- The NEED - I attended the Data Warehousing Institute (TDWI) conference in Chicago this past week. VelociData had a booth at the event and I got a chance to talk with many potential prospects. VelociData shared some of what we heard via Twitter and Google+ that provides a glimpse of the real, burning issues for which organizations are struggling to find a viable solution. The @VelociData tweets from the conference below provide a good assessment as to what we are witnessing broadly within our target market of Fortune 1000 organizations.
- The PRODUCT - VelociData is an amazing engineering work of art. This "Band of Engineering Brothers" have designed an engineered system that combines the best of software, firmware and hardware to achieve extreme acceleration in the areas of data integration/transformation, address processing and format preserving encryption. The product snaps into existing reference architectures in tandem with technologies such as Informatica PowerCenter, IBM DataStage, Ab Initio, Talend, Pentaho, various SQL DBs, Hadoop, TeraData, Netezza, GreenPlum and ExaData to improve data integration/transformation, address processing and format preserving encryption by, as much as, 1000X! This blows my mind. To provide some context, if the best marathon runner in the world could improve his performance by 1000X, he'd finish the 26 mile race in 7 seconds. We offloaded a customer's overloaded ETL functions recently and improved the overall system performance from 16 hours to 45 seconds. What's even more amazing about the VelociData engineered system is that you can throw an increasing number of transformation steps with minimal degradation in performance. This is in complete contrast to the points made by customers above that saw modest initial improvements of performance from ETL push down optimization and, as the data volumes grew, found themselves back in the same unacceptable performance situation within a year and tens of millions of dollars gone from the IT budget. For organizations with these types of critical needs that find the claims hard to believe, the VelociData team loves the opportunity to prove the case with a POC.
- The CUSTOMERS - Prospects usually come to the table frustrated in having run out of options for dealing slow data. The reality for most Fortune 1000 companies is that the data warehouses are in every way production systems. Over the years, data warehouses have become source data used by customer service people to handle customer inquires, GRC functions to manage risk, operations to effectively manage work and resources amongst operating units, buyers to asses market trends and make order decisions, ... This list just goes on and on. I talked to a person from a hospital network at the conference whose ETL process had failed the previous night. Their clinics depend on this data being available everyday before the workday begins. In their case, the ETL process takes too long to restart overnight which causes the clinic to run without the data they need for the day, or worse, longer if the issue can't get resolved. VelociData is so transformative that we can alter this state of frustration into a state of competitive advantage within hours after installation. We had one customer tell us that,"For 20 years they have been tweaking, re-architecting, re-writing and throwing hardware at our ETL processes, but we've never been able to get ahead of the escalating requirements in data volume, variety and velocity. You guys did it in an hour...simply amazing."
- The MODEL - The strength of engineering gives VelociData a strong competitive advantage in their business model design. To illustrate, one of our prospects, that has since become a customer, was left with two options to improve ETL performance. They could use push down optimization with TeraData at a cost of at least $20M over two years with an expected, never proven, performance improvement of 6X to 8X and a tIme to implementation measured in months ...or, alternatively... they could use VelociData to offload the specific, overloaded ETL functions at a cost of $47.1K a month with a proven (we demonstrated this in a POC) performance improvement of 1280X and a time to implementation measured in hours. That's a pretty compelling business model from a customer perspective.
- The TEAM - The President, CTO and Founder of VelociData is Dr. Ron Indeck. Ron is a Das Family Distinguished Professor from Washington University Department of Electrical Engineering where he was the Director of the Center for Security Technologies. Ron has a proven track record in business having been a Founder at Exegy that has become market leader with a near zero latency ticker plant solution. He has earned a world wide reputation as a leading expert in the areas of magnetic measurements and modeling, security and authentication, recording physics, magnetic devices, heterogenous computing, data mining and managing massive databases all wrapped in great sense of humor. One of his crowning achievements is building and guiding the extremely talented VelociData engineering team. This Band of Engineering Brothers, with expertise in software, firmware and hardware, focus on creating purpose built, engineer systems designed to solve the "big hairy audacious performance challenges" in Big Data. I've been in the technology industry for a long time and this team knows their customers, knows their challenges, knows their technology and knows how to innovate like nothing I've ever seen. As an example, when they talk about reliability, availability and service ability that don't just talk about five 9s. They talk about processing non-stop data volumes at speeds that smart people from the industry find unbelievable. The products snap into a customer's environment and are ready for real work within hours of installation. The team and methods used to develop the technology are a credit to Ron's unique ability to both innovate and execute.
This is a company to watch and I'm honored to be a part.