Hadoop recently celebrated its 10th birthday, advanced analytics have become even more sophisticated, and a plethora of startups have arisen to help organizations wrangle all the data and pull out insights. With all that in mind, here are nine big data and analytics startups to watch.
Big data and analytics are hot growth areas, not only for IT organizations, but for businesses across all industries.
Visionary executives are finding opportunities beyond existing and traditional data repositories, such as on-premises CRM and ERP systems. Today’s data can include social media posts, customer journey information, Internet of things (IoT) data, and more.
Indeed, market research firm IDC released a new prediction for the market in November 2015. The firm said the big data technology and services market is expected to increase at a compound annual growth rate (CAGR) of 23.1% over the 2014-2019 forecast period, with annual spending reaching $48.6 billion in 2019.
“The ever-increasing appetite of businesses to embrace emerging big data-related software and infrastructure technologies while keeping the implementation costs low has led to the creation of a rich ecosystem of new and incumbent suppliers,” said Ashish Nadkarni, IDC program director, enterprise servers and storage, in a prepared statement. Nadkarni co-authored the IDC report with Dan Vesset, program VP, business analytics & big data. “At the same time, the market opportunity is spurring new investments and M&A activity as incumbent suppliers seek to maintain their relevance by developing comprehensive solutions and new go-to-market paths.”
[Thinking about jumping ship for a startup? Read 10 Signs You’re Not Cut Out To Work At A Startup.]
And there are plenty of new suppliers. Collecting that data, storing it, gaining insights from it, and turning those insights into real business value is the focus of many of today’s hottest startup companies.
In fact, there are so many new companies dedicated to big data and analytics that there are venture capital firms and funds dedicated to big data startups. Events, such as the Startup Showcase at Strata + Hadoop World, provide a venue for these fresh new companies to network and gain exposure.
Plenty of past success stories come out of these funds and showcases. For instance, a past Strata + Hadoop Startup Showcase winner was Infoactive, since renamed Tableau. This data visualization vendor completed a very successful IPO in 2013, and now has customers that include the Texas Rangers, EMC, Box, Citibank, and Arby’s.
With that in mind, we put together a collection of some of the most notable companies, and also some of the newest companies spawned in the big data and analytics market. Once you’ve had a look, tell us which of these you find most interesting, and why, in the comments section below.
Location: Mountain View, Calif.
Founded: September 2014
CEO: Jay Kreps
Capital raised: $30.9 million
Investors include: Benchmark Capital, LinkedIn, The Data Collective, and Index Ventures.
Confluent‘s founders are the developers behind Apache Kafka, a real-time messaging and streaming big data engine. It was created inside LinkedIn and then contributed to the Apache Software Foundation and spun out as a separate company.
Location: Mountain View, Calif.
CEO: SriSatish Ambati
Capital raised: $33.6 million
Investors include: Nexus Venture Partners, Paxion Capital Partners, and Transamerica Ventures.
The company, rebranded as H2O.ai from 0xdata in Nov 2014, offers an open source machine learning platform that works with Hadoop and Spark. It can be used through a Web UI or programming environments such as R, Java, Scala, Python, and JSON. It supports common database and file types, including Microsoft Excel, R Studio, and Tableau. Customers include AT&T, Comcast, Kaiser Permanente, McKesson, Walgreens, Capital One, and Progressive.
Location: San Mateo, Calif.
CEO: David Mariani
Capital raised: $9 million
Investors include: AME Cloud Ventures, Storm Ventures, and UMC Capital.
AtScale was created to solve the problem of using familiar business intelligence tools and interfaces, such as SQL and Tableau, with big data storage technologies such as Hadoop. The goal is to be able to perform analysis with the data in place, rather than moving it to a specialized analysis tool. Customers include Aetna, Comcast, and Cloudera.