IBM adds weather insights to cloud offering
A new deal between IBM and The Weather Company promises to give retailers and suppliers access to a new range of insights to drive all manner of demand forecasting, merchandising and replenishment decision-making.
IBM and The Weather Company through WSI, its global B2B division, characterized the deal as a groundbreaking global strategic alliance that integrates real-time weather insights into business to improve operational performance and decision-making. As part of the alliance, The Weather Company, including WSI will shift its weather data services platform to the IBM Cloud and integrate its data with IBM analytics and cloud services.
“There’s an opportunity to inform all business operations and decision-making with real-time actionable insight delivered securely via the cloud and extracted from all this data collected from sensors all over the planet,” said Bob Picciano, senior vice president, IBM Analytics. “The Weather Company and IBM partnership can be a catalyst to making critical business systems even smarter.”
The partnership builds upon IBM’s investment of $3 billion over the next four years in an Internet of Things (IoT) unit to develop a portfolio of cloud services, software and related intellectual property. The IoT and cloud computing allow for collection of data from more than 100,000 weather sensors and aircraft, millions of smartphones, buildings and even moving vehicles, according to IBM. WSI’s forecasting system ingests and processes data from thousands of sources, resulting in approximately 2.2 billion unique forecast points worldwide, and averages more than 10 billion forecasts a day on active weather days.
“This deal combines the capabilities of the world’s largest and most advanced commercial weather company with the leader in big data and analytics. Together, we’ll help businesses and governments transform their decisions and operations around weather fluctuation at a scale that hasn’t been possible until now,” said David Kenny, chairman and CEO of The Weather Company. “This is a watershed moment for businesses that have long been impacted by weather but haven’t had the rich data or enhanced decision-making ability to drive positive business outcomes. The combination of our new high-resolution forecasting capabilities with IBM analytics opens up a world of possibilities for the enterprise.”
By migrating its weather data platform to IBM Cloud, WSI will be able to accelerate the growth of one of the largest cloud-based applications in the world, according to the company. Partnering with IBM also will enable enterprise clients and industry ecosystems to more easily integrate WSI weather data – including rapidly updated forecasts – into their operations and decision-making. Once integrated with enterprise processes, weather data can be combined with data from supply chains, customer buying patterns and other sources to create more valuable insights.
IBM and WSI will deliver new cloud services to businesses in three key ways:
Watson Analytics for Weather: IBM and WSI will enable easy integration of historical and real-time weather data in business operations and decision making with IBM analytics platforms such as Watson Analytics. The companies will jointly develop industry solutions for insurance, energy & utilities, retail and logistics among others.
Cloud and Mobile App Developer Tools: Entrepreneurs and software developers will be able to rapidly build mobile and web apps that take advantage of WSI data combined with data from operational systems, connected devices and sensors using advanced analytics through Bluemix, IBM’s cloud application development platform.
Business and Operational Weather Expertise: Thousands of consultants from across IBM Global Business Services will be trained to combine WSI data with other sources to more effectively interpret industry pain points, providing clients new insights that solve business problems.