AWS Managed Services and Data Analytics Report

Previously, we discussed the launch of Amazon QuickSight, analytics for a) Messenger bots, b) the application of machine learning in Google Translate, and c) Intel's Nervana strategy. In this post, ESK Solutions will cover the latest news and events in data analytics and cloud computing.

1. McKinsey Publishes Report on the State of Data Science

This month, McKinsey Analytics and the McKinsey Global Institute published a report titled "The Age of Analytics: Competing in a Data-Driven World." In this report, they examined the adoption of data analytics and its business value. This year, they highlighted the application of data science across various industries, particularly in machine learning and deep learning. Here are some key takeaways from the report:

• Location-based services and retail in the US are leading industries when it comes to deriving value from data and analytics. They predict that businesses have ample opportunities to gain new insights by using geospatial data to track assets, teams, and consumers across different locations.
• Machine learning finds its greatest application across industries in improving forecasting and predictive modeling. After analyzing 120 of the most important machine learning use cases, they weighted them according to how often respondents mentioned each one. Here is the resulting heatmap.
• Over the next three years, there will be significant adoption of machine learning for real-time optimization across all industries, based on databases collected, including through web scraping services and competitor pricing.
• Currently, the two most critical applications of machine learning are enhancing autonomous vehicles and personalizing advertising.
• The three main obstacles to achieving data and analytics goals are:
  • Developing an appropriate organizational structure to support data and analytics activities (45%)
  • Ensuring top management involvement (42%)
  • Developing an effective data architecture and technology infrastructure (36%)
• Over the past five years, the supply chain operations of US retail companies have shown a 19% increase in operating margins due to the application of machine learning techniques.
• In manufacturing, the main areas where analytics can provide significant improvements are design-to-value, supply chain management, and aftermarket support.

2. Nokia to Acquire IP Network Analytics Company Deepfield

On December 15, Nokia announced the acquisition of US-based IP analytics provider Deepfield. According to the Finnish company, cloud service providers and large enterprises lack sufficient visibility into what is happening in their networks. This deal will allow Nokia to extend its leadership in network automation and real-time analytics-based services, providing advanced solutions that offer insight into network and application performance. It can also be applied to better protect networks from distributed denial-of-service (DDoS) attacks.

Founded in 2011, Deepfield performs real-time analytics to gain insights into application demand and data flows. They monitor traffic for approximately 30,000 of the most popular cloud applications and services and detect changes in how it traverses networks. Nokia intends to use this to strengthen its SDN (Software-Defined Networking) platform, the Nokia Network Services Platform (NSP), and the Nuage Networks Virtualized Services Platform (VSP).

Most of Deepfield's customers are primarily based in the US (Time Warner and Comcast being the most notable). Nokia expects to close the deal by March 2017 and plans to sell the solutions to global customers.

Craig Labovitz, founder and CEO of Deepfield, commented:

"We are very excited to join Nokia, a like-minded global leader in IP networking with shared values in network innovation. I look forward to leveraging the power of Nokia's world-class customer base, sales, and support to distribute our Deepfield technology worldwide.

This will also provide a strong foundation for us to accelerate the creation of new value—both within the Deepfield portfolio and in joint areas such as telemetry and automation."

3. Amazon Launches AWS Managed Services

Public cloud provider Amazon Web Services (AWS) has announced the launch of AWS Managed Services, a solution specifically designed for large enterprises that want to reap the benefits of the public cloud. While many large companies already use AWS, this solution may appeal to those still adhering to traditional approaches and not fully engaged with AWS. It abstracts some of the existing tools used for AWS administration and monitoring and relies on AWS staff to manage complex operational aspects.

Although IBM offers a similar solution, Google and Microsoft have not yet entered the managed cloud services market. There are also several companies like 2nd Watch, Datapipe, and Cloudreach that offer cloud infrastructure management solutions. Interestingly, partners like Rackspace also offer management of applications running on top of AWS. Now customers can either work with partners or simply use the official managed solution. Undoubtedly, this move will put pressure on AWS partners.

According to Jeff Barr, AWS Chief Evangelist, this solution is aimed at Fortune 1000 and Global 2000 companies. It includes tools for data backup, software and operating system patch management, intrusion detection, and cost tracking. Pricing will depend on the amount of AWS compute resources the company uses.