SAN FRANCISCO — Informatica claims the next wave of data is here.

At its annual four-day summit Informatica World at the Moscone Center here, the Redwood City, Calif.-based data management solution provider put the power of data for business in the spotlight.

As CEO Anil Chakravarthy noted, data plays a fundamental role in shaping business in every sector and industry, from health care to banking.

“We call this generational market shift in how data is used data 3.0,” Chakravarthy said in his opening keynote. Data 1.0 concerned use of data for specific business processes, and 2.0 focused on enterprise-wide initiatives, like enterprise resource planning or supply chain, he said.

“Data 3.0 is all about putting data front and center and using it to transform business processes and come up with new business models.”

The Data Integration Imperative

Informatica organized its four-day conference by interests and solutions in master data management, cloud innovation, big data and data disruption. It also ran labs, certification trainings and roundtables that stressed the imperative of integrating data at an organization.

Chakravarthy claims data has evolved but businesses have generally failed to change with it. He said the typical enterprise architecture isn’t built to handle data 3.0 — and struggle to use data to drive business value. 

The Marketing Data Lake he announced, for instance, serves as the integration point for data to flow into and get faster reports across channels. That’s the motivation behind its suite of enhancements, integrations (with companies including Tableau) and investments going forward.

Chakravarthy said Informatica will invest $180 million in research and development this year, with about 30 percent of the research and development spending dedicated to cloud services. Gartner predicted CEO spending on technology to exceed IT by 2017, and players like Informatica are crossing their fingers upper management will buy in.

“We used to be this tool for IT, but we really want to make tools available for business users so that they can do this kind of self-service but with all of the goodness of the processes we’ve had for IT,” Chakravarthy said.

Disrupting Data: 3 Pillars

Amit Walia, executive vice president and chief product officer at Informatica, announced the launch of Informatica 10.1 and noted that six technology disruptors are shaking things up in the data world: cloud, mobile, security, IoT, social media and big data.

“These disruptions have definitely helped organizations innovate and do new things within their own silo,” Walia said.

“But what is fundamentally different in the data 3.0 world is that data, instead of being the output of these innovations, once aggregated, becomes the disruptor itself. It is the strategic differentiator for your enterprises.”

The new Informatica uses a three-pillar strategy to focus on its best of breed products, he said, but it has also invested in an intelligent data platform (powered by metadata) and out-of-the-box data solutions built on top of its products.

The Informatica 10.1 revamp offers enhanced productivity, reduced total cost of ownership and overall better performance, Walia said. The data management platform will support automation of big data integration and connects with “anything and everything under the covers” — with up to five times increases in speed.

“We want to give you the best engine that you want for your job not having to pick and choose. That’s big data management.”

Informatica claims its cloud data management supports 4,500 customers and processes 300 billion transactions per month.

And Walia argued data itself is experiencing its own disruption in volume, location, latency, variety, user and metadata. According to Walia, Informatica in the past 20 years has invested some $2.5 billion to data quality, MDM, data masking and its other offerings.

Walia referenced Amazon’s predictive shopping approach that sends people products before they even ask for them. Amazon’s model takes into account our mouse behavior, likes and dislikes, physical location and social media and many other indicators to decide what we need and ship an item.

“That’s disruption. That’s the new business model. That’s the world we live in,” Walia said.

Reinventing Informatica

Last year, Informatica ended its 16-year stint as a public company and went private with backing from Salesforce and Microsoft. In August, Chakravarthy, then-acting CEO, told CMSWire:

“Our transformative innovation roadmap includes four distinct billion-dollar opportunities: cloud integration, next generation big data integration, MDM solutions and data security. And living our customer-first culture, we will evolve our business model to match customers’ preferences for pay-for-use subscription offerings.

“In going private, it gives us a great opportunity to plan for the long term. It lets us invest in products that can really shape our future.”

It seems Informatica is just getting started with its transformation. Since turning private, it has introduced a new partnership with Snowflake Computing, a new search experience and its enterprise-level integration cloud.

What’s next?