Share with your friends










Submit

Analytics Magazine

Gartner: Future investment in big data expected to fall

big dataBig data investments continue to rise but are showing signs of contracting, according to a recent survey by Gartner, Inc. The survey revealed that 48 percent of companies have invested in big data in 2016, up 3 percent from 2015. However, those who plan to invest in big data within the next two years fell from 31 percent to 25 percent in 2016.

The online survey was conducted in June 2016 among Gartner Research Circle members. In total, 199 members participated and shared their investment plans.

“Investment in big data is up, but the survey is showing signs of slowing growth with fewer companies having a future intent to invest,” says Nick Heudecker, research director at Gartner. “The big issue is not so much big data itself, but rather how it is used. While organizations have understood that big data is not just about a specific technology, they need to avoid thinking about big data as a separate effort.”

Big data is a collection of different data management technologies and practices that support multiple analytics use cases. Organizations are moving from vague notions of data and analytics to specific business problems that data can address. “Its success depends on a holistic strategy around business outcomes, skilled personnel, data and infrastructure,” Heudecker adds.

While nearly three quarters of respondents said that their organization has invested or is planning to invest in big data, many remain stuck at the pilot stage. Only 15 percent of businesses reported deploying their big data project to production, effectively unchanged from last year (14 percent).

“One explanation for this is that big data projects appear to be receiving less spending priority than competing IT initiatives,” Heudecker says, noting that only 11 percent of respondents from organizations that have already invested in big data reported that their big data investments were as important, or more important, than other IT initiatives, while 46 percent stated that they were less important.

“This could be due to the fact that many big data projects don’t have a tangible return on investment that can be determined upfront,” Heudecker adds. “Another reason could be that the big data initiative is a part of a larger funded initiative. This will become more common as the term ‘big data’ fades away, and dealing with larger datasets and multiple data types continues to be the norm.”

A further factor to consider is the lack of effective business leadership or involvement in data initiatives. Too often, pilots and experiments are built with ad-hoc technologies and infrastructure that are not created with production-level reliability in mind.

“When it comes to big data, many organizations are still finding themselves at the crafting stage,” says Jim Hare, research director at Gartner. “Industrialization – and the performance and stability guarantees that come with it – have yet to penetrate big data thinking.”

Related Posts

  • 86
    International Data Corporation (IDC) recently released a worldwide Big Data technology and services forecast showing the market is expected to grow from $3.2 billion in 2010 to $16.9 billion in 2015. This represents a compound annual growth rate (CAGR) of 40 percent or about seven times that of the overall…
    Tags: data, big, percent
  • 81
    Nearly 40 percent of data professionals spend more than 20 hours per week accessing, blending and preparing data rather than performing actual analysis, according to a survey conducted by TMMData and the Digital Analytics Association. More than 800 DAA community members participated in the survey held earlier this year. The…
    Tags: data, percent
  • 79
    With the rise of big data – and the processes and tools related to utilizing and managing large data sets – organizations are recognizing the value of data as a critical business asset to identify trends, patterns and preferences to drive improved customer experiences and competitive advantage. The problem is,…
    Tags: data
  • 76
    The Internet of Things (IoT) is considered to be the next revolution that touches every part of our daily life, from restocking ice cream to warning of pollutants. Analytics professionals understand the importance of data, especially in a complicated field such as healthcare. This article offers a framework on integrating…
    Tags: data
  • 65
    Today, we live in a digital society. Our distinct footprints are in every interaction we make. Data generation is a default – be it from enterprise operational systems, logs from web servers, other applications, social interactions and transactions, research initiatives and connected things (Internet of Things). In fact, according to…
    Tags: data

Analytics Blog

Electoral College put to the math test


With the campaign two months behind us and the inauguration of Donald Trump two days away, isn’t it time to put the 2016 U.S. presidential election to bed and focus on issues that have yet to be decided? Of course not.






Headlines

Artificial intelligence a game changer for personal devices

Emotion artificial intelligence (AI) systems are becoming so sophisticated that Gartner, Inc. predicts that by 2022, personal devices will know more about an individual’s emotional state than his or her own family. AI is generating multiple disruptive forces that are reshaping the way we interact with personal technologies. Read more →

FICO predicts AI and blockchain will meet in 2018

Scott Zoldi, chief analytics officer at FICO, in his AI predictions for 2018, predicts the rise of “defensive AI” and manipulative chatbots. Blockchain will use AI to search through relationship data, Zoldi says, and defensive AI will be used to protect systems from malicious AI and machine learning. Adds Zoldi: Chatbots will get so good at understanding us they will learn how to manipulate us. Read more →

UPCOMING ANALYTICS EVENTS

INFORMS-SPONSORED EVENTS

2018 INFORMS Conference on Business Analytics and Operations Research
April 15-17, 2018, Baltimore

CAP® EXAM SCHEDULE

CAP® Exam computer-based testing sites are available in 700 locations worldwide. Take the exam close to home and on your schedule:


 
For more information, go to 
https://www.certifiedanalytics.org.