BDaaS Market To Touch $7-Bn In 2020. Any Takers?
In recent times, some businesses have started offering cloud based Big Data services to help organizations solve their data dilemmas. A combination of software as a service (SaaS), platform as a service (PaaS) and data as a service has given rise to what is called Big Data as a Service (BDaaS), which experts believe will be the next thing in big data.
A good example is IBM’s Analytics for Twitter service, which provides businesses with access to data and analytics on Twitter’s 500 million tweets per day and 280 million monthly active users.
According to a new market research report by MarketsandMarkets, The BDaaS Market is expected to grow from $1.8 Billion in 2015 to $7.0 Billion in 2020 at a CAGR of 31.5% during the forecast period from 2015 to 2020. BDaaS however is at a nascent stage now and ranges from the supply of data, to the supply of analytical tools with which to interrogate the data (often through a web dashboard or control panel) to carrying out the actual analysis and providing reports. Some BDaaS providers also include consulting and advisory services within their BDaaS packages.
The report states that BDaaS Market can be broadly segmented into Hadoop-as-a-Service, Data-as-a-Service, and Data Analytics-as-a-Service. This can be deployed as public cloud, private cloud, and hybrid cloud. The early adopters of BDaaS is expected to be banking, fnancial services and insurance (BFSI), healthcare and life sciences, retail and manufacturing. Once it picks up pace, industries like travel and hospitality, IT and telecommunication, media and entertainment, and other vertical will be keen. While North America and western Europe will show the strongest growth, the study shows in emerging markets such as Asia Pacific, Latin America and Africa the growth will be fastest.
IDC has earlier said BDaaS will offer enterprises with the agility, elasticity and the near limitless processing capabilities of the cloud. Mayur Sahni, Research Manager, Services at IDC Asia/Pacific states that with Cloud Computing changing the Big Data landscape considerably, in the next couple of years, enterprises will move towards Big Data as a service (BDaaS) concept. Currently however, the market is not ready for this change, he told CXOtoday.
According to Sahni, “Companies are already moving some of their core and non-core applications to the cloud. The IT outsourcing opportunity on the third platform is bringing a massive change in the data center management. However, BDaaS is currently at a nascent stage when it comes to adoption. He believes that with the declining cost of infrastructure and number of analytical tools increasing both in number and in sophistication, BDaaS will start showing maturity.”
According to Sahni, the key components for BDaaS include advanced technology architecture, cloud virtualization capabilities and business intelligence tools than can offer high level of analytics. “By improved Big Data capabilities, changes can be made in the user interface, data storage, and task processing layers without having to rebuild the entire architecture,” he explains.
While businesses have only started to see gains in outsourcing on third party platform in order to drive better customer service, the good news is that IDC predicts by 2017, nearly 95 percent of businesses will include Cloud as part of their IT sourcing strategy and collaborate with dedicated Cloud partners.
Sahni also explains that going forward IT spending is moving to a service delivery model and with the emergence of cloud and big data, it can be roughly said a small yet significant portion of this total big data spending will come from BDaaS. “While BDaaS has a lot of potential for innovation and growth, it will take a while for companies to understand the as-a-Service aspect of big data from the perspective of deriving business value,” he says.
Another recent report by Iron Mountain and PwC on Big data analytics also emphasized on the skill sets in this space, as a result of which companies are not necessarily using big data information to their benefit.
Of those surveyed, 36 percent of respondents said the reason for their confusion stemmed from a lack of tools and skills necessary to get the full value from their data, according to Iron Mountain. Forty-three percent of respondents said they gain very little from their complex data stores, with 23 percent saying they get nothing at all from big data.
This problem has also permeated the C-level suite, according to Sue Trombley, managing director of Thought Leadership at Iron Mountain. The study found that about 25 percent of C-suite executives have not experienced any tangible benefits from information.
“Every organization we spoke to wants to use its information to operate and compete more effectively, but too many are held back by a lack of specific skills, technical capabilities and their corporate culture,” said Trombley, in a statement. “Managing information for competitive advantage is vital for long-term business success and belongs at the very top of the company agenda.”
Nathan Aeder, Associate Director, Cloud Advisory Services – Senior Cloud Strategist also cautions that a single centralized BDaaS instance may not be right for everyone. “Clients are taking a hybrid approach to BDaaS with a central BDaaS instance for unified data for mission-critical decisions while business units, divisions or separate operating companies have smaller decentralized data warehouses for micro level decisions.
This hybrid approach along with data abstraction enables enterprise grade and commodity grade environments to co-exist but content ownership to remain the purview of the enterprise,” he says. A landscape consisting of ‘many clouds’ is the best way an organization can hope to scale from terabytes to exabytes in this decentralized hybrid model, he sums up.
- Cloud Environments Are Maturing, Yet Growing Complex
- IBM, Fortinet Team Up On Cyber Threat Data sharing
- Tech Is The Future of Employee Onboarding, Says Study
- 8 Ways To Ensure If You Have Right Security Mindset
- Digital Security At The Heart Of Business Strategy
- Online Retailers Seek Inventory Accuracy To Remain Relevant: Study
- Digital Spending In Retail To Grow By $118 Bn By 2022: Zinnov
- AI-ML Is Taking Travel To The Next Level
- How Big Data Is Changing The Media Industry
- Creating Smarter Cities With Smart Technologies