The global Hadoop market is expected to grow at a compound annual growth rate of 58 percent between 2013 and 2020, according to a new report by Allied Market Research.

The market revenue was estimated to be $2 billion in 2013 and is expected to grow to $50.2 billion by 2020. A huge increase in raw structured and unstructured data and increasing demand for big data analytics are the major driving factors for the global Hadoop market, the report says. Hadoop provides cost-effective and faster data processing of big data analytics over conventional data analysis tools such as relational database management systems.

Distributed computing and Hadoop platform security issues are currently hindering the growth of the market, Allied Market Research says. But with continuous technological growth these issues can be addressed, it says.

The Hadoop market is segmented into software, hardware and services, and currently the services market is dominating, with a market share of about 50 percent of the global Hadoop market, due to the growing need for data analysis, the report notes.

The Hadoop services market is further segmented into consulting, training and outsourcing, integration and deployment, and middleware and support services. Integration and deployment services are the fastest growing services market during the forecast period due to increasing investment in big data analytics.

The Hadoop software market is projected to have the highest growth rate in the overall global Hadoop market, the report says.