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Data

Data Flywheel

A self-reinforcing loop where user interactions become data that keeps improving a model.

Definition

A data flywheel is a self-reinforcing cycle in AI products: as more people use a model, their queries, corrections, and feedback are collected and used to retrain or fine-tune it, improving quality, which attracts more users and generates still more data. Companies with large user bases can compound this advantage over time, making the flywheel a strategic moat for AI products.