1. Israel Datacenter Trends and Strategies 2011
Gideon Lopez
IDC Israel
Michelle
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2. Agenda
Changing datacenter landscape
Changing technology landscape
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3. Lower Cost of Computing Per Unit of Work
New Business Cycle for IT Convergence and Clouds Reign for the Next 10 Years
Virtualization
Mainframe/minicomputer
Integrated architecture
Transactional applications and Database
Unix/RISC
Modular architecture
ERP, Analytics and Datamarts
Integrated architecture
Converged Infrastructure & Private Clouds
Integrated architecture
Web
Business Value
x86
Modular architecture
Collaborative
Application Development
Public
Clouds
Microservers?
Compute/Memory Boards?
Modular architecture
File/Print and Networking
1985
1990
1995
2000
2005
2010
2015
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4. Changing Realities in the Datacenter
3.0% Servers
6.7% Servers
11.9% Servers
VM Density 9.8
VM Density 19.8
VM Density 13.6
Israel Server Installed Base (‘000)
Thousands of Servers
Virtualization Management Gap
Source: IDC Israel, 2012

5. New Economic Model for the Datacenter Shifts to Automation Tools are a Requirement
Customer Spending $M
Spending in Israel on Servers, Power and Cooling, and Management/Administration (US$M)
Source: IDC Israel, 2012

6. New Economic Model for the Datacenter Management Costs Shift to Virtualized Servers
Customer Spending $M
Spending in Israel on Servers, Power and Cooling, and Management/Administration (US$M)
Source: IDC Israel, 2012

7. Impacts from Server Virtualization
For Large VM environments or Private Cloud Adopters:
Policy based automation tools a table stakes
Converged set of infrastructure
High memory footprints a solution for driving VM densities
Refocus on Storage Efficiencies
Data De-duplication
Thin Provisioning
Mobility/Virtualization
Attitudes and Budgets will have to change
Budget for more SW for automation tools across servers
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8. Virtualization Maturity Experience and Sophistication Payoff
Pilot
Consolidation
Assured Computing
Private Cloud
Staff Skills
Little or no expertise
Hands on expertise; some formal training
Formal training; certification desirable
Certification required
Technology & Tools
Simple static partitions
Simple Mobility:
Manual & Off-hours
Matched application pairs
Portable Applications: Automated Failover
CMDB Implemented
Policy based automation; Service management; Lifecycle Mgmt; Self Service Delivery
Financial Impact
No substantial financial impact
Measurable Hard Cost Savings: Consolidation
Power/Real Estate
Justified TCO savings:
Business Continuity
Variable costs recognized or charge back models established
IT Process & Policies
Skunk Works
Ad hoc
Partially Integrated;
Partially Standardized
Fully Integrated
Fully Standardized
Line of Business
Hidden
Revealed
Transparent
Engaged in Governance Process
Application Usage
Test Development
Production:
Non-critical
Production: Business Critical
Production: Service Profiles & Catalogs
% of Customers
15%
55%
25% 5%
Average VM Density 4 6 10 35
Experience
9-12 months
9 months - 2 years
years
3-5 years
% Virtualized Servers
<10%
50%
80%
Phase
Impact
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9. Top 10 Datacenter Efficiency Strategies
1. Right Size Supply to Demand
2. Drive Ongoing Improvements
Virtualization
Site Rationalization and Consolidation
Operational Best Practices
Automation Tools and Software
Datacenter Redesign
Application Rationalization
Modular Datacenter Construction
Lifecycle Management and Planning
Rack-based Power and Cooling Retrofit
Architectural and Technology Refresh
Continuous Improvement
Less interest in long term strategies; more emphasis on making incremental changes that drive new organizational behaviors and processes
Understand how all these changes fit together for greatest payback
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10. Evolving Datacenter Construction: Modularity is the New Industry Standard
Containerized
Hybrid
Brick and Mortar
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11. Datacenter Build-out & Provisioning Classes of Applications Matter
The days of the monolithic datacenter are numbered
Standard
High Availability
Database
Network
Datacenter Central Nervous System
Power
Water
High-Density
Blade
Standard
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12. Israel Installed Server KWh by Datacenter Type, Includes Power Consumed and Cooling Required
Major Datacenter efficiency moves done in enterprise (inc. government & SP)
Millions
Source: IDC Israel, 2012

13. Datacenter Infrastructure (DCIM) Management Moving beyond Excel and Visio
Discovery
Protocol based discovery of Servers, Storage, Networking devices; Tie systems to applications and lines of business
Inventory & Visualization
Inventory of systems and Mapping of the datacenter facility and device locations to the rack level
Monitoring
Server utilization, CPU Memory Disk, Power draw
Reporting
Exception Reporting, Workflow Orders and Change Management
Optimize & Predict
Cycle systems on and off, move virtual machines, MAC orders, find orphaned systems, Tech refresh, Interdependencies and potential downtime, decommission
Trend analysis and Capacity Planning, What ifs simulation
Measure and Monitor Datacenter KPI’s
Space
Power
Cooling
Security
Environmentals
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14. DCIM Almost DCIM . . . But Not Quite Facilities CFD IT Other
Facilities, CFD, IT and Other Sectors
DCIM
CFD
Other
Facilities IT
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15. Power and Cooling Trends: DCIM’s Role in the Datacenter
Katie’s to cover
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16. Datacenter Infrastructure Management Forecast 2010-2015
Worldwide Packaged Software and Services DCIM Revenue Forecast ($M)
CAGR = 25.5%
DCIM is a rapidly evolving market with a CAGR of over 25%
The majority of revenue is from software with services representing 46% of revenues in 2010, decreasing to 30% by 2015
Cloud computing, increased deployment model competition, and availability concerns are drivers of DCIM in enterprise and service provider environments.
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17. Essential Guidance
Server virtualization is outpacing management & automation
This often creates more drain than gain. Investing in virtualization management is not a luxury
There is no one solution for datacenter design
Business oriented analysis of different application groups – what needs to stay where and why
Flexibility in design will allow more rapid adaptation of datacenter to business needs
It’s all about management
Datacenter Infrastructure Management is not another software solution, but the focal point through which IT infrastructure is aligned with business
IT is but one element in these solutions and we are still some distance from fully integrated DCIM
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18. Thank You Gideon Lopez IDC Israel Country Manager glopez@idc.com