37% of CIOs Storing Between 500TB and 1PB – Storiant/Research NowCosts as barrier to realizing value big data can deliver
This is a Press Release edited by StorageNewsletter.com on 2014.05.09
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, commissioned by Storiant (formerly SageCloud), 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 more.
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," said Jeff Flowers, founder and CEO, Storiant. "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 retention, too
Nearly half (46%) of CIOs retain their data for six to ten years. Based on Storiant's research, 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.
Storiant commissioned independent research firm Research Now to survey 100 CIOs. The study was conducted between March 31 and April 7, 2014.