Monday, November 7, 2011

Data and Analytics Are the New Currency

The science of analytics, coupled with massive amounts of data, is transforming the world that we live in.

Cyber-physical systems, which we have been calling Supernetworks for a decade now, are impacting transportation, the electric grid, health care, complex supply chains, and provide promise for smart cities.

The EE Times has a marvelous article which notes that: According to the U.S. President’s Council of Advisors on Science and Technology, such “cyber-physical systems” will eventually constitute 50 percent of all electronics worldwide, making them a U.S. strategic asset.

In response, the National Institute of Standards and Technology recently announced a standardization effort to define interfaces for interoperability, as well as metrics and methods for measuring and comparing performance among smart systems. Such efforts set the stage for U.S. entrepreneurs to build successful smart systems from homegrown designs, but to realize those designs with electronics that are manufactured at low cost overseas.

Mr. Mario Morales of International Data Corp. (IDC) has a great quote in the article: "Data is the new currency" and he proceeds to say that "Enterprises have yet to figure out how to monetize all this data, but there is a tremendous opportunity here."

I would say that Data and Analytics Are the New Currency, since without analytics not much sense can be made of the massive data streams now available.

Our latest National Science Foundation project, "Network Innovation Through Choice," will, we expect, drive innovation in network choices and options through novel payment systems that monetarize performance based on reputation and success.