A data warehouse stores historical data, allowing analysts to evaluate multiple data sources in order to get actionable information. A data warehouse is able to be used on the premises or in the cloud. The decision you make will depend on your specific business requirements review and other factors like scalability and cost, security, control, and resources.
Data warehouses are created for storing large amounts of historical enterprise data as well as performing in-depth analysis of data for reporting and business intelligence (BI). They can be used to store relational and nonrelational data. They are usually structured, which means that the data is extracted and loaded, then transformed to conform to the predefined schemas before being stored. This makes it simpler to perform queries against them rather than directly against an operational source system.
Traditional on-premises data warehouses require expensive equipment and software to host them. They have limited storage compared to compute power, and they must regularly discard older data in order to make room for the latest data. Data warehouses allow users to run historical queries that are impossible using operational systems, as they only refresh using real-time data.
A cloud-based data warehouse or managed service, is an automated and highly performant solution that is a great choice for companies that require to analyze large amounts of data over time. It is often a superior alternative to traditional data warehouses since it eliminates the need for large servers and also provides flexible pricing, with pay per throughput or per hour of use or with a fixed price for a certain amount of resources.