Market Overview

Revenues for Big Data and Business Analytics Solutions Forecast to Reach $260 Billion in 2022, Led by the Banking and Manufacturing Industries, According to IDC


A new update to the Worldwide
Semiannual Big Data and Analytics Spending Guide
International Data Corporation (IDC)
forecasts worldwide revenues for big data and business analytics (BDA)
solutions will reach $260 billion in 2022 with a compound annual growth
rate (CAGR) of 11.9% over the 2017-2022 forecast period. BDA revenues
are expected to total $166 billion this year, an increase of 11.7% over

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Industry Share of Worldwide Big Data and Business Analytics Revenues in 2018 (Graphic: Business Wire ...

Industry Share of Worldwide Big Data and Business Analytics Revenues in 2018 (Graphic: Business Wire).

The industries making the largest investments in big data and business
analytics solutions throughout the forecast are banking, discrete
manufacturing, process manufacturing, professional services, and
federal/central government. Combined, these five industries will account
for nearly half ($81 billion) of worldwide BDA revenues this year. They
will also be the industries with the largest BDA opportunity in 2022
when their total investment will be $129 billion. The industries that
will deliver the fastest BDA revenue growth are retail (13.5% CAGR),
banking (13.2% CAGR), and professional services (12.9% CAGR).

"At a high level, organizations are turning to Big Data and analytics
solutions to navigate the convergence of their physical and digital
worlds," said Jessica
, program vice president, Customer
Insights & Analysis
at IDC. "This transformation takes a
different shape depending on the industry. For instance, within banking
and retail – two of the fastest growth areas for Big Data and analytics
– investments are all about managing and reinvigorating the customer
experience. Whereas in manufacturing, firms are reinventing themselves
to essentially be high tech companies, using their products as a
platform to enable and deliver digital services."

More than half of all BDA revenues will go to IT and business services
over the course of the forecast. Services-related revenues will also be
among the fastest growing areas of opportunity with a combined CAGR of
13.2%. Software investments will grow to more than $90 billion in 2022,
led by purchases of End-User Query, Reporting, and Analysis Tools and
Relational Data Warehouse Management Tools. Two of the fastest growing
BDA technology categories will be Cognitive/AI Software Platforms (36.5%
CAGR) and Non-relational Analytic Data Stores (30.3% CAGR). BDA-related
purchases of servers and storage will grow at a CAGR of 7.3%, reaching
nearly $27.0 billion in 2022.

The United States is by far the largest geographic market, delivering
nearly $88 billion in BDA revenues this year and more than half of the
worldwide total throughout the five-year forecast. Western Europe is the
second largest geographic market with 2018 revenues expected to reach
$35 billion, followed by the Asia/Pacific region with $23.9 billion.
Japan will be the second largest country for BDA investments in 2018,
followed by the United Kingdom, Germany, and China. The countries with
the fastest growth in BDA solutions are Argentina (20.8% CAGR), Vietnam
(19.8% CAGR), Philippines (19.5% CAGR), and Indonesia (19.4% CAGR).

From a company size perspective, very large businesses (those with more
than 1,000 employees) will be responsible for nearly two thirds of the
BDA opportunity throughout the forecast, surpassing the $100 billion
level in 2018. Small and medium businesses (SMBs) will also be a
significant contributor to BDA revenues with nearly a quarter of the
worldwide revenues coming from companies with fewer than 500 employees.

The Worldwide
Semiannual Big Data and Analytics Spending Guide
is designed to
address the needs of organizations assessing the big data and business
analytics opportunity by geography, industry, and company size. The
Spending Guide provides subscribers with revenue projections for 19
technology and service categories across 19 industries, five company
size bands, and 53 countries. Unlike any other research in the industry,
the comprehensive Spending Guide was designed to help IT decision makers
to clearly understand the industry-specific scope and direction of big
data and business analytics opportunity today and over the next five

About IDC Spending Guides
IDC's Spending Guides provide a
granular view of key technology markets from a regional, vertical
industry, use case, buyer, and technology perspective. The spending
guides are delivered via pivot table format or custom query tool,
allowing the user to easily extract meaningful information about each
market by viewing data trends and relationships.

For more information about IDC's Spending Guides, please contact Monika
Kumar at

About IDC
International Data Corporation (IDC) is the
premier global provider of market intelligence, advisory services, and
events for the information technology, telecommunications, and consumer
technology markets. With more than 1,100 analysts worldwide, IDC offers
global, regional, and local expertise on technology and industry
opportunities and trends in over 110 countries. IDC's analysis and
insight helps IT professionals, business executives, and the investment
community to make fact-based technology decisions and to achieve their
key business objectives. Founded in 1964, IDC is a wholly-owned
subsidiary of IDG,
the world's leading technology media, data, and marketing services
company. To learn more about IDC, please visit
Follow IDC on Twitter at @IDC.

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