IDC: AI, HPDA Driving HPC into High Growth Markets

By Doug Black

November 16, 2016

The rapid growth in technology that can be trained, that infers, that continually learns from information contained in enormous data sets, all the while generating strong ROI on strategic initiatives, dominated ICD’s annual HPC market report presented yesterday at SC16 in Salt Lake City.

“High performance data analytics (HPDA) is where Big Data and HPC come together,” said Earl Joseph, IDC program vice president, high-performance computing, “and we’re seeing some tremendous growth in this area. Big Data is having major impact on HPC and we expect it to be one of the fundamental growth drivers.”

IDC's Earl Joseph
IDC’s Earl Joseph

Overall HPC purchases in 2015 totaled $11.4B, IDC reported, for a growth rate of more than 10 percent, with storage the fastest growing segment. Cyclically “bumpy” supercomputer sales declined as purchases of top 10 systems slowed for the third straight year, but IDC noted “the profusion of Exascale announcements is generating a lot of buzz,” and Joseph said supercomputer sales are expected to experience a significant uptick in 2017.

Meanwhile the overall HPC server market (ranging from supercomputers to workgroup systems) totaled $5.2 billion for the first half of the year with 2016 “looking good,” Joseph said, projected at 6 to 7 percent growth.

IDC expects the HPC server market to continue to average annual 6 percent growth through 2020.

Some of the most impressive findings released by IDC were updates to its HPC ROI study, developed as part of a DOE grant and based on data from 673 HPC installations in 14 countries across government, academic and industry. On average, according to IDC, every dollar invested in HPC generated $551 in revenues and $52 in profits or cost savings.

“These are tremendous returns compared to normal venture capitalists and everyone else,” Joseph said, “and a big part of this is because HPC is often applied to very successful and big projects and programs.”

IDC also measured HPC-related job creation, finding that the overall average HPC investment cost per job created was $270K.

idc-sc16-server-vendorsAs for vendor competition, IDC reported that during the first half of 2016 HPE had nearly twice the HPC server revenues, $1.9B, of its closest rival, Dell, at $954 million. In the supercomputer segment, HPE had revenues of $446 million to Dell’s $224 million.

“HPE clearly has become the market leader when IBM sold of its x86 assets to Lenovo,” said Joseph. “But going forward with the acquisition of SGI, it really puts them in a different position from the other vendors. We’re also seeing Dell having significant growth right now, and with the combination with EMC we expect to see Dell’s growth move up quite a bit.”

It’s the ongoing confluence of big data with HPC that is a primary driver of HPC adoption in new and expanding markets, Joseph said.

Identifying the major sectors within the HPDA category has been an ongoing exercise. Currently, IDC singles out four HPDA segments:

  • Security, fraud and anomaly detection. This centers around identifying potentially harmful patterns and causes using graph analysis, semantic analysis or other high performance analytics techniques. The patterns may point to fraud or to cyber security crime or insider threats, significant errors, or other anomalies.
  • This is the use of HPDA to promote products or services, typically using complex algorithms to discern potential customers’ demographics, buying preferences and habits.
  • Business intelligence. This workload segment uses HPDA to identify opportunities to advance the market position and competitiveness of businesses, by better understanding themselves, their competitors, and the evolving dynamics of the markets they participate in.
  • Other commercial HPDA. This includes all other commercial HPDA, such as high-potential workload to manage large IT infrastructures, ranging from on premise data centers to public clouds and Internet-of-Things (IoT) infrastructures.

Joseph noted that the next new HPDA segment will be precision medicine, in which a patient’s individual genome, history and symptomology are stored in a database and compared with millions of archived patient records for relevant outcomes.

“We expect HPDA, machine learning and AI to really have some substantial growth in the market,” Joseph said. “We’re talking to so many clients about how to use HPC in these new unique ways. And the market factor that’s amazing to me is that the financial returns are just staggering. It’s a place where people aren’t as concerned with how cheap the system is, how cheap the software is, it’s much more about solving a strategic problem that’s going to generate a lot of revenue.”

Steve Conway, IDC research vice president, high performance computing, said he and his colleagues look closely at “what triggers people to add HPC into their enterprise IT data centers. And it’s the fact of complexity and time criticality that make that happen.”

idc-hpda-workloads

IDC projects HPDA server market growth through 2020 of 26 percent CAGR in new commercial analytics segments, compared with 17 percent CAGR for traditional HPC server segments. The overall HPDA market will grow robustly to $3.9B by 2018, with the strongest growth is taking place in industry, where it is “taking off like a rocket,” said Conway. As of 2015, IDC reported, more than 33 percent of workloads in commercial settings over the next six to 18 months will be devoted to HPDA; whereas in government and academia HPDA workloads are expected to be 20 and 16 percent, respectively.

idc-2015-20-hpc-server-growth

Bob Sorensen, IDC research vice president, HPC group, said the “HPC universe is expanding in ways that are not directly observed…because we haven’t quite decided what the definition of HPC should be.”

He identified work being done with new hardware and software for deep learning. “From the training phase, the computationally intensive part where you go and train a deep neural network to understand a tough problem – exaflops regression kind of training,” involving GPUs, (Xeon) Phis and FPGAs.

He also cited “tactical HPC for inference,” the use of a subset of a system that was trained on a larger HPC system. “It could be questions as trivial as your smart phone being able to understand your voice or as relatively computationally complex” as a self-driving car.”

“There are companies out there adopting business intelligence, who are being forced into HPC simply because their data sets are growing,” Sorensen said. “They don’t have the luxury of saying ‘Wow, we’ve got all this additional data, let’s just ignore it because we don’t have the computational capability to handle it.’ The growth in the data that’s available to these companies is forcing them into the HPC world, whether they like it or not.”

He said the next major development in deep learning is what Sorensen called “on the job training” – an application becoming smarter as it carries out its tasks. “You have a car that’s driving down a street and comes across a problem it hasn’t seen before. And if it reacts badly or properly, that information is then communicated to the entire community of cars that are using that same inference engine. It’s a merging of training and inference.”

At the breakfast, IDC also announced the 10th round of recipients of the HPC Innovation Excellence Award. This year’s winners are:

Robert Wilhelmson and Leigh Orf, University of Wisconsin at Madison: “Unlocking the Mysteries of the Most Violent Tornadoes.” The researched studied devastating, long-lived tornadoes, which are rare but the death and destruction they cause is significant. This computational project reviewed nearly four years of the researchers’ HPC-based work with a strong focus on recent supercell thunderstorm simulations. Wilhelmson and Orf an overview of the challenges that were overcome in order to simulate and visualize tornadoes, embedded within their parent thunderstorms, at ultra-high spatial and temporal resolution.

David Ceperley, University of Illinois: “Hydrogen under Extreme Conditions.” Hydrogen accounts for much of the visible mass in the universe and hydrogen and helium are important for understanding large planets. However, experiments under the relevant conditions are challenging. Dr. Ceperley developed new Quantum Monte Carlo simulation methods to treat such systems and has been using them to study molecular dissociation in liquid hydrogen. After validation, the method can be used with more confidence in modeling the wide variety of observed astrophysical objects composed largely of hydrogen and helium under extreme conditions.

Gerrit Botha, University of Cape Town: “Custom Genotyping Chip for African Populations.” This computational project aims to produce genomic variant calls for the design of a cost-effective genotyping chip that will capture the genetic diversity in populations of African origin, including African-Americans. This ongoing work will enable the identification of genetic variation specific to African populations to improve understanding of the links between genotype and disease and extend personalized medicine to these underserved populations.

Ruby Mendenhall et al., University of Illinois: “Rescuing Lost History: Using Big Data to Recover Black Women’s Lived Experiences.” Documents recording the lives of black women are often historically obscure, hidden away in vast library collections and unintentionally misleadingly titled or cataloged. Dr. Mendenhall is leading a collaboration of social scientists, humanities scholars and digital researchers using HPC to find and understand the historical experiences of black women by searching two massive databases of written works from the 18th through 20th centuries.

Subscribe to HPCwire's Weekly Update!

Be the most informed person in the room! Stay ahead of the tech trends with industy updates delivered to you every week!

UK to Launch Six Major HPC Centers

March 27, 2017

Six high performance computing centers will be formally launched in the U.K. later this week intended to provide wider access to HPC resources to U.K. Read more…

By John Russell

AI in the News: Rao in at Intel, Ng out at Baidu, Nvidia on at Tencent Cloud

March 26, 2017

Just as AI has become the leitmotif of the advanced scale computing market, infusing much of the conversation about HPC in commercial and industrial spheres, it also is impacting high-level management changes in the industry. Read more…

By Doug Black

Scalable Informatics Ceases Operations

March 23, 2017

On the same day we reported on the uncertain future for HPC compiler company PathScale, we are sad to learn that another HPC vendor, Scalable Informatics, is closing its doors. Read more…

By Tiffany Trader

‘Strategies in Biomedical Data Science’ Advances IT-Research Synergies

March 23, 2017

“Strategies in Biomedical Data Science: Driving Force for Innovation” by Jay A. Etchings is both an introductory text and a field guide for anyone working with biomedical data. Read more…

By Tiffany Trader

HPE Extreme Performance Solutions

Quants Achieving Maximum Compute Power without the Learning Curve

The financial services industry is a fast-paced and data-intensive environment, and financial firms are realizing that they must modernize their IT infrastructures and invest in high performance computing (HPC) tools in order to survive. Read more…

HPC Compiler Company PathScale Seeks Life Raft

March 23, 2017

HPCwire has learned that HPC compiler company PathScale has fallen on difficult times and is asking the community for help or actively seeking a buyer for its assets. Read more…

By Tiffany Trader

Google Launches New Machine Learning Journal

March 22, 2017

On Monday, Google announced plans to launch a new peer review journal and “ecosystem” Read more…

By John Russell

Swiss Researchers Peer Inside Chips with Improved X-Ray Imaging

March 22, 2017

Peering inside semiconductor chips using x-ray imaging isn’t new, but the technique hasn’t been especially good or easy to accomplish. Read more…

By John Russell

LANL Simulation Shows Massive Black Holes Break ‘Speed Limit’

March 21, 2017

A new computer simulation based on codes developed at Los Alamos National Laboratory (LANL) is shedding light on how supermassive black holes could have formed in the early universe contrary to most prior models which impose a limit on how fast these massive ‘objects’ can form. Read more…

HPC Compiler Company PathScale Seeks Life Raft

March 23, 2017

HPCwire has learned that HPC compiler company PathScale has fallen on difficult times and is asking the community for help or actively seeking a buyer for its assets. Read more…

By Tiffany Trader

Quantum Bits: D-Wave and VW; Google Quantum Lab; IBM Expands Access

March 21, 2017

For a technology that’s usually characterized as far off and in a distant galaxy, quantum computing has been steadily picking up steam. Read more…

By John Russell

Trump Budget Targets NIH, DOE, and EPA; No Mention of NSF

March 16, 2017

President Trump’s proposed U.S. fiscal 2018 budget issued today sharply cuts science spending while bolstering military spending as he promised during the campaign. Read more…

By John Russell

CPU-based Visualization Positions for Exascale Supercomputing

March 16, 2017

In this contributed perspective piece, Intel’s Jim Jeffers makes the case that CPU-based visualization is now widely adopted and as such is no longer a contrarian view, but is rather an exascale requirement. Read more…

By Jim Jeffers, Principal Engineer and Engineering Leader, Intel

US Supercomputing Leaders Tackle the China Question

March 15, 2017

Joint DOE-NSA report responds to the increased global pressures impacting the competitiveness of U.S. supercomputing. Read more…

By Tiffany Trader

New Japanese Supercomputing Project Targets Exascale

March 14, 2017

Another Japanese supercomputing project was revealed this week, this one from emerging supercomputer maker, ExaScaler Inc., and Keio University. The partners are working on an original supercomputer design with exascale aspirations. Read more…

By Tiffany Trader

Nvidia Debuts HGX-1 for Cloud; Announces Fujitsu AI Deal

March 9, 2017

On Monday Nvidia announced a major deal with Fujitsu to help build an AI supercomputer for RIKEN using 24 DGX-1 servers. Read more…

By John Russell

HPC4Mfg Advances State-of-the-Art for American Manufacturing

March 9, 2017

Last Friday (March 3, 2017), the High Performance Computing for Manufacturing (HPC4Mfg) program held an industry engagement day workshop in San Diego, bringing together members of the US manufacturing community, national laboratories and universities to discuss the role of high-performance computing as an innovation engine for American manufacturing. Read more…

By Tiffany Trader

For IBM/OpenPOWER: Success in 2017 = (Volume) Sales

January 11, 2017

To a large degree IBM and the OpenPOWER Foundation have done what they said they would – assembling a substantial and growing ecosystem and bringing Power-based products to market, all in about three years. Read more…

By John Russell

Trump Budget Targets NIH, DOE, and EPA; No Mention of NSF

March 16, 2017

President Trump’s proposed U.S. fiscal 2018 budget issued today sharply cuts science spending while bolstering military spending as he promised during the campaign. Read more…

By John Russell

Quantum Bits: D-Wave and VW; Google Quantum Lab; IBM Expands Access

March 21, 2017

For a technology that’s usually characterized as far off and in a distant galaxy, quantum computing has been steadily picking up steam. Read more…

By John Russell

TSUBAME3.0 Points to Future HPE Pascal-NVLink-OPA Server

February 17, 2017

Since our initial coverage of the TSUBAME3.0 supercomputer yesterday, more details have come to light on this innovative project. Of particular interest is a new board design for NVLink-equipped Pascal P100 GPUs that will create another entrant to the space currently occupied by Nvidia's DGX-1 system, IBM's "Minsky" platform and the Supermicro SuperServer (1028GQ-TXR). Read more…

By Tiffany Trader

Tokyo Tech’s TSUBAME3.0 Will Be First HPE-SGI Super

February 16, 2017

In a press event Friday afternoon local time in Japan, Tokyo Institute of Technology (Tokyo Tech) announced its plans for the TSUBAME3.0 supercomputer, which will be Japan’s “fastest AI supercomputer,” Read more…

By Tiffany Trader

IBM Wants to be “Red Hat” of Deep Learning

January 26, 2017

IBM today announced the addition of TensorFlow and Chainer deep learning frameworks to its PowerAI suite of deep learning tools, which already includes popular offerings such as Caffe, Theano, and Torch. Read more…

By John Russell

Lighting up Aurora: Behind the Scenes at the Creation of the DOE’s Upcoming 200 Petaflops Supercomputer

December 1, 2016

In April 2015, U.S. Department of Energy Undersecretary Franklin Orr announced that Intel would be the prime contractor for Aurora: Read more…

By Jan Rowell

Is Liquid Cooling Ready to Go Mainstream?

February 13, 2017

Lost in the frenzy of SC16 was a substantial rise in the number of vendors showing server oriented liquid cooling technologies. Three decades ago liquid cooling was pretty much the exclusive realm of the Cray-2 and IBM mainframe class products. That’s changing. We are now seeing an emergence of x86 class server products with exotic plumbing technology ranging from Direct-to-Chip to servers and storage completely immersed in a dielectric fluid. Read more…

By Steve Campbell

Leading Solution Providers

Enlisting Deep Learning in the War on Cancer

December 7, 2016

Sometime in Q2 2017 the first ‘results’ of the Joint Design of Advanced Computing Solutions for Cancer (JDACS4C) will become publicly available according to Rick Stevens. He leads one of three JDACS4C pilot projects pressing deep learning (DL) into service in the War on Cancer. Read more…

By John Russell

BioTeam’s Berman Charts 2017 HPC Trends in Life Sciences

January 4, 2017

Twenty years ago high performance computing was nearly absent from life sciences. Today it’s used throughout life sciences and biomedical research. Genomics and the data deluge from modern lab instruments are the main drivers, but so is the longer-term desire to perform predictive simulation in support of Precision Medicine (PM). There’s even a specialized life sciences supercomputer, ‘Anton’ from D.E. Shaw Research, and the Pittsburgh Supercomputing Center is standing up its second Anton 2 and actively soliciting project proposals. There’s a lot going on. Read more…

By John Russell

HPC Startup Advances Auto-Parallelization’s Promise

January 23, 2017

The shift from single core to multicore hardware has made finding parallelism in codes more important than ever, but that hasn’t made the task of parallel programming any easier. Read more…

By Tiffany Trader

HPC Compiler Company PathScale Seeks Life Raft

March 23, 2017

HPCwire has learned that HPC compiler company PathScale has fallen on difficult times and is asking the community for help or actively seeking a buyer for its assets. Read more…

By Tiffany Trader

HPC Technique Propels Deep Learning at Scale

February 21, 2017

Researchers from Baidu’s Silicon Valley AI Lab (SVAIL) have adapted a well-known HPC communication technique to boost the speed and scale of their neural network training and now they are sharing their implementation with the larger deep learning community. Read more…

By Tiffany Trader

CPU Benchmarking: Haswell Versus POWER8

June 2, 2015

With OpenPOWER activity ramping up and IBM’s prominent role in the upcoming DOE machines Summit and Sierra, it’s a good time to look at how the IBM POWER CPU stacks up against the x86 Xeon Haswell CPU from Intel. Read more…

By Tiffany Trader

IDG to Be Bought by Chinese Investors; IDC to Spin Out HPC Group

January 19, 2017

US-based publishing and investment firm International Data Group, Inc. (IDG) will be acquired by a pair of Chinese investors, China Oceanwide Holdings Group Co., Ltd. Read more…

By Tiffany Trader

US Supercomputing Leaders Tackle the China Question

March 15, 2017

Joint DOE-NSA report responds to the increased global pressures impacting the competitiveness of U.S. supercomputing. Read more…

By Tiffany Trader

  • arrow
  • Click Here for More Headlines
  • arrow
Share This