His comments on CNBC's Closing Bell actually drew a quick response from IBM who said its AI is at the forefront of saving human lives, enhancing customer service, and driving business innovation in US and abroad. In the same interview, Palihapitiya said that Elon Musk was the closest thing of our generation to Thomas Edison.
"The companies that are advancing machine learning and AI don't brand it with some nominally specious name that's named after a Sherlock Holmes character." Watson is named after IBM's first CEO, Thomas J. Watson.
http://www.cnbc.com/2017/05/08/ibms-watson-is-a-joke-says-social-capital-ceo-palihapitiya.html