Glossary / Data flywheel

Data flywheel

A self-reinforcing loop in which a product's use generates data that improves the product, which attracts more use and still more data.

Introduced in Chapter 7 — The Miniaturization Engine of Tangibles.

Related terms

• Recurring revenue — Income that repeats — subscriptions, services, consumables — rather than a one-time sale.
• Cyber Resilience Act — The EU regulation setting baseline security requirements for connected products as a condition of market access.
• Edge AI — Intelligence that runs on the device itself rather than in the cloud — one of the layers that turn static hardware into systems that keep evolving after sale.
• Customer lifetime value (CLV) — The total profit a customer generates over the whole relationship with a brand.