Yahoo's Hadoop spin-off could propel software's growth
IDG News Service - Yahoo's reported plan to spin off its Hadoop engineering unit into a separate company, should it happen, could spur more competition in the already-growing field of providing support for this data processing framework, observers said.
On Wednesday, The Wall Street Journal reported that Yahoo is mulling the idea of setting up its Hadoop development team as a new standalone company, one that would continue to develop the software and offer Hadoop-related consulting services.
"This is another good sign that the Hadoop space continues to grow," said Justin Borgman, co-founder and CEO of Hadapt, which provides tools for bridging Hadoop with data warehouses. "This will put the pressure on other Hadoop companies. The more competition the better."
Hadoop is "the biggest movement in enterprise software in years," Benchmark Capital partner Rob Bearden told the Wall Street Journal. Forrester Research senior analyst James Kobielus has estimated that the market for Hadoop products and services could grow to US$1 billion per year.
Hadoop can process data that resides across multiple servers, making it suitable for analyzing larger amounts of information than the typical data warehouse can handle.
Yahoo has been instrumental in developing the Hadoop data processing platform, and it devotes considerable engineering resources to the project. Yahoo uses the technology for the data processing and analysis needed to personalize content and advertisements for users. Other giant Internet services, such as eBay, Facebook and Twitter, also use the technology.
"Hadoop is the platform we run the company on. It's at the core of what we do," said Todd Papaioannou, Yahoo's vice president of cloud computing, in an interview with IDG last month. Yahoo did not immediately respond to a request for comment for this story.
Doug Cutting, the creator of Hadoop, joined Yahoo in 2006 to help the company develop the technology. He is now with Cloudera, which distributes a version of Hadoop. The Apache Foundation oversees Hadoop, which is an open-source project, though Yahoo contributes a sizeable portion of the new code for the project.
Designating its Hadoop team as its own entity makes sense for Yahoo, Hadapt's Borgman noted. Yahoo is primarily an Internet media company, and the market for Hadoop would be enterprises, a market Yahoo does not currently cater to.
"Maybe they feel that by spinning it out in a different company, it will have a better opportunity to pursue a different line of business," Borgman said.
Should the spin-off take place, the new entity would be one of a growing number of companies supporting Hadoop. Cloudera offers its own distribution of Hadoop.
- 15 Non-Certified IT Skills Growing in Demand
- How 19 Tech Titans Target Healthcare
- Twitter Suffering From Growing Pains (and Facebook Comparisons)
- Agile Comes to Data Integration
- Slideshow: 7 security mistakes people make with their mobile device
- iOS vs. Android: Which is more secure?
- 11 sure signs you've been hacked
- What Datapipe customers need to know about the new PCI DSS 3.0 compliance standard This handy quick reference outlines what PCI DSS 3.0 is, who needs to be compliant and how Alert Logic solutions address the new...
- The 12 PCI DSS 3.0 requirements addressed by Peer 1 Hosting This handy quick reference outlines the 12 PCI DSS 3.0 requirements, who needs to be compliant and how Alert Logic solutions address the...
- Defense Throughout the Vulnerability Life Cycle This whitepaper provides insight into how to leverage threat and log management technologies to protect your IT assets throughout their vulnerability life cycle.
- The Critical Role of Support in Your Enterprise Mobility Management Strategy Most business leaders underestimate the importance of tech support when they choose an EMM solution. Here's what to put on your checklist.
- Live Webcast Best Practices for the Hyperconverged Enterprise Network To the Age of Constant Connectivity and Information overload
- Live Webcast Unmasking the Differences between Consumer and Enterprise File Sync & Share The consumerization of IT combined with the rapid pace of the modern mobile workplace is forcing enterprise IT teams to evaluate file sync...
- Live Webcast Government Agency Webifies Outdated COBOL Applications Let this CTO tell you how his agency converted 1980s-era green screens into an e-filing portal for the 100,000 cases handled each year...
- The New Way to Work Knowledge Vault This Knowledge Vault focuses on how, in today's increasingly virtual world, it's more important than ever to engage deeply with employees, suppliers, partners,...
- Getting Ready for BlackBerry Enterprise Service 10.2 Find out how BlackBerry® Enterprise Service 10 helps organizations address the full spectrum of EMM challenges, while balancing the needs of both the... All Applications White Papers | Webcasts