A machine learning algorithm is used in many ways to identify incorrect or correct data that is fed into the system. It is first given some sort of a "teaching set" of data, which is then used to answer a question. As more and more questions are asked, this new information is added to the algorithm making it smarter and better at performing its task over time. So one can say that these machines are "learning." Here are seven of the most common uses of this technology.
Financial Trading
A lot of people want to find out what will happen to the stock market ahead of time. That is why, a lot of trading companies are developing their own systems to predict and execute trade at very fast speed. Most of these are based on probabilities and even if the probability is low but executed at high volumes, it can still generate a lot of profit. And financial machine algorithms are becoming more and more sophisticated at predicting these probabilities.
Data Security
Malware is becoming a huge threat to data security. Deep Instinct, an intelligence company, said that although new malwares are being developed, each of them tend to have the same code as the previous version with only 2 to 10 percent change in every iteration. Machine learning algorithm can detect these anomalies and predict security breaches by analyzing these patterns.
Medicine
Machine learning algorithms can be used to detect risk factors for various diseases even before their human counterparts do. For example, one study using a computer assisted device or CAD to detect breast cancer risk was able to identify 52 percent of women just by analyzing the mammography scans of these women. In another case, algorithms was able to detect diabetes earlier by identifying eight variables.
Fraud Detection
Paypal, for example, uses a machine algorithm to prevent money laundering. The algorithm can detect and spot fraudulent or legitimate transaction by analyzing transactions.
Online Search
Have you noticed how Google can be so accurate when it suggests words before you even complete typing them. That's because Google algorithm collect, analyzes, and detects user preferences. Thus, the next time you make a search it can predict what your next move is.
Personal Security
Machine learning algorithms can now be used to detect what might security miss at airports, buildings, or big public events. It eliminates any possible risks and false alarms in the quickest most possible way.
Marketing
Businesses hugely benefit from it because the more they know who their customers are, the better they can cater to their needs. Machine learning algorithms can use this to analyze buyer habits and help businesses customize their service for each customer making them feel valued even more.
