Efficient management of RDF data is an important prerequisite for realizing the Semantic Web vision. Performance and scalability issues are becoming increasingly pressing as Semantic Web technology is applied to real-world applications. In this paper, we examine the reasons why current data management solutions for RDF data scale poorly, and explore the fundamental scalability limitations of these approaches. We review the state of the art for improving performance of RDF databases and consider a recent suggestion, “property tables”. We then discuss practically and empirically why this solution has undesirable features. As an improvement, we propose an alternative solution: vertically partitioning the RDF data. We compare the performance of vertical partitioning with prior art on queries generated by a Web-based RDF browser over a large-scale (more than 50 million triples) catalog of library data. Our results show that a vertically partitioned schema achieves similar performance to the property table technique while being much simpler to design. Further, if a column-oriented DBMS (a database architected specially for the vertically partitioned case) is used instead of a row-oriented DBMS, another order of magnitude performance improvement is observed, with query times dropping from minutes to several seconds. Encouraged by these results, we describe the architecture of SW-Store, a new DBMS we are actively building that implements these techniques to achieve high performance RDF data management.