37% of CIOs Storing Between 500TB and 1PB
Costs as barrier to realizing value big data can deliver
Big data relies on one main component: accessible data. But
new research released highlights a major challenge to that main element - the
growing cost to keep and have access to that data.
An independent survey of 100 CIOs, has put a price tag on
storing the data explosion and shows just how crippling it can and will be to
store large amounts of data indefinitely.
With 60% of CIOs claiming data will outpace their
company's storage solution in the next 12 months, businesses are challenged more
than ever to find a solution to manage and store their data effectively.
For many, security concerns drive costs far above
those in the public cloud
For companies that can take advantage
of the public cloud, the costs of storing data are decreasing. However
more than one out of three (33%) CIOs cite that the
public cloud is not an option due to data security, control and regulatory
compliance needs beyond what the public
cloud can deliver. And for another 12%, public cloud storage has caused
significant problems and concerns.
However, with costs to store data in the public cloud
hovering around $.01/GB/month, businesses for whom that is not an option are
forced to face comparatively large price tags - sometimes up to 11-50 times
Additionally, just like having data is a critical component to big data
analytics, so is the amount and length of time for which a company keeps it.
Simply put, the more data a company has - and the longer period over which that
data can be analyzed - the more valuable it is. Therefore, when nearly half
(46%) of CIOs say they will have to be selective about which data to keep (if
they maintain their current storage solution), they are decreasing the value
data can deliver.
Private cloud vs. public cloud
According to the research,
30% of CIOs pay an average of $0.26/GB/month to
store their cold/archive data. When
compared to the cost of doing so in a public cloud storage ($.01/GB/month), the
difference can be exponential - especially as storage needs increase.
This research confirms what we already
knew - that storage costs for growing data needs are getting out of control, as
currently architected, today's storage solutions aren't capable of handling the
new kinds of data businesses are storing and analyzing for strategic purposes.
For many businesses, the data highlights a costly reality for those looking to
leverage big data for competitive advantage. However, there is a light at the
end of the tunnel; it also emphasizes an opportunity for tectonic-size shifts in
the storage industry - which we are already starting to see.
Data growth is outpacing
current storage solutions
According to the research, 37% of CIOs
are currently storing between 500TB and 1PB of data.
In two years, 21% of CIOs will be storing between 1PB and 499PB, and 1 out of
every 10 (11%) will be storing between 500PB and 999PB.
As a reference, Facebook handles over 300PB of data.
Regulations and compliance drive need for
Nearly half (46%) of CIOs retain their data for six to ten
years. Retention is driven by an
array of factors such as legal requirements, regulatory compliance and
backup/archival solutions. These retention needs coupled with the flood of new
data further drive a cost wedge between those who can and cannot store data at
the price point of the public cloud.
And then there's the changing types of data
While storing data is primarily a cost
challenge, many CIOs cite the changing types of data as an obstacle to their
storage strategy. Specifically, 73% of CIOs say that up to half of their data
will be unstructured (or held as unorganized raw data that is not in a database)
within two years. But current storage solutions are not designed to handle these
changing data dynamics, ultimately proving a challenge to big data analytics
solutions. And today's CIOs know this: 50%
claim that they will start using object storage
(which allows businesses to store large volumes of structured and unstructured
data on a common platform) in their storage architecture
within the next year.