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Data Lake vs Data Warehouse

Key idea:

Data Lake — storage for raw data (any format — JSON, CSV, Parquet, Avro) on object storage (S3, GCS, HDFS). Schema-on-read. Data Warehouse — structured data optimised for analytics queries (Snowflake, BigQuery, Redshift). Schema-on-write. Lakehouse (Databricks, Iceberg) — hybrid: raw storage + warehouse-style query engine.

Below: details, example, related terms, FAQ.

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Details

  • Data Lake: S3/GCS + Parquet/ORC, TB-PB, cheap ($0.02/GB), schema-on-read
  • Data Warehouse: Snowflake/BigQuery, TB, expensive ($40+/TB storage), SQL-first
  • Lakehouse: Iceberg + Trino/Databricks + Parquet on S3
  • Transformation: ELT (Extract-Load-Transform in warehouse) dominates over ETL
  • Tools: Airflow orchestration, dbt transformations, Great Expectations validation

Example

-- Snowflake (Data Warehouse) — structured SQL
SELECT date, country, SUM(revenue)
FROM orders
WHERE date >= '2026-01-01'
GROUP BY 1, 2;

-- Data Lake + Iceberg + Trino (Lakehouse) — same SQL
-- over Parquet files in S3
SELECT date, country, SUM(revenue)
FROM iceberg.prod.orders
WHERE date >= DATE '2026-01-01'
GROUP BY 1, 2;

Related Terms

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Frequently Asked Questions

When lake vs warehouse?

Lake: raw / semi-structured, petabytes, ML training data. Warehouse: structured, BI dashboards, fast queries. Lakehouse — universal compromise.

Cost?

Lake S3: $0.02/GB/mo. Warehouse Snowflake compute: $2-4/credit. For 10 TB: Lake ~$200 storage, Warehouse ~$4k storage+compute monthly.

Data swamp problem?

Lake without governance = swamp. Solutions: data catalog (AWS Glue, Unity Catalog), Iceberg for ACID transactions, schema evolution.