The VMworld 2015 conference has been all about data storage, the key to the modern data-driven tech industry. New technologies keep data storage on the cutting edge of innovation. One of those advances is called data reduction, a term that’s been spreading through the market.

To help understand this data reduction technology, and also to shed some light on the storage industry in general, Dave Vellante of theCUBE, SilconANGLE Media’s roving news desk, spoke to Tom Cook, CEO of Permabit Technology Corp.

The conversation started with a discussion of Permabit as a business. Cook explained they worked with business leaders across the industry to deliver data reduction products. In the flash storage space, performance is relatively cheap, he said, but capacity is expensive. Data reduction helps break through the capacity bottleneck.

Changing data storage perspectives

Much of the data storage world relies on older spinning disk technologies. This is great for capacity but loses out in performance. Meanwhile, flash storage has a huge advantage in performance and has seen a big uptake in the market because of it. Data reduction will only accelerate this trend as it improves flash’s capacity alongside the performance edge.

Another advantage to flash, one that Permabit exploits, is that flash technology can be made very easy to consume. Cook pointed out how they’re working to make the customer experience seamless.

A new industry

Startups and new companies have found a place in the data storage world. Established companies who invested a great deal in spinning disk technologies are finding that flash has made that investment irrelevant. This has created an opening in the market for faster, more agile storage businesses.

While the market for on-premises data storage is shrinking, the opportunities in Cloud storage are growing. Right now, this space is the domain of larger companies who can afford a massive investment, but innovation is still a big part of the industry.

Watch the full interview below, and be sure to check out more of SiliconANGLE and theCUBE’s coverage of VMworld 2015.

Photo by SiliconANGLE