Virtualization Changes Virtually Everything

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1 Virtualization Changes Virtually Everything Philip Dawson Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with written approval from Gartner. Such approvals must be requested via Gartner is a registered trademark of Gartner, Inc. or its affiliates.

2 Virtualization Stages Virtualization changes architectures, processes, cultures, markets and businesses and enables cloud computing. Virtualization 1.0 = Consolidation (cost savings) Virtualization 2.0 = Agility (speed) Virtualization 3.0 = Alternate sourcing (cloud computing) Cloud computing is also the model for enterprise internal computing

3 Key Issues IT virtualization is the abstraction of IT resources in a way that masks the physical nature and boundaries of those resources from resource users. 1. How will virtualization change IT and business? 2. How will virtualization change technology? 3. How will virtualization change the market?

4 Virtualizing the Data Center: From Silos to Clouds Provisioning Sprawled Component-Orientation Virtualized Layer Orientation Cloudenabled Automated Service Orientation Policies Optimization Hardware costs down, flexibility up Service levels and agility up Workloads Data Resources Identities Services Availability

5 Virtualization Changes Business and Prepares for Cloud Services Replace Equipment Sharing Defining service needs Agility Low barrier to entry Faster deployments Rapid reaction to change Funding From project- to usage-based From consolidated to user Sourcing Rapid expansion of alternate delivery models Dynamic, granular Can the business define service requirements? Is the business ready for speed? Does the business want variable IT costs? Can the business choose the delivery model?

6 Virtualization: Consolidation and Deconsolidation SaaS Grid Computing Applications Operating Systems Application Streaming Software Appliances Virtualization technologies create layers of abstraction decoupling interfaces that enable alternate delivery models Infrastructure as a Service Hardware Alternate Delivery

7 Cloud Computing: Four Perspectives, Four Attributes "All that matters is results. I don't care how it is done." "I don't want to own assets. I want to pay for an elastic utility." "I want accessibility from anywhere on any device." I need economies of scale, with effective and dynamic sharing." Acquisition Model Service Business Model Pay for usage Access Model Internet technologies Technical Model Elastic, shareable Cloud Computing: A style of computing where massively scalable IT-enabled capabilities are delivered as a service to external customers using Internet technologies The providers in the cloud create a supply chain from business process services to component services Service Brokers Business Process Providers Software Providers Storage Providers Processing Providers

8 Virtualization Enables Storage Mobility and Potentially Improved Use Planning From good requirements planning to reacting to usage From time-consuming reconfiguring to virtual reallocation Flexibility, Agility, Growth Provisioning Recovery Physical limits don't constrain Dynamic volume change Many Managed as One Abstraction Managing physical storage can be isolated to focused administrators Storage users need not be storage savvy Caution: Virtualized storage management is more complex Quality of Service Enabling capacity redeployment Increasing performance by striping and caching, avoiding hot spindles Providing easier and less impactful migration Consolidation = lower staffing costs One Used as Many

9 Virtualization Changes the x86 Server Architecture and Market 60% 40% 20% VM Penetration of Installed Workloads 7% 0% Predictions 61% VMs Making a Mark The VM installed base was 2.9M in 2007 about 7% of the opportunity. Multicore Synergistic with virtual machines. Server Size Virtualization enables larger servers. Servers More Commoditized No lock-in with workloads, and blades more attractive. The installed base of VMs will grow more than tenfold between 2007 and One out of every four x86 workloads deployed or redeployed during 2008 will be installed in virtual machines. By 2012, the majority of x86 server workloads will be running in a virtual machine.

10 Virtualization Changes Client Computing: "Bubbles," Streaming and Letting Go Traditional Client Standard PC Enterprise-owned Corporate image and installed applications Emerging Client Multidevice, mobile Remotely hosted (terminal services) Remotely hosted (virtual desktops) Nonenterprise-owned "Bubbles" (virtual machines) Streamed applications Software as a service

11 Software Appliances: A New Software Paradigm A pure software appliance is a software-only solution that delivers pre-defined service(s) through an application-specific interface, with no accessible operating software. VM packaging enables prepackaged solutions Virtual software packages (VSPs) Software-based appliances (SBAs) VM operational and service information (e.g., OVF) Can be managed, updated remotely (by provider) enabling on-premise SaaS Can be dynamically moved from user to/from provider, between providers

12 Virtualization Creates Fork in the Road for Operating Systems Software Appliances Cloud Computing Alternate Devices Virtual Machines Operating System Application Virtualization Parallel Computing Thin (appliance) Meta OS (cloud, RTI) General-purpose (Windows, Linux)

13 Do Operating Systems Matter? The Emergence of the Meta OS A meta operating system is a virtualization layer between applications and distributed computing resources; it utilizes distributed computing resources to perform scheduling, loading, initiating, supervising applications and error handling. An operating system for a distributed infrastructure The meta-os commoditizes much of the role of a traditional operating system. Service Governor App OS Server Meta OS Network Server App OS Storage An automation layer that governs the usage of distributed resources A service governor manages the usage of distributed computing resources at a service level.

14 Virtualization Breaks Traditional Software Pricing and Licensing Models Fractional use, consolidated Especially when consolidated to large servers Multicore trend exacerbating issue Dynamic change Old friction: Deployments, upgrades are rare Now: Deployments are fast, resource allocations change quickly Dynamic movement Old paradigm: Tie software to serial numbers Now: Workloads can move dynamically between servers Virtual machine packaging Software-based appliances, pre-integrated software Enabling cloud computing Shift to pricing based on usage, workload, users, transactions away from fixed hardware

15 Virtualization Enables and Motivates Chargeback From Fixed to Variable Usage Virtualization enables a move to utility pricing Most businesses are not prepared to deal with IT as a variable expense Tools and measurement standards needed The Danger of a Frictionless Model Old - CapEx requirement - Time to respond to requests New - CapEx asynchronous, smaller - Rapid response (30X faster) Chargeback helps provide the friction helps IT run as a business Cloud Impact? Paying per usage is a fundamental characteristic of cloud computing organizations that embrace chargeback are better prepared for cloud computing

16 Operationalizing Virtualization: New Approaches, New Concerns Configuration Virtual resources vs. software Managing asset location Managing dependencies Virtual machines as black boxes e.g., appliances Change Ease/speed of virtual machine creation New virtual changes V-to-P and P-to-V as a new step Performance/Capacity Shift to holistic capacity planning Virtualization vs. service-level agreement mgmt. Performance affected by changing set of cohosted virtual machines Problem Matching problems to moving assets Additional moving and changing parts Chargeback Capex mapping to virtual deployments Dynamic usage challenges Different physical hosts change metrics Security New privileged layer of software that will be targeted Separation of admin. duties Protecting and patching offline virtual machines Auditing virtual machine movement, changes and life cycles is inadequate Immature security and mgmt. tools

17 Virtualization Completely Scrambles the Market Technology virtualization and abstraction layers are also eliminating market boundaries and creating new market opportunities. Outsourcing From process and best practices to economies of scale and agility Prospects can create their own economies of scale Servers Better utilization = less capacity sold (now) Agility = more sold (later) Sell as a service? Applications Packaged software, and/or SaaS? Package as appliances? Pricing and licensing changes Cloud: Opportunity or threat? Management From monitoring and components to active service management Operating Systems Just a container? Storage Server virtualization challenging storage virtualization role Sell as a service? Networking The network is the computer but everyone is managing the network

18 Primary Considerations: VMware vs. Microsoft Maturity 90% of the installed VMs are VMware, with more than 100,000 customers over seven years; Microsoft s Hyper-V needs proven deployments Price Combined with management tools, typical VMware pricing is three times higher; however, higher VM density and increased functionality reduces the pricing gap Stability VMware s architecture is much more lightweight (32 MB footprint); Hyper-V leverages a Windows Server subset (1.5 GB footprint) a larger system to manage Capabilities and Management VMware is 2-3 years ahead of Microsoft in virtualization functionality, including Vmotion, DRS, HA, SRM; Microsoft offers mainstream System Center for physical and software management tools that VMware lacks vs.

19 The Future of Xen-Based Solutions Strongest third player but challenged to find a server market niche. Virtualization management limited could expand (PlateSpin recently acquired). Clearly focused on defending Oracle stack but how rich will their management be? Shift in focus from Xen toward OS-centric KVM virtualization. Possible wild card but attention to software business ongoing issue. Future requires an acquisition or strong alliances. But consider The x86 server market is less than 10% penetrated, there are many submarkets, the cloud provider market is Xen-focused and nascent, acquisitions could change everything, etc.

20 Best Practices: Starting to Virtualize Servers Start small, but think big Require rapid ROI - but look beyond cost savings Define your storage strategy first Virtualize the right applications Combine virtual machines effectively

21 The Emerging Trends in Virtualization The Trend: Virtualization is Becoming pervasive from data centers to PCs. The Implications: Virtualization Will Change how IT is acquired, managed and used. Completely change how software is priced and licensed. Change the way business works with IT. Create new forms of applications. Change the operating system business. Create competition between vendors that did not exist before. Enable and accelerate cloud computing.

22 Recommendations Consider virtualization as a strategic change agent. Cost, agility, architecture, alternate sourcing. Virtualization requires a plan and a vision. Be proactive, not reactive. Virtualization must be managed. Virtual sprawl > physical sprawl. Virtualization requires business alignment. Or your efforts may be wasted. Beware software pricing and licensing. Vendors slow to change, willing to increase revenue. Beware nervous vendors and ill-conceived offerings. Lock-in, big boxes, support, grand visions, hype. Sourcing will become dynamic and granular. Every project, elements of the architecture, etc.. Now entering an era of experimentation. Be a scientist, not a subject.

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