Redis? We Wish Them Well

The database market is currently estimated at around $120 billion and is crowded with players ranging from cloud providers like AWS, Microsoft, and Google to specialised database companies such as Redis, MongoDB, Databricks and Snowflake.?

SingleStore , originally launched as a feature under the company name MemSQL, has since carved out a niche by evolving from its original in-memory SQL database roots to a more versatile, general-purpose database solution.?

The company’s architecture, which supports millisecond latency at the petabyte scale, positions it well for applications requiring high performance across diverse data types. This focus on speed and scale is particularly relevant in the context of AI, where real-time data processing and analysis are critical.

Redis Clone??

With this, SingleStore is locking horns directly with the king of real-time databases, Redis, which recently introduced Redis 8, a major update to its data platform, offering advanced features to its community of developers. Alongside Redis 8, the company unveiled Redis for AI, a new package designed to support the modern AI stack, and several other products aimed at enhancing developer workflows.

“Redis is not a competitor,” Raj Verma , the CEO of SingleStore, told AIM, explaining that Redis primarily serves as an open-source caching layer and is facing challenges due to its fork with AWS. “We wish them well.” He added that with over $100 million market size, Redis will also be in the top 20 database providers in the world.?

Like Redis, SingleStore’s strategy also includes fostering the developer ecosystem. It recently launched programs to support startups and also offered free access to its platforms, aiming to lower the barrier to entry. “The more usage we have of our product in a wider ecosystem, the more it hardens our product,” he explained. “We are for-profit, but we also believe in creating a product that developers love and recommend.”        

A lot has changed in the past two years, with AI coming into the picture. But it’s SingleStore’s focus on delivering speed, scale, and multimodal support that keeps it competitive. “Everyone has a piece of the pie in this market,” Verma noted.

The company positions itself as a viable and sustainable option in the market. According to the latest DB Engines ranking, there are 368 database engines. “While the market may seem crowded, if you dig deeper, you’ll find that 200 to 250 of these are academic projects with no meaningful revenue,” added Verma.

After filtering them out, roughly about 100 database engines are left behind. Further analysis reveals that fewer than 30 of these are companies that make $50 million or more annually. “Based on this analysis, we can consider ourselves among the top 15 database companies globally in a $120 million market. If not 15, then certainly within the top 20,” said Verma.

‘13th Best Database Company in the World’

Given such a big market size of databases, Verma explained that the combined revenue will still not surpass $7 to $10 billion. However, there’s around $120 billion worth of data currently residing on incumbent databases.?

A substantial portion of the data tied to legacy systems, such as AWS and others, will be slow to migrate to modern databases, potentially taking up to a decade. “But $80 billion worth of data is set to leave these incumbent databases and move to modern platforms,” Verma said.

“Imagine there are two or three companies, each worth $10 billion or more—like AWS, SQL Server, and possibly Snowflake, though it looks a bit pricey right now,” he said, adding that these companies might dominate the market. However, $50 billion worth of incumbent databases will undergo modernisation.?

“So, in theory, we could see the rise of 50 new database companies, each worth $1 billion, over the next three to seven to 10 years. But of course, that’s not realistic,” Verma added.?

“As I often joke with analysts, I don’t wake up every morning aiming to be the 13th-best database company in the world. But even if I were, it would still be a multi-billion dollar opportunity.”        

Cloud service providers will always have their databases, but many modern CIOs prefer not to be locked into a single cloud provider. They seek a cloud-agnostic data strategy, which is where Databricks, Snowflake, MongoDB and even SingleStore come into play alongside traditional cloud database providers.

Enjoy the full story here .?

OpenAI Would Have Barely Survived Without Microsoft

Microsoft is the godfather to OpenAI. Let’s face it, without the former’s support, the Sam Altman-led company wouldn’t exist as we know it. It would’ve barely survived a day, as it’s NOT your ‘normal company ’.?

UK-based industry analyst firm CCS Insight recently predicted that within three years, OpenAI will find it so difficult to raise funds that it will need to sell to Microsoft. That could explain why OpenAI recently opened a new office near the Microsoft headquarters in Seattle. Read on.?

AI Bytes?

• At Tech World 2024, Lenovo introduced ‘AI Buddy ’, a sentiment-based AI companion designed to offer personalised, human-like interactions for organising schedules, sending reminders, and securely managing daily tasks.?
• Tablesprint, an AI-first no-code app development platform, has raised $1 million in a funding round led by Ankit Bhati (co-founder, Ola), Ajeet Khurana (founder, Reflexical), Sunil Sharma (CEO, Coingape), BlueLotus Ventures, and TDV Partners, aiming to revolutionise enterprise app building with customisable, scalable solutions for HR, sales, and operations.?
• A Princeton University study found that 4.36% of new English Wikipedia articles in August 2024 contained significant AI-generated content, flagged by tools like GPTZero and Binoculars, raising concerns about content quality, accountability, and bias amplification.