We talk and hear a lot about BIG DATA but what actually is BIG DATA?

Big data refers to large data sets that can be analyzed by computers to reveal patterns, trends, and associations. But if you go back to the original report in which that term was coined, you’ll see that the authors weren’t thinking of “big data” as a term. They used it to describe a problem, as in “We have a BIG data problem,” not as in “We have a BIG-DATA problem.”

With an estimated 150 billion networked sensors in the world generating data 24/7 365 days a year. Big data presents both a problem and an opportunity, as it allows AI to identify patterns and make predictions based on this data.

The biggest problem lies in storing and processing the massive amount of data generated. Companies often struggle to keep up with the volume and variety of data flowing into their on-premises data warehouses, leading to delays and potential system crashes.

For example:

Most companies’ data warehouse struggle to keep up with the volume and variety of data flowing into it, or it doesn’t have sufficient processing power to generate reports from that data. Many companies now run their reports at the end of the day so the report will be done the next morning or afternoon. At other companies, where numerous employees are querying the data at the same time, they must wait hours for results, and if the system crashes or freezes due to its lack of processing capacity, they have to start over. Many of these businesses (such as a stock exchange) rely on real-time reporting to remain competitive.

The takeaway here is that big data is both a problem and an opportunity. It’s a problem in that companies need to determine whether they need to work with huge data sets or have more modest needs. Perhaps they merely need to use smaller data sets to monitor and analyze website usage or gauge the effectiveness of their marketing campaigns. However, if they need to analyze huge data sets (for example, to find a cure for the common cold), they need to plan for storage and processing. But big data is also an opportunity. Without it, AI wouldn’t have the data it needs to identify patterns from and make predictions on that data.

Ref: Doug Rose. Artificial Intelligence for Business