? Well, domain experience becomes more important. And the ability to reason on top of a tool is becoming incrementally more important every day. And so when we build a tool, one of the things we're thinking about is how do we educate the operator today? How do you become really knowledgeable on a system? Because that skill is still going to be really important. And by the way, AI is not going to do anything that hasn't been informed by previous history or previous data. It learns on data. It's not great at coming up with wildly new patterns that aren't otherwise derived from other systems. And so building that intelligence so you can continue to innovate is so important. I don't see that going away. We can talk about world models, you know, the kind of the next generation of AI, maybe, but with what we see today in large language models, that skill is really important. Now, what does the system look like five years from now? Well, I can tell you the evolution of thought we've just had in…

Per Erik Holsten

Jim Masso, thank you very much.

Ed Crooks

To talk about another aspect of energy technology and how it supports resilience, I spoke to Bruno Melles, who's the managing director of the transformer business for Hitachi Energy. Two years ago, we had one of his colleagues on the show to talk about the severe issues in the supply chain for…

Per Erik Holsten

Well, it is amazing to say that in the last couple of years, many, many things changed. On one side,

Speaker names come from our own diarization. The position is estimated from where the line sits in the episode.

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