Topics: Coronavirus | AI | Data Science | Deep Learning | Machine Learning | Python | R | Statistics

KDnuggets Home » News :: 2013 :: Mar :: Software :: Big Data is a Software and Services Business ( 13:n09 )

Big Data is a Software and Services Business


All companies whose main focus was Big Data got all their revenue from software and services, none from hardware. The top 10 companies in Big Data overall are big companies, like IBM, HP, Teradata, Dell, and Oracle which derived only 2.4% of their revenue from Big Data.



Wikibon is a well-respected site for industry analysis, and it has recently published an excellent report WikibonBig Data Vendor Revenue and Market Forecast for 2012-2017, compiled by Jeff Kelly, David Floyer, Dave Vellante, Stu Miniman.

They estimate that total Big Data market reached $11.4 billion in 2012, and project it will reach $18.1 billion in 2013, an annual growth of 61%, on pace to exceed $47 billion by 2017, with 31% estimated annual growth rate over period 2012-2017.

The Wikibon report also has an excellent table summarizing 2012 Big Data revenue for over 70 companies.

We have done additional analysis of their data which shows some interesting trends. Perhaps most interesting is that companies which derive over 50% of their revenue from Big data, get all that revenue from software and services, none from hardware.

30 Top Pure-Play Big Data Companies, according to 2012 revenue (in US$ Millions)

Company Big Data Revenue Big Data Revenue as % of all Revenue Big Data Services Revenue Big Data Software Revenue
1. Splunk $186 100% $54 $132
2. Opera Solutions $118 100% $118 $0
3. Mu Sigma $114 100% $114 $0
4. Palantir $78 100% $30 $49
5. MarkLogic $69 88.5% $26 $43
6. Cloudera $61 100% $32 $29
7. Actian $46 100% $17 $29
8. 1010data $37 100% $37 $0
9. 10gen $36 100% $21 $15
10. Alteryx $36 100% $16 $20
11. Guavus $35 100% $12 $23
12. ParAccel $24 100% $13 $11
13. MapR $23 100% $11 $12
14. Attivio $21 80.8% $8 $13
15. Fractal Analytics $20 100% $20 $0
16. Hortonworks $18 100% $18 $0
17. DataStax $15 100% $6 $9
18. Basho $14 100% $5 $9
19. Kognitio $12 100% $6 $6
20. Couchbase $12 100% $4 $8
21. Datameer $11 100% $2 $9
22. Digital Reasoning $10 100% $5 $5
23. LucidWorks $10 100% $4 $6
24. Aerospike $8.8 100% $2 $7
25. Neo Technology $8.5 100% $3 $5
26. Think Big Analytics $7.9 100% $8 $0
27. Calpont $7.6 100% $3 $4
28. RainStor $7.5 100% $2 $5
29. SiSense $7.3 100% $4 $3
30. Revolution Analytics $7.2 55.4% $3 $4

At the same time, the top 10 companies in overall 2012 Big Data Revenue derive relatively little part of their revenue from Big Data, and that revenue is split approximately 40/30/30 among Services, Software, and Hardware.

Company Big Data Revenue
(in $Millions)
as % of all Revenue % Big Data Services Revenue % Big Data Software Revenue % Big Data Hardware Revenue
IBM $1352 1.3% 44% 33% 22%
HP $664 0.6% 38% 29% 34%
Teradata $435 16% 41% 28% 31%
Dell $425 0.7% 17% 0% 83%
Oracle $415 1.1% 41% 34% 25%
SAP $368 1.7% 33% 67% 0%
EMC $336 1.4% 39% 36% 24%
Cisco Systems $214 0.4% 20% 0% 80%
Microsoft $196 0.3% 33% 67% 0%
Accenture $194 0.7% 100% 0% 0%
Top 10 Average $460 2.4% 41% 29% 30%

Top 10 in 2012 Big Data Hardware Revenue are:

Company Big Data Hardware Revenue as % of all Big Data Revenue
Dell $353  83%
IBM $297  22%
HP $226  34%
Cisco Systems $171  80%
Fusion-io $135  71%
Teradata $135  31%
NetApp $106  77%
Oracle $104  25%
EMC $81  24%
Intel $63  83%

Top 10 in 2012 Big Data Software Revenue are:

Company Big Data Software Revenue as % of all Big Data Revenue
IBM $446 33%
SAP $247 67%
HP $193 29%
Oracle $141 34%
Splunk $132 71%
Microsoft $131 67%
Teradata $122 28%
EMC $121 36%
SAS Institute $110 59%
Palantir $49 63%

Top 10 in 2012 Big Data Services Revenue are:

Company Big Data Services Revenue as % of all Big Data Revenue
IBM $595 44%
HP $252 38%
Accenture $194 100%
PwC $189 100%
Teradata $178 41%
Deloitte $173 100%
Oracle $170 41%
Amazon $170 100%
EMC $131 39%
Hitachi $130 100%

Growth Drivers and Adoption Barriers
The growth rate of Big Data revenue in 2012 was due to a number of factors, including:

  • An increased awareness of the benefits of Big Data in many industries
  • The maturation of Big Data software including Hadoop, NoSQL, and in-memory analytic engines
  • Analytics services that help in practically applying Big Data to business use cases;
  • Increased investment in Big Data infrastructure by Web leaders - Google, Facebook, and Amazon, and well as government agencies.

Main obstacles to Big Data growth include:

  • The well-publicized lack of analytic specialists and Data Scientists
  • A lack of understanding among enterprises on how to organize Big Data staff to best identify business requirements
  • Organizational resistance to adopting Big Data analytics-driven decision-making
  • Vendor marketing overly focused on "speeds-and-feeds," product features and "Big Data-washing" rather than laying out a vision for Big Data in the enterprise
  • Development of Big Data platforms and tools by vendors that eschew open frameworks in favor of closed, locked-down solutions.
  • Shortage of good Big Data application development tools and services

Read more.


Sign Up

By subscribing you accept KDnuggets Privacy Policy