The Data Economy: Fuel of the Future

Question 1 

The main points that the article highlighted are that data that is readily available in the the digital era has led to the growth of economies such as business, infrastructure as well as politics. People do not need to be connected to the internet because there are connected sensors across all areas, even in the toilets, and people can quickly leave digital trails. Inferences put across in the article is that the data economy is speeding up personalization among users and companies are currently competing from who will benefit most from the available data in the market. The primary examples given include Uber, Facebook, and Google. The main conclusion of the article is that a firm can gather lots of data, for instance, by using artificial intelligence to attract more users who will eventually supply more data. 

Question 2 

The article presented data to support the points. For example, the article extracted information about data-driven seals. Companies that were included comprises of Facebook, which mainly targets data from Instagram and WhatsApp. The leading information gathered includes photo sharing and text message, and the value of the deal is currently worth $1b and $22billion, respectively. Also, IBM targets The Weather Company and Truven Health Analytics on areas such as healthcare and meteorology. The value of the deal between them currently stands $2b and $2.6b, respectively. 

Question 3 

The evidence provided in the article has a definite credible source. For instance, the information provided above was extracted from each company's reports. The Facebook official page is a reliable source that has been proven by many scholars to be credible. They provide accurate data about the companies and what they target each year. IBM is also the same with Facebook; it is a recommended website from multiple comparisons ranging from what they do, achieved, target, and also the value of data that they have accumulated so far. All other companies that were provided in the article are reputable firms that any researcher can accurately use for the sake of comparison. 

Question 4 

The evidence is absolutely consistent with the arguments. The leading case in the paper is how data-driven and data sharing are boosting the economy for many companies. As explained in the article, no mandatory data is sharing especially in online platforms. Each company is trying to swallow each other, as seen in the case of Facebook and Instagram (The Economist, 2017). Consecutively, Instagram has also enabled its users to exports contacts from Twitter. The evidence provided shows how companies are targeting each other for the sake of looking as much data as possible, which they can utilize in venturing into other forms of business such as translation, visual recognition, and assessing the personality of individuals. 

Question 5 

The author's world view is that the data economy is the current business trend where companies convert raw data available on the internet into valuable use. Additionally, companies tend to exchange or trade, especially those who intend to advertise on online platforms. The author's views also revolve around antitrust as well as ways of identifying useful data that can be put into good use. The author's primary perception is competition among big companies trying to collect as much data as possible. There is another world view that the author could have considered in the article, and it is involved in ways the data economy is a disadvantage to small companies. For instance, the data economy is only applicable to a big firm such as Facebook, Amazon, Apple, Google, and many more. What about small companies who do not find much data to compete with companies with sufficient data to convert them into other businesses. It has been seen that many companies are currently collapsing due to digital marketing, and it is clear that the data economy is not fueling all companies' prosperity. 

Question 6 

There are two things I agree with about the article. The first one is converting data to be used in other business avenues and data-network effect, which means generating more data to enhance services and attract more users. Data-network effect is a common trend, and it has assisted many businesses to grow. It has also been the center of the most significant success stories in the history of the internet industry. A classic example that I found profound in the article is Google, where it depends on the more people search, the more data they offer, enabling the firm to continuously refine and enhance its fundamental performance as well as personalization of the users` experience. 

References 

The Economist. (2017, May 6).  Data is giving rise to a new economy .  https://www.economist.com/briefing/2017/05/06/data-is-giving-rise-to-a-new-economy