ROI Guidebook: Databricks Lakehouse

September 22, 2023 - Research X165

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Organizations, especially leading enterprises, have reached an inflection point in their data and artificial intelligence (AI) strategies. Enterprise data storage has scaled from terabytes to petabytes, and data processing continues to climb at an even more rapid pace. Databricks is well suited to support data storage and processing at any scale, up to and beyond multiple petabytes of data. Its flagship offering, The Databricks Lakehouse Platform, is built upon a differentiated lakehouse architecture that integrates the best qualities of data lakes and data warehouses. The architecture facilitates cost-effective data storage on low-cost object storage while leveraging high-performance, elastically scalable query engines to ensure timely and cost-efficient data processing.

To better understand the benefits and costs associated with an investment in the Databricks Lakehouse Platform, Nucleus conducted an in-depth return on investment (ROI) assessment of five customers representing five distinct industries. These customers realized an average ROI of 482 percent over a three-year period, with an average annual benefit of $30.5M and a payback period of 4.1 months. On aggregate, customers also referenced 49 percent time savings across their data teams, 52 percent shortened time to production for data and AI projects, $2.6M in annual infrastructure savings, $1.1M in annual administrative cost savings, and improvements to data ingestion, ETL, business intelligence (BI), and machine learning operations (MLOps) processes.

Learn more about Nucleus Research’s ROI case study approach here.

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