Wake Up to the Algorithm Economy
Big data gains its value from proprietary algorithms which promise enormous opportunities for business.
Big data, for all of its value, is inherently dumb. It doesn’t actually do anything unless you know how to use it. What makes Google one of the most valuable brands in the world? It isn’t data; it’s the company’s most closely guarded secret, its algorithms. Consider how Google’s proprietary algorithm in the driverless car functions as the connective tissue that combines the software, data, sensors and physical asset into a true leap forward in transportation. Or consider high frequency trading: A trader’s unique algorithm drives each decision that generates a higher return than competitors. The algorithm trumps the data that it accesses. The next digital gold rush will be focused on how you do something with data, not just what you do with it. This is the promise of the algorithm economy.
“The next digital gold rush will be focused on how you do something with data.”
Proprietary algorithms that solve specific problems that translate into actions – will be the secret sauce of successful organizations in the future. Algorithms are already all around us. And they promise a brave new world of opportunities: Software that thinks and does. Cognitive software that drives autonomous machine-to-machine interactions. Artificial intelligence.
Today, the opportunities for organizations and technology providers are enormous.
Read more on Smarter With Gartner website.
Peter Sondergaard, Senior Vice President and Global Head of Research at Gartner, will provide more analysis during Gartner Symposium/ITxpo 2015.
Gartner Symposium/ITxpo is the world’s most important gathering of CIOs and other senior IT executives. This event delivers independent and objective content with the authority of the world’s leading IT research and advisory organization, and provides access to the latest solutions from key technology providers. Gartner’s annual Symposium/ITxpo events are key components of attendees’ annual planning efforts. IT executives rely on these events to gain insight into how their organizations can use IT to overcome business challenges and improve operational efficiency.
Upcoming dates and locations for Gartner Symposium/ITxpo 2015 include: November 8 – 12, Barcelona, Spain