4 Steps to Start Monetizing Your Company’s Data

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3. Don't underestimate an off-the-shelf solution to data management — it may not be worth trying to solve the problem internally.

Today, companies everywhere are generating unprecedented amounts of data. While data has always grown naturally as a byproduct of economic and business activity, these days, as more and more of our personal and work lives take place online, humans are creating an abundance of data daily. In fact,For more than a decade, only the so-called FAANG companies were in the position to take advantage of collecting vast amounts of data at scale.

Getting the right tools isn’t enough, however. To gain long-term profits and a competitive edge, companies need to optimize their data — and learn to use it strategically. Their leaders should prioritize developing data processes as a core component of the business. To do so, they should take the following actions.The first step to understanding how to use your data is to understand what data you already have.

For example, we know that other companies have begun using historical data about utilities and building maintenance to save on future expenses. Think of what Google achieved when it connected. By taking historical data about temperature, power, pump speeds, and more that had been collected by thousands of sensors and using it to train a group of deep neural networks, DeepMind AI developed a series of recommendations that reduced the amount of energy used to cool Google’s data centers by 40%.

Read the news sources that startup founders and developer influencers read — such as Hacker News and ML Substacks — to learn about the latest products and cutting-edge ideas. After all, 10 years ago, Stripe didn’t launch their product at a Fortune 500 conference. They launched it on Hacker News.

 

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