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International Business Machines Corp (IBM - Analyst Report) announced that it has deployed its Big Data analytics solutions at The Cheesecake Factory Inc (CAKE - Analyst Report), which operates a chain of more than 175 restaurants in the U.S.

Leveraging IBM’s Big Data analytics solutions, the restaurant chain can now examine large amounts of varied data generated in the process of running its business, including to the transportation and logistics involved.

Analyzing these data sets will provide The Cheesecake factory a competitive edge over its rivals and result in business benefits, such as better quality food and services to its guests.

Separately, to build on the Big Data initiatives, IBM is offering one-year free access to cloud-based IBM Digital Analytics to its business partners. The technology will help IBM’s clients to analyze large sets of data and structure them into a meaningful pattern that would help businesses in creating new opportunities.

Large organizations are always on the look out for efficient ways to manage the vast amounts of data that are generated during business processes so they are available for reference purposes to take quick and effective business decisions. This presents the big data management companies such as IBM, Oracle (ORCL - Analyst Report) and EMC Corp (EMC - Analyst Report) an enormous opportunity.

IBM’s initiatives on Big data analytics should be positive for the company, as a number of research firms have predicted that global IT spending in the near term would be driven by spending on Big Data. Research firm IDC expects the Big Data market to grow at a CAGR of 31.7% to reach $23.8 billion in 2016. Moreover, Gartner expects global IT spending in 2014 to be driven by Big Data to $3.8 trillion.

We believe that IBM’s comprehensive product portfolio will boost its market share going forward. However, a volatile macro-economic environment, continued weakness in the domestic market and the Euro zone are the near term headwinds.

Currently, IBM has a Zacks Rank #3 (Hold).

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