How Amazon’s Algorithm Gets You to Spend Money | Big Think

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How Amazon’s Algorithm Gets You to Spend Money Watch the newest video from Big Think: https://bigth.ink/NewVideo Join Big Think Edge for exclusive videos: https://bigth.ink/Edge ---------------------------------------------------------------------------------- Companies like Amazon take advantage of the fact they know a whole lot more about buying patterns than you do. As author and entrepreneur Jerry Kaplan explains, information asymmetry is the real crux of Amazon's business plan. That Amazon sells goods is incidental. The real money is generated by machine learning algorithms that can deftly achieve arbitrage: the ability to set prices in a way that maximizes profits. So the next time you spot a price shift for a product you've been keeping an eye on, know that a hyper-intelligent computer system has for just as long kept its eye on you, and it's smarter than you think. ---------------------------------------------------------------------------------- JERRY KAPLAN: Jerry Kaplan is widely known in the computer industry as a serial entrepreneur, inventor, scientist, and author. He is currently a Fellow at The Stanford Center for Legal Informatics. He also teaches Philosophy, Ethics, and Impact of Artificial Intelligence in the Computer Science Department, Stanford University. Kaplan co-founded several ventures including Winster.com (social games); Onsale.com (online auctions); GO Corporation (tablet computers); and Teknowledge (expert systems). He wrote a best-selling n

Published 2015-08-19 · Watch on YouTube ↗
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