In our digital world, data is now as valuable as gold or oil. To be successful, companies must prepare to treat their data like a commodity by acting and making a profit from it. Data is especially valuable when it comes to artificial intelligence and machine learning algorithms because it can provide value that enables new AI use cases.
For a market to be successful, scalability, quality and price of the data must be taken into account. This is where blockchain technology comes into play, with which marketplaces can be supplied with low infrastructure costs. Data is valuable, and blockchains can provide the infrastructure to make transactions economical while promoting data protection, which has become one of the most important aspects of selling and using data.
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Blockchain will change data markets
Last September, Snowflake became the largest software IPO to date, while Salesforce, which has been around for much longer, has been public since 2004. Since Salesforce has been around for decades, its foray into the blockchain was almost obvious – a company needs to adapt to technology advances to keep its place at the top. Salesforce currently uses blockchain as a low-code platform that allows companies to share verified, distributed data sets across a trusted network of partners and third parties. With the introduction of blockchain technology, companies can use Salesforce and Snowflake to create blockchain networks, workflows, and apps that deliver new customer experiences.
Technology is constantly evolving and moving forward, never backward. Hence, these companies need to keep abreast of trends and innovations in the blockchain ecosystem to stay competitive. Gartner predicted that “by 2021, 90% of current enterprise blockchain platform implementations will need to be replaced within 18 months” to remain relevant. This is important to understand as the world is producing more data than ever before due to the advent of the Internet of Things, AI and the digitization of everyday life.
The data collected through our smartphones, laptops and watches are of course more complex and specific than ever. This helps companies make more informed decisions and increase efficiency and profitability. It makes sense that the technology will advance quickly in the future and need to be replaced more frequently.
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How AI and blockchain technology will change data markets
In order to further drive technological progress through blockchain and AI, there are companies that offer autonomous economic actors to facilitate decision-making for companies. These agents can work autonomously on behalf of a customer and conduct economic transactions to facilitate decision-making. Not only do customers buy and exchange sets of values, but they can also use those sets of data to train their own AI.
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These AI prediction models can collect relevant and anonymized data. When a company buys and receives data, it can effectively train its model to then make more accurate predictions that can be used across industries and provide tremendous value that would otherwise not be possible without AI.
Blockchain enables the monetization of data
While the monetization of data has been around for quite some time and is clearly on track to continue innovating and pocketing money, it has also suffered from poor interoperability, data pricing issues, and privacy concerns due to a lack of control over ownership. The answer to these obstacles is simply the widespread adoption of blockchain technology.
By uniting blockchain and artificial intelligence, the ability to build AI models on data without compromising privacy would be available not only to organizations and companies, but also to individuals. According to MarketsandMarkets, the consumer data monetization market is projected to have grown to over $ 6 billion by 2025. This rapidly growing market touches myriad industries and plays a huge role in the growth and future of technology.
Leveraging the blockchain’s ability to unlock the value of data in a decentralized environment will transcend the data markets industry, make transactions safer and more transparent, and improve both the consumer and business experience. While data is just as valuable today as gold or oil, data protection is also a new valuable digital asset, which means that the future of our world may no longer lie in specific offers.
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Humayun Sheikh is the CEO and Co-Founder of Fetch.ai. Sheikh is an entrepreneur and founding investor in DeepMind who is now changing the way we use artificial intelligence to do business and travel.