Sensors everywhere: six stories of incredible profits and artificial intelligence (part 2)
History fifth. Big Data for the entertainment industry
Netflix owes much of its success to algorithms that analyze user data and help make movie recommendations. The recommendation system affects 80% of the generated content. The company paid $1 million to the developer of an algorithm that predicts user preferences based on previous views. Netflix uses the algorithm to save $1 billion a year on customer retention.
History sixth. Blockchain for the offline economy
According to a survey by Deloitte, 34% of large companies in one way or another already use blockchain in their activities. Blockchain is an infrastructure for machine interaction and a space for data exchange. The advantages of the technology is that it is a safe environment with minimal risk of hacking, as well as to eliminate paperwork and increase the speed of operations.
With the help of blockchain, you can create entire ecosystems with their economy and currency. One of such systems was invented by the LGBT Foundation, which presented the issue of LGBT token in April. The Fund pointed out that the “pink economy” is estimated at $4.6 trillion annually — more than, for example, Germany’s GDP. With the help of their own currency, representatives of the LGBT community will be able to buy goods and services anonymously (for example, tickets to a gay festival), which is especially important in countries and regions with an unfriendly attitude to non-traditional couples. Donations can also be made to protect the rights of the community.
The total number of issued tokens is 1 billion, and the rate is pegged to the dollar ($0.3221 per token). The wallet with tokens can be held in the Horner application, a popular application that has 25 million users. The authors of the idea expect that companies that will accept “pink dollars” will benefit economically. In the “pink papers” (pink paper, the analogue of the white paper), they refer to survey data, according to which non-traditional couples consider themselves financially stable (only 15% of respondents reported economic difficulties), and the majority of the respondents said that they use the services of companies that are loyal to the LGBT couples and recognize their equality with the traditional pairs. 77% of respondents expressed the opinion that such companies will increase business volumes in 2019.
Increasingly, technologies overlap and form a completely new infrastructure for business. In 10 years, looking back, we will see how illiterate and short-sighted business decisions were not based on new technological opportunities.
Even 15 years ago, online advertising was a banner — one for all. Now, the bulk of advertising is targeted, and the supply economy is transforming into a demand economy. Due to technology, business opens up new opportunities, and what was previously available only to large corporations is now being introduced by medium-sized companies: their sales are growing, and costs are falling. Moreover, the introduction of technology significantly reduces errors caused by the human factor.