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So neural networks and support vector machines are essentially equivalent [1]. Thus both these approaches effectively project input into a high level feature-space and then draw a hyperplane between two different point sets. The cleverness or not of this depends on how the algorithm effectively creates the feature-space. The article's comments could be interpreted as Deep neural networks allow feature-spaces which otherwise require many more neurons.

But thing is, first consider that being divided by a plane in a feature space is simply a convenient quality that many patterns have. It's similar to data you can draw a line along to extrapolate further values of. However, unlike that approximately linear data, you can't "why" your complex is separated by a particular plane in the feature space and the reason is that your neural network or SVM data is more or less trapper in the model - it's not going to be further processed except in using that model for that particular pattern.

[1] http://www.scm.keele.ac.uk/staff/p_andras/PAnpl2002.pdf

This comment is very confusing. First of all, the linked paper doesn't state what you claim it states. The authors show equivalence between two specific frameworks of neural networks: SVM-NN and Regularized-NN, and not equivalence between SVM and NN. Generally, SVM and NN are equivalent only in the sense that all discriminative models are equivalent. The kernel trick in SVM requires your embedding to have an "easily" calculable inner product. I'm not an expert, but I think this places strong constraints on the embeddings you can use.

Second of all, SVM does not create any feature space (i.e., embeddings). It just finds a good separator with a maximal margin. Deep NNs, on the other hand, do create features in their hidden layers.

Anyway, even ignoring these issues, I'm not sure I understood your main point.

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