Key Issue: Where can Best Buy (BBY) be benefitted by artificial intelligence ?

Key Issue: How can Corie Barry use the 7 layer artificial intelligence stack to grow Best Buy's empire?

Introduction

Corie Barry, CEO of Best Buy Co. Inc., has a significant opportunity to leverage the seven-layer AI stack to expand into new markets, enhance existing operations, and drive revenue growth and profitability. As the consumer electronics retail landscape evolves, integrating AI technologies across Best Buy's business functions can help the company maintain its competitive edge and unlock new possibilities.

Key AI Vendors and Their Unique Abilities

NVIDIA
* Extensive AI hardware portfolio, including GPUs and edge AI solutions

* Comprehensive AI software stack for developing retail AI applications

* Strong ecosystem for computer vision, conversational AI, and robotics

Application for Best Buy

* Utilize NVIDIA's edge AI solutions for intelligent video analytics, theft prevention, and autonomous store operations

* Leverage NVIDIA's GPUs and software to develop AI-powered personalized shopping experiences and voice/visual search

Intel
* Broad AI hardware including CPUs, FPGAs, VPUs and AI accelerators
* OpenVINO and oneAPI toolkits for optimized computer vision and AI workloads
* Strong capabilities in AI-powered digital signage and smart shelving

Application for Best Buy

* Use Intel's smart retail solutions to enable dynamic digital signage, optimized merchandising, and real-time inventory tracking

* Leverage Intel's AI accelerators and software tools to speed development of intelligent chatbots and recommendation engines

Microsoft

* Comprehensive AI platform with Azure AI services for vision, speech, language, and decision-making

* Dynamics 365 AI solutions for intelligent supply chain, product recommendations, and customer service

* Large partner ecosystem and consulting services for retail digital transformation

Application for Best Buy

* Utilize Azure AI and Dynamics 365 to optimize supply chain with predictive demand forecasting and intelligent order fulfillment

* Implement AI-powered product recommendations, virtual try-on, and conversational commerce across channels

Google

* Extensive AI/ML solutions including TensorFlow, Cloud AI Building Blocks, and AutoML

* Comprehensive data analytics with BigQuery and best-in-class AI for ecommerce search and recommendations

* Proven experience driving digital transformation for large retailers

Application for Best Buy

* Leverage Google BigQuery and Cloud AI to unify data and generate predictive insights that optimize merchandising and marketing

* Use Google's AI-powered visual search, natural language search, and recommendation engines to enhance digital experience

IBM

* Extensive enterprise AI portfolio including Watson AI applications for customer engagement, intelligent workflows, and IT automation

* Strong capabilities in supply chain optimization with Watson Supply Chain and Sterling Order Management

* Deep expertise in AI governance, security, and trustworthy AI

Application for Best Buy

* Use Watson Assistant and Customer Experience Analytics to elevate omnichannel customer service and support

* Optimize inventory, fulfillment, and logistics with Watson Supply Chain and Sterling Order Management AI

Key AI Layers and Best Buy's Opportunities

1. AI Chips & Hardware Infrastructure Upgrade in-store hardware with AI-optimized edge computing for real-time video analytics, smart signage, voice interfaces, and robotics. This enables intelligent loss prevention, responsive merchandising, contactless shopping, and automated store operations.

2. AI Frameworks & Libraries
Leverage AI software development kits and tools from leading vendors to efficiently create intelligent applications for customer experience personalization, conversational commerce, visual search & discovery, and voice shopping.

3. AI Algorithms & Models Develop proprietary AI models tailored for consumer electronics retail, including deep learning for personalized offers, computer vision for visual search, and reinforcement learning to optimize pricing and promotions.

4. AI Data & Datasets Use Best Buy's unique data assets, including product catalog, customer profiles, omnichannel behavior, Geek Squad repairs, and consumer electronics industry knowledge to train best-in-class AI models for demand forecasting, customer service, and consultative selling.

5. AI Applications & Business Integration Integrate AI into key business processes and customer-facing applications. Priorities include AI-driven merchandising & supply chain, intelligent digital commerce, predictive customer service, and AI-assisted sales.

6. AI Scalability & Inference Infrastructure Build scalable AI inference infrastructure aligned with Best Buy's hybrid cloud architecture. Strategic partnerships with hyperscalers and edge computing specialists will accelerate deployment.

7. Human & AI Interaction Reimagine the interactions between customers, Blue Shirt sales associates, Geek Squad agents, and AI. Human-centered design of AI experiences, rigorous testing & monitoring, and change management will be critical to success.

Bottom Line: Five Value-Added Steps for Best Buy

1. Develop an AI Strategy Roadmap: Create a comprehensive plan that aligns AI initiatives with Best Buy's business objectives, identifies key use cases, and prioritizes investments across the seven AI layers. This roadmap should consider short-term quick wins and long-term transformational opportunities.

2. Establish Strategic AI Partnerships: Collaborate with leading AI hardware, software, and solutions vendors to access cutting-edge technologies, expertise, and best practices. These partnerships can accelerate Best Buy's AI adoption, reduce implementation risks, and foster innovation.

3. Invest in AI Talent and Upskilling: Build an in-house AI center of excellence with data scientists, machine learning engineers, and AI product managers. Simultaneously, upskill existing employees, especially Blue Shirts and Geek Squad agents, to effectively collaborate with AI systems and deliver enhanced customer experiences.

4. Implement AI Governance and Ethics Framework: Develop robust governance mechanisms to ensure responsible and ethical use of AI across Best Buy's operations. This includes establishing principles for data privacy, security, fairness, transparency, and accountability in AI systems.

5. Pilot and Scale AI Use Cases: Identify high-impact AI use cases that align with Best Buy's strategic priorities and customer needs. Conduct agile pilots to validate value, refine solutions, and measure key performance indicators. Rapidly scale successful pilots across the organization, while continuously monitoring and optimizing performance.

By leveraging the seven-layer AI stack and implementing these value-added steps, Best Buy can harness the power of artificial intelligence to drive growth, efficiency, and innovation. Under Corie Barry's leadership, Best Buy has the opportunity to redefine the future of consumer electronics retail and create enduring value for customers, employees, and shareholders.