© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Data & Analytics Platforms & ToolsContinued growth in low-cost data store alternativesIBM HorizonWatch 2016 Trend Report – External Version

Stacy Novack, Distinguished MI Professional, Manager, Market Development - Software SolutionsCraig Doyle, Senior Advisor, Analytics BU, Market Development, IBMBill Chamberlin, bluemine Product Manager, HorizonWatch April 10, 2016

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

About This Trend Report

2 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

Purpose: The slides provide an overview on Big Data & Analytics Platform trends

Content: Summary information about the Big Data & Analytics Platform marketplace, including trends drivers, spending trends and adoption challenges. Also included are links to additional resources.

How To Use This Report: This report is best read/studied and used as a learning document. You may want to view the slides in slideshow mode so you can easily follow the links

Available on Slideshare: This presentation (and other HorizonWatch Trend Reports for 2016) will be available publically on Slideshare at http://www.slideshare.net/horizonwatching

Please Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Low-cost computing generates more data than humans can readily exploit, driving the move to analytics for business value extraction

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Source: IBM MD&I HorizonWatch, TBR, Inc.

“While well-established products predominate in the on-premise (on-prem) segment, the public cloud segment is dominated by those products commonly called NoSQL and by Hadoop.” IDC: Worldwide Nonrelational Database Management Systems Software Forecast

“Changes in the database world offer both significant opportunities and acute threats to the Database Development and Management Tools software market. On the one hand, the proliferation of new and different database technologies cries out for tools to provide a cohesive management environment. On the other hand, sophistication in the mature Relational DBMS space has resulted in more internal self-management of those products, closing doors for third-party tools suppliers.” IDC: Worldwide Database Development and Management Tools Software Forecast

Key Insights

1. Interoperability of databases. Rise of the data economy dictates vendors build simple ways to ingest data from multiple sources and form factors. It may also accelerate database commodization, threatening legacy database vendors

2. Rise of low-cost data store alternatives (Hadoop, Cloudera, Spark). Legacy analytics vendors relying on data warehouse licenses for their monetization will face rapid decline as services companies shift data to lower-cost data storage configurations.

3. Users demand improved experience. IT has a backlog of legacy apps in need of UI modernization and lack the skills on staff for rapid deployment.

4. Cloud adoption/consumption. Cloud adoption passes peak confusion. Vendors consolidate and IT needs help with the transformation.

5. Winning the developer. Developers flock to container technology, seeking simple configuration management structures to rapidly push applications and updates. Connections to competing platforms expand addressable markets and accelerate commodization.

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Analytics ingests data from multiple sources, commoditizing databases and fueling IoT and systems of engagement demand Commoditization of the database layer. Multiple sources of

data feeds will be standardized to meet security and compliance standards. Standardization weakens the “lock in” value of legacy databases, allowing emerging databases with cheaper operating costs opportunity to flourish.

Move to hybrid cloud provides flexible location of data. Software delivery cycle shifts require greater speed and agility to reduce time to market. Systems of engagement have more unpredictable consumption patterns best served by elastic infrastructures.

IoT and digital systems of engagement drive demand, driving the need for distributed data. Moore’s Law lowers computing cost for edge devices. Edge computing enables bringing the apps to the data in low-cost stores, curbing the cost of in-memory applications.

User experience and Mobility. Users demand a more consumerized user experience at work. Accelerating Application platform and tools adoption requires building visual wrappers that enable citizen analysts to exploit analytics technology without the need for support from data scientists and be able to do it on their mobile devices.

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“Organizations are adopting cloud for big data, self-service business intelligence, and omnichannel personalized customer engagement. The ability to scale and shrink quickly in a cost-effective manner is enticing to both enterprise architects and line-of-business executives who demand faster and more agile data capabilities.” Forrester: Cloud Data Management Is Still Risky For Trusted Business Data

“The DBMS market is transitioning rapidly and profoundly as the delivery of applications and DBMS capabilities to users is redefined.” Gartner: IT Market Clock for Database Management Systems, 2015

Market Trends

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

Source: IBM MD&I HorizonWatch, TBR, Inc.

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Multiple data sources and cloud computing options enable new use cases, but also challenge conventional governance techniques

Predictive analytics. Growing perceived value of predictive analytics and making those capabilities more accessible and consumable to LOB users

Emerging databases and data warehousing. Growing options to collect, manage and store available data. Expansion of Hadoop, Spark, NoSQL commercialization for cost containment and flexibility

Data governance and integration. Increasing demand for flexible integration and governance capabilities. Proliferating data sources require integration services to ready data for consumption, and governance is required to manage and query broader data stores.

Content management. Inconsistent execution of metadata tagging impeded early ECM selling efforts. Machine learning compels user to reevaluate ECM. Machine learning commercialization hinges on simplifying the human procedures needed to build strong ECM environments for analytics queries such as eDiscovery.

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“The landscape has dramatically shifted and there are glimmers of more mature stand alone applications to support and solve data stewardship challenges and processes..” Forrester: Data Governance and Data Management Are Not Interchangeable

“In the era of big data, enterprise data warehouse (EDW) technology continues to evolve as vendors focus on innovation and advanced features around in-memory, compression, security, and tighter integration with Hadoop, NoSQL, and cloud.” Forrester: The Forrester Wave™: Enterprise Data Warehouse, Q4 2015

Market Trends

IBM

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

Source: IBM MD&I HorizonWatch, TBR, Inc.

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.6

Drivers for Analytics Platform & Tools purchases vary by industry

Market Trends

• Financial Services: Financial services customers use Platform & Tools software to drive improvements to operations and process management.

• Healthcare: Healthcare customers use Platform & Tools software to achieve faster analysis and decision making and improve operations management.

• Consumer Goods: Many consumer goods customers have adopted Platform & Tools designed to help them achieve short-term cost savings and operational efficiencies, and are now moving to higher-value, customer-oriented initiatives..

• Industrial: The industrial vertical is a driving segment for BI accessibility on a mobile device.

• Energy: Energy customers purchase BI software solutions to improve efficiency of operations and processes and reduce operating expenses.

Forbes: How Big Data Is Changing Healthcare

MAPR: Top 10 Big Data Trends in 2016 for Financial Services

“Big data analytics is poised to change the maintenance services models across the manufacturing sector.” Frost & Sullivan: Big Data Analytics is Poised to Change the Maintenance Services Models Across the Manufacturing Sector

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

Source: IBM MD&I HorizonWatch, TBR, Inc.

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Big data and analytics create complex security, data management and organizational change issues

Security. Security is a critical factor in the success of Platform & Tools programs and must be addressed from the start of any implementation.

Business case/ROI. Enterprises want improved productivity, revenue growth and TCO metrics

Data Management. The top seven reasons these solutions failed to meet customer needs relate to data integration, cleansing, management, storage and access. Vendors must provide these capabilities, particularly as customers seek to increase utilization from external data sources.

Analytics skills in context of training, UI, integration. While advanced analytic and design skills are important, customers indicate data security, business acumen and data integration skills as the top three skills most critical to success.

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“Data is the lifeblood of today's digital businesses, but for economic and even political gain, highly skilled cybercriminals and malicious insiders are determined to steal it. Meanwhile, customers around the globe have become highly sensitive to how organizations track, use, and store their personal data.” The Forrester: The Data Security And Privacy Playbook For 2016

“The 3rd Platform continues to drive growth in the data integration and access software market. Organizations moving their applications to the public cloud are recreating silos of information that need to be integrated. Big Data and analytics are driving the need for data integration and access software to help with data capture, cleansing, and preparation.” IDC Worldwide Data Integration and Access Software Market Shares, 2014: Year of Affirmation of Data Integration on the 3rd Platform

Adoption Challenges

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)10April2016

Source: IBM MD&I HorizonWatch, TBR, Inc.

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Selected Analyst Websites and Resources

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Forrester: Business Intelligence Playbook /  Analytics (search)

Frost & Sullivan: Analytics (search)

Gartner: Business Intelligence (Portal) / Analytics (search) / Analytics Blog Posts (search)

IDC: Big Data and Analytics (Portal) / Analytics Research / Analytics Blog Posts

International Institute for Analytics - http://iianalytics.com/

TBR: BI and Analytics

Forrester: Webinar

Gartner: Predictive Analytics

Gartner: Transform Your Business With IoT Analytics

“Advanced analytics is analysis of all kind of data using sophisticated quantitative methods such as statistics, predictive and descriptive data mining, visualization and optimization for forecasting and having insights into the future trends.” MarketsandMarkets

Important Links

10April2016 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Selected Media Websites and Resources

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CIO.com: Business Intelligence, Analytics (search)

ComputerWorld: Business Intelligence / Analytics (search)

eWeek: Big Data Analytics Project Center / Analytics (search) / Business Intelligence (search)

Forbes:  Data Driven / Analytics (search) / Business Intelligence (search)

Harvard Business Review:  Analytics

InformationWeek: Big Data Analytics / Business Intelligence (search)

InfoWorld: Analytics (search) / Business Intelligence (search)

MIT Sloan:  Analytics & Strategy

NY Times:  Analytics (search) / Business Intelligence (search)

MIT Sloan

eWeek

“Organizations need to manage how best to filter the huge amounts of data coming from the IoT, social media and wearable devices, and then deliver exactly the right information to the right person, at the right time.” David Cearley, vice president & Gartner Fellow

“Through 2020, spending on self-service visual discovery and data preparation market will grow 2.5x faster than traditional IT-controlled tools for similar functionality.” IDC: IDC FutureScape: Worldwide Big Data and Analytics 2016 Predictions

Important Links

10April2016 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Selected IT Vendor and Consultant Websites and Resources

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Accenture:  Analytics / Analytics (search)

Booz Allen:  Analytics / Analytics (search)

Deloitte: Analytics / Analytics (search)

Google:  Analytics / Analytics (search)

HP:  Analytics / Analytics (search)

IBM:  Business Analytics / Big Data & Analytics / Analytics (search)

Infosys:  Analytics / Analytics (search)

Microsoft:  Big Data / Analytics (search)

Oracle:  Advanced Analytics / Analytics (search)

SAP:  Analytics / Analytics (search)

SAS:  Analytics / Analytics (search)

TCS:  Analytics / Analytics (search)

Wipro:  Analytics / Analytics (search)  

IBM

“Where customers are can be as critical as who they are.” Google

“By 2018 most business users will have access to self-service tools, but that only one in 10 initiatives will be sufficiently well-governed to avoid data inconsistencies that negatively impact the business.” Gartner

Important Links

10April2016 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Selected IBM Resources and Links

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IBM Analytics website

IBM Watson Analytics

IBM The Big Data & Analytics Hub

Software: Cognos / Business Intelligence / Data Warehousing / Customer Analytics / Predictive Analytics / Social Media Analytics / Risk Analytics

Global Services: Big Data & Analytics Consulting

Government: Analytics Solution Center

Research: Analytics and Mobile Enabled Solutions - IBM Research India 

DeveloperWorks: Big data and analytics

Institute for Business Value: Analytics Thought Leadership

Center for Applied Insights: Stories from data leaders

IBM Analytics website

“By applying analytic tools to business transactions as they are occurring, the mainframe systems can allow clients to have true “real-time” insights.” IBM

Important Links

10April2016

“Three-quarters of survey respondents report that their organizations are building out an optimized data and analytics infrastructure capable of responding to in-the-moment business needs. More than two-thirds have expanded their use of advanced analytics across their enterprise to more precisely understand current business conditions and customer behaviors.” IBM

HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

Selected IBM Resources and Links

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Social Platform: Big Data & Analytics Hub 

Facebook: IBM Analytics Twitter: @IBMAnalytics  /

@IBMbigdata 

Twitter Hashtags   #bigdata #analytics YouTube: IBM Analytics / 

IBM Business Analytics Google+: IBM Analytics LinkedIn: IBM Analytics LinkedIn: IBM Big Data and Analytics

IBM Social Platform: Big Data & Analytics Hub 

Important Links

10April2016 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)

© 2016 IBM Corporation

IBM Market Development & Insights

Note: This report is based on internal IBM analysis and is not meant to be a statement of direction by IBM nor is IBM committing to any particular technology or solution.

More Insights on Technology Trends are Available

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Other slide decks in this IBM HorizonWatch 2016 Trend Report series have been posted to Slideshare

You are also invited to check out the following IBM websites and resources– IBM Academy of Technology– IBM Center for Applied Insights– IBM Institute for Business Value– IBM Research and Research News and 5 in 5– IBM’s THINK blog

10April2016 HorizonWatch Trend Report: Big Data & Analytics Platforms (External Version)