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Mention McDonald’s to someone today, and they’re more likely to think about Big Mac than Big Data. But that could soon change: The fast-food giant has embraced machine learning, in a fittingly super-sized way.

McDonald’s is set to announce that it has reached an agreement to acquire Dynamic Yield, a startup based in Tel Aviv that provides retailers with algorithmically driven “decision logic” technology. When you add an item to an online shopping cart, it’s the tech that nudges you about what other customers bought as well. Dynamic Yield reportedly had been recently valued in the hundreds of millions of dollars; people familiar with the details of the McDonald’s offer put it at over $300 million. That would make it the company’s largest purchase since it acquired Boston Market in 1999.

The burger giant can certainly afford it; in 2018 alone it tallied nearly $6 billion of net income, and ended the year with a free cash flow of $4.2 billion. But that still doesn’t address the bigger question of why. For that, you have to head to the drive-thru.

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Kiyoshi Ota/Bloomberg/Getty Images

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Click the link below for the article:

https://www.wired.com/story/mcdonalds-big-data-dynamic-yield-acquisition/

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