As a venture investor looking to invest in data-driven companies, telling real data science apart from pseudo science is difficult, but it’s critically..
Real data science involves using complex algorithms to collect masses of data, analyze all of it, and convert it into real answers. There’s a lot of pseudo data science being peddled by software companies that claim they can turn data into gold. While these alchemists dangle buzzwords like “big data” and “machine learning,” they really aren’t doing any data science; they’re just querying subsets of data to deliver limited findings.
So what is real data science and how can you spot software companies that are really using it to deliver meaningful business insights? Here are three ways to tell if the software company you’re considering funding uses real data science.