It may be surprising to know that U.S. natural catastrophe economic losses totaled $119 billion in 2020, and 75% (or $89.4B) of those economic losses were caused by severe storms and cyclones. In the insurance industry, data is everything. Insurers use data to influence underwriting, rating, pricing, forms, marketing, and even claims handling. When fueled by good data, risk assessments become more accurate and produce better business results. To make this possible, the industry is increasingly turning to predictive analytics, which uses data, statistical algorithms, and machine learning (ML) techniques to predict future outcomes based on historical data. Insurance firms also integrate external data sources with their own existing data to generate more insight into claimants and damages. Google Cloud Public Datasets offers more than 100 high-demand public datasets through BigQuery that helps insurers in these sorts of data “mashups.” 

One particular dataset that insurers find very useful is Severe Storm Event Details from the U.S. National Oceanic and Atmospheric Administration (NOAA). As part of the Google Cloud Public Datasets program and NOAA’s Public Data Program, this severe storm data contains various types of storm reports by state, county, and event type—from 1950 to the present—with regular updates. Similar NOAA datasets within the Google Cloud Public Datasets program include the Significant Earthquake Database, Global Hurricane Tracks, and the Global Historical Tsunami Database.  

In this post, we’ll explore how to apply storm event data for insurance pricing purposes using a few common data science tools—Python Notebook and BigQuery—to drive better insights for insurers.

Predicting outcomes with severe storm datasets

For property insurers, common determinants of insurance pricing include home condition, assessor and neighborhood data, and cost-to-replace. But macro forces such as natural disasters—like regional hurricanes, flash floods, and thunderstorms—can also significantly contribute to the risk profile of the insured. Insurance companies can leverage severe weather data for dynamic pricing of premiums by analyzing the severity of those events in terms of past damage done to property and crops, for example. 

It’s important to set the premium correctly, however, considering the risks involved. Insurance companies now run sophisticated statistical models, taking into account various factors—many of which can change over time. After all, without accurate data, poor predictions can lead to business losses, particularly at scale.  

The Severe Storm Event Details database includes information about a storm event’s location, azimuth (an angle measurement used in celestial coordination), distance, impact, and severity, including the cost of damages to property and crops. It documents:

• The occurrence of storms and other significant weather events of sufficient intensity to cause loss of life, injuries, significant property damage, and/or disruption to commerce.
• Rare, unusual weather events that generate media attention, such as snow flurries in South Florida or the San Diego coastal area.
• Other significant weather events, such as record maximum or minimum temperatures or precipitation that occur in connection with another event.

Data about a specific event is added to the dataset within 120 days to allow time for damage assessments and other analysis.

Driving business insights with BigQuery and notebooks

Google Cloud’s BigQuery provides easy access to this data in multiple ways. For example, you can query directly within BigQuery and perform analysis using SQL. 

Another popular option in the data science and analyst community is to access BigQuery from within the Notebook environment to intersperse Python code and SQL text, and then perform ad hoc experimentation. This uses the powerful BigQuery compute to query and process huge amounts of data without having to perform the complex transformations within the memory in Pandas, for example.

In this Python notebook, we have shown how the severe storm data can be used to generate risk profiles of various zip codes based on the severity of those events as measured by the damage incurred. The severe storm dataset is queried to retrieve a smaller dataset into the notebook, which is then explored and visualized using Python. Here’s a look at the risk profiles of the zip codes:

Another Google Cloud resource for insurers is BigQuery ML, which allows them to create and execute machine learning models on their data using standard SQL queries. In this notebook, with a K-Means Clustering algorithm, we have used BigQuery ML to generate different clusters of zip codes in the top five states impacted by severe storms. These clusters show different levels of impact by the storms, indicating different risk groups. 

The example notebook is a reference guide to enable analysts to easily incorporate and leverage public datasets to augment their analysis and streamline the journey to business insights. Instead of having to figure out how to access and use this data yourself, the public datasets, coupled with BigQuery and other solutions, provide a well-lit path to insights, leaving you more time to focus on your own business solutions.

Making an impact with big data

Google Cloud’s Public Datasets is just one resource within the broader Google Cloud ecosystem that provides data science teams within the financial services with flexible tools to gather deeper insights for growth. The severe storm dataset is a part of our environmental, social, and governance (ESG) efforts to organize information about our planet and make it actionable through technology, helping people make a positive impact together. 

To learn more about this public dataset collaboration between Google Cloud and NOAA, attend the Dynamic Pricing in Insurance: Leveraging Datasets To Predict Risk and Price session at the Google Cloud Financial Services Summit on May 27. You can also check out our recent blog and explore more about BigQuery and BigQuery ML.

Over the decades, technology has helped us organize large amounts of physical information in ways that are streamlined, efficient, and easily accessible. Rows upon rows of encyclopedias are no longer needed; simply punch in or speak a query into Google Search and find numerous results at your fingertips. There’s no need to haul around cases of CDs or cassettes either, when you can access hundreds of thousands of songs on music streaming services. 

We wanted to bring that same level of accessibility to one specific type of publication: the printed car manual. Here’s how we shifted the paper manual to become an easy-to-access, voice-activated digital experience for owners of the all-new Sienna. It’s helped this resource become just as modern and useful as Toyotas themselves.

Putting cloud technology in the driver’s seat

Far too often, the printed car manual remains unused, collecting dust in the glove compartment—that is, until it’s needed during a roadside emergency or to solve the meaning of a mysterious light popping up on the dashboard. Even then, thumbing through hundreds of pages during high-stakes moments can be stressful. On top of that, these manuals can be expensive to print and update.

Digital versions, such as a PDF file, are a nice start. But, they’re often little more than reformatted flat documents. In poor visual conditions on the side of a road, the last thing a driver wants to do is squint at a phone or scroll through pages of tiny text. And similar to printed manuals, digital versions don’t facilitate ongoing, real-time conversations between drivers and automakers when it matters the most; they’re often only text and pictures, and at best, schematic drawings.

With that in mind, we set out to elevate and personalize the car manual by creating a voice-activated digital owner’s manual experience, all powered by Google Cloud. A voice-based assistant was the clear choice because, as it felt like the most intuitive, natural option, especially while driving. In fact, 51% of U.S. adults have used a voice assistant while driving, and 95% of all drivers expect to use a voice assistant in the next three years. 

We’re now putting this technology on the road by powering the Toyota Driver’s Companion for the all-new 2021 Toyota Sienna model. Accessible through the existing Toyota app, this companion provides real-time assistance, any time of the day. Drivers can ask questions and the companion will efficiently provide helpful answers in convenient ways, from voice to 3D walkthroughs and explorable environments. 

What a modern car manual should do

The Toyota Driver’s Companion has interactive features to help drivers discover the Sienna’s dashboard, set up the car’s interior and exterior appearance, better understand vehicle maintenance, and explore Dynamic Radar Cruise Control, Lane Departure Alert and other features. 

Here are a few other additional key features to call out within the Toyota Driver’s Companion: 

• An easily accessible virtual voice through the Toyota Driver’s Companion lets app users ask personal questions about their 2021 Sienna such as “what’s the height of my car?” and receive immediate answers either by voice, display or interactive input. 
• The manual automatically connects with the purchased vehicle’s VIN number to create a completely personalized experience, curated specifically for the driver. For example, if an unfamiliar light on the dashboard pops up, the Toyota Driver’s Companion can help identify the light’s meaning.
• Interactive hotspots throughout the vehicle’s interior let drivers explore the cabin virtually. Drivers can discover button functionalities, find specific dials, and learn more about car functions, such as how to slide seats or open doors, to become acclimated with their new vehicle.

To bring this experience to life, we tapped into some of our key Google Cloud solutions:

• APIs powered by Google Cloud artificial intelligence technology make accessing specific vehicle information easy and effortless, by leveraging Google’s natural language processing:
  • Google Cloud DialogFlow API serves as the decision tree that gives intelligence for both finding an answer for a question, i.e., how the Companion responds to the end user’s questions. 
  • One of our Text-to-Speech APIs—called Wavenet—creates the Companion’s realistic voice. 
  • And finally, our Speech-to-Text API “listens” to the user’s voice and finds the correct information to craft responses. That means a driver can ask a question multiple ways, and the Companion will still respond with the right answer. 

Our Firebase mobile app dev platform gleans analytic insights that help improve the overall experience and services for OEMs and drivers alike.https://www.youtube.com/embed/66QxWS-PzIM?enablejsapi=1&

We’re encouraging better consumer experiences by providing faster access to fresh information, in a natural, accessible format—voice. But these new voice-activated experiences aren’t only an opportunity to help out drivers; it’s also about strengthening connections between drivers, their vehicles, and automakers, too. 

Our hope is that through this information exchange, drivers can provide feedback on the most frequently misunderstood features, enabling OEMs to address questions early on. By understanding the most requested features, OEMs can also predict and inform driver questions about features. We’re incredibly excited to help make the driver’s experience more connected and helpful.

Generative AI continues to develop at a blistering pace, making it more important than ever that organizations have access to enterprise-ready capabilities to help them leverage this disruptive technology. 

Harnessing the power of decades of Google’s research, innovation, and investment in AI, Google Cloud continues to make generative AI available with baked-in security, data governance, and scalability across the board. 

To this end, last month, we announced the general availability of Generative AI support on Vertex AI, giving our customers the ability to access powerful foundation models from Google Research and tools for customizing and applying them. 

Today we are announcing the general availability (GA) of four important foundation models for Vertex AI. These include Imagen, PaLM 2 for Chat, Codey, and Chirp. For each of these models, organizations can access APIs on Model Garden and do prompt design and tuning on Generative AI Studio.

• Imagen includes four key features:
  • Image generation for creating studio-grade images at scale
  • Image editing to edit generated or existing images via text prompts 
  • Image captioning for creating captions of images at scale
  • Visual Question & Answering (VQA) for interacting with, analyzing, and explaining images
• PaLM 2 for Chat follows the general availability of PaLM 2 for Text in June 
• Codey supports code generation, completion, and code chat
• Chirp supports multilingual Speech AI 

We’re also announcing Multimodal Embeddings API in preview, which lets customers combine the power of Vertex AI’s generative AI models with their proprietary data, to generate embeddings, or interchangeable vector representations, of their text and image data. These capabilities can enable data science teams to deliver a variety of downstream tasks such as image classification, content recommendations, and visual search. 

In this blog post, we’ll explore what your organization can do with these powerful models and how Vertex AI provides the enterprise-ready capabilities you can use to get up and running with generative AI. 

Helping to drive enterprise value from Generative AI models

Powerful models are the foundation of generative AI, but the software, tools, and infrastructure that surround these models are equally important for enterprise adoption. Organizations face challenges not only accessing these models, but also integrating AI while maintaining protection over intellectual property, adhering to regulations around data security and privacy, and ensuring models and applications are safe to use. Many organizations also want to use generative AI without incurring large costs or managing huge clusters.

We help address these challenges head-on with Vertex AI’s platform capabilities for scalable application integration, purpose-built AI infrastructure, secure and private data customization, and responsible use of this technology. 

Let’s see how each of these pillars can help your organization. 

Access models to build production-ready generative applications 
Vertex AI can make it easy to access foundation models, as today’s model announcements attest. While models are an inextricable part of generative AI, the software that helps enterprises use this technology is equally important—which is why Vertex AI also offers a range of tools for tuning, deploying, monitoring, and maintaining models, so you can build differentiated applications using your own data. 

Turning to today’s announcements, in May we announced Imagen, our foundation model for image generation. Now, we are excited to announce Imagen is generally available with an allowlist (i.e., approved access via your sales representative), letting onboarded customers start using image generation and editing capabilities. Visual Q&A and Captioning for production workloads are also generally available for all customers. Visual Q&A provides new ways to engage with image-based data like retail products or image libraries. This new capability can give you answers to questions about an image, helping you analyze large amounts of data quickly, and it can even help the visually impaired understand images or graphs that they wouldn’t be able to otherwise. Captioning, meanwhile, can make it easy to generate relevant descriptions for your images. Captions can help with indexing and searching, as well as assigning image descriptions to product listings on eCommerce websites. 

“Imagen is beginning to power key capabilities within Omni, Omnicom’s open operating system, that will enable 17,000+ trained and certified users to create audience-driven customized images in minutes. Imagen has been instrumental in offering a scalable platform for image generation and customization. Integrating it into our platform allows us to expand the scope of audience-powered creative inspiration, at a scale that wasn’t previously possible,” said Art Schram, Annalect Chief Product Officer at Omnicom. “We’re starting to adopt the latest features like styles and fine tuning, and engineering data-driven prompts. We look forward to continuing to provide our users relevant visual inspiration in a responsible way.”

“The latest improvements in Imagen’s product preservation capabilities are a perfect match for Typeface’s focus on personalized AI for brands,” explained Vishal Sood, Head of Product at Typeface. “By combining Google Vertex AI’s Imagen with Typeface’s brand-personalized AI, we are able to help enterprises to create 10x personalized content in a fraction of time.”

Google Shopping recently built an application called Product Studio using Imagen on Vertex AI. Product Studio can enable merchants to create rich product images quickly and easily, at a fraction of the time it takes to do professional product photo shoots. “We’re excited about the feedback we’re getting from merchants in our early pilots, who say that Product Studio, which leverages Imagen on Vertex AI, helps them generate and publish lifestyle product photos directly to their product catalogs,” says Jeff Harrell, Google’s Senior Director of Product Management for Merchant Shopping. 

Announced in May, PaLM 2 is a family of models that power dozens of Google products, including Bard and Duet AI in Google Cloud. With the PaLM 2 for Chat model, now generally available, you can leverage Google’s PaLM’s variety of abilities for multi-turn chat applications, such as shopping assistants, customer support agents, and more. 

ThoughtSpot, provider of a widely-adopted business intelligence platform, is using PaLM 2 to build a new feature in ThoughtSpot for Google Sheets called “AI Explain,” which can instantly generate explanations of charts, visuals, and anomalies, and will launch new conversational AI and ML-enabled predictive forecasting capabilities into its analytics platform.

With Codey, your organization’s developers can accelerate a wide variety of coding tasks, helping to empower them to work efficiently and close skills gaps. The model enables not only code completion and code generation capabilities, but also chat to help with debugging, documentation, learning new concepts, and more. Since launching in preview in May, we’ve added additional programming languages including Go, Google Standard SQL, Java, Javascript, Python, and Typescript. We’ve also improved the quality of code responses and increased serving capacity, enabling your developers with the right tools to enter the era of generative engineering.  

“Security and privacy are key to incorporating AI into the software development lifecycle,” said David DeSanto, Chief Product Officer at GitLab. “GitLab leverages Vertex AI to deliver new, AI-powered features with a privacy-first approach, including the ability to run our own models and leverage Codey foundation models built on top of PaLM 2. The GitLab DevSecOps platform empowers organizations to harness the benefits of AI for faster software delivery, while ensuring their data, intellectual property, and source code are protected.”

Originally released in May in preview, Chirp is a version of our 2 billion-parameter speech model, which was trained on millions of hours of audio and supports over 100 languages. Chirp achieves 98% accuracy on English and relative improvement of up to 300% in languages with less than 10 million speakers. Whether the use case involves customer support, transcriptions, or voice control, Chirp can help your organization communicate with customers and constituents inclusively, by engaging audiences in their native languages. 

Last but not least, our Multimodal Embeddings API, now in preview, can unlock an array of new applications, such as image and text-based recommendations, by enabling the processing of text and images interchangeably. This capability complements our Text Embeddings API, which became generally available in June, and remains a recommended choice for those with fully text-based use cases. Multimodal Embeddings API makes it possible to categorize images and text together and can be crucial for use cases like retail recommendation systems that can provide relevant outputs from both images of products and text descriptions.

Match generative AI with infrastructure 
Beyond access to models and tools for building generative AI apps, you need infrastructure to make sure your apps can scale and reliably perform — ideally without running into daunting compute costs or management overhead that distracts your technical talent from building innovative products. Google Cloud offers the choice and power to run smaller models running finite tasks at the lowest latency levels, as well as to run large models capable of cutting-edge experiments. 

As our large language model customers are looking to scale up their projects and applications using our models, they often need assurances that their requests will be serviced with acceptable performance. This is especially critical for delivering real-time applications where customer service is paramount. Starting in August, Vertex AI will support provisioned, dedicated generative AI capacity that can deliver guaranteed throughput. This feature can be especially beneficial to customers who have a high volume of sustained workloads.  

Leverage generative AI while protecting data and privacy 
One capability enabled by Google Cloud is the ability to customize models using your own data. Vertex AI can help customers keep their data protected, secure, and private. When a company tunes a foundation model in Vertex AI, private data, model outputs, and prompts can be kept private, and they are never used in the foundation model training corpus. We recently published a whitepaper, “Adaptation of Large Foundation Models,” which outlines how we help protect customer data. 

Auditability and compliance are essential to helping ensure the security and privacy of customer data. We also engage in comprehensive GDPR privacy efforts, including our transparency commitments for customer data usage and the support for our customer’s Data Protection Impact Assessments (DPIAs). Now, we’re excited to support HIPAA compliance for many of our generally available models on Vertex AI, so that healthcare and life science customers with whom we have a Business Associate Agreement can run workloads with Protected Health Information (PHI) data on Google Cloud. 

Innovate responsibly 
Our AI Principles put beneficial use, user safety, and avoidance of harms above business outcomes and are embedded in how we develop our AI products. We’ve conducted extensive reviews on our generative AI products to identify potential risks and have developed guardrails to mitigate these impacts. For example, to address concerns around safety, we’ve implemented safety filters for bias, toxicity, and other harmful content. We also equip our customers with the tools they need to help reduce risk within their applications and provide recommendations to help navigate responsible AI. 

Bring the power of generative AI to your organization

With both a wide selection of foundation models and extensive, enterprise-grade platform capabilities, Vertex AI continues to unlock ways for your business or organization to access foundation models, tune them on your proprietary data, and leverage them for differentiated apps and digital experiences. To take the next step, visit our product page or reach out to our sales representatives to gain access to our latest capabilities.

Cloud Deploy is a fully managed continuous delivery platform that automates the delivery of your application. Recently, we’ve heard from users that they want Cloud Deploy to also perform self-defined pre- and post-deployment operations to reduce the amount of additional toil required for each rollout. Examples of such operations include database schema updates, application infrastructure deployment, and network configuration adjustment. 

Today, we are pleased to announce the public preview availability of Cloud Deploy deploy hooks. With this launch, Cloud Deploy now offers an easy way to define and execute pre- and post-deployment operations as part of a rollout.

Deploy hooks

The ability to run user defined actions immediately before and after deployment is a powerful feature that allows DevOps organizations to build out complete CI/CD pipelines to meet their specific deployment needs.

With the introduction of deploy hooks in Cloud Deploy, you can now take advantage of this capability by configuring your delivery pipeline to include pre-deploy and post-deploy actions. These actions take advantage of the custom actions defined through Skaffold. When enabled, two new jobs — predeploy and postdeploy — will be performed when deploying a rollout into a target. 

Deploy hooks are supported for all target types (GKE, Cloud Run, Anthos, and Multi-Target) and can be used with all deployment strategies, such as canary deployments.

As enabled, deploy hooks can be used in a variety of ways, such as:

• Performing a database migration prior to deployment
• Performing infrastructure deployment prior to application deployment
• Interacting with third-party platforms post deployment, such as sending out an email or updating an open task tracker

Like other rollout jobs, Cloud Deploy provides the same observability and control for predeploy and postdeploy jobs. This includes the ability to view logs and perform control over individual jobs, such as retry, terminate, or ignore — all within the same rollout details interface.

Interested in exploring deploy hooks for yourself? Get started now with our quickstart and documentation!

The future

Comprehensive, easy-to-use, and cost-effective DevOps tools are key to building an efficient software delivery capability, and it’s our hope that Cloud Deploy will help you implement complete CI/CD pipelines. Stay tuned as we introduce exciting new capabilities and features to Cloud Deploy in the months to come. 

In the meantime, check out the product page, documentation, quickstarts, and tutorials. Finally, If you have feedback on Cloud Deploy, you can join the conversation. We look forward to hearing from you!

Whether with the cloud or within their own data centers, enterprises have undergone a period of remarkable consolidation and centralization of their compute resources. But with the rise of ever more powerful mobile devices, and increasingly capable cellular networks, application architects are starting to think beyond the confines of the data center, and looking out to the edge. 

What exactly do we mean by edge? Think of the edge as distributed compute happening on a wide variety of non-traditional devices — mobile phones of course, but also equipment sensors in factories, industrial equipment, or even temperature and reaction monitoring in a remote lab. Edge devices are also connected devices, and can communicate back to the mothership over wireless or cellular networks. 

Equipped with increasingly powerful processors, these edge devices are being called upon to perform tasks that have thus far been outside the scope of traditional IT. For enterprises, this could mean pre-processing incoming telemetry in a vehicle, collecting video in kiosks at a mall, gathering quality control data with cameras in a warehouse, or delivering interactive media to retail stores. Enterprises are also relying on edge to ingest data from outposts or devices that have even more intermittent connectivity, e.g., oil rigs or farm equipment, filtering that data to improve quality, reducing it to right-size information load, and processing it in the cloud. New data and models are then pushed back to the edge; in addition, we can also push configuration, software, and media updates and decentralize processing workload.

Edge isn’t all about enabling new use cases – it’s also about right-sizing environments and improving resource utilization. For example, adopting an edge model can also relieve load on existing data centers. 

But while edge computing is full of promise for enterprises, there are many pieces that are still works in progress. Further, developing edge workloads is very different from developing traditional applications, which enjoy the benefits of persistent data connections and run on well-resourced hardware platforms. As such, cloud architects are still in the early days of figuring out how to use and implement edge for their organizations. 

Fortunately, there are tools you can use to help ease the transition to edge computing — and that likely fit into your organization’s existing computing systems. Kubernetes, of course, but also higher level management tools like Anthos, which provides a consistent control plane across cloud, private data center and edge locations. Other parts of the Anthos family – Anthos Config Management and Anthos Service Mesh — go one step further and provide consistent, centralized management to your edge and cloud deployments. And there’s more to come.

For the remainder of this blog post, we’ll dive deeper into the past and current state of edge computing, and the benefits that architects and developers can expect to see from edge computing. In a next post, we’ll take a deeper look at some of the challenges that designing for edge introduces, and some of the advantages the average enterprise has in adopting the edge model. Finally, we’ll look at the Google Cloud tools that are available today to help you build out your edge environment, and look at some early customer examples that highlight what’s possible today — and that will spark your imagination for what to do tomorrow. 

The evolution of edge computing 

The edge is not a new concept. In fact, it’s been around for the last two decades, spanning many use cases that are prevalent today. One of the first applications for edge was to use content delivery networks (CDN) to cache and serve daily static website pages near clients, for example, web servers in California data centers serving financial data to European customers. 

As connectivity has improved and software evolved, the edge has evolved too, and the focus has shifted towards using edge to distribute services. First, simple services expanded from static HTML to javascript libraries or image repositories. Common functions like image transformation, credit and address validation support services followed. Soon, organizations were deploying more complex cloudlet and clustered microservices installations, as well as distributed and replicated datasets. The term “endpoint” became ubiquitous, and APIs profilerated. 

In parallel, there’s been an explosion of creativity in hardware, microcontrollers and dedicated edge devices. Fit-for-purpose products were deployed globally. Services like Google Cloud IoT Core extended our ability to manage and securely connect these dispersed devices, allowing platform managers to register tools and leverage managed services like Pub/Sub and Dataflow for data ingestion. And with Kubernetes, large remote clusters — mini private clouds in and of themselves — operate as self-healing, autoscaling services across the broader internet, opening the door to new models for applications and architectural patterns. In short, both distributed asynchronous systems and economies have blossomed.

What does this mean for enterprises? For the purposes of this series, edge means you can now go beyond the corporate network, beyond cloud VPCs, and beyond hybrid. The modern edge is not sitting at a major remote data center, nor is it a CDN, cloud provider, or in a corporate data center rack — it’s just as likely to look like 100 of these attached to a thousand sensors.

Edge, in short, is about having hardware and devices installed at remote locations that can process and communicate back the information they collect and generate. The edge management challenge, meanwhile, is being able to push configuration and software/model/media updates to these remote locations when they are connected.

Enable new use cases

Today, we have reached a new threshold for edge computing — one where micro-data-processing centers are deployed as the edge of a fractal arm, as it were. Together, they form a broad, geographically distributed, always-on framework for streaming, collecting, processing and serving asynchronous data. This big, loosely coupled application system lives, breathes and grows. Always changing, always learning from the data it collects — and always pushing out updated models when the tendrils are connected. 

Right now, the rise of 5G is pushing the limits of edge even further. Devices enabled with 5G can transmit using a mobile network — no ISP required — enabling connectivity anywhere within reach of a cell tower. Granted, these networks have lower bandwidth, but they are often more than adequate for certain types of data, for example fire sensors in forests bordering remote towns that emit temperature or carbon monoxide data periodically. Recently, Google Cloud partnered with AT&T to enhance business use of 5G edge technology but there is so much more that can be done. 

Reduce data center investments

In addition to enabling the digitization of a broad range of new use cases, adopting edge can also benefit your existing data center.

Let’s face it: data centers are expensive to maintain. Moving some data center load to edge locations can reduce your data center infrastructure investment, as well as compute time spent there. Edge services tend to have much lower service level objectives (SLOs) than data center services, driving lower levels of hardware investment. Edge installations also tend to tolerate disconnectedness, and thus function perfectly well with lower SLOs — and lower costs. 

Let’s look at an example of where edge can really reduce costs: big data. Back in the day, we used to build monolithic serial processors — state machines — that had to keep track of where they were in processing in case of failure. But time and again, we’ve seen that smaller, more distributed processing can break down big, expensive problems into smaller, more cost-effective chunks. 

Starting with the explosion of MapReduce almost 20 years ago, big-data workloads were parallelized across clusters on a network, and state management was simplified with intermediate output to share, wait for, or restart processing from checkpoints. Those monolithic systems were replaced by cheaper, smarter, networked clusters and data repositories where parallel work could be executed and rendered into workable datasets. 

Flash forward to today, and we are seeing those same concepts applied and distributed to edge data-collection points. In this evolution of big data processing, we are scaling up and out to the point where observation data is so massive that it must first be prefiltered, and then preprocessed down to a manageable size and still be actionable. Only then should it be written back to the main data repositories for more resource-intensive processing and model building.

In short, data collection, cleanup, and potentially initial aggregation happens at the edge location, which reduces the amount of junk data sitting in costly data stores. This increases performance of the core data warehouse, and reduces the size and cost of network transfers and storage! 

The edge is a huge opportunity for today’s enterprises. But designing environments that can make effective use of the edge isn’t without its challenges. Stick around for part two of this series, where we look at some of the architectural challenges typically encountered while designing for the edge and how we begin to address them.