Get onboard the algorithm train
Source: Michael Cooney
Algorithms are hot and will be a major driver in the future of IT and business. That was the driving thought from the opening keynote session at this week’s Gartner Symposium/IT Expo.
In five years 1 million new devices will come online every hour and these devices will create billions of new relationships. These relationships are not driven solely by data but algorithms, said Peter Sondergaard senior vice president of research withGartner.
“The algorithmic economy will power the next great leap in machine-to-machine evolution in the Internet of Things. Products and services will be defined by the sophistication of their algorithms and services. Organizations will be valued not just on their big data but by the algorithms that turn data into actions,” Sondergaard said.
“Data is inherently dumb. It doesn’t actually do anything unless you know how to use it, how to act with it. Algorithms are where the real value lies. Algorithms define action and dynamic algorithms are the core of new customer interactions,” Sondergaard said.
Sondergaard pointed out a few examples like Amazon’s recommendation algorithm that tell customers what else they might like to buy. He also noted Netflix’s algorithm that pumps out other films a user might like to watch.
| }
|