A self-reinforcing cycle of continuous improvement driven by AI
Like a mechanical flywheel, the Data Flywheel requires initial effort to start spinning, but once it gains momentum, it continues to turn with increasing speed and power. Each cycle reinforces the next: more users → more data → better AI → better product → more users. This compounding effect creates a significant barrier to entry for competitors and is the strategy that companies like Amazon have used to dominate their markets.
Material created by Professor Sergio Gevatschnaider