Big data: The next frontier for innovation, competition, and productivity

Analyzing large data sets--so-called big data--will become a key basis of competition, underpinning new waves of productivity growth, innovation, and consumer surplus as long as the right policies and enablers are in place. Research by the McKinsey Global Institute and McKinsey's Business Technology Office examines the state of digital data and documents the significant value that can potentially be unlocked. Big data will help to create new growth opportunities and entirely new categories of companies. Many of these will be companies that sit in the middle of large information flows where data about products and services, buyers and suppliers, consumer preferences and intent can be captured and analyzed.