The Fantastic Story of How BMG Enables a Micropayments Strategy So Music Artists Get Paid - Build What's Next
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The Fantastic Story of How BMG Enables a Micropayments Strategy So Music Artists Get Paid

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BMG has the tough job of ensuring music artists get paid royalty every time their music is bought, downloaded or streamed. Here's how it does that today, seamlessly, and across the world. And how it's cloud platform now allows it to create additional channels of revenue.

The music industry is rapidly changing. Only 20 years ago, the availability of music and the infrastructure that was required to make an album a sales success were incredibly complex and expensive. With the decline of physical sales and a fundamental shift to digital, music streaming now accounts for more than half of all sales globally.

At the same time, technology has democratized music-making; in many ways, it has made the musical landscape more diverse. Artists can upload their music with the click of a button. But while it’s easier for creators to share their songs with audiences, getting paid has become more fragmented.

Although music is booming, people no longer buy it outright. Instead, listeners download music digitally or subscribe to streaming services to have their libraries with them at all times. To monetize digital content effectively, artists need to know when, where, and how often their songs are played on each service. To help them navigate this complicated royalties landscape and maximize their profits, Berlin-based international music company BMG provides customized, transparent, and fair services to songwriters and artists.

With publishing and recording divisions under one roof, the subsidiary of international media giant Bertelsmann works with both emerging artists and established stars, including John Legend, Kylie Minogue, Mick Jagger, and Keith Richards. With the MyBMG web and mobile application, clients can view and analyze their royalty details in real time and collect payment. When a new record is released, BMG uses data to maximize its impact and revenue for its creators.

“We make sure that everyone who uses our clients’ music knows who needs to be paid the associated royalties, then we collect these royalties and share them out quickly and transparently,” explains Sebastian Hentzschel, Chief Information Officer at BMG. “When our artists release new music, we make sure that it’s marketed and promoted effectively around the world.”

“We needed a scalable solution for our royalty workloads that was intuitive for our developers. We also wanted a partner, not a client-vendor relationship. With autoscaling via BigQuery, excellent customer support, and a clean and simple user interface, Google Cloud ticks every box for us.”

Gaurav Mittal, Vice President Group Technology, BMG

Getting up to speed with a new way of paying artists

In this digital world, artists aren’t just paid every time a fan buys an album—they’re paid a small amount, or royalty, for each song downloaded or streamed by a listener. So, when the industry shifted to digital, the volume of data that BMG needed to handle grew exponentially. “One CD sale is equivalent to about 1,500 streamed songs or plays,” says Gaurav Mittal, Vice President Group Technology at BMG. “That means IT departments have to process 1,500 times the amount of data to calculate payments for artists, and this makes scalable micropayment processing very important.”

Until 2019, BMG’s infrastructure was entirely hosted on-premises. Hardware limitations made it challenging to scale on-demand, making it harder to handle the data peaks that royalty processing can bring. “With our on-premises infrastructure, we were going to hit a ceiling in a few years,” says Gaurav. “We still managed to process royalty payments for our clients, but it was increasingly time consuming and expensive. To keep focusing on our clients, rather than our infrastructure, we decided to migrate to Google Cloud.”

From the outset, Gaurav and his team had a clear vision for the partnership: “Most importantly, we needed a scalable solution for our royalty workloads that was intuitive for our developers. We also wanted a partner, not a client-vendor relationship,” he says. “With autoscaling via BigQuery, excellent customer support, and a clean and simple user interface, Google Cloud ticks every box for us.”

Keeping artists happy with business-as-usual payouts during migration

To move applications to the cloud while keeping payment cycles on track for its artists, BMG teamed up with Google Cloud partner Rackspace Technology. “We selected Rackspace Technology because it combines strong technical muscle and a global footprint, with the customer service of a local boutique firm,“ shares Gaurav.

BMG’s own technology team put together the outline for the Google Cloud architecture, which they passed on to Rackspace Technology for optimizations and the ultimate stamp of approval. Whenever Gaurav and his developers needed support, Rackspace Technology was ready to go. “So far, we’ve migrated 17 applications successfully, and Rackspace Technology has been 100% spot-on with each suggestion,” says Gaurav. “I can’t recall a single flaw in a Rackspace Technology-approved architecture, and that really says something.”

When BMG began its migration in August 2019, the team developed an ambitious two-year plan. Only 14 months later, however, the project is more than 75% complete. Among the solutions that BMG is using today are Cloud Storage to securely store 130 TB of data, and Cloud SQL as its standard database technology. The web applications run on Compute EngineApp Engine, and Google Kubernetes Engine.

“After successfully moving a few applications, it was clear that with the strong teamwork of BMG and Rackspace Technology, together with the ease of use of Google Cloud, we could speed up the project without sacrificing quality,” says Gaurav. “We’re set to complete our migration six months before schedule, helping us to quickly move out of our hybrid environment.”

“Our income-tracking teams are very savvy on the data, and the simplicity of Google Cloud empowers them to self-serve analytics, rather than wait for IT. Our teams are much more productive.”

Gaurav Mittal, Vice President Group Technology at BMG

Royalty reporting and processing with BigQuery and Dataproc

So far, all of BMG’s critical workloads are up and running on Google Cloud. Royalty calculations, for example, which require incredible processing power and the collection of many micropayments to ensure full and timely payout, run entirely on Dataproc with output stored on BigQuery for downstream integration and reporting.

Enabling more harmonious workflows through self-serve analytics

As the new beating heart of BMG’s royalty reporting, BigQuery changed the rhythm of collaboration company-wide. In the past, income tracking teams had to contact IT departments if they needed deeper data insights for their work. By integrating Data Catalog with BigQuery, BMG has made the data more accessible to all teams. This helps them detect missing income and new revenue streams independently, maximizing profits for artists.

“Our income-tracking teams are very savvy on the data, and the simplicity of Google Cloud empowers them to self-serve analytics, rather than wait for IT,” says Gaurav. “Our teams are much more productive.”

“Google Cloud enables us to be more client focused and deliver better features faster. We believe it’s just the beginning. We offer rights and royalty services for music publishing, recorded music, neighboring rights, and books. Without scalability limitations, it’s absolutely conceivable to offer our platform as a service to other companies or industries, such as gaming. Google Cloud has opened a world of possibilities.”

Sebastian Hentzschel, Chief Information Officer, BMG

With a leaner IT environment, BMG can focus its effort on the needs of its clients. Beyond improvements in royalty processing, it can concentrate on app development, releasing new features and enhancements more frequently. By hosting applications on Google Kubernetes Engine, App Engine, and Compute Engine, BMG has built a CI/CD pipeline with automated deployments and testing to significantly speed up workflows.

“In our old system, it could take several weeks to set up an environment,” says Gaurav. “With Google Kubernetes Engine, any of our developers can complete the process in a few clicks. Having that autonomy makes our developers more motivated and self-driven.”

“Google Cloud enables us to be more client focused and deliver better features faster,” adds Sebastian. “We believe it’s just the beginning. We offer rights and royalty services for music publishing, recorded music, neighboring rights, and books. Without scalability limitations, it’s absolutely conceivable to offer our platform as a service to other companies or industries, such as gaming. Google Cloud has opened a world of possibilities.”

With the migration almost complete, BMG is looking forward to its next technology project. It plans to leverage AutoML to further scale and automate royalty tracking with machine learning. On the marketing side, advanced analytics will help BMG determine the effectiveness of promotional campaigns around the world, further increasing profits for artists. By connecting Google Data Studio to BigQuery, BMG will increase the quality of its analyses, helping musicians better understand the reach of their music around the world.

In the end, Gaurav shares, helping musicians is what it all comes down to. “We’re a new kind of music company because we build our services around our artist, songwriter, and publisher clients, not the other way around,” he says. “Google Cloud is helping us maintain strong relationships with our clients, and that’s music to our ears.”

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Introducing Cloud Memorystore: A fully Managed In-memory Data Store Service for Redis

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Read more on how Cloud Memorystore provides a scalable, more secure, and highly available Redis service fully managed by Google. It’s fully compatible with open source Redis, letting you migrate your applications to Google Cloud Platform (GCP) with zero code changes.

At Redisconf 2018 in San Francisco last month, we announced the public beta of Cloud Memorystore for Redis, a fully-managed in-memory data store service. Today, the public beta is available for everyone to try. Cloud Memorystore provides a scalable, more secure and highly available Redis service fully managed by Google. It’s fully compatible with open source Redis, letting you migrate your applications to Google Cloud Platform (GCP) with zero code changes.

As more and more applications need to process data in real-time, you may want a caching layer in your infrastructure to reduce latency for your applications. Redis delivers fast in-memory caching, support for powerful data structures and features like persistence, replication and pub-sub. For example, data structures like sorted sets make it easy to maintain counters and are widely used to implement gaming leaderboards. Whether it’s simple session caching, developing games played by millions of users or building fast analytical pipelines, developers want to leverage the power of Redis without having to worry about VMs, patches, upgrades, firewall rules, etc.

Early adopters of Cloud Memorystore have been using the service for the last few months and they are thrilled with the service.

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Simple and flexible provisioning
How you choose to deploy Cloud Memorystore for Redis depends on the availability and performance needs of your application. You can deploy Redis as a standalone instance or with a replica to provide high availability. But while replicating a Redis instance provides only data redundancy, you still need to do the heavy lifting of health checking, electing of a primary, client connections on failover, etc. The Cloud Memorystore service takes away all this complexity and makes it easy for you deploy a Redis instance that meets your application’s needs.

Cloud Memorystore provides two tiers of service, Basic and Standard, each with different availability characteristics. Regardless of the tier of service, you can provision a Redis instance as small as 1 GB up to 300 GB. With network throughput up to 12 Gbps, Cloud Memorystore supports applications with very high bandwidth needs.

Here is a summary of the capabilities of each tier:

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Provisioning a Cloud Memorystore instance is simple: just choose a tier, the size you need to support the instance availability and performance needs, and the region. Your Redis instance will be up and running within a few minutes.

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Provisioning a Cloud Memorystore instance is simple.

“Lift and shift” applications
Once provisioned, using Cloud Memorystore is a breeze. You can connect to the Redis instance using any of the tools and libraries you commonly use in your environment. Cloud Memorystore clients makes use of IP addresses to connect to the instance. Applications always connect to one IP address and Cloud Memorystore ensures the traffic is directed to the primary in case there is a failover.

Other key features
Whether it’s provisioning, monitoring or scaling memory, Cloud Memorystore simplifies common management tasks.

Security
Open-source Redis has very minimal security, and as a developer or administrator, it can be challenging to ensure all Redis instances in your organization are protected. With Cloud Memorystore, Redis instances are deployed using a private IP address, which prevents the instance from being accessed from the internet. You can also use Cloud Identity & Access Management (IAM) roles to ensure granular access for managing the instance. Additionally, authorized networks ensure that the Redis instance is accessible only when connected to the authorized VPC network.

Stackdriver integration
Cloud Memorystore instances publish all the key metrics into Stackdriver, Google Cloud’s monitoring and management suite. You can monitor all of your instances from the Stackdriver dashboard, and use Stackdriver Logging to get more insights about the Redis instances

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You can monitor all of your instances from the Stackdriver dashboard

Seamless memory scaling
When a mobile application goes viral, it may be necessary to provision a larger Redis instance to meet latency and throughput needs. With Cloud Memorystore you can scale up the instance with a few clicks, and the Standard High Availability tier lets you scale the instance with minimal disruption to the application.

On-demand pricing
Cloud Memorystore provides on-demand pricing with no upfront cost and has per second billing. Moreover, there is no charge for network traffic coming in and out of a Cloud Memorystore instance. For more information, refer to Cloud Memorystore pricing.

Coming soon to Cloud Memorystore
This Cloud Memorystore public beta release is just a starting point for us. Here is a preview of some of the features that are coming soon.

We are excited about what is upcoming for Cloud Memorystore and we would love to hear your feedback! If you have any requests or suggestions, please let us know through Issue Tracker. You can also join the conversation at Cloud Memorystore discussion group.

Sign up for a $300 credit to try Cloud Memorystore and the rest of GCP. Start with a small Redis instance for testing and development, and then when you’re ready, scale up to serve performance-intensive applications.

Want to learn more? Register for the upcoming webinar on Tuesday, June 26th 9:00 am PT to hear all about Cloud Memorystore for Redis.

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Google Cloud Announces General Availability of BigQuery Row-level Security

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Google Cloud announces the general availability of BigQuery row-level security (RLS) to control access to data subsets in the same table for different user groups. Learn how RLS helps data professionals with more peace of mind.

Data security is an ongoing concern for anyone managing a data warehouse. Organizations need to control access to data, down to the granular level, for secure access to data both internally and externally. With the complexity of data platforms increasing day by day, it’s become even more critical to identify and monitor access to sensitive data. In many cases, sensitive data is co-mingled with non-sensitive data, and access restrictions to sensitive data need to be enabled based on factors like data location or presence of financial information. There may also be nuances where data is sensitive for some groups of users, while for others, it is not. 

Today, we’re pleased to announce the general availability of BigQuery row-level security, which gives customers a way to control access to subsets of data in the same table for different groups of users. Row-level security (RLS) extends the principle of least privilege access and enables fine-grained access control policies in BigQuery tables. BigQuery currently supports access controls at the project-dataset-table- and column-level. Adding RLS to the portfolio of access controls now enables customers to filter and define access to specific rows in a table based on qualifying user conditions—providing much needed peace of mind for data professionals. 

“Our digital transformation and migration of data to the cloud magnifies the business value we can extract from our information assets. However, granular data access control is essential to comply with international regulatory and contractual requirements. BigQuery row-level security helps us comply with data residency and export restrictions,” says Jarrett Garcia, Iron Mountain’s Enterprise Data Platform Senior Director. “It enables us to manage fine-grained access controls without replicating data. What used to take months for approval and access provisioning can now be done more efficiently and effectively. We are looking forward to implementing additional data security capabilities on the BigQuery roadmap to address other critical business use cases.”

How BigQuery row-level security works

Row-level security in BigQuery enables different user personas access to subsets of data in the same table. Customers who are currently using authorized views to enable these use cases can leverage RLS for ease of management. To express the concept of RLS, we have introduced a new entity in BigQuery called row access policy. Row access policies map a group of user principals to the rows that they can see, defined by a SQL filter predicate. 

Secure logic rules created by data owners and administrators determines which user can see which rows through the creation of a row-level access policy. The row-level access policies created on a target table by administrators or data owners are applied when a query is run on the table. One table can have multiple policies applied to it.

Below is an example, where row-level access policies have been created to filter data based on users’ “region”.

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In the illustrated scenario above, row-level access policies have been created to verify a querying user’s region and to give them access only to the subset of data relevant to that region. Access policies are granted to a grantee list which support all types of IAM principles such as individual users, groups, domains or service accounts. In this example, when a user queries the table, row-level access policies are evaluated to assess which, if any, policies are applicable to that user. The group ‘sales-apac’ is granted access to view a subset of rows where region = ‘APAC’ whereas the group ‘sales-us’ is granted access to view a subset of rows where the region = ’US’. Likewise, users in both groups will see rows in both regions, and users in neither group will not see any rows.

Row-level access policies can also be created using the SESSION_USER() function to restrict access only to rows that belong to the user running the query. If none of the row access policies are applicable to the querying user, the user will have no access to the data in the table.

When a user queries a table with a row-level access policy, BigQuery displays a banner notice indicating that their results may be filtered by a row-level access policy. This notice displays even if the user is a member of the `grantee_list`.

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When to put BigQuery row-level security to work

Row-level access policies are useful when you have a need to limit access to data based on filter conditions. The row-access policies’ filter predicate supports arbitrary SQL, and is conceptually similar to the WHERE clause of a SQL query. Filter predicates support the SESSION_USER() function to restrict access only to rows that belong to the user running the query. If none of the row access policies are applicable to the querying user, the user will have no access to the data in the table. Currently, the column used for filtering must be in the table, but we anticipate adding support for subqueries in the filter expression, opening up access to use cases where data is filtered based on lookup tables and calculated values. Row-level access policies can be created, updated and dropped using DDL statements. You will be able to see the list of row-level access policies applied to a table using the BigQuery schema pane in the Cloud Console,  which simplifies the management of policies per table, or by using the bq command-line tool.

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Row-level security is compatible with other BigQuery security features, and can be used along with column-level security for further granularity.  Since row-level access policies are applied on the source tables, any actions performed on the table will inherit the table’s associated access policies, to ensure access to secure data is protected. Row-level access policies are applicable to every method used to access BigQuery data (API, Views, etc). 

Try it out

We’re always working to enhance BigQuery’s (and Google Cloud’s) data governance capabilities, to provide more controls around managing your data. With row-level security, we are adding deeper protections for your data. You can learn more about BigQuery row-level security in our documentation and best practices.

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Unlocking the Potential of Advanced Analytics with BigQuery and Connected Vehicle Data

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Built with BigQuery is helping Sibros build innovative apps on Google’s Data Cloud with simplified access to technology and support. Such partnership will enable vehicle manufacturers and suppliers to reach the next level in their use of data.

As software-defined vehicles continue to advance and the quantity of digital services grows to meet consumer demand, the data required to provide these services continue to grow as well. This makes automotive manufacturers and suppliers look for capabilities to log and analyze data, update applications, and extend commands to in-vehicle software.

The challenges the automotive sector faces can be quantified. A modern vehicle contains upwards of 70 electronic control units (ECUs), most of which are connected to one or more sensors. Not only is it now possible to exactly measure many aspects of vehicle performance, but new options become available. Using LIDAR (light detection and ranging), for example, vehicles are achieving higher levels of autonomy; this leads to a data stream from such demanding applications that may reach 25 GB per hour. For the in-vehicle processing of data, 100 million lines of software code may be present — more than a fighter jet. This in-vehicle code will have to be maintained with updates and new functionalities.

Access to the data will allow manufacturers to gain valuable insights into operational details of their vehicles. The use of this data can help to reduce costs and risks, increase ROI, support ESG initiatives, and provide valuable insights to develop innovative solutions and shorten the time to value for Electric Vehicle innovations.

Sibros’ Deep Connected Platform (DCP) makes it possible for these manufacturers to build and launch new connected vehicle use cases from production to post-sale at scale by connecting and managing all software and data throughout every life cycle stage. A key component of this platform is the Sibros Deep Logger that provides capabilities like the following:

  • Full configurability of what to record, when to record it, and how fast to record it.
  • High resolution timestamps of all Controller Area Network (CAN) messages.
  • Dynamic application of live log configurations to receive new data points without deploying new software.

For example, properly analyzed engine data enables true predictive maintenance for the first time, which creates the option to repair or replace components before failure happens. Another example would be the evaluation of data regarding the use of certain in-car features with the goal to redesign its interior.

Two other components of the DCP are software updates and remote commands to ECUs. The DCP on Google Cloud enables seamless integration with any vehicle architecture and provides OEMs and suppliers with the platform to manage connected vehicle data at rest and in transit using a proven and secure way on a global scale.

OEMs can pull data through APIs provided by Sibros into Google Data Cloud (including BigQuery) to gain access to the rich information data sets provided by the DCP within their environment and blend this data with their first party data sets to provide value insights for their business. Some of the Connected Vehicle insights that DCP information enables are:

  • Damage prevention, improved operation, or development of the next generation of engines with insights from complex analyses that could consider parameters like model, engine type, mileage, overall speed, temperature, air pressure, load, services, and more.
  • The combination of electric vehicle battery usage data like charging cycles, engine performance, and battery age with contributing factors as the use of the air conditioning to determine if such factors contribute to hazardous battery conditions and for improved battery development.
  • Cross-organization collaboration in R&D by the provision of information on all these metrics and more from real-world driving, like engine knock data and even tire pressure.
  • Google Cloud’s unified data cloud offering provides a complete platform for building data-driven applications like those from Sibros — from simplified data ingestion, processing, and storage to powerful analytics, AI, ML, and data sharing capabilities — integrated with Google Cloud. With a diverse partner ecosystem and support for multi-cloud, open-source tools and APIs, Google Cloud provides Sibros the portability and the extensibility they need to avoid data lock-in.

“Software has an ever increasing importance in the automotive world, even more so with electric vehicles and new mobility services. Google Cloud is partnering with Sibros to bring their award winning Deep Connected Platform to deliver high frequency, low latency over-the-air software updates, data logging & diagnostics capabilities to our automotive customers, leveraging the security and scale of Google Cloud. This is revolutionizing everything from development cycles to business models and customer relationships.” — Matthias Breunig, Director, Global Automotive Solutions, Google Cloud

Through Built with BigQuery, Google Cloud is helping tech companies like Sibros build innovative applications on Google’s Data Cloud with simplified access to technology, helpful and dedicated engineering support, and joint go-to-market programs.

“Sibros is looking forward to partnering with Google Cloud, which will enable vehicle manufacturers and suppliers to reach the next level in their use of data. Sibros solutions for Deep Data Logging and Updating on the Google Data Cloud, combined with Google BigQuery, will help them to mitigate risks, reduce costs, add innovative products, and introduce value-added use cases.” — Xiaojian Huang, Chief Digital Officer, Software, Sibros

Sibros and Google Cloud are driving Connected Mobility transformation to help our customers accelerate R&D innovation, power efficient operations, and unlock software-defined vehicle use cases with a full stack connected vehicle platform. Click here to learn more about Sibros on Google Cloud.

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Neo4J & Google Cloud: Graph Data in Cloud to Address Challenges in FinServ Industry

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Neo4j, a leading graph database technology and fully-integrated graph solution on Google Cloud helps today's financial service companies address three significant industry challenges. Read the blog to learn more about Neo4J and Google's partnership!

Over the last decade, financial service organizations have been adopting a cloud-first mindset. According to InformationWeek, lower costs and enhanced scalability were the biggest drivers for cloud adoption in financial services, and cloud-native applications allow access to the latest technology and talent, enabling adopters to rebuild transaction processing systems capable of supporting very high volumes and low latency.

Both Neo4j and Google Cloud have been using relationship-based data representations since the beginning, and we’re dedicated to using this technology to help financial services customers drive business transformation. We are excited about the prospects of financial services (FinServ) cloud systems and believe that graph data in the cloud can help solve significant challenges in the industry.

Data Challenge #1: Risk Management and Compliance

First among the top concerns for any CIO moving to the cloud is risk management and compliance. Disconnected, uncontextualized, or stale data create opportunities for fraud and financial crimes to occur. The fact is when it comes to FinServ, the question is not “if” but rather how often an attack will occur.  Unfortunately, incidents have been trending upward over the last decade, and COVID has only exacerbated this reality. Financial crimes affect the bottom line both in the remediation of these crimes and in intangibles like brand value.  

Add to this the complexity of international banking, which makes “compliance” a moving target. Penalties due to noncompliance are a constant concern to any FinServ organization.

The tabular representation of information with a fixed number of columns that never change prevents a description of an ever changing world with changing characteristics. Relational databases are great if the world you describe does not move fast but have limitations when data structures are highly interlinked and not homogeneous.

Neo4j Aura on Google Cloud provides a foundation for creating dynamic, futureproof, scalable applications that adhere to the security standards and protocols today’s financial services organizations require to meet the challenges of finding and preventing bad actors. This also includes enterprise scalability; reaching over 1 Billion nodes and relationships to streamline queries and provide solutions that meet regulatory and privacy compliance across geographies. Neo4j has helped some organizations save billions of USD in fraud in the first year of deployment alone.  

What makes graph technology the best choice for fraud detection use cases is that the relationships between the data-points are as important as the data-points themselves. Let’s take as an example, one John Smith approaches a multi-national banking institution to manage the primary account for his new holding corporation.  

While no one has any record of John R Smith Holdings LLC, the bank’s application built on graph technology understands that there are several well-known entities owned by John Smith Holdings. The application also identifies several well-known board members who bank with this institution. Due to this relationship-driven approach, the bank now understands John R Smith is not “John Smith,” who previously attempted to open an account for his holding corporation, which had no information associated with it prior to two months ago.

Data Challenge #2 Manual Processes and Inefficiencies 

The ubiquity of the cloud offers an opportunity to deploy automation at unprecedented levels to tackle the errors and inefficiencies that manual processing allows to creep into processes. When data comes from disparate, perhaps legacy systems – which may have become siloed and “untouchable” over the years – further complexity arises. As an example, if someone in sales types “John Smith” into a CRM system not knowing that John R Smith is the spelling in the customer data master, it may result in two separate and potentially conflicting records. Being able to join those records together in a mastered view helps to solve this problem. In addition, low data quality equates to an increase in risk, costs, and implementation times for new systems. 

Neo4j Aura on Google Cloud provides automation and artificial intelligence (AI) that reduces manual processes and the errors that accompany them. In this graph architecture each node, which can represent a person, will have labels, relationships, and properties associated with it. This allows for the use of AI which can easily understand that John Smith in the CRM is the same John R Smith in the customer master. The information contained in Neo4j can be connected bi-directionally to ensure consistency across applications and data sources. 

One of the benefits of this approach is that linking information allows organizations to keep the full value of the data, rather than forcing the data into predetermined tabular representations, with the risk of losing valuable information and insights.

Data Challenge #3: Customer Engagement and Insight

Another significant concern is the high expectations today’s customers have for every interaction. End users are accustomed to predictable experiences on their digital devices, and FinServ apps are no exception. Added to this, the “Covid economy” has driven digital adoption significantly across demographics; even among customers who might traditionally have used in-person services. This also equates to increased expectations for personalized, predictable experiences with every digital interaction. We know that latency has always been a key consideration for financial trading, but a recent ComputerWeekly study showed that every financial organization should ensure their visible latency is at 10 milliseconds or less. Customers no longer accept their broadband is at fault.

Finally, blind spots in the customer journey often result in dissatisfaction, which ultimately leads to increased churn. Without gaining actionable insights from your customers, there is no room to innovate and iterate on what they are looking for in your products and services. And this translates to losing market share and competitive advantage.

The NoSQL architecture, specifically the dynamic schema and structure of Neo4j Aura gives you the ability to take charge of your data and make changes according to your development cycles or newer data models. This equates to faster builds, more comprehensive releases and a wider, richer data-set that can be contextualized and understood instantly. Graph technology is the logical choice for building a Customer 360 application. Under this approach organizations not only get valuable insight into the individual client’s behavior and patterns, but also those of their family, friends and colleagues. This allows for stronger personalization, targeted campaigns and successful execution, resulting in increased customer satisfaction and retention levels.

Graph Technology on Google Cloud

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Neo4j can help analysts visualize which accounts have shared attributes, making it more likely that they have the same high risk owners.

Neo4j is a recognized leader in graph database technology and the only fully integrated graph solution on Google Cloud, helping to fill a common need for Google Cloud customers. Both Neo4j and Google Cloud are invested in continuing to grow our partnership and mutual product direction.  

You can find and deploy the Neo4j graph database straight from the Google Cloud marketplace, whether you want to download the software for an on-premises deployment, use the virtual machine image, or use the hosted solution, Aura on Google Cloud, the graph database-as-a-service. In any deployment, you get the same enterprise-grade scalability, reliability, and connectivity along with successful, repeatable use cases you can rely on to resolve your particular challenges and integrated billing. 

For a real-world example of how graph technology can optimize financial services, you can read our Case Study with fintech Current. Current, a leading U.S. financial technology platform with over three million members, used Neo4j Aura on Google Cloud to create a personalization engine based on client relationships. 

To learn more about Neo4j Aura on Google Cloud for FinServ organizations, register for our webinar on Thursday, December 16 with Jim Webber, Chief Scientist, CTO Field Ops at Neo4j and Antoine Larmanjat, Technical Director, Office of the CTO, Google Cloud. 

Click here to Register

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Bigtable’s High Performance and Low Opex is Great for Building Personalization

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With Google Cloud's Bigtable, businesses can build solutions with strong personalization features cost-effectively and enhance customer experience.

Customer expectations have shifted as a result of evolving needs. Across industries, customers expect that you treat them as individuals, and demonstrate how well you understand and serve their unique needs. This concept—personalization—is the idea that you’re delivering a tailored experience to each customer corresponding to their needs and preferences; you’re setting up a process to create individualized interactions that improves the customer’s experience. According to Salesforce, 84% of consumers say being treated like a person, not a number, is very important to winning their business. 

Entire industries are undergoing digital transformation to better serve their customers through personalized experiences. For example, retailers are improving engagement and conversion with personalized content, offers, and product recommendations. Advertising technology organizations are increasing the relevance and effectiveness of their ads using customer insights like their specific interests, purchasing intent, and buying behavior. Digital music services are helping their customers discover and enjoy new music, playlists, and podcasts based on their listening behavior and interests. 

As customers want more and more personalization, modern technology is making it possible for many more businesses to achieve this. In this post, we’ll look at some common challenges to implementing personalization capabilities and how to solve them with transformative database technologies like Google Cloud’s Bigtable. Bigtable powers core Google services such as Google Maps that supports more than a billion users, and its petabyte scale, high availability, high throughput, and price-performance advantages help you deliver personalization at scale.  

Challenges with personalization 

Data is at the heart of personalization. To deliver personalization at scale, an application needs to store, manage, and access large volumes of data (a combination of customer-specific data and anonymized aggregate data across customers) to develop a deep understanding of the behavior, needs, and preferences of each customer. Your database needs to very quickly write large volumes of data concurrently for all active customers. You need to continuously capture data on customer behavior because each step potentially informs the next, e.g., adding an item to a shopping cart can be used to trigger new recommendations for related or complementary products. Much of this data needed for personalization is semi-structured and sparse, and therefore requires a database with a flexible data model. 

Personalization at scale requires large volumes of data to be read in near real-time so that it can be in the critical serving path to deliver a seamless user experience, often with a total application latency of less than 100ms. This means your requests to the database need to return results with latencies of single-digit milliseconds. You need to ensure that application latencies do not degrade as you onboard more customers. Data needs to be organized efficiently and integrated with other tools so that you can run deep analytical queries and use machine learning (ML) models to develop personalized recommendations, and store the aggregates in your operational database for serving your customers. You also need the ability to run large batch reads for analytics without affecting the serving performance of your application. 

In addition, you need to ensure that your database costs do not explode with the popularity of your application. Your database needs to consistently deliver low total cost of ownership (TCO), and high price-performance as your data volumes and throughput needs grow. Your database needs to scale seamlessly and linearly to deliver consistent, predictable performance to all users around the world. Additionally, your database needs to be easy to manage, so that you can focus on your application instead of managing the complexity of your database.

Why a NoSQL database is the right fit for personalization 

Every database reflects a set of engineering tradeoffs. When relational databases were designed 40 years ago, storage, compute, and memory were thousands of times more expensive than they are today. Databases were deployed on a single server to a relatively small number of concurrent users, whose access to the systems tended to be during normal business hours when users had network access. Relational databases were designed with these resources, costs, and use in mind. They work very hard to be storage and memory efficient, and assume a single server for deployments. 

As the costs of storage, memory, and compute decreased, and as data and workloads grew to exceed the capacity of commodity hardware, engineers began to reconsider these tradeoffs with different goals in mind. New types of databases later emerged that assumed distributed architectures so they could be easier to scale, especially with cloud infrastructure. With this approach the tradeoff in turn was to forego the sophistication of SQL and much of the data integrity and transactional capabilities developed in relational systems. These systems are commonly called NoSQL databases.

Traditional relational databases assume a fixed schema that will change infrequently over time. While this predictability of data structure allows for many optimizations, it also makes it difficult and cumbersome to add new and varying data elements in your application. NoSQL databases, such as key value stores and document databases, relax the rigidity of the schema and allow for data structures to evolve much more easily over time. Flexible data models speed the pace of innovation in your application, and increase your ability to iterate on your ML models, which is essential for personalization. In addition, the scalability of systems like Cloud Bigtable allow you to deliver personalization to millions of concurrent users while you continue to evolve how you personalize experiences for your customers.

How Cloud Bigtable enables personalization at scale

Cloud Bigtable supports personalization at scale with its ability to handle millions of requests per second, cost-effectively store petabytes of data1, and deliver consistent single-digit millisecond latencies for reads and writes. Bigtable delivers a unique mix of high performance and low operating cost to reduce your TCO. 

We’ve heard from SpotifySegment, and Algolia about how they’ve built personalized experiences for their customers with Bigtable. Check out this presentation to hear Peter Sobot of Spotify describe how they use Bigtable for personalization. 

Let’s imagine a scenario where your application takes off like a rocketship, and grows to 250 million users. Let’s assume a peak 1.75 million concurrent users of your application2, with each user sending two requests per minute to your database. This will drive 3.5 million requests per minute to your database, or approximately 58.3K requests per second. Pricing for Bigtable to run this workload will start at under $400 per day3.

Bigtable scales throughput linearly with additional nodes. With separation of compute and storage, Bigtable automatically configures throughput by adjusting the association of nodes and data to provide consistent performance. When a node is experiencing heavy load, Bigtable automatically moves some of the traffic to a node with lower load to improve the overall performance. Bigtable also supports cross-region replication, with local writes in each region. This allows you to manage your data near your customers’ geographic locations, reducing network latency and bringing predictable, low-latency reads and writes to your customers in different regions around the world. 

Bigtable is a NoSQL database developed and operated by Google Cloud. Bigtable provides a column family data model that allows you to flexibly store varying data elements for customers associated with their behavior and preferences, store a very large number of such data elements across your customers, and quickly iterate on your application. Bigtable supports trillions of rows with millions of columns. Each row in Bigtable supports up to 256 MB of data, so that you can easily store all personalized data for a customer in a single row. Bigtable tables are sparse, and there is no storage penalty for a column that is not used in a row; you only pay for the columns that store values.

BigQuery ML allows you to create and run ML models directly in BigQuery to develop personalization recommendations that you can bring back to Bigtable. You can easily pipe Bigtable data into BigQuery to run deep analytical queries and develop recommendations. These aggregates, like computed recommendations, are brought back to Bigtable so your application can serve those recommendations to users with low latency and massive scale. 

Bigtable integrates with the Apache Beam ecosystem and Dataflow to make it easier for you to process and analyze your data. With application profiles and replication in Bigtable, you can isolate your workloads so that batch reads do not slow down your serving workload that has a mix of reads and writes. This enables your application to perform near real-time reads at scale to develop and train machine learning models in TensorFlow for personalization. Bigtable gives you the right operational data platform to develop personalization recommendations offline or in real-time, and serve them to your customers.

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Here’s a look at conceptual schema examples for personalization in ecommerce:

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And here’s a quick overview of what personalization use cases require, and how Bigtable addresses them.

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Bigtable is fully managed to free you from the complexity of managing your database, so that you can focus on delivering a deeply personalized experience to your customers. Learn more about Bigtable.


1. Storage pricing (HDD) starts at $0.026 per GB/mo (us-central1)
2. Assumes application is used 24 hours a day, average user session is 5 minutes (Android app average), and daily peak is 2x the average. (250 million / (24 hours / 5 minutes) *2 = 1,736,111 peak concurrent users (us-central1 region)
3. Cloud Bigtable pricing for us-central1 region. Assumes 25 TB SSD storage (100 KB per user, for 250 million users) per month, 10 compute nodes per month (with no replication), includes data backup. Bigtable pricing details.

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