Analysts: it is real to reduce the cost of the BI project by 90%

Pentaho corporation, the open source developer of solutions of the class business intelligence (BI), it is ashamed with Third Nature company provided results of a research, BI systems with the open code are how effective.

During the research analysts analyzed expenses on implementation and support of the BI solutions leading in the market in addition to Pentaho BI: IBM Cognos MicroStrategy Oracle BI and SAP Business Objects. They came to a conclusion that costs of implementation and support of open source of BI systems it is significantly less in comparison with commercial products.

Cost reduction within three years when using open source of BI systems

So, for the small BI project economy from open source of a system can make up to 50% of project cost or about $36000 in comparison with proprietary solutions, the report says. For the BI implementations expected 500 users and more economy can make up to 90% or about $1.5 million in terms of money.

Key indicator for calculation of cost of ownership of analytics took the cost of use of the solution in terms of one user within three years. Results are ranged on specific vendors and scale of projects. In terms of the scale of analytics select three main types of the BI project: small (up to 25 users), average (up to 100 users) and large (up to 500 users and more).

Costs for one user of a BI system during the three-year period,

depending on the scale of the project and vendor

Among the leading commercial BI systems the most expensive in relation to large projects are solutions of SAP: the cost of ownership of these solutions within three years counting on one user will be more than $4200. For the project of average scale a maximum amount counting on one user – at Oracle (also more than $4200), and for the small project – at IBM Cognos (more than $4000). At the same time, Cognos is most profitable from the point of view of TCO in relation to the big project on number of user licenses, the report says.

The value TCO for solutions of different BI vendors

One of pacing factors of economy of total cost of ownership (TSO) is the fact that in a case with open source BI systems there is no need to purchase licenses, including to buy in addition them in process of growth of business and increase in number of users of the solution, experts say. Thus, service support remains the main article of an expense for such solution. "We know that Pentaho effective solution for cost reduction, and the research only confirmed this fact", - Richard Daley commented on CEO Pentaho.

As the summary analysts urge to consider BI system open source not less seriously, than traditional industrial solutions. According to data of the report, 32% of the polled companies complement already existing BI solutions with the open source systems, and 41% of the companies begin new BI implementations only on the basis of open source of systems.