Why IT Is Increasing Spending for Data Warehouses

 
 
By Dennis McCafferty  |  Posted 04-13-2015 Email
 
 
 
 
 
 
 
 
 
  • Previous
    Ante Up
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    Ante Up

    70% of survey respondents said their organization is increasing its data warehouse investment, compared to only 4% whose organizations are decreasing spending for this.
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    Leading Contributor
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    Leading Contributor

    72% said their data warehouse is "very important" to their organization's business operations.
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    Biggest Challenges of Current Data Warehousing Solution
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    Biggest Challenges of Current Data Warehousing Solution

    Ability to scale for projected data and user growth: 43%, Expenses required for maintenance and operations: 38%, Steep costs of upfront purchase: 37%, Difficulties users face in learning about solution: 37%, User complaints about solution being too slow: 33%
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    Home Bound
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    Home Bound

    86% of those surveyed use an on-premise data warehouse, while only 32% use a cloud-based one.
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    Prohibitive Perspectives
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    Prohibitive Perspectives

    64% said concerns about data security have kept them from using a cloud-based warehouse, and 26% said it would be too technically complicated to move the data to the cloud.
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    Partial Commitment
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    Partial Commitment

    55% of those using a cloud-based data warehouse store no more than one-half of their data there.
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    Top Perceived Benefits of a Cloud-Based Data Warehouse
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    Top Perceived Benefits of a Cloud-Based Data Warehouse

    Ability to scale on demand: 66%, Less administration overhead: 59%, Reduced cost: 53%, Capability to easily share access to data: 47%, Simple access for business users: 47%
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    Big Interest
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    Big Interest

    70% of survey respondents said their company is interested in big data, but haven't yet made any investment into this. Another 16% have made an investment into big data.
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    Fleeting Knowledge
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    Fleeting Knowledge

    88% said they do not have easy access to Hadoop expertise, but 93% said they do have easy access to SQL expertise.
 

The vast majority of organizations are increasing their investment in data warehouses, according to a recent survey from Snowflake Computing. In many cases, they're motivated to do so after struggling with challenges related to their current solution: Some warehouses aren't adequately scaling to handle data and user growth. Others are too expensive to operate and maintain. The cloud, of course, remains a comparatively affordable option, with greater potential to scale on demand while allowing for shared access to data. Yet, while IT departments see great potential in cloud-based data warehouses, a minority of organizations actually use one. (Most of them cite concerns about data security as the primary hurdle here.) The survey also presents intriguing findings about big data overall, as respondents said their companies are interested in big data. But surprisingly few of them have actually acquired big data tools. Nearly 320 professionals who are responsible for data initiatives took part in the research, which was conducted by Dimensional Research.

 
 
 
 
 
Dennis McCafferty is a freelance writer for Baseline Magazine.

 
 
 
 
 
 

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