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When Amazon launched in 1995, it sold only books and didn’t have features such as “If you bought that, you might like this” or “Other people who bought that also bought this.” Those features emerged a few years later and have expanded to nine different types of recommendation. Amazon doesn’t publish numbers on their recommendation engine, but in 2013, McKinsey estimated recommendations were responsible for 35 percent of Amazon sales. Two key breakthroughs in use of recommendations were the following:

 In 2001, Yahoo applied recommendation engines to streaming music with Yahoo LAUNCH, later rebranded as Yahoo Music and then Y! Music. Four years later Pandora went live, its recommendation engine powered by the music genome project, a manual classification system conceived by the founders in 1999.

 In 2007, Netflix applied the recommendation engine to streaming video, powered by the CineMatch algorithm, which Netflix said was accurate to within half a star 75 percent of the time. In 2009, the company replaced CineMatch with Pragmatic Chaos, an algorithm developed by BellKor as a submission for the Netflix Prize competition, a $1 million contest for the first person or team that could beat CineMatch.

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