Is Data More Precious than Diamonds?

According to a recent report from The Economist, Data is now the most valuable resource in the world. While this sounds a little odd on the surface, look at the list of the largest and most profitable companies in the world. While they may produce some physical products, the real value is in their data.

Google, for example, generates billions in revenue by simply gathering and sorting data, and then displaying it (along with ads) in a desirable way. Apple may produce powerful phones and tablets, but their iOS is a huge part of the reason why they are so successful. Even Amazon has capitalized majorly on data. While they certainly sell products, they don’t actually make very many things. Instead, they gather data about the products, and run ads or display products in such a way as to increase the rate of conversion.

In addition, marketers today gather huge amounts of data and turn it into major advertising campaigns that can generate millions in revenue. The digital marketing industry alone is a multi-billion-dollar industry. You can even look at currencies such as Bit-Coin, which are essentially just a certain type of data with built in scarcity.

The point is simple. While for thousands of years in the past, things of value were physical products. Gold, silver, corn, wheat, spices, and any number of other things. Today, however, we are rapidly moving away from that way of life. This is certainly changing the economy, and creating a lot of exciting opportunities for people who are ready to capitalize on it.

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