When Netflix’s recommendation engine goes down for even a few minutes, user engagement goes down.
When trading algorithms lag by milliseconds during market volatility, millions are lost.
Enterprise teams face pressure to build real-time analytics that deliver instant insights without failure.
The stakes are rising across industries. By the end of 2025, 30% of all global data will be consumed in real-time—a shift driven by the demand for dynamic pricing in e-commerce, fraud detection in finance, and personalized content delivery in media, all of which depend on processing data the moment it arrives.
As adaptability and personalization determine market success and user retention, companies need to build real-time analytics infrastructures. 89% of IT leaders now rank streaming infrastructure as a critical priority. Still, the market’s rapid growth (21.8% CAGR over the past decade) has made choosing the right tech stack and platform overwhelming.
To help enterprise teams navigate this landscape, we examine seven industry-standard platforms for real-time data analytics.
Real-time data analytics platform landscape
Data platforms covered in this post are in two categories: streaming backbone and managed services.
- Streaming backbone
Platforms like Apache Kafka, Redpanda, and Apache Pulsar ingest, store, and route real-time events before feeding them to processing engines like Apache Spark Streaming.
Pros: Maximum flexibility, no vendor lock-in, and fine-tuned performance.
Challenge: Requires in-house expertise to manage infrastructure, scaling, and integrations.
- Managed cloud services
Platforms like AWS Kinesis Data Streams, Google Cloud Dataflow, and Azure Stream Analytics allow engineers to offload server maintenance and resource provisioning to the cloud provider, trading some control for operational simplicity.
Pros: Faster deployment, predictable costs, and seamless cloud ecosystem integrations.
Challenge: Less control over underlying configurations and potential vendor lock-in.
This comparison primer examines both types of real-time data analytics platforms through an enterprise lens. We cover deployment benefits at scale, total cost of ownership, and real-world implementation examples.
Apache Kafka

Apache Kafka is a distributed streaming platform that ingests, stores, and processes real-time data from thousands of sources simultaneously.
Originally built by LinkedIn’s team and later open-sourced, Kafka has become the industry standard for real-time data pipelines and analytics, handling both streaming and historical data at enterprise scale.
Why enterprise organizations use Apache Kafka for real-time data analytics
Handles large data volumes
Kafka benchmarks show the platform can sustain up to 420 MB/sec throughput under optimal conditions and processes 400,000+ messages/sec on commodity hardware.
Enterprise implementation: LinkedIn and Netflix
LinkedIn manages over 100 Kafka clusters with 4,000+ brokers and ingests 7 trillion messages daily across 100,000+ topics.
Netflix uses Kafka to handle error logs, viewing activities, and user interactions and processes over 500 billion events and 1.3 petabytes of data daily.
Distributed publish-subscribe messaging
Enterprise teams migrating from monolithic to microservice architectures gain significant benefits from Kafka’s distributed publish-subscribe system.
It enables loose coupling because services communicate through topics instead of direct calls and prevents service failures from cascading. If a service goes down, messages persist, and downstream servers can keep consuming them.
Enterprise implementation: DoorDash
When DoorDash migrated from RabbitMQ/Celery to Kafka during their microservice transition, they saw dramatic improvements in scalability and reliability for real-time analytics:
- 3x faster event processing during peak hours
- 99.99% reliability for real-time analytics
- Simplified scaling as they expanded to new markets
Global ault tolerance
Kafka’s geo-replication ensures data availability even during regional outages: topics are mirrored across distributed clusters, enabling seamless failover, disaster recovery, and data availability.
Enterprise implementation: Uber disaster recovery
Challenge: Uber needed a disaster recovery solution that could survive a whole-region outage without breaking pricing, trips, or payments
Solution: Data engineers built a multi-region Kafka setup with active clusters in geographically separate data centers and a clear failover plan. They also added active/active consumption for services like surge pricing and a stricter active/passive one for sensitive systems (payments)
Outcome: Uber’s replication layer is designed for zero data loss during inter-region mirroring and sustains trillions of messages per day for business continuity at a global scale.
Total cost of ownership
Apache Kafka has two configurations: an open-source platform and a managed service for Amazon MSK.
Compare the costs, benefits, and challenges of both setups.
Open-source (Self-hosted) | Amazon MSK (Managed) | |
---|---|---|
Cost structure | Free software + infrastructure costs: - Storage: ~$0.10/GB/month - Monitoring: $500–$2,000/month - DevOps: 1–2 FTEs (~$150K–$300K/year) | Pay-as-you-go: hourly rates: - Brokers: $0.15–$0.50/hour - Storage: $0.10/GB/month - Data transfer: Free in-cluster; $0.05–$0.10/GB cross-region - No server maintenance |
Key benefits | - Full control over configs/plugins - No vendor lock-in - Unlimited scalability (add brokers as needed) - Custom security/compliance (e.g., FIPS, SOC2) | - No server maintenance - Seamless AWS integrations (VPC, IAM, S3) - Enterprise support (SLA-backed) - Automated patches/upgrades |
Challenges | - High operational overhead (monitoring, backups) - Slow setup (weeks for production-ready cluster) | - AWS lock-in (hard to migrate later) - Limited customization (AWS-managed configs) - Costly at scale ($0.50/hr for large brokers) - Added costs for extra services (e.g., AWS PrivateLink for private connections) |
Optimal use case | - Teams with DevOps resources - Custom compliance needs - High-throughput (400K+ messages/sec) - Multi-region resilience needs | - Cloud-first teams - Rapid deployment requirements - Teams lacking Kafka expertise - AWS-native ecosystems (Lambda, S3, RDS) |
Avoid if | - Budget < $10K/month (MSK may be cheaper) - Lack in-house Kafka expertise | - Need multi-cloud portability - Require deep Kafka tuning (e.g., custom partitions) |
Apache Spark Streaming

Apache Spark Streaming bridges the gap between batch and real-time processing by treating live data as a series of micro-batches. This approach delivers sub-minute latency while maintaining the scalability and fault tolerance of Spark’s batch engine.
It supports gold-standard enterprise data sources: Kafka, HDFS, and Flume.
Why enterprise organizations use Spark Streaming
Micro-batching
Apache Spark Streaming processes data in small, frequent batches (typically 1–10 seconds), which reduces in-memory overhead by ~40% compared to pure streaming.
That’s why Spark Streaming often powers near-real-time applications like fraud detection, recommendation engines, and IoT monitoring.
Enterprise implementation: Uber leveraged Spark Streaming to build low-latency analytics pipelines for examining fresh operational data across over 15,000 cities, and improve pick-up and drop-off rates across 70+ countries.
The new architecture brought about noticeable performance improvements:
- Latency reduced from hours to 5-60 minutes thanks to incremental processing
- 3x increase in CPU efficiency thanks to reduced in-memory merges
- The number of store updates reduced from 6 million over 15 minutes to a single update
The business impact was just as significant.
- 0.4% reduction in late cancellations (that’s the order of magnitude of hundreds of thousands of car rides, considering Uber’s multi-million user base)
- 0.6% increase in on-time pick-ups
- 1% improvement in on-time drop-offs
Operations teams can now instantly access operations data and meet customers’ requests at high speed.
Exactly-once streaming
For industries where data accuracy is non-negotiable (e.g., AdTech, Finance), Spark Streaming’s exactly-once semantics ensure that there are no duplicate events, even if a job fails and restarts, each record is processed only once.
There is no lost data: state is checkpointed to durable storage (e.g., HDFS, S3) for recovery.
For example, if a real-time analytics service calculating website click counts crashes mid-processing, Kafka Streams ensures each click event is counted exactly once upon recovery. This prevents inflated metrics from duplicate counts or missing data from skipped events.

Enterprise implementation: Yelp
The retailer used Spark Streaming to build exactly-once ad stream aggregation.
The pipeline processes millions of ad impressions and click events in real-time. Each event is counted only once to support advertisers with accurate billing and performance data.
Apache Spark Streaming TCO considerations
Apache Spark Streaming is open-source but requires distributed clusters with multiple nodes, which pushes extra infrastructure costs.
The platform demands significant in-house engineering involvement for management and scaling, which increases overall maintenance expenses.
We examined the challenges that increase Apache Spark Streaming maintenance costs and mitigation strategies fit for enterprise-grade deployment.
Cost factor | Details | Mitigation strategies |
---|---|---|
24/7 resource consumption | Streaming jobs run continuously, unlike batch processing, creating constant compute and memory costs | - Implement cluster auto-scaling, - Use cheaper spot instances for non-critical streams - Leverage managed services like Databricks |
Operational complexity | Lack of auto-tuning requires dedicated teams for performance optimization and troubleshooting | - Deploy comprehensive monitoring (Spark UI, Grafana) - Create reusable configuration templates - Adopt Infrastructure as Code |
Resource misallocation | Poor sizing leads to idle resources or performance bottlenecks, both driving up costs | - Enable dynamic resource allocation - Monitor CPU/memory utilization - Right-size executors and cores |
Memory and state management | Large JVM heaps cause garbage collection pauses, stateful operations consume memory | - Use off-heap storage (Tungsten) - Optimize checkpoint intervals - Implement state cleanup policies |
Required skills | Specialized Spark knowledge needed for setup, tuning, and maintenance increases personnel costs | - Adopt managed Spark platforms - Cross-train multiple engineers - Automate common operational tasks |
Apache Pulsar

Originally built at Yahoo to handle planet-scale messaging, Apache Pulsar rethinks streaming with a modular architecture that separates compute (brokers) from storage (Apache BookKeeper). This design delivers Kafka-like durability with better multi-tenancy and global replication.
Why enterprise organizations use Apache Pulsar
Multi-tenancy
Apache Pulsar was built with multi-tenancy as a core design principle. It allows multiple users, teams, or organizations to share clusters while enforcing strict isolation between teams/business units. And apply fine-grained policies (authentication, quotas, retention) per tenant.

This architecture enables tighter security controls and use-case-specific SLAs for sensitive reporting use cases, like healthcare data processing or regulatory compliance reports.
Enterprise implementation: Yahoo! Japan
The company tapped into Apache Pulsar’s multi-tenancy to improve data governance for its distributed infrastructure.
Challenge: Yahoo Japan needed to secure messaging across multiple data centers and maintain low infrastructure complexity and costs.
Solution: Yahoo’s data engineers implemented separate authentication and authorization for each data center using a unified Pulsar platform with data center-specific access controls.
Outcomes: Pulsar-enabled analytics platform consolidated messaging infrastructure, reduced operational overhead, and hardware costs across multiple data centers. Yahoo’s Pulsar implementation now handles over 100 billion messages per day across 1.4 million topics with an average latency of less than 5 milliseconds.
Reliability
Apache Pulsar delivers high reliability by ensuring all messages reach the storage layer (Apache Bookkeeper) before notifying the producer. Replicating messages across multiple nodes and regions also helps prevent data loss.
Enterprise implementation: Tencent
Tencent chose Pulsar for its infrastructure performance analysis platform, which processes over 100 billion daily messages with minimal downtime across the entire Tencent Group.
Here’s how Tencent’s Pulsar-based system maintains high reliability.
- Tencent deploys dual T-1 and T-2 clusters where each partition handles over 150 producers and 8,000+ consumers distributed across Kubernetes pods.
- The system prevents message holes through selective acknowledgment management and automated range aggregation, thereby avoiding infrastructure overload.
- Tencent uses dedicated pulsar-io thread pools with configurable scaling to achieve a peak throughput of 1.66 million requests per second.
- The platform upgraded to ZooKeeper 3.6.3 and implements automated ledger switching with buffering queues to prevent message loss during transitions.
For a global conglomerate like Tencent, reliability and fault tolerance were critical. Monitoring system failures would leave hundreds of services running blind, risking outages that affect millions of users.
Apache Pulsar costs
Apache Pulsar offers both self-hosted and managed deployment options.
Self-hosted Pulsar is free and open-source, but requires virtual machines, network costs, and ops support, with Pulsar recommending at least 3 machines running three nodes each.
Managed service costs vary by provider. StreamNative Cloud, maintained by Pulsar’s creators, uses consumption-based pricing.
Here’s a more detailed breakdown of Apache Pulsar pricing plans as of September 2025.
Option | Optimal use case | Cost structure | System requirements |
---|---|---|---|
Self-hosted | Full control, air-gapped environments | Free (open-source) + Infrastructure costs (~$0.15/GB storage) | 3 machines (3 nodes each) |
StreamNative Cloud | Managed service (serverless) | $0.10/ETU-hour $0.13/GB ingress $0.04/GB egress $0.09/GB-month storage | None |
Hosted | Dedicated clusters | $0.24/compute-unit-hour $0.30/storage-unit-hour | 3 compute units |
Bring-Your-Own-Cloud | Hybrid cloud setups | $0.20/CU-hour $0.30/storage-unit-hour | Your cloud account + Cloud provider fees |
AWS Kinesis Data Streams

AWS Kinesis Data Streams (KDS) is Amazon’s serverless solution for capturing, processing, and storing data streams at any scale. Unlike self-managed alternatives, KDS eliminates infrastructure overhead while delivering sub-second latency for real-time analytics, application monitoring, and event-driven architectures.
Why enterprise teams use AWS Kinesis Data Streams
Serverless setup
Amazon Kinesis Data Streams operates serverlessly within the AWS ecosystem, eliminating server management (no patches, upgrades, or capacity planning) and capacity provisioning.
Enterprise implementation: Toyota Connected for Mobility Services Platform
Challenge: Toyota Connected needed to process real-time sensor data from millions of vehicles to enable emergency response services like collision assistance.
Solution: The company implemented AWS KDS to capture and process telemetry data sent every minute from connected vehicles, including speed, acceleration, location, and diagnostic codes, integrated with AWS Lambda for real-time processing.
Outcome: Toyota Connected now processes petabytes of sensor data across millions of vehicles, delivering notifications within minutes following accidents and enabling near real-time emergency response.
Auto-scaling and automatic provisioning
AWS KDS automatically scales shards up during traffic spikes and down during low demand to optimize costs and performance.
During Black Friday sales, an e-commerce platform might scale from 10 to 50 shards, then automatically scale back down to 15 shards during regular shopping periods.
Enterprise implementation: Comcast
Comcast relies on KDS to maintain 24/7 reliability during high-traffic events like the 2024 Olympics opening ceremony.
Without autoscaling, streaming platforms would be affected by buffering and service outages.
With AWS KDS, Comcast built a Streaming Data Platform that:
- centralizes data exchanges
- supports data analysts and data scientists with real-time insights on performance optimization
- maintains sub-second latency.
This robust streaming infrastructure keeps real-time content available to tens of millions of viewers.
AWS Kinesis Data Streams cost considerations
AWS KDS offers two pricing models: on-demand deployment with flexible resource management and provisioned resources for teams with predictable data loads and a focus on tight budget control.
The table below summarizes the pricing and use cases of these resource consumption plans.
Model | Optimal use case | Pricing | Estimated monthly cost |
---|---|---|---|
On-demand | Unpredictable workloads | $0.015/GB ingested $0.015/GB read $0.01/hr per stream | $1,500 for 100TB |
Provisioned | Predictable traffic | $0.015/shard-hour | $1,080 for 15 shards |
Enhanced features | - Long-term retention - High-throughput consumers | + $0.02/GB-month (extended retention) + $0.015/GB (fan-out) | + $200 for 10TB |
Google Cloud Dataflow

Google Cloud Dataflow is a managed service that runs open-source Apache Beam for scalable ETL pipelines, real-time analytics, machine learning use cases, and custom data transformations on Google Cloud.
Why enterprise teams use Google Cloud Dataflow
Portability
Google Cloud Dataflow’s underlying Apache Beam supports Java, Python, Go, and multi-language pipelines.
The platform avoids vendor lock-in by allowing the execution of Beam pipelines on other runners (e.g., Spark or Flink) with minimal code rewrites.
Enterprise implementation: Palo Alto Networks
High flexibility led Palo Alto Networks to choose Beam with Dataflow for analyzing up to 10 million security logs per second.
Challenge: The company needed a flexible data processing framework that would support diverse programming languages and enable seamless migration between different processing engines for their petabyte-scale security platform.
Solution: Palo Alto Networks chose Apache Beam for its abstraction layer and portability. Data engineers implemented business logic once in Java with SQL support and ran it across multiple runners. They also leveraged Google Cloud Dataflow’s managed service and autotuning capabilities.
‘Beam is very flexible, its abstraction from implementation details of distributed data processing is wonderful for delivering proofs of concept really fast.’
Talat Uyarer, Senior Software Engineer at Palo Alto Networks
Outcome: With Google Cloud Dataflow, Palo Alto Networks is processing 3,000+ streaming events per second with 10x improved serialization performance and reduced infrastructure costs by over 60%.
Supports both batch and streaming processing
Google Cloud Dataflow supports both real-time streaming and batch processing.
For streaming, it connects to sources like Kafka or Pub/Sub and supports data transformations (filtering, aggregation, enrichment).
For batch processing, it ingests data from storage systems like Cloud Storage or BigQuery and processes chunks in parallel.
Spotify used Dataflow and Apache Beam to build a unified analytics API that combines both modes of data processing.
First, it parses timestamps and windowing log files in batch, then runs the same pipeline for streaming with minimal code changes.
Through the unified pipeline, Spotify provides consistent analytics both on historical user behavior data and real-time listening patterns with reduced development overhead and maintenance complexity.
Google Cloud Dataflow costs
Google Cloud Dataflow bills based on resource consumption through two pricing models.
Dataflow compute resources charges for CPU, memory, Streaming Engine Compute Units (a metric that tracks streaming engine resource consumption), and processed Shuffle data (batch or flexible resource scheduling).
Dataflow Prime uses Data Compute Units (DCUs) to track compute consumption for both streaming and batch processing.
Teams can also use Google Cloud Dataflow for streaming-only or batch-only data processing.
The table below breaks down vendor fees for all available options.
Model | Optimal use case | Key metrics | Estimated cost for 10M records/day |
---|---|---|---|
Dataflow Compute | Custom tuning needs | CPU, Memory, SECUs, Shuffle | ~$1,200/month |
Dataflow Prime | Simplified billing | DCUs (1 DCU = 1 vCPU + 4GB) | ~$1,000/month |
Batch processing | Large-scale ETL | DCUs + Shuffle | ~$800/month |
Streaming processing | Real-time processing | DCUs + Streaming Engine | ~$1,500/month |
Azure Stream Analytics

streaming data using standard SQL, no complex programming required. With sub-millisecond latency and deep Azure integration, it’s the fastest way to turn IoT sensor data, clickstreams, and application logs into actionable insights.
Why enterprise organizations use Azure Stream Analytics
Seamless integration with Power BI
Native Power BI integration for Azure Stream Analytics transforms raw streaming data into actionable dashboards and visual reports for business teams.
Data engineering teams can use a built-in drag-and-drop editor to build visual pipelines faster and pre-built functions that automate common transformations.
At Heathrow’s scale, the system continuously monitors roughly 1,300 flights a day alongside live flight, baggage, cargo, and queue feeds, so that teams see issues before they escalate.
Data streams land in Azure Stream Analytics and are surfaced as live tiles in Power BI dashboards used by frontline staff.
The airport transforms back-end data into 15-minute passenger-flow forecasts and raises early-arrival surge alerts.
The system can accurately estimate how many flights will land early or be delayed and how many extra passengers will be at the airport. Based on this data, security, gates, and buses can be staffed in advance.
Easy data ingestion from IoT devices
Microsoft has a strong IoT ecosystem that includes Azure IoT Edge for local device processing and Azure IoT Hub for cloud connectivity. Azure Stream Analytics seamlessly plugs into both services for real-time sensor data processing.
Enterprise implementation: XTO Energy
XTO Energy implements Stream Analytics to transform IoT sensor data from oil fields into real-time production rate predictions.
Why it matters: XTO’s Permian wells are remote and often legacy-equipped, so real-time sensor data is critical to spot anomalies, cut downtime, and route crews without wasted windshield time.
How the solution works: XTO Energy built a real-time analytics pipeline around Azure Stream Analytics to process wellhead telemetry as it’s generated.
As soon as sensor data flows through IoT Hub into Stream Analytics, ASA runs in-stream calculations (windowed aggregations, joins, and built-in anomaly detection)to spot issues quickly.
It then uploads the results to operational stores and live dashboards for near real-time action by field teams.
Outcome: XTO Energy projected the Microsoft partnership (driven by XTO’s Permian deployment) to deliver billions in net cash flow over the next decade and enable up to +50,000 BOE/day by the end of 2025 through analytics-driven optimization.
Azure Stream Analytics pricing
Azure Stream Analytics pricing is based on provisioned Streaming Units, a metric that tracks compute and memory allocation.
The platform offers V2 (current) and V1 (legacy) versions, each with Standard and Dedicated plans that vary by available Streaming Units.
Standard plans support jobs with individual SU allocation.
Dedicated V2 clusters support 12 to 66 SU V2s scaled in increments of 12, and Dedicated V1 clusters require a minimum of 36 SUs.
Azure Stream Analytics on IoT Edge runs analytics jobs directly on IoT devices at $1/ 1/device/month per job.
Plan type | Optimal use case | Pricing | |
---|---|---|---|
Standard (V2) | Most workloads | 0.11/SU-hour | ~$800/month |
Standard (V1) | Legacy workloads | $0.13/SU-hour | ~$950/month |
Dedicated (V2) | High-throughput, isolated workloads | $0.18/SU-hour (12 SU min) | ~$1,300/month (12 SU) |
Dedicated (V1) | Legacy high-throughput | $0.20/SU-hour (36 SU min) | ~$5,200/month (36 SU) |
IoT Edge | Edge device processing | $1/device/month per job | $100/month (100 devices) |
Redpanda

Redpanda is a drop-in replacement for Kafka that delivers higher performance at lower cost by rearchitecting the streaming platform in C++ instead of Java.
With full Kafka API compatibility, enterprises can migrate existing applications without code changes while gaining sub-millisecond latency and 3x fewer nodes for the same throughput.
Why enterprise data engineering teams use Redpanda
Market leader in reducing latency
Redpanda benchmark tests show 38% higher speed and 10x lower latency than Kafka while using 3x fewer nodes.
These performance gains stem from Redpanda’s C++ implementation and thread-per-core architecture. It reduces context switching and eliminates the garbage collection overhead seen in Kafka’s JVM-based design.
Enterprise implementation: New York Stock Exchange
On volatile trading days, the New York Stock Exchange processes hundreds of billions of market-data messages. To keep price discovery and HFT on track, feeds containing this data must arrive end-to-end in under 100 ms.
In its early cloud setup, NYSE delivered market data over a Kafka-compatible stream on AWS.
When volatility hit, the JVM-based stack showed its limits since broker GC pauses turned traffic bursts into latency spikes
Migrating to C++-based Redpanda addressed this challenge. The platform runs a thread-per-core (Seastar) architecture that bypasses the JVM and minimizes context switches.
After the switch, the NYSE saw a 5x performance improvement and a latency drop under 100 ms.
Lower infrastructure costs
Redpanda delivers 6x cost savings over Kafka by using smarter processing, cloud-native storage, built-in data transforms, and clusters that manage themselves. For enterprises, this means spending less on infrastructure, reducing operational headaches, and getting data pipelines up and running much faster.
Enterprise implementation: Lacework
Situation: Cloud security provider Lacework processes over 1GB/second of security data using Redpanda.
How Redpanda helped Lacework slash TCO on real-time analytics
Because Redpanda runs as a single C++ binary and does not require a JVM, fewer dependencies drain RAM and CPU.
Its tiered storage automatically offloads cold log segments to cheap object storage (S3/GCS), so teams only keep hot data on local disks and retain long histories at lower cost.
Outcome: Since migrating to Redpanda in 2017, Lacework achieved 30% storage cost savings and 10x better scalability for handling its massive security workloads.
Redpanda pricing plans
Redpanda’s billing models vary based on the deployment model.
Self-hosted platform
Teams looking for more flexibility and control can run Redpanda on their on-premises infrastructure.
Redpanda supports two self-hosted packages: a free community edition and a paid enterprise edition for enterprise-grade deployment, scalability, and compliance.
Managed service
The Serverless deployment model for AWS charges per cluster-hour, partitions per hour, and data read/written/retained. It’s a good fit for applications with moderate, predictable traffic loads. Teams can estimate the costs of this deployment with the Redpanda pricing calculator.
Bring-your-own-cloud supports AWS and Azure to avoid vendor lock-in. Getting a pricing estimate for this model requires contacting sales.
Deployment model | Optimal use case | Pricing | Key features |
---|---|---|---|
Self-hosted (Community) | Development, testing | Free | Single binary, no SLA |
Single-hosted | Production workloads | Custom pricing (contact sales) | Tiered storage, 24/7 support |
Serverless (AWS) | Predictable workloads | $0.10/cluster-hour + $0.13/GB ingress + $0.04/GB egress + $0.09/GB-month storage | Auto-scaling, pay-per-use |
Bring Your Own Cloud | Hybrid/multi-cloud | $0.20/CU-hour + cloud provider fees | AWS/Azure/GCP support, Avoid vendor lock-in |
How to choose the real-time data analytics platform for your use case
Real-time data platforms featured in this post aren’t mutually exclusive. For example, it’s common for teams to connect Apache Spark Streaming to Apache Kafka workflows.
When deploying real-time analytics at scale, engineering teams typically choose between two paths:
Path #1: Self-hosted infrastructure. Teams own the entire pipeline with a streaming backbone (Kafka or Redpanda) connected to processing engines (Spark Streams) that output to lakehouses or OLAP databases.
The self-hosted approach makes sense for organizations with complex data requirements, strict compliance needs, or existing infrastructure expertise. Self-hosted real-time analytics platforms give control and customization, but don’t offer the operational simplicity of managed services
Path #2: Managed services. Teams use managed backbones like AWS Kinesis with managed processing planes to eliminate infrastructure maintenance and resource allocation.
This is optimal for teams focused on rapid deployment, predictable costs, and minimal operational overhead, especially those already invested in a specific cloud ecosystem.
Pitfalls to avoid when building real-time data analytics
Regardless of the infrastructure choice, misguided decisions can trap teams inside overly complex systems, create vendor lock-in, and drive infrastructure costs.
- Building complex stacks when simpler systems get the job done. Creating a Kafka/Flink/Spark architecture when simpler solutions like Kinesis and Lambda can handle your requirements leads to unnecessary complexity and maintenance overhead.
- Ignoring TCO during pipeline design. Open-source tools appear free but can cost 3x more due to DevOps overhead, infrastructure management, and specialized talent requirements. When evaluating solutions, factor in both licensing fees and operational costs.
- Vendor lock-in with no exit strategy. Committing to a cloud provider without understanding data egress costs and migration complexity traps enterprises in expensive long-term commitments. Test data transfer costs and maintain portable architectures before making major provider decisions.
- Skipping proof of concepts. Synthetic benchmarks rarely reflect real-world performance with your actual data patterns, volumes, and business logic. Validate solutions using representative workloads and realistic usage scenarios before production deployment.
- Neglecting comprehensive monitoring. Latency spikes, failed consumers, and processing delays impact revenue and user experience. Implement proactive monitoring for throughput, error rates, and end-to-end processing times from day one.
Use case-specific considerations are also a crucial piece to guide the selection process. To get personalized recommendations on building a scalable, secure stack that meets your organization’s needs, book a free consultation with Xenoss engineers.