Feeds

Warehouse appliances: boom or bust?

And the winner is ...

Build a business case: developing custom apps

Comment From the number of vendors entering the market as suppliers of data warehouse appliances you would think that this was a major growth area. It probably is. And you would also think it was easy. It isn't.

Here is a list of the companies that, over the last few years, have attempted to move into this market: Netezza, DATAllegro, XPrime, Metapa, Greenplum, Calpont and Vertica. I have heard rumours of one other vendor that is planning to move into the sector as well, but that remains unconfirmed.

Now consider the fate of these vendors and their products:

  • Netezza—up and running and growing strongly, proof that there really is a market here.
  • DATAllegro—tells a good story and, reputedly, is about to announce its first customers. I know who these are (if I told you I'd have to kill you) but what is worrying is that this announcement seems to have been pending for some time—and the longer the delay the more worrying it becomes. At least the company has a decent source of finance, unlike XPrime.
  • XPrime—had problems with its funding and has closed. Core staff members are re-starting with a new venture in the same area.
  • Metapa—failed and got merged into Greenplum.
  • Greenplum—things have gone ominously silent and there remains a question mark over whether there is really a market for Open Source data warehousing.
  • Calpont—concluded that its first generation product would not cut the mustard and has embarked on a second generation offering. I like the potential of this product but we will have to wait and see.
  • Vertica—new company set up by Michael Stonebraker with the stated aim of developing a "very fast, highly scalable data warehouse solution". At present still in development but Stonebraker's name bodes well.

What should be pretty obvious from all of this is that Netezza is successful and everybody else is trying to emulate them. What is not clear is whether any of the other vendors will do so. And, if so, who? There is also an apparent question of funding. While VC companies are interested in the market following Netezza's success you have clearly got to have a good story to tell.

How much space is there in the market? Well, three or four vendors maximum probably. And bear in mind that in the UK at least, there is also Kognitio, previously WhiteCross, which more or less fits into this category. But with existing customers and a 20 year history the same criteria do not apply. So, no more than a couple of vendors from the list above, apart from Netezza, are likely to survive. This in itself creates a major problem: organisations will need a lot of persuading before they invest substantial sums in companies that may not be around for long.

While I hope that at least some of the vendors listed survive and prosper, at the moment it looks very much like a one horse race: Netezza is out in front and at present it is leading by a distance. I don't see that changing much any time soon.

Copyright © 2005, IT-Analysis.com

Gartner critical capabilities for enterprise endpoint backup

More from The Register

next story
Why has the web gone to hell? Market chaos and HUMAN NATURE
Tim Berners-Lee isn't happy, but we should be
Microsoft boots 1,500 dodgy apps from the Windows Store
DEVELOPERS! DEVELOPERS! DEVELOPERS! Naughty, misleading developers!
'Stop dissing Google or quit': OK, I quit, says Code Club co-founder
And now a message from our sponsors: 'STFU or else'
Apple promises to lift Curse of the Drained iPhone 5 Battery
Have you tried turning it off and...? Never mind, here's a replacement
Linux turns 23 and Linus Torvalds celebrates as only he can
No, not with swearing, but by controlling the release cycle
Scratched PC-dispatch patch patched, hatched in batch rematch
Windows security update fixed after triggering blue screens (and screams) of death
This is how I set about making a fortune with my own startup
Would you leave your well-paid job to chase your dream?
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.