Why Businesses are Shifting to Cloud-based Data Catalogs?

Discover why businesses are shifting to cloud-based data catalogs in our comprehensive guide. Learn about the advantages of this innovative approach, including better data governance, cost efficiency, and flexibility. Explore how this transition is catalyzing change in traditional business models and propelling companies into the digital age. Find out how you can harness the power of a cloud-based data catalog for your business.

Why Businesses are Shifting to Cloud-based Data Catalogs?

Data catalogs have long served as invaluable tools, helping us sift through and make sense of our daily influx of data from different data sources. In earlier days, traditional data catalogs managed these data intricacies. However, the landscape has drastically evolved in the last few years.

Over the past decade, businesses have witnessed an exponential surge in data generation due to the globalization of services. Navigating this abundance of data is a formidable challenge, and traditional data management solutions are struggling to keep pace.

This challenge has catalyzed the rapid ascent of cloud solutions. Observably, an increasing number of services, including data catalogs, are migrating to the cloud.

In this article, we'll discuss cloud-based data catalogs and explore the compelling reasons behind businesses' shift towards their adoption.

What is a Cloud-based Data Catalog?

A cloud-based data catalog is essentially a digital directory for your business's data, but it's stored and managed on remote servers maintained by a cloud service provider like AWS or Azure. Imagine it as your data's home address in the virtual world, residing not on your local servers, but securely held on the vast infrastructure of a cloud provider.

Traditional vs Cloud-based Data Catalog

sLocation: On-Premises vs. Cloud

Traditional enterprise data catalogs are deployed on an organization's in-house servers, offering greater control over data. However, this demands the responsibility of maintaining and securing the physical infrastructure for smooth operation.

On the other hand, cloud-based data catalogs reside on external servers managed by third-party providers. This model offers flexibility and eliminates the daily hassles of hardware management and updates. A significant advantage is the ability to access data from virtually anywhere with an internet connection.

Accessibility: Limited vs. Ubiquitous

Access to a traditional data catalog can be limited by physical location and network restrictions. It often involves complex and time-consuming processes to allow for remote access.

Cloud-based data catalogs shine in this area since they are housed in the cloud. They can be accessed from anywhere, at any time, making them ideal for distributed teams and remote work scenarios.

Scalability: Fixed vs. Dynamic

Scalability is a significant differentiator between the two. With traditional data catalogs, scaling up to handle more data requires purchasing and installing more servers, which can be costly and time-consuming.

Cloud-based data catalogs, however, can scale almost instantly to accommodate growing data volumes. They operate on a flexible, pay-as-you-go model, allowing businesses to adjust their resources according to their current needs.

Cost: High Upfront vs. Pay-As-You-Go

With traditional data catalogs, businesses must invest heavily upfront in physical infrastructure, including servers and data centers. They also have to bear the ongoing costs of maintenance, updates, and power consumption.

Cloud-based data catalogs operate on a subscription or pay-as-you-go model, which can be more cost-effective. They don't require any upfront infrastructure investments and include maintenance and updates in the subscription cost.

Why Businesses are Shifting to Cloud-Based Data Catalogs?

Organizations are migrating to cloud-based data catalogs for. a number of key reasons: 

1. The Data Explosion: Too Much, Too Fast

A major driver for businesses adopting cloud-based data catalogs is the exponential growth of data. From emails to transactions to customer interactions, we're generating an overwhelming amount of data every day.

A report by Statista predicts that worldwide data creation in the digital universe will hit 180 zettabytes by 2025, which is a lot. Data generation is booming, and it's not slowing down anytime soon.

Traditional data management tools like relational databases struggle with this influx. They were not built to efficiently handle, categorize, or retrieve massive datasets.

In contrast, cloud-based data catalogs are designed for this exact challenge. They excel at organizing, managing, and accessing data, no matter the volume. Essentially, they are well-equipped to meet the modern demands of enterprise-level data management in the cloud.

2. The Rise of Distributed Teams

Gone are the times when everyone worked from one central office. Now, workers are spread out across towns, nations, and even the globe. Global data teams are the norm these days and they all need to access the same data.

The outdated method of sharing files to and fro just doesn't work anymore. It's slow, likely to cause mistakes and a logistical hassle. This is where a cloud-based data catalog comes in.

By storing data on the cloud, these catalogs allow all team members to get the information they need, whenever they need it, no matter their location on the planet.

3. Operational Benefits of Cloud-Based Data Catalogs

Streamlined Data Operations

In a traditional setup, data often resides in siloed repositories, making it a Herculean task to locate specific information. A cloud-based data catalog tool solves this by providing a unified view of all your business data, irrespective of its source. This "single source of truth" is easily searchable, significantly reducing the time and effort required to find specific data.

No more switching between systems or databases; you have a one-stop shop for all your trusted data needs. This not only streamlines operations but also minimizes the risk of making decisions based on incomplete or outdated information in business terms.

Improved Data Governance and Quality

Manually maintaining data governance standards can be a challenge. Cloud-based data catalogs often include built-in governance tools that enforce data lineage, monitor data quality, and offer role-based access control. These automated governance features ensure that data is compliant, reliable, and securely accessible only to authorized personnel. It helps data analysts, data engineers, and other stakeholders in moving with confidence.

Improved Disaster Recovery & Business Continuity

Cloud-based data catalogs offer built-in disaster recovery features. Data is automatically backed up and distributed across multiple servers. If one fails, another takes over, ensuring uninterrupted access to your data. This enhances business continuity and reduces downtime during crises.

Integration & Interoperability

Cloud-based catalogs are built for easy integration with other platforms like data lakes, data warehouses, or other operational tools.

Whether you're using different tools for CRM, finance, or other operations, these catalogs usually offer APIs or connectors that allow you to merge data seamlessly. This simplifies data & metadata management allowing you to create a unified data view easily.

Security & Compliance

Security is a top priority in cloud-based data catalogs. Leading cloud providers invest in advanced encryption and access controls to protect your data assets. Furthermore, these providers usually have compliance teams to ensure that your data is managed according to legal standards, alleviating your compliance burden.


As businesses become more conscious of their environmental impact, cloud-based data catalogs offer a greener alternative to traditional data centers. Cloud providers often utilize energy-efficient technologies and may even invest in renewable energy sources to power their servers. By opting for a cloud-based solution, you're not just making an operationally sound choice but also contributing to a lower carbon footprint. It's a way to align your business operations with broader sustainability goals.

Different types of deployment for cloud-based data catalogs

There are mainly three types -

SaaS (Software as a Service)

In a SaaS model, the data catalog is hosted entirely on the cloud and managed by a third-party provider. Users access the catalog through a web browser, eliminating the need for local installations. The service provider takes care of all maintenance, updates, and security measures. This model is user-friendly and quick to deploy but offers less customization.


  • Quick and easy setup
  • Lower upfront costs
  • Automatic updates and maintenance


  • Less control over data and configurations
  • Potential data governance issues depending on the provider's policies


Also known as on-premises cloud or private cloud, in this model, the data catalog is hosted on the organization's own servers. The organization has full control over the data, configurations, and security protocols. This is often the choice for companies with strict data governance or compliance requirements.


  • Full control over data and security
  • Greater customization options
  • Easier compliance with industry regulations


  • Higher upfront and maintenance costs
  • Requires in-house expertise for setup and management


A hybrid model combines elements of both SaaS and self-deployed hosting. For example, sensitive data could be kept on-premises, while other, less-sensitive data could be stored in a public cloud. This offers a balance of control and convenience.


  • Flexibility to choose where data is stored based on sensitivity and regulations
  • Benefit from the scalability and ease of use of SaaS for some data
  • Maintain higher control and customization for other sets of data


  • Complexity in managing different environments
  • Possible increased costs due to managing multiple systems

Barriers to Consider

Migration Complexities

Shifting from traditional data management systems to cloud-based catalogs isn't always smooth sailing. There can be issues with data compatibility, transferring large data sets, and getting your team up to speed with the new technology. However, many cloud providers offer migration services to help you overcome these challenges.

Security Misconceptions

The cloud is often misunderstood as being inherently less secure, leading to hesitancy. While it's true that no system can be 100% secure, reputable cloud providers invest heavily in advanced security features. Risks can be minimized through due diligence, like reading the provider's security documentation and adhering to best practices.

Vendor Lock-In Concerns

Committing to a single cloud service can lead to vendor lock-in, making it expensive and complicated to switch providers down the line. To mitigate this, look for providers that use standard data formats and offer good data portability options. Read terms carefully before making a decision.

Conclusion: The Cloud is Here to Stay

Today, businesses that want to thrive must harness their data, and manage it. To do so a cloud-based data catalog is of vital importance. Not only does it streamline data access, but it also enhances data governance, fosters collaboration, and offers cost-effective scalability.

With careful planning and best practices, businesses still running on native solutions can successfully transition to cloud-based cataloging tools and harness the power of their data in a better way.

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