Worldwide Market for Relational Databases Growing, Demand for Data Warehousing Cited as a Growth Factor
Teradata CTO highlights growth drivers pertaining to enterprise data warehousing
AUCKLAND, New Zealand – The worldwide market for relational database management system (RDBMS) software grew by 9.4
percent to $14.6 billion in 2005, according to a new report from analyst firm IDC. The demand for data warehousing was
cited as a growth factor, an arena championed chiefly byTeradata, and a division of NCR Corporation (NYSE: NCR).
Gartner Dataquest has also issued its annual RDBMS market share report for 2005, reporting that the market grew 8.3
percent to $13.8 billion. Notably, Gartner reported increased demand for data warehousing and business intelligence
“driven by an explosion of data” as an important factor driving the growth of the RDBMS market.
Both the IDC and Gartner reports pertain solely to RDBMS software and support services. Their estimates do not include
revenue from the sale of database hardware or professional services.
IDC reported key factors accelerating the growth in RDBMS software including:
- The need for better information governance, motivated by compliance issues and resulting in such database-growing
initiatives as Master Data Management,
- Higher demand in emerging economies, such as Europe, the Middle East and Africa,
- Declining unit prices for data storage, making it cheaper than in the past to deploy more databases for failover,
disaster recovery, and reporting and scalability purposes.
Teradata distinguishes between growth in relational database software used for general purposes and growth pertaining
specifically to enterprise data warehousing – its central information platform, marketed globally to Fortune 3,000
Julian Beavis, vice president of Teradata in Australia and New Zealand, identified trends driving the demand for
advanced enterprise data warehousing.
“The ability to acquire data in real-time and to do event-based decision-making will become mainstream. The storing and
analysis of unstructured data in RDBMS products will grow dramatically, given the low cost of disk space. And RDBMS
self-management will become even more important than it already is today,” Beavis said, adding that, “In the next five
years, enterprises will be managing 30 times the data that they are managing today. Because Teradata’s database is
designed to handle unlimited scalability, the market is coming to us.”
Beavis further differentiated Teradata in the context of data warehousing. “Teradata’s continued growth is fueled not
only by increases in data volume and related demands, but more importantly by the evolving need of companies to
integrate and fully exploit that data,” Beavis said. “Companies typically turn to Teradata and enterprise data
warehousing after previous attempts with other technologies.”
In addition to its effectiveness, he underscored the efficiencies that Teradata can deliver. “Teradata consistently
proves to be far more cost effective for all facets of data warehousing and enterprise analytics,” he said.
Finally, Beavis added that while database software is common and available from many sources, “the design and effective
deployment of an enterprise data warehouse in an industry-specific environment, tuned to deliver measurable results and
rapid return on investment, is definitely not a commodity.”
Looking ahead to future growth in relational database adoption, the Gartner report stated that “the worldwide RDBMS
market is poised for continued growth through 2010 as data management and integration take on a strategic importance in
an increasing number of organisations.”
About Teradata Division
Teradata (www.teradata.com), a division of NCR Corporation (NYSE: NCR), is the global technology leader in enterprise
data warehousing, analytic applications and data warehousing services. Organisations around the world rely on the power
of Teradata’s award-winning solutions to get a single, integrated view of their business to enhance decision-making,
customer relationships and profitability.
About NCR Corporation
NCR Corporation (NYSE: NCR) is a leading global technology company helping businesses build stronger relationships with
their customers. NCR’s Teradata® data warehouses, ATMs, retail systems, self-service solutions and IT services provide
Relationship Technology™ that maximises the value of customer interactions and helps organisations create a stronger
competitive position. Based in Dayton, Ohio, NCR (www.ncr.com) employs approximately 28,400 people worldwide.
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NCR and Teradata are trademarks or registered trademarks of NCR Corporation in the United States and other countries.