Proving the Business Case for the Internet of Things

Hitachi buys Pentaho to increase big data offering

Steve Rogerson
February 18, 2105
Hitachi Data Systems is to acquire Florida-based Pentaho, a big data integration and business analytics company with an open source-based platform for big data deployments.
The acquisition of Pentaho – the largest private big data acquisition transaction to date – is expected to be complete by June 2015, and is subject to customary closing conditions. Upon the close of the acquisition, Pentaho will retain its brand and continue to execute its current business model under the leadership of Pentaho CEO, Quentin Gallivan.
This acquisition helps to fulfil Hitachi’s strategy of delivering business innovations that integrate machine data, information technology and analytics to distil value from big data and the IoT. This acquisition is a transformational event for the big data industry, and should accelerate enterprise adoption of big data technologies through easier, faster deployment, leading to faster RoI.
“Data remain an untapped resource for many organisations and businesses – with the realisation of the value of that data remaining a challenge,” said Kevin Eggleston, senior vice president of Tokyo-based Hitachi Data Systems. “The combination of Hitachi’s broad industry expertise, advanced information technologies and now Pentaho software and the talented team of experts, will enable us to give customers a more complete solution to manage their data – allowing them to leverage the power of big data and internet of things in a quicker and simpler way.”
Pentaho software and expertise will advance the current Hitachi portfolio of products and services, and help bring additional big data services to market sooner. This should help the company address specific challenges through a shared analytics platform. The platform will be a reference architecture that brings together and orchestrates different technologies from Hitachi, partners and the open source community. It will allow developers to add capabilities on top of existing technologies for faster response to business needs.
“We are pleased to join the Hitachi Data Systems family and truly believe our complementary set of solutions will accelerate the adoption of big data deployments and internet of things applications,” said Gallivan. “The broad resources, expertise and global presence of Hitachi help ensure a strong foundation for Pentaho to continue to accelerate our big data analytics and data orchestration capabilities, bring new innovations to market, and expand support for current and future customers.”
This acquisition builds on an existing OEM relationship between the two companies and is a core component of the Hitachi strategy to accelerate its social innovation business and become a leader in IoT. Social innovation is the unifying strategy across Hitachi businesses to deliver services that enable healthier, safer and smarter societies. The Pentaho vision to create transformational value from data generated and interconnected across people and things is brought to life by a big data orchestration platform to power embedded analytics.
As part of the strategy, Hitachi is actively engaging in the practical use of connected machines and sensors, and looking at how IoT can improve business and society. Seamless integration for big data requires capabilities in several areas, including deep domain expertise, analytics technology and an end-to-end platform. Hitachi believes it can deliver on all of these.
Pentaho has a foundational technology for big data. The fundamental promise of big data is to enable customers to capture, blend and analyse a broader array of data sources to derive new business insights. The platform simplifies preparing and blending any data and includes a spectrum of tools that enable users to analyse, visualise, explore, report insights and predict outcomes. The platform is open, embeddable and extensible, which allows it to deliver data and analytics as a service to customers and partners. It is architected to ensure that each member of an organisation’s team – from developers and data scientists to business users – can easily translate data into competitive advantage.