As organizations generate increasing volumes of log data, cost-effective storage and management are becoming critical. However, many companies remain reactive in handling log growth, leading to expensive infrastructure changes. AI and machine learning will continue to be overhyped, with operational applications like fraud detection and anomaly detection often overlooked. Meanwhile, real-time observability adoption in Adtech will lag behind, despite clear benefits. Hydrolix, a company specializing in log data management, aims to address these challenges by expanding its cloud partnerships, improving customer visibility, and growing its team.

Discussing key trends in 2025, Tony Falco, VP of Product Marketing at Hydrolix, predicts that companies will remain reactive in managing log storage, even as it grows at a steady 40% year over year. “Despite that track record of growth, we haven’t seen people say, Wait a second, I need to start thinking five years out,” Falco explains. Many organizations fail to anticipate their future storage needs, leading to costly infrastructure adjustments.

Reducing costs is expected to become a priority as log volumes and their associated expenses continue to surge. In response, Falco predicts that object storage and decoupled data lake architectures will become industry standards as businesses seek to balance performance with affordability.

AI and machine learning will remain dominant themes in 2025, but Falco warns that companies must separate generative AI hype from practical operational applications. While AI-driven content generation receives significant attention, the real value in enterprise operations lies in areas like fraud detection and anomaly detection. Falco predicts that businesses will struggle to scale operations efficiently while applying ML in a way that delivers tangible business impact.

Falco predicts that real-time observability in Adtech will remain an untapped opportunity. Although major brands and streaming platforms have embraced real-time analytics, Adtech firms remain resistant, often due to concerns over cost. This reluctance means missed opportunities for optimizing ad performance and revenue generation. Falco hopes to see a broader adoption of real-time observability across Adtech, but Falco acknowledges that this shift will likely continue to face resistance through 2025.

Hydrolix is positioning itself to help businesses tackle these challenges with its data platform, which integrates event stream processing with flexible object storage. The company, which focuses on log-intensive use cases, has experienced rapid growth, including a 9x revenue increase in the past year. Partnerships with Akamai and AWS have been crucial in this expansion, and Falco expects Hydrolix to add more cloud partners in 2025 to extend its reach.

A major focus for the company this year is enhancing customer visibility across all digital touchpoints. By integrating more data sources, Hydrolix aims to provide businesses with real-time insights into user experiences from origin to edge, helping them improve engagement tracking and operational efficiency.

To support this expansion, Hydrolix is actively hiring for sales and engineering roles. The company has also joined the OpenInfra Foundation and the OpenStack community, reinforcing its commitment to industry collaboration and driving innovation in real-time data processing.

Guest: Tony Falco
Company: Hydrolix
Show:: 2025 Prediction Series

This summary was written by Emily Nicholls.