Public Cloud a Hot Commodity in BI and Data Management

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According to a joint research study commissioned by BARC Research and Eckerson Group, 78 percent of organizations plan to increase their use of cloud for Business Intelligence and Data Management use cases in the next year. To this end, nearly half (46 percent) of those that responded to the study use public cloud for these two use cases compared to less than a third for hybrid cloud, and fewer than 25 percent for private cloud. The study, BI and Data Management in the Cloud: Issues and Trends (no opt-in), surveyed 370 people from companies varying in size. However, Europe and North American respondents made up the bulk of the findings (a combined 84 percent).

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According to authors Dr. Carsten Bange and Wayne Eckerson: “Vendors now recognize that many customers want to exploit the advantages of cloud computing—faster deployments, minimal IT involvement, no capital expenditures and elastic computing. And they are investing accordingly.” The study reveals a noteworthy uptick in interest for cloud BI and Big Data deployments, a strong indicator for expansion in an evolving marketplace. The report tracks adoption of the cloud by companies that currently utilize BI and Data Management solutions.

Some interesting observations from the report include:

• Companies are more likely to run BI components in the cloud than implement data warehouses, data marts and integration tasks there as BI is easier to deploy.
• Public cloud is currently the go-to option for these use cases. However, it is expected that hybrid cloud deployment will grow as more mid-size to large enterprise organizations migrate toward the cloud.
• Adoption is growing rapidly. As vital business applications move toward the cloud, organizations are finding it much easier to also store their data there.

BARC and Eckerson aren’t the only ones reporting that the cloud is about to become a major disruptor in the analytics software market. MarketsandMarkets followed up on this topic with their own research, citing the cloud as a major factor in the growth of the BI industry as a whole. They cite a mass-transition from traditional forms of BI and analytics to the cloud across all verticals. Varying structures of data resources and tightening compliance regulations have, in the past, bogged down evolution in this sector.

For additional information, read the full report.