Enterprise

Satya Nadella Just Launched Microsoft Into A New $1.6 Trillion Market

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Satya Nadella Microsoft CEO
Microsoft CEO Satya Nadella  Screenshot

Satya Nadella has been the CEO of Microsoft for a whole 70 days, during which he's been changing the company's direction at a blistering pace.

He's already launched Office for iPad, reshuffled executives, released a free version of Windows, and hosted a developer conference full of love for Apple.

On Wednesday, he laid out Microsoft's plan for the next big thing coming to the Internet, known as the Internet of Things (sometimes called the Internet of Everything).

That's when every inanimate object gets a computer chip sensor and an app and can be accessed over the Internet: your doors, your elevator, your medicine bottles, your sneakers, your air conditioner, even your contact lenses.

Nadella has come up with a new name for the phenom: "the data culture."

First, he announced three new products:

  • The next version of the company's database called SQL Server 2014. The big thing here is that it now  includes in-memory technology. SQL Server is a popular enterprise database. The database industry has been going through an "in-memory" revolution, largely thanks to SAP's HANA database. "In-memory" databases can crunch vast amounts of data almost instantaneously.
  • A new cloud service called "Microsoft Azure Intelligent Systems Service" that will host IoT apps that can control all of those sensors used with all of those objects. This isn't the first such service. Salesforce offers a similar cloud, called Salesforce1.
  • A new product called the Analytics Platform System (APS) that combines Microsoft's SQL Server database with another trendy database technology called Hadoop. This would be used by companies that want to run their own big data apps in house, instead of using a cloud service.

He also offered his vision for the future in a blog titled "The data culture for everyone."

Here's the key sentence:

We believe that with the right tools, insights can come from anyone, anywhere, at any time. When that happens, organizations develop what we describe as a 'data culture.'

In the past, only people who knew how to use a complicated database could ask questions, do analysis and learn things. The next generation of technologies will be all about the apps that will let anyone, regardless of technical skill, sift through large quantities of information and discover new things, be it for research or business needs.

That, he says, will turn the world into a "data culture."

By the way, this "data culture" will create a $1.6 trillion business over the next four years, according to an IDC study commissioned by Microsoft.

Cisco's John Chambers has predicted that the IoTs will be far bigger over time. In about a decade, it will be a $14 trillion market, he says.

To give you some context, Gartner estimated that the entire tech market in 2014 will reach about $3.8 trillion. So, if these predictions hold true, IoT will more than triple it.

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Julie Bort was Business Insider's Editor at Large for the Tech team. She loves investigating stories and shedding light on the tech industry's most amazing people.Here's a small sample of some of Julie's work.Former Pinterest employees describe a traumatic workplace where managers humiliate employees until they cry, Black people feel alienated, and the toxic culture 'eats away at your soul'Sex, tequila, and a tiger: Employees inside Adam Neumann's WeWork talk about the nonstop party to attain a $100 billion dream and the messy reality that tanked itInsiders say WeWork's IT is a patchwork of cheap devices and Band-Aid fixes that will take millions to fixWeWork's toxic phone booths were created in-house by its Powered by We business70-hour weeks and 'WTF' emails: 42 employees reveal the frenzy of working at Tesla under the 'cult' of Elon MuskElon Musk works so many hours at Tesla, employees are constantly finding him asleep under tables and desksHow this woman went from a Pizza Hut employee to a founder of a $4 billion startupAn Oracle insider explains how some salespeople gamed the system to sell more cloudTHE TAKEDOWN OF TRAVIS KALANICK: The untold story of Uber's infighting, backstabbing, and multimillion-dollar exit packagesMicrosoft is in talks to buy GitHub, a startup at the center of the software world last valued at $2 billionThe alarming inside story of a failed Google acquisition, and an employee who was hospitalizedInside Facebook's plan to eat another $350 billion IT marketHow a registered sex offender wound up living in an Airbnb hosting unsuspecting guestsA controversial ex-banker is the person who really runs Twitter — and he's gambling the company's future on one risky betSecret passages and skipped meals: Oracle's CEO gave us a rare peek at what it really takes to run a $37 billion companyHP told some employees to choose between becoming contractors with no benefits or being fired without severance'I felt like we were being extorted': Customer says Oracle tried to strong-arm him into a cloud saleHow the queen of Silicon Valley is helping Google go after Amazon's most profitable businessAirbnb host: A guest is squatting in my condo and I can't get him to leaveLIES, BOOZE, AND BILLIONS: How one of the fastest-growing startups in Silicon Valley history raised $580 million then spiraled out of controlGitHub is undergoing a full-blown overhaul as execs and employees depart — and we have the full inside storyWhen she's not writing for Business Insider, Julie can usually be found on the trails, on my mountain bike, or on my skis, if you know where to look.