Menu
Big data is already a US$46 billion market, but you ain't seen nothin' yet

Big data is already a US$46 billion market, but you ain't seen nothin' yet

'Sooner rather than later, big data will become table stakes for enterprises,' one analyst says

Big data has been a big buzzword for more than a few years already, and it's got some solid numbers to back that up, including US$46 billion in 2016 revenues for vendors of related products and services. But the big data era is still just beginning to dawn, with the real growth yet to come.

So suggests a new report from SNS Research, which predicts that by the end of 2020, companies will spend more than $72 billion on big data hardware, software, and professional services. While revenue is currently dominated by hardware sales and professional services, that promises to change: By the end of 2020, software revenue will exceed hardware investments by more than $7 billion, the researcher predicts.

"Despite challenges relating to privacy concerns and organizational resistance, big data investments continue to gain momentum throughout the globe," the company said in a summary of the report, which was announced Monday.

Others echo the same sentiment.

"Sooner rather than later, big data will become table stakes for enterprises," said Tony Baer, a principal analyst at Ovum. "It will not provide unique competitive edge to innovators, but will add a new baseline to the analytics and decision support that enterprises must incorporate into their decision-making processes."

It is indeed still early days for such initiatives, said Frank Scavo, president of Computer Economics.

"Business intelligence and data warehousing are top areas for technology spending this year, but only about one-quarter of organizations are including big data in their investment plans," said Scavo, citing his own company's research. "So, what we are seeing today is just the tip of the iceberg."

Cloud storage and services are making big data affordable for most organizations, but realizing the benefits can be a challenge. That's in large part due to the current shortage of business analysts and IT professionals with the right skills, particularly data scientists, he said.

"If you’re planning to invest in big data, you’d better be ready to invest in your people to develop the needed skills," Scavo said. "At the same time, if you’re an IT professional just starting out in your career, big data would be a great area to focus on."

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Slideshows

Top 50 defining moments of the New Zealand channel in 2016

Top 50 defining moments of the New Zealand channel in 2016

Reseller News looks back on a tumultuous 12 months for the New Zealand channel, assessing the fallout from a year of sizeable industry change. Whether it be local or global mergers and acquisitions, distribution deals or job changes, the channel that started the year differs somewhat to the one set to finish it - Reseller News assesses the key moments that made 2016.​

Top 50 defining moments of the New Zealand channel in 2016
​Hewlett Packard Enterprise honours high achieving NZ channel

​Hewlett Packard Enterprise honours high achieving NZ channel

Hewlett Packard Enterprise honoured its top performing Kiwi partners at the second running of its HPE Partner Awards in New Zealand, held at a glitzy ceremony in Auckland. Recognising excellence across eight categories - from distributors to resellers - the tech giant celebrated its first year as a standalone company, following its official split from HP in 2015.

​Hewlett Packard Enterprise honours high achieving NZ channel
Nutanix treats channel partners to Christmas cruise

Nutanix treats channel partners to Christmas cruise

Nutanix recently took to the seas for a Christmas Cruise around Sydney Harbour with its Australia and New Zealand staff, customers and partners to celebrate a stellar year for the vendor. With the sun out, they were all smiles and mingled over drinks and food.

Nutanix treats channel partners to Christmas cruise
Show Comments