A recent forecast from research firm International Data Corp (IDC) made a bold prediction: big data spending will reach $48.6 billion by 2019. IDC separates the big data market into three major submarkets: software, infrastructure and services. It predicts that collectively they will grow at a compound annual growth rate (CAGR) of 23%. Software– including information management, discovery, analytics, and applications software– will be ahead of the pack with a CAGR of 26 percent.
Within these three submarkets lie a handful of verticals. IDC reports that the highest big data spenders are discrete manufacturing ($2.1 billion spent in 2014), banking ($1.8 billion) and process manufacturing ($1.5 billion). Meanwhile, the industries that are growing the fastest are banking, securities and investment services (26% CAGR each) and media (25% CAGR).
That’s a lot of money and growth in a little amount of time, and furthers the notion that big data isn’t going away anytime soon. One of the things we love to talk about with our partner Equinix is data management. As a managed service provider, data management is very important to us. All applications are producing non-stop data that needs to be managed and sorted, and new applications will be built to take advantage of that data. That’s where the next wave of innovative technology is going to happen.
Each use case is different, but one consistency is that a business is not going to want to waste time or expenses to obtain hardware and configure a technology that needs to be evaluated first. Further, they know how harnessing data can be immensely useful to their business, providing new levels of insight and value creation that can be utilized in any of their core functions.
As with any new opportunity, though, big data presents its own set of challenges. Generating insights requires supporting modern workloads with technology agile enough to handle a deluge of data. Understanding how to select and run the right set of technologies is paramount to beating out industry competition. There will be a lot of spending in the coming years, and for good reason. But it’s critical to remain aware of the big data technologies specific to your business—there really is no “one-size-fits-all” solution.
Big data is a big deal. We’re happy to help walk you through some of its nuances or answer any questions you have. Please visit our Big Data page for more information.