Data Virtualization Growing In Popularity And Use Cases: Report


Sixty percent of organizations recognize that data virtualization is a strong alternative to traditional data warehouse solutions, according to Varada‘s first annual State of Data Virtualization Report.

The data also forecasts that the number of companies with more than half of their workloads on virtualization in 2021 will jump by more than 100%, from 28% in 2020 to 59%. The use cases for data virtualization vary, with more than half of respondents citing internal data applications, internal business intelligence, and customer-facing data and dashboards, too.

The report highlights that less than a quarter of respondents have under 5TB of data, and 34% have more than 10TB. Seventy percent are using the cloud vendor’s data warehouse, while 59% use SaaS data platforms, 55% use data lake platforms, and 45% are still using traditional data warehousing.

The report also said that the benefits for running queries are suffering from what might well be an education gap. A much smaller percentage (39%) of users are seeing the benefits of data virtualization for ad-hoc queries, a use case where data virtualization truly shines.

On top of that, when asked to define data virtualization, just 19% described the ability to run queries without the need to model data, and only 17% of respondents defined it as a data lake query engine at all.

“The rapid growth of data virtualization is exposing major cracks in the business foundation that supports the technology,” said Eran Vanounou, CEO of Varada.

“This first-annual State of Data Virtualization Report highlights that organizations need a way to leap these hurdles and to embrace the data lake as a route to ensuring business agility and growth. Only companies who boost performance by adding automation and deep visibility will be able to become truly data-first,” Vanounou added.