Fossil fuel sparked innovation that drove the Second Industrial Revolution. Data is fuel for the current revolution and is expected to generate $13 trillion in new global activity by 2030. Who’s going to win the battle for leadership in the data economy? The winners will be those who can tap, refine and use the vast stores of data coming their way.
Making Sense of Data
Here’s the surprising thing: Data has been driving changes to the economics of our world for longer than we might realize.
- First attempts to quantify the growth rate of data (or as it was known then: the information explosion) started more than 70 years ago.
- In 1967, “experts” recommended storage requirements for information be kept to a minimum. In other words, keep only the essential information and delete the rest.
- By the 1990s, we were told the rates of data growth and data volumes would overwhelm networks and our ability to comprehend what’s been collected. This is a powerful foreshadowing of AI’s importance to data management and analytics.
- By 1996, we realize that storing data is more cost effective than storing paper, and by 1997 we start seeing discussions about the “problem” of big data.
The Information Explosion Effect
To understand how dramatic the data challenge has become, you just need to look at the numbers:
- 1999: World leaders worried about the global collapse of IT systems from Y2K. Technology was commonplace but we only generated 250MB of data per person each day.
- 2013: 2.5 quintillion bytes of data are being created every day (and IBM* reports 90% of the world’s data has been created in the past two years).
- 2020: Each person in the world is expected to create 1.7MB of data every second.
Notice we moved from tracking daily data creation to the amount created every second? And it’s not showing any signs of slowing. IDC predicts worldwide data creation will grow to 163 zettabytes (ZB) by 2025 or 10 times the amount we produced in 2017.
Data Dollars and Cents
The numbers can seem a little abstract until you think about the devices we use every day and the data they generate.
Enterprises will create 60% of the world’s data from machine learning, automation and machine-to-machine technologies and embedded devices including sensors, RFID readers, cameras, autonomous vehicles and more.
All those devices generating data are creating a valuable commodity for business. MIT found that companies in the top third of their industry that use data-driven decision making were, on average, 5% more productive and 6% more profitable than their competitors.
Capitalizing on the data opportunity is driving a new way of doing business, and it’s one that has tremendous value. Big data and business analytics solutions are expected to hit $189.1 billion this year and the IT services market will be the largest category at $77.5 billion.
Solutions to the Data Challenge
Delivering on the data opportunity has created a fundamental shift in world economics and the business models of IT companies. To help ecosystem partners make that shift and accelerate their own transformation, we’re creating Intel® Partner Alliance, a comprehensive program specially designed to address the challenges of the data centric era.
Intel Partner Alliance will address key areas critical to success in this new environment – training and collaboration. Technology is changing so rapidly, it’s critical to keep pace. We’ll be helping partners to bolster their knowledge with Intel® Partner University. And, recognizing partners need to work with others in the industry to deliver increasingly complex end-customer solutions, we will be launching Intel® Solutions Marketplace, an innovative platform to facilitate real-time collaboration with experts across our global ecosystem.
The opportunity is undeniable, but so are the risks. Companies that don’t find ways to harness data will be left behind. Intel Partner Alliance will help our partner ecosystem connect, innovate and grow with tools to accelerate their own transformation so they can succeed in a world driven by data.