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Where does data live?

In many sectors, digitalization has changed power structures, and we can assume that this will continue. Companies with good strategies specifying their approach to using data and the ability to implement these strategies will gain importance along the value chain. This also applies to the backbone of the German and European economy i.e. companies basing their success on analogue and not digital products. These firms are now being linked within the context of developments such as the smart home, smart city and Industry 4.0.

Data handling will become increasingly crucial for business success. But what does the correct handling of data mean? The recent study “Cloud Trends 2020: Wo wohnen die Daten?” (Cloud Trends 2020: Where does data live?) carried out by Research In Action on behalf of Interxion provides important facts and conclusions.  

Pay sufficient attention to the place where your data is stored

Companies which want to develop suitable strategies for processing their data in the years ahead should first clarify one question: what kind of data is involved? A suitable location for storing data can only be found by a company which is aware of the related applications and objectives. The study provides interesting insights into the strategies of decision makers relating to four groups of data:

  • Enterprise resource planning, customer relationship management, supply chain management and storage,
  • Human resources, marketing automation and backup,
  • Customer database, product data base and digital asset management,
  • Project management, collaboration, IT service management, development/testing and security.

Companies whose success depends on data from these areas find out more than in the study than just where and how leading decision makers process their data today and how they want to do so in the future. They also learn why they should decide for one of the various options. The answers are as diverse as the companies of the 500 decision makers who contributed to the study. Costs, security, availability, connectivity, compliance, scalability and flexibility are all factors which play a role in each approach. Each of these aspects is complex and as a rule, companies have to plan for and master each of these issues simultaneously.  

There’s no getting around one issue for those who to keep pace

Data handling increasingly impacts success, and the demands are complex. Moreover, the innovation cycle in the IT sector is driven by exponential leaps in performance. Anyone who wants to keep pace in the light of these conditions and survive on the marketplace will find it hard to avoid dealing with one issue which is justifiably at the forefront, namely the cloud. 

The situation concerning the cloud is like the one with data, as the current study also shows. There is no homogenous thing which is called “data”, just like there is not one unified “cloud”. Instead, the challenge is to select the appropriate ecosystems from a large number of different clouds. Accordingly, the decision makers who were interviewed rely on different cloud models depending on the specific type of data involved. There is a hybrid cloud which exists between the private cloud and public cloud as a form of multi-cloud.

Leverage the advantages of today and be open to tomorrow’s developments

There is a clear and irreversible trend towards cloud solutions. More than 70 percent of all companies want to implement such concepts by the year 2020. In this case, it also pays to ask why. The responses demonstrate that companies can very clearly specify what short-term and medium-term benefits they will generate. Costs and data security are at the top of the list.

Above all, it is obvious that companies which already count on suitable cloud models today can prepare themselves well for the future. Cloud hubs such as Frankfurt, Amsterdam and London increasingly rely on cloud-neutral colocation providers. In this case, they can quickly scale their operations at any time and will also rank among the first firms in the future to exploit new developments for the benefit of their companies. The study “Cloud Trends 2020: Where does data live?” also offers valuable tips in selecting the right data center.

Data Management
© Interxion

Martin Madlo, MBA

Managing Director Interxion Austria GmbH

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