Hitachi buying Pentaho to boost its IoT business

Pentaho's software will provide data analysis in IoT systems Hitachi Data Systems plans to build for vertical industries

Hitachi Data Systems is purchasing business intelligence software maker Pentaho to incorporate analysis into Internet of Things systems it'll build for the healthcare, public safety and other industries.

"Hitachi owns the infrastructure and Pentaho owns the data integration and analytics platform and know-how to harness the value in big data," wrote Pentaho CEO Quentin Gallivan in a blog post detailing the rationale behind the acquisition.

Hitachi Data Systems (HDS) is a wholly owned subsidiary of global conglomerate Hitachi, and focuses on IT and data center support and integration. It has been working to expand into the IoT market, which will generate over $2 trillion in business for all industries by 2020, according to Goldman Sachs.

Hitachi manufactures a wide range of industrial equipment that could be hooked up to the Internet, such as elevators, power distribution systems, and construction equipment. HDS can use the Hitachi industrial products as components to larger IoT systems it can assemble on behalf of customers.

Already HDS has rolled out vertical-industry systems focused on data and networking, such as for connected cards, that collect and convey operational and diagnostic information back to the user and manufacturer. HDS has also worked with the U.K. to outfit commuter trains with sensors to generate more information about train operations.

The Pentaho software will provide the analysis engine to give customers additional information about the systems, based on the data these systems generate. Pentaho software can work with data from a wide variety of sources, including big data repositories such as Hadoop. Because the software is open source, it can be easily embedded into a larger set of services, according to the company. It was also designed to meet the needs of a range of users of different skill levels, including developers, data scientists and business users.

Pentaho can also work with existing Hitachi products, such as the Hitachi Content Platform data storage system. The two companies have already worked closely together through an OEM (original equipment manufacturer) partnership, whereupon Pentaho's software fit into HDS' systems.

The pending Pentaho acquisition shows that large system integrators such as HDS "need integration software and analytics," said Ciaran Dynes, vice president of products for Pentaho competitor Talend. "That big companies are looking to do these acquisitions shows that customers are out there looking for these types of technologies."

Pentaho will continue operations under its current business model. Pentaho CEO Gallivan will report to Kevin Eggleston, HDS senior vice president for social innovation and global industries.

With 6,000 employees, Hitachi Data Systems counts among its customers BMW, NASA, Spanish telecom Telefonica, and the China Mobile Communications Corporation. Pentaho customers include Lufthansa, Halliburton, and Nasdaq.

HDS expects to complete the transaction by June, subject to the customary closing conditions. Financial terms of the deal were not disclosed.

Joab Jackson covers enterprise software and general technology breaking news for The IDG News Service. Follow Joab on Twitter at @Joab_Jackson. Joab's e-mail address is Joab_Jackson@idg.com

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags business issuesapplicationsPentahosoftwarehitachiMergers and acquisitionsbusiness intelligence

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Joab Jackson

IDG News Service
Show Comments

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre x360

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga 910

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?