Description
Contests like these are a form of crowdsourcing -- an idea which attempts to leverage the creativity and abilities of many individuals to solve a problem. Other companies have employed a similar approach to solve certain problems, like Netflix's contest for programmers to improve its recommendation algorithm. Unfortunately for Netflix though, the results weren't quite what it was hoping for.
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http://www.techspot.com/news/50554-ftc-offers-50000-prize-to-stop-illegal-robocalls.html