A “data product” is a technical asset that: (1) utilizes data as input, and (2) processes that data to return algorithmically-generated results. The classic example of a data product is a recommendation engine, which ingests user data, and makes personalized recommendations based on that data. Here are some examples of data products:
- Amazon’s recommendation engines suggest items for you to buy, determined by their algorithms. Netflix recommends movies to you. Spotify recommends music to you.
- Gmail’s spam filter is data product – an algorithm behind the scenes processes incoming mail and determines if a message is junk or not.
- Computer vision used for self-driving cars is also data product – machine learning algorithms are able to recognize traffic lights, other cars on the road, pedestrians, etc.