Why is the Data Recovery Industry Booming?
By: James Walsh

In the last twenty years, we have seen a tremendous increase in the amount of electronic data. There were less than 50 million computers used worldwide in the year 1987, whereas the number of computers used today exceeds a billion. The technological advancements have also kept pace with the increase in computer usage.

The hard drive of the 80s has undergone huge changes. Whereas the average hard drive in the year 1987 could store less than 30 MB of space, the hard drives today have a storage capacity of 100GB! With the advent of the Internet, the way we lead our daily lives has changed a great deal. We rely on our computers to transact online, store pictures, pay our taxes and bills, shop and stay connected with our friends and families.

This dependence is only increasing everyday as more and more activities of our daily life are made available online. However, as more and more data gets stored on electronic, digital and wireless devices, the risk of losing this data also increases significantly. People have realized the importance of data security and the repercussions of data loss after the 9/11 attacks.

Natural calamities such as tsunami and hurricane Katrina have also made people keener on creating effective data backups. Recent studies have indicated that businesses tend to lose on an average 2 GB of data on an everyday basis. In fact, data recovery and data backups have become so critical, that businesses are establishing long-lasting contracts and relationships with the data recovery companies before the disaster strikes.

Due to these reasons, data recovery business has been booming in the recent past. Data recovery has become a million dollar industry which is experiencing rapid growth. Data recovery companies help their customers retrieve their lost or damaged data from various types of data storage devices.

There are a lot of data recovery companies that have come up in the market in the recent past. In fact, the market seems to be overflowing with companies offering data recovery solutions. The competition in the data recovery service market is rising steadily. This is primarily due to the fact that the highly specialized nature of data recovery services offers huge gains in terms of commanding a high price from the customers.

Due to this reason, many companies are entering into this business area. Businesses understand the importance of data recovery now more than ever. Companies are investing heavily in business continuity planning, and data security is now considered critical and strategic point of focus. People are more than willing to pay a data recovery company when the concerned data is critical and time is of the essence.
Even though there are expenses associated with this business as with any other business, the profit margins can be quite high. If a company has a high data recovery success rate, it can command a higher price than other firms. Once the fixed expenses such as establishing a clean room facility have been incurred, the remaining expenses are more variable in nature such as salaries of employees, and maintenance of the facilities. This further increases the net revenue of the business.

All these factors are spurring new competitors to enter the data recovery industry. This increased level of competition in the data recovery industry is heavily increasing the demand for professionals in this industry. Careers in data recovery industry can be extremely lucrative. The data recovery industry is witnessing emergence of new job profiles such as Firewall analysts, forensic experts, cyber law specialists, incident handlers, crypto analysts, cyber insurance analysts, and security trainers.

If a technician has a core background of electrical and electronic engineering field along with the requisite industry experience, he or she can be a suitable candidate for a data recovery firm. If you have prior experience of working on hard disks, it will be an added advantage.

For an aspiring entrepreneur, it is important that he or she comes with a sound technical background to understand the nitty-gritty of the business. Heavy capital investment would be required during the initial period of the business. Therefore, an entrepreneur should ensure that he or she has the necessary funds to start up the business.

The future of data recovery industry appears to be very promising. The data recovery industry is bound to come up with powerful tools that will enable and empower the customers to tackle their own data loss issues. However, there will always be need for experienced professionals because of the highly specialized nature of data recovery activity.

As businesses across the world become globalized, the data recovery industry too will reach around the world electronically to recover data. However, because of confidentiality issues, customers might still pay a premium for dealing with someone from their own geographical area.

Article Source: http://www.ArticleJoe.com

James Walsh is a freelance writer and copy editor. For more information on computer crime and www.fieldsassociates.co.uk“>Computer Forensics see www.fieldsassociates.co.uk

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