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The Evolution of the Data Center: Simplifying Network Architecture to Reduce Costs

The Evolution of the Data Center: Simplifying Network Architecture to Reduce Costs

by Justin Hadler

It used to be that when information technology (IT) professionals thought about network infrastructure and data center costs, “simple” was one of the last words to come to mind. Although with the evolution of open standards equipment, virtualization, and cloud computing, technology leaders are now able to place greater emphasis on simplicity when establishing their network architecture. Through data center consolidation coupled with adopting a multi-vendor or standards-based approach to network infrastructure, IT professionals can achieve significant cost and energy savings while freeing up time for more important, strategic initiatives.

To understand why and how this is happening, it’s important to note two of the key drivers in data center evolution:

Virtualization
According to a survey conducted by the International Data Corporation (IDC), the top IT priority for Chief Information Officers in 2012 is virtualization and server consolidation.1 Originally introduced as a way to achieve higher server density, thereby maximizing an organization’s investment in hardware, server virtualization quickly became a way for companies to achieve significant cost savings while increasing operational efficiency and conserving energy.

Numerous companies, including Hewlett Packard and IBM, have announced plans to cut down their number of physical data centers in favor of virtualized servers. In fact, server and storage virtualization projects conducted by IBM in 2011 resulted in an energy-use reduction of more than 142,000 MW and cost savings of about $16.5 million.2 Along similar lines, a few years ago, Hewlett Packard announced that it cut its global data centers from 85 to six, saving the company an estimated $1 billion annually.3 In addition to reducing power and cooling costs, these organizations and others experience savings by eliminating storage space and reducing the amount of staff needed to run the data centers, including facility engineers, operational specialists, and computer operators.

However, the benefits of virtualization extend beyond cost savings. Organizations that virtualize their servers realize faster network connections, increased data security (because data is stored in fewer places), and increased IT compliance. Further, organizations that reduce their number of data centers free up staff time, so they can focus on other initiatives within the company.

The Multi-Vendor Approach
A second emerging trend in data center evolution consists of building network infrastructures using multiple vendors and standards-based technology. Over the last decade or so, leading technology vendors, such as Cisco, heavily promoted the “single vendor” approach to network architecture as an easier, more cost-effective way to build and maintain data centers. Although good in theory, the practice ultimately led to increased vendor complacency, less competitive pricing, and less flexibility between platforms—driving up data center complexity and costs for customers.

Today, organizations are realizing that they can control costs and reduce network complexity by adopting a multi-vendor approach. According to research from IT advisory firm Gartner, organizations that introduce another vendor to their data centers “reduce total cost of ownership by at least 15 to 25 percent over a five-year time frame.” By introducing competition for existing products, organizations ensure that vendors continuously vie for their business, keeping costs competitive for both short- and long-term budgets.

In addition, for IT leaders worried that adding technology vendors will increase network complexity, research from Gartner shows this simply isn’t true. In the report, “Debunking the Myth of the Single-Vendor Network,” Gartner found that a “surprising benefit from [their] investigation was that for most organizations, the complexity of the network was reduced when they introduced another vendor.” Multi-vendor networks encourage the use of building infrastructures with standards-based technology instead of proprietary solutions, giving customers more options and greater flexibility in case of a product upgrade or technology refresh. Amid today’s rapidly evolving networking industry, avoiding vendor “lock-in” is key to controlling costs and ensuring interoperability.

Getting Back to Basics
Overall, the move towards virtualization and multiple vendors gives organizations an “out” (or at least a break) from today’s often overwhelming IT demands. By significantly reducing the number of physical data centers they operate, organizations can reap significant cost and energy savings while eliminating some of the complexity that comes from managing storage space, staff, and troubleshooting for multiple facilities. Also by keeping their primary vendor’s competing product on the floor and building with standards-based technology instead of proprietary solutions, IT leaders can ensure better, more competitive pricing in the long-term while protecting their investment in hardware equipment.

Justin Hadler is director of engineering at Hardware.com.


1http://www.informationweek.com/news/storage/virtualization/232400150
2http://www.datacenterdynamics.com/focus/archive/2012/07/ibm-virtualizes-its-way-out-paying-us165m-data-center-energy
3http://www.computereconomics.com/article.cfm?id=1271

 

Shrink the Data Center's Capacity Gap

Shrink the Data Center's Capacity Gap

by David Appelbaum

Data center IT professionals today have singled out capacity — that is, power, space, compute (including storage and network) — as one of the top data center challenges. According to recent research, the surprising findings reveal the most critical problem facing today’s data center isn’t about having too little capacity to handle data center workloads; it’s having too much capacity that has not been properly allocated.

There is effectively a gap between how much capacity a data center is equipped for and how much capacity is ultimately available for productive use. This capacity gap can affect a facility for its entire useful life of 10+ years. Not only does the capacity gap prevent the data center from functioning at peak performance, it also costs IT significant amounts of capital budget for hard assets (such as servers, switches, storage) and expensive resources (e.g. power) as IT attempts to overcome this perceived lack of capacity — to the point of building entirely new facilities to handle the processing load.

The Roots of the Capacity Gap
The problem starts during the initial data center planning phase, where a number of assumptions regarding future requirements have to be addressed before a single brick is laid — let alone a server racked.

The current technique for data center capacity sizing is a brute force method of allocating maximum capacity from the outset. This technique minimizes the impact of unknown future technology and load requirements that could prevent the data center from meeting its processing SLAs.

The cost of insufficient capacity is very high and has to be eliminated as a risk factor. It is extremely costly to increase capacity incrementally through the data center lifecycle without also increasing the risk of downtime. The load requirement of the datacenter will certainly increase during its lifecycle but, as with technology, it can’t be reliably predicted.

Given these constraints, IT’s tendency has been to massively over-provision the facility rather than risk outages. The ramifications, as IT is discovering today, have huge cost and efficiency implications for the data center management group.

In a study of the data center lifecycle commissioned by a leading vendor of heating, ventilation, and air conditioning/Building Management System (HVAC/BMS), it was discovered that the installed infrastructure capacity is equal to the data center’s planned capacity from the very beginning — the facility starts operations fully built out.

The typical utilization plan calls for the expected load of the data center to begin at 25 percent of capacity and that the ultimate expected load is typically estimated to be 80 to 90 percent of the planned capacity (which includes a reasonable 10 percent reserve for peak demand headroom).

However, in real world usage, the actual start-up load is typically at 20 percent of the ultimate design capacity and the actual ultimate load reaches only about 60 percent of planned capacity! Even with a 10 percent reserve capacity, this leaves an incredible 30 percent of capacity unallocated and unused — the capacity gap.

This capacity gap impacts data center costs in two very specific areas: capital costs and operating costs.

Excess capital costs include the costs of the power and HVAC equipment and the associated design and installation costs (wiring, ductwork, ventilation, etc.). In a typical 100 kW data center, the power and cooling equipment can have a capital cost of more than $870,000, or $8.70 per watt. Based on the capacity gap analysis, 30 percent or $261,000 of this investment is wasted — as the majority of data centers are 100 percent built out the day they open.

In a data center’s early years, this waste is even greater as the actual load can be up to 5 times less than the planned load. If we include the amount of estimated interest earned on the original capital investment for infrastructure, the loss due to the capacity gap can be close to 40 percent of the entire capital cost!

Excess operating expenses must also be included in the costs associated with the capacity gap. These include the data center’s operating expenses and asset maintenance contracts as well as power consumption costs.

Annual maintenance is typically pegged at 10 percent of the asset cost, so over the lifetime of an asset, the total cost of ownership can be almost as much as the initial capital cost of the data center equipment itself, if maintained per manufacturer’s instructions.

Excess electricity costs are also significant if data centers are underutilized, and can be as much as 3-5 percent of its overall power rating. Factor in cooling, and it can easily reach 10 percent.

The real cost of the capacity gap is in the perceived need to bring more data center space online to meet the actual processing requirements of the business. This problem daisy-chains down, as the next facility built to bring the additional required capacity online must deal with the same capacity gap as its predecessor. As such, this requires an additional facility to meet its full processing load, which in turn starts the process all over again.

The bottom line is that data center capacity is planned extremely conservatively on the high end of the utilization spectrum, so as to meet the needs of unknown future technology and unpredictable demand. This, combined with ineffective data center capacity management tools, creates a situation where the capacity gap is not just a byproduct of poor visibility, but almost a preferred (albeit costly) outcome to minimize service interruption and downtime risk.

The Management of Capacity
By actively managing data center capacity — power, compute, network, and space — organizations can ensure balanced data center utilization and performance optimization, while maintaining reasonable cost controls.

While many data center tools have been available for several years, few of them have moved beyond the facilities management functions of space, cooling, and power management. Most of these tools rely solely on vendor nameplate values for estimating capacity consumption, which create an inaccurate picture as to how the asset will function under real-world loads and utilization. This forces data center personnel to equate an erroneous peak load measure with a real average load and thereby create overinflated capacity base lines.

An additional challenge is a lack of long-term trend data of utilization patterns and capacity consumption. While most of these systems provide real-time capacity alerting and monitoring, almost none of them provide time series analysis. Understanding utilization, load, and capacity trends are critical for accurate predictive analysis and for establishing a more realistic capacity baseline for an enterprise based on the unique rhythm of the business.

The Future of Capacity
The next wave of data center solutions are now reaching across the aisle to integrate critical IT capacity, such as compute, networking, and storage, to provide holistic data center capacity analysis and what-if scenarios to test new hardware and deployment strategies. These solutions also provide deep asset visibility to distribute load more effectively across the entire facility.

The bottom line is that data center infrastructure must become more elastic to ensure agility in meeting business requirements and managing costs. This must start at the beginning. Real data center capacity visibility leads to correct capacity provisioning, which in turn eliminates the capacity gap and leads to a more efficient and effective data center.

David Appelbaum is the vice president of marketing at Sentilla Corporation.

Choosing the Right Data Center

Choosing the Right Data Center

by Dominic Monkhouse

As the importance of either outsourcing your data center efforts or building your own reaches a critical level, firms on either side of the business-size spectrum are looking at finding the best value for money to store and manage their information. However, trying to find value but opting for a cheaper service seems to be an all-too-easy route for small and large businesses to take, causing extreme concern. Instead, with just a little research about what they should be looking for in a data center, firms can avoid the 'get what you pay for' providers and uncover real value in the market.

Which provider?
Before selecting a data center, firms need to decide which provider will deliver the services they need. However, with huge competition in the market, it's important to research differentials that separate the exceptional from the average. For example, if a firm is a Microsoft Certified Partner, it has demonstrated its expertise and skills in its chosen field - as well as passing a number of examinations set by the tech multinational. As a result, the firm would be fully qualified to deliver Microsoft products and services in the eyes of Microsoft.

Furthermore, if businesses hoping to outsource their technical infrastructures are worried about energy efficiency and the environment, it may be helpful to look for firms that are members of The Green Grid. A not-for-profit consortium, The Green Grid seeks to corroborate green ideas and services by these firms in order to improve resource efficiency. As a member of the group, a business can be sure that their chosen provider is a leader in providing resource efficient data centers.

Arrange a visit
After researching the credentials of a web hosting or data center provider, the next step would be to physically see the data centers they provide, firsthand. This way, prospective clients get an idea of the location and the physical security installed by the provider. While most data centers are located in city centers and business parks (meaning their owners can guarantee what is happening within the confines of the property), rural locations are also viable, as they can offer protection away from very busy, populated areas.

In terms of security, a business may be asked to register its information beforehand, indicating one of the many layers of security a data center may harbor. Other layers can include keycard access, biometric fingerprint readers and 24/7 surveillance teams monitoring the perimeter in order to prevent unauthorized access. Retinal scanning can also be another useful tool. Generally, military-level security personnel keep watch over the perimeter, while three-step authentication ensures only recognized staff can access technology. All of these measures combine to highlight the importance of a customer's data.

Overall, customers should be checking not only the actual services that a data center provider can offer but the actual provider itself. Awards, certifications, testimonials and badges can offer an authoritative edge in a saturated market, while visiting the data centers provides clients with the chance to visualize what they are paying for. Getting value for money is critical in the quest for a data center, but remember - it's an investment worth making, rather than one that should be done cheaply.

Dominic Monkhouse is the UK Managing Director at PEER 1 Hosting.

Capacity Reservations: The Need for Booking Systems in IT

Capacity Reservations: The Need for Booking Systems in IT

by Andrew Hillier

What data center managers can learn from the hotel industry

Organizations, such as hotels, airlines, rental companies and restaurants, that rely on the sharing of resources leverage a reservation system to make sure they can optimize the use of their assets in a way that balances customer satisfaction and profitability. Or, as economists would say, “strike a balance with supply and demand”.

IT organizations are conspicuously absent from this list, which 10 years ago would not have been a surprise. At that time, they could get by without a reservation system. One physical server housed one application and the two happily grew old together, until a new server came along to replace the old one. In today’s IT environments, however, all that has changed. The dynamic nature of today’s virtualized infrastructure, with workloads coming and going, requires a new management paradigm to control and manage user requests and the capacity required to fulfill them.

Read more...

Unabated Data Growth Top Concern in Enterprise Data Protection Survey

Unabated Data Growth Top Concern in Enterprise Data Protection Survey

by Joe Forgione

Rapid data growth is nothing new to today’s large data centers. For years, enterprise data center managers have waged an ongoing battle to manage and protect fast-growing data volumes. What is new is that the rate of this growth is spiking. In our recent survey of large enterprises, data growth rates were more than 25 percent higher than last year for more than half of survey respondents.

Also new is the fact that enterprises are beginning to lose the battle. More and more enterprises are consistently missing backup windows and succumbing to costly data center sprawl as they add dozens of backup systems to accommodate data growth. More than half of our survey respondents reported moderate to severe data center sprawl. Not surprisingly, increasing backup performance and capacity as well as improving efficiency of the backup environment were rated as top IT priorities for the coming year. The consequences of losing the battle against data growth can be far-reaching as the resulting strained IT resources can impede core business operations, end user productivity and data center efficiency.

Read more...
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