Big Data Managed Services: When and How to Outsource

by Mike Kavis, GigaOm Research

The vast amounts of data that companies are collecting, the continuous decrease of storage costs over the past several years, and the technological advancements with cloud computing have made big data initiatives much more feasible and quicker-to-market than past data warehousing initiatives. Unfortunately for many companies, the complexity of scaling Hadoop clusters, NoSQL databases, and other big data technologies has been challenging because they lack in-house skills. After finding that the DIY model is not driving the anticipated return on investment (ROI), CIOs are starting to consider cloud-based managed services as a way to achieve a better, quicker ROI on their big data initiatives.

Big data is well-suited for cloud environments because of the cloud’s ability to expand and contract almost instantly. Managed big data services greatly increase time-to-value because organizations don’t need to acquire the necessary talent for implementing NoSQL and big data technologies like Hadoop or for navigating complex cloud environments.

Key findings include:

  • Managed big data services accelerate big data deployments so customers can focus on the analytics and extract value from their big data initiatives more quickly.
  • Although NoSQL databases can handle big data’s increasing volume, velocity, and variety, skilled engineers to design and manage those databases are in short supply.
  • Managed big data services often complement existing data warehouses or local database environments.
  • Due to growth in mobile, clickstream, and internet of things (IoT) traffic, the big data market will experience significant growth over the next three to five years.

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Mike Kavis

Mike Kavis is an Analyst for GigaOm Research and an architect, author, analyst, advisor, and board member for Cloud Technology Partners. Mike has served in numerous technical roles such as CTO, Chief Architect, and VP positions with over 25 years of experience in software development and architecture. A pioneer in cloud computing, Mike led a team that built the world’s first high speed transaction network in Amazon’s public cloud and won the 2010 AWS Global Startup Challenge. An expert in cloud security, Mike's book for Wiley Publishing called “Architecting the Cloud: Design Decisions for Cloud Computing Service Models (IaaS, PaaS, SaaS)” was released in early 2014.

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