The Business Value and TCO Advantage of Apache Hadoop in the Cloud with Microsoft Azure HDInsight
Nearly every enterprise of any size has large quantities of unexamined data in various forms: textual notes from sales and support data, machine-generated data such as sensor output, email, contextual data hidden in production databases, and so forth. From this data may be gleaned valuable intelligence regarding business operations, customers, competition, and sales opportunities. Until recently, collecting, examining, and organizing such data and then extracting, formatting, and analyzing the key data components were not possible given the time and cost involved.
IDC interviewed both organizations using Hadoop in the cloud with Microsoft Azure HDInsight and organizations running on-premises Hadoop. Based on these interviews, IDC’s analysis shows that Microsoft Azure HDInsight customers are achieving substantial business value by running Hadoop in the Microsoft cloud, projecting that these organizations will achieve average five-year discounted benefits worth $266,000 per terabyte of data in their Hadoop environment and an average five-year return on investment (ROI) of 418%. In addition, IDC’s comparison of the costs of using Microsoft Azure HDInsight and on-premises Hadoop deployments shows that HDInsight has a 63% lower average total cost of ownership (TCO) on a per-terabyte basis. These business and cost benefits of using Microsoft Azure HDInsight.