113 Kellogg Insight “Typically, there is a trade-off between the usefulness of an AI tool and the amount of privacy a user enjoys,” says Pah. In the past few years, “the data have become more siloed. Some of that is in response to the European Union; a lot more of that is in response to sifting through the stones of the past and realiz - ing that companies made a lot of errors in how they handled private information.” “Facebook still knows everything about you. Google still knows everything about you. But it would be much harder to start today, acquire the same amount of infor - mation about people as those players, and justify that collection.” In response to restrictions on data shar - ing, Pah sees some companies turning to creative solutions—like synthetic data. Some large retailers, for instance, are using the customer data they do have to create millions of “unbelievably realis - tic” synthetic customers, Pah explains. These customer profiles are then fed into other deep-learning algorithms that learn how likely they are to respond to various marketing efforts. This addi - tional data give the retailers the scale Typically, there is a trade-off between the usefulness of an AI tool and the amount of privacy a user enjoys. ADAM PAH Based on insights from Adam Pah
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