Usage of Virtualization Technology at Small and Midsize Businesses



Similar documents
Selenium Grid Build vs. Buy

The Benefits of Virtualization for Small and Medium Businesses. VMware SMB Survey Results

SELENIUM GRID BUILD VS. BUY

More than 90% of small- and mediumsize

Virtualization strategy for mid-sized businesses. IBM and VMware virtualization benefits for mid-sized businesses

Protecting your Data in a New Generation Virtual and Physical Environment

Converged Infrastructure: Making the Move From Buzzword to Big Hit in SMB

CONVERGED INFRASTRUCTURE: Making the Move From Buzzword to Big Hit in SMB

Leveraging Virtualization for Disaster Recovery in Your Growing Business

SERVER VIRTUALIZATION.. ROADMAP REPORT..

Efficient Storage Strategies for Virtualized Data Centers

Consolidate and Virtualize Your Windows Environment with NetApp and VMware

Enterprises Rate Importance Of IP Telephony Features, Management and Applications

Simplifying Storage Operations By David Strom (published 3.15 by VMware) Introduction

Cloud Computing Safe Harbor or Wild West?

Reducing Total Cost of Ownership through Outsourced Hosted Virtual Desktops

Server virtualization overview

White. Paper. Benefiting from Server Virtualization. Beyond Initial Workload Consolidation. June, 2010

How Customers Are Cutting Costs and Building Value with Microsoft Virtualization

W H I T E P A P E R. Reducing Server Total Cost of Ownership with VMware Virtualization Software

WHITE PAPER. The Double-Edged Sword of Virtualization:

The State of Private Clouds and the Impact of Storage

VDI can reduce costs, simplify systems and provide a less frustrating experience for users.

Five reasons why you need Citrix Essentials for Hyper-V now

BC43: Virtualization and the Green Factor. Ed Harnish

Improving availability with virtualization technology

What s New with VMware Virtual Infrastructure

Virtualizing Exchange

Is Hyperconverged Cost-Competitive with the Cloud?

System and Storage Virtualization For ios (AS/400) Environment

Virtualization of CBORD Odyssey PCS and Micros 3700 servers. The CBORD Group, Inc. January 13, 2007

Database-As-A-Service Saves Money, Improves IT Productivity, And Speeds Application Development

Combining Onsite and Cloud Backup

Introduction. Setup of Exchange in a VM. VMware Infrastructure

Increase Utilization, Decrease Energy Costs With Data Center Virtualization

Virtualization: Advanced Technology or Magic Bullet?

June Blade.org 2009 ALL RIGHTS RESERVED

Taking Virtualization

How Using V3 Appliances Virtual Desktop Total Cost of Ownership (TCO) is Reduced: A Superior Desktop Experience For Less Money

Learn How to Leverage System z in Your Cloud

Combining Server And Storage Virtualization: A New Dimension for SMB s

IT PAIN RELIEF FOR MIDMARKET BUSINESSES THROUGH END TO END INFRASTRUCTURE VIRTUALIZATION

Meeting the Top Backup Challenges in Small and Medium Business Environments

Native Data Protection with SimpliVity. Solution Brief

Cloud Backup And Disaster Recovery Meets Next-Generation Database Demands Public Cloud Can Lower Cost, Improve SLAs And Deliver On- Demand Scale

Managing, Maintaining Data in a Virtual World

How To Save Money On A Desktop Computer

Virtualization Essentials

Defining Business Analytics and Its Impact On Organizational Decision-Making

Data Protection Report 2008 Best Practices in Data Backup & Recovery

How To Virtualize A Server At Swic

2008 Small Business Technology Trends Survey: A Peer Perspective on IT in Small Business

Organizations of all sizes have embraced virtualization

Developing a dynamic, real-time IT infrastructure with Red Hat integrated virtualization

WHITE PAPER Ten Things You Need to Know about Virtualization

Leveraging Virtualization for Spacecraft Operations

Double-Take Replication in the VMware Environment: Building DR solutions using Double-Take and VMware Infrastructure and VMware Server

Backup Exec System Recovery Management Solution 2010 FAQ

The New Rules for Choosing Physical Appliances

Microsoft Co-Venture Uses Server Solution to Eliminate Latency for Field Force

2010 State of the Data Center Latin America Data (Brazil and Mexico)

Extending the Power of Your Datacenter

WHITE PAPER. Citrix XenDesktop. Cost savings with centralized virtual desktops.

Parallels Virtuozzo Containers

Information Technology White Paper

Hosted Desktop Model vs. SBC, VDI and Traditional Desktop Position Document

Barracuda Backup Server. Introduction

Symantec Backup Exec 2014

October Meeting Business Data Protection Needs in a Mixed Physical / Virtual Environment

Value Proposition for Remote Infrastructure Managed Services (RIMS): A General Study

Server Virtualization A Game-Changer For SMB Customers

QNAP NAS & Virtualization

Transform your Business with VMware

Revitalising your Data Centre by Injecting Cloud Computing Attributes. Ricardo Lamas, Cloud Computing Consulting Architect IBM Australia

Leading Solution Provider for Multi-Unit Restaurants Moves to the Cloud

White Paper. Fueling Successful SMB Virtualization with Smart Storage Decisions. 89 Fifth Avenue, 7th Floor. New York, NY

Managing your physical and virtual Infrastructure

Managing the Network Infrastructure: A Peer-to-Peer Look at Trends and Challenges

Healthy. COUNTRY: Canada INDUSTRY: Healthcare FOUNDED: 2006 NUMBER OF EMPLOYEES: 115 WEB ADDRESS:

STREAM FRBC

Mobile Secure Desktop Maximum Scalability, Security and Availability for View with F5 Networks HOW-TO GUIDE

How To Create A Virtual Data Center

W H I T E P A P E R E n a b l i n g D a t a c e n t e r A u t o mation with Virtualized Infrastructure

Why is the V3 appliance so effective as a physical desktop replacement?

EMC Integrated Infrastructure for VMware

Increasing SAP Infrastructure Value with Hitachi Storage

Streamlining BEA WebLogic Server Application Development. With VMware Infrastructure 3. With VMware Infrastructure 3

IBM Sales and Distribution IBM and Manhattan Associates

Making a Smooth Transition to a Hybrid Cloud with Microsoft Cloud OS

Reducing the Cost and Complexity of Business Continuity and Disaster Recovery for

How Solace Message Routers Reduce the Cost of IT Infrastructure

As the nature and location of work has changed

Managed IT Services. Eliminating technology pains for small businesses

A New Strategy for Data Management in a Time of Hyper Change

Evolving Datacenter Architectures

Servervirualisierung mit Citrix XenServer

StoneFly SCVM TM for ESXi

The Vertical Professional Services Market Rates Importance of IP Telephony Features, Management and Applications

2015 Unified Communications & Collaboration Survey

Transcription:

White Paper Usage of Virtualization Technology at Small and Midsize Businesses October 2007

Contents Executive summary................................................................. 3 Overview............................................................................. 4 Demographic profile of respondents................................................ 4 IT infrastructure at SMBs........................................................... 6 Familiarity with virtualization technology at SMBs.................................. 8 Usage and consideration of virtualization technology at SMBs.................... 8 Top reasons for exploring or adopting virtualization at SMBs...................... 9 Ways in which servers are or will be repurposed.................................. 10 Types of applications currently being virtualized at SMBs........................ 10 Issues experienced at SMBs in the past 90 days................................. 11 Conclusion......................................................................... 11 Case studies.................................................... 8, 9, 10, 11 October 2007 Page 2 of 11

Usage of Virtualization Technology at Small and Midsize Businesses Executive summary This survey was conducted to better understand the usage of virtualization technology at small and midsize businesses (SMB). Several interesting conclusions emerge from the feedback provided by respondents. First is the popularity of virtualization at small and midsize businesses. More than eight out of 10 respondents (84%) report usage or consideration of virtualization technology. In fact, half of respondent organizations (49%) are currently using virtualization, 24% are considering virtualization for use in the next 12 months, and 11% are considering the technology for use more than 12 months from now. On average, SMBs are currently running five virtual machines (VM) in each physical machine. SMB budgets once dedicated to buying multiple machines can be used to buy performance-based hardware in which VMs can be stacked. Top reasons for adopting virtualization at SMBs include the desire to increase the efficiency in managing the server environment (66%), controlling hardware sprawl and spending (58%), and reducing the number of servers needed to run the production systems to repurpose hardware for other needs (46%). These top three reasons why respondent organizations have explored or adopted virtualization are all related to optimizing technology assets. With optimizing technology assets being a top technology concern for SMBs today, organizations need to turn to solutions systems that specifically address this need. Another issue exposed by this survey is the fact that nearly nine out of 10 respondent organizations are currently virtualizing applications. Web services (48%) and Active Directory (40%) are the most common types of applications being virtualized at small and midsize businesses, followed by e-commerce (28%), industry-specific applications (24%) and supply chain (13%). Application virtualization can help SMBs IT infrastructure work harder and faster while reducing costs. Lastly, more than six out of 10 respondent organizations (62%) have experienced downtime or performance lags in the past 90 days. Production downtime for maintenance and user performance lags were both reported by 43% of respondent organizations. Continued reliance on virtualization solutions will help companies with these issues to minimize downtime in order to ensure business continuity. October 2007 Page 3 of 11

Overview In May/June 2007, Computerworld invited IT professionals at small and midsize businesses to participate in a survey on virtualization. The survey was fielded via targeted broadcasts to Computerworld customers, as well as through an invitation on Computerworld.com. The goal of the survey was to better understand the usage of virtualization technology at small and midsize businesses. The survey was commissioned by VMware Inc. and Intel Corp., but data was gathered and tabulated independently by Computerworld Research. The following report represents top-line results of that survey and is meant to serve as a brief benchmarking tool for IT professionals at small and midsize businesses seeking information about how their peers are addressing virtualization within their IT organizations. Demographic profile of respondents Total IT respondents: 104 All 104 IT respondents, who were qualified through a series of screening questions, are employed at organizations with 100 to 1,000 employees and are familiar with virtualization technology. The demographic profile charts are based on the 87 IT respondents currently using or considering virtualization technology. Below is a breakdown of the percentages of IT respondents by job title, company size and industry. Which of the following best describes your title within your company? IT director/manager/supervisor 44% IT staff 28% Senior IT management (CIO, CTO, CSO, executive VP, SVP, VP) 17% Other IT professionals (Systems integrator, technical consultant) 11% 0 10% 20% 30% 40% 50% October 2007 Page 4 of 11

Approximately how many people are employed in your entire company or enterprise? 36% 501-1,000 64% 100-500 Mean: 461 Median: 411 Which of the following best describes your company s industry or function? IT/computer: Integrators, data processing services, consulting, Web services Financial services Government: federal, state, local (including military) Healthcare/medical services Manufacturer Publishing/broadcasting/advertising/public relations Wholesale or retail trade Business services (other than IT/computer) Real estate/legal services Telecommunications/communications carriers Construction Insurance Petroleum/refining Transportation: land, sea or air Utilities: electric, gas Other industry 6% 6% 5% 5% 3% 3% 3% 2% 1% 1% 1% 1% Note: Percentages do not add up to 100 because of rounding. 13% 18% 16% 15% 0 5% 10% 15% 20% October 2007 Page 5 of 11

IT infrastructure at SMBs These IT infrastructure charts are based on the 87 IT respondents currently using or considering virtualization technology. Below is a profile of the IT infrastructure at respondent organizations, including number of servers installed and planned for purchase, as well as the percentages of the IT budget allocated to various areas. Approximately how many servers are installed at your company? 3% More than 500 1% Don t know 23% 101-500 46% Less than 50 26% 50-100 Mean: 119 Median: 57 Note: Percentages do not add up to 100 because of rounding. Approximately how many servers does your company plan to purchase in the next 12 months? 7% Don t know 13% More than 20 11% 16-20 13% 11-15 22% Less than 5 34% 5-10 Mean: 10 Median: 9 October 2007 Page 6 of 11

With the total to equal 100%, approximately what percentage of your company s IT budget will be allocated to each of the following over the next 12 months? 11% Other average 6% R&D average 26% Software average 16% Services average 19% Server average 22% Hardware average October 2007 Page 7 of 11

Case Study Thomas Weisel Partners Group Inc. Challenge: Increase efficiency of data center while simplifying IT administration. Solution: Using the VMware Infrastructure 3 suite, the investment bank has been able to virtualize many of its servers, and thus better leverage its IT infrastructure. Results: Drastically reduced server provisioning time, reduced rack space by 20% and avoided replacement costs for old or fully amortized hardware. The benefits of VMware Infrastructure 3 are fairly obvious: less overhead, less power costs, less IT administration time than an engineer could spend doing something else.... The list goes on. James Ford, Senior Server Engineer, Thomas Weisel Partners For more customer success stories go to: www.vmware.com/ customers/stories/ Familiarity with virtualization technology at SMBs Overall, familiarity with virtualization technology at small and midsize businesses is high, with 46% of all respondents reporting that they are extremely or very familiar with virtualization technology. Additionally, 54% of respondents said that they are somewhat familiar with virtualization technology. Please indicate your level of familiarity with virtualization technology, including virtualization of applications, desktops, file or NAS servers, storage or SAN, and the entire IT infrastructure. 54% Somewhat familiar Overall base: 104 IT respondents 17% Extremely familiar 29% Very familiar Usage and consideration of virtualization technology at SMBs Usage of virtualization technology at small and midsize businesses is high, with 84% of respondents indicating usage or consideration of virtualization technology. More specifically, roughly half of respondent organizations (49%) are currently using virtualization, 24% are considering virtualization for use in the next 12 months, and 11% are considering the technology for use more than 12 months from now. On average, small and midsize businesses are currently running five virtual machines (VM) in each physical machine. By deploying VMs instead of physical servers, organizations do not have to purchase a new physical server every time they need to roll out new applications on dedicated servers. Is your company currently using or considering any virtualization technology? Currently using or considering (net) 84% Currently using 49% Considering for use within the next 12 months 24% Considering for use more than 12 months from now 11% Not using or considering any virtualization technology 16% 0 20% 40% 60% 80% 100% October 2007 Page 8 of 11

Case Study nworks Challenge: Re-create multiple IT environments for software development and support. Solution: By implementing VMware Infrastructure 3, the independent software vendor has been able to readily create virtual software environments, rather than having to purchase additional servers and load them with different operating systems a savings of both time and money. Results: Increased efficiency tenfold, avoided tens of thousands of dollars in hardware costs, and enhanced profitability. For a small company like us, VMware is a tremendous advantage. It allows us to support our customers all over the world without having a huge IT infrastructure or a huge IT staff. As a result, we don t have to tie up our money in excessive capital equipment and labor costs. Hank Wright, Executive Vice President, nworks Top reasons for exploring or adopting virtualization at SMBs Two-thirds of respondents (66%) report that one of the top reasons for adopting virtualization is to increase the efficiency in managing the server environment. Other top reasons include controlling hardware sprawl and spending (58%) and reducing the number of servers needed to run the production systems to repurpose hardware for other needs (46%). Additionally, more than one-third of respondents indicate that a top reason for exploring or adopting virtualization is to increase the productivity of the IT staff (39%) and to move to a fully scalable disaster recovery system (35%). With virtualization technology, SMBs can improve the efficiency of their IT infrastructure and can use or repurpose hardware to serve other business needs. Which of the following best describes the top reasons your company explored or adopted virtualization? Increase the efficiency in managing the server environment Control hardware sprawl and spending Reduce the number of servers needed to run the production systems to repurpose hardware for other needs Increase the productivity of the IT staff by reducing mundane but time-sensitive tasks Move from pure backup solutions to a fully scalable disaster recovery platform we can grow into Simple setup and tear-down solution for server provisioning needs in a test and development environment Scalable, secure method to deliver applications to remote offices or workers Other reason Don t know 3% 9% Multiple responses allowed. 24% 39% 35% 33% 46% 58% 66% 0 10% 20% 30% 40% 50% 60% 70% 80% For more customer success stories go to: www.vmware.com/ customers/stories/ October 2007 Page 9 of 11

Case Study CodeGear Challenge: Create a more costeffective way to test new software builds in variable environments. Solution: Using ESX Server, part of the VMware Infrastructure 3 suite, Borland Software Corp. s CodeGear is able to streamline software testing and development by consolidating disparate development, testing and staging environments with multiple operating systems on the same hardware. Results: Eliminated hundreds of hours of manual software tests, avoided thousands of dollars in hardware costs, and significantly reduced time required for quality assurance. Everyone in the organization wanted to start leveraging virtual machines within their departments once they saw what VMware technology could do for QA testing how much time it saved, and how efficiently we could get things done. Doug Chapman, Quality Assurance Staff Engineer, CodeGear For more customer success stories go to: www.vmware.com/ customers/stories/ Ways in which servers are or will be repurposed As indicated on the previous page, nearly half of respondents (46%) indicate that they adopted virtualization to reduce the number of servers needed to run the production systems to repurpose hardware for other needs. Among these respondents, six out of 10 (60%) are repurposing or will repurpose the servers as backup servers. Other uses for the servers include usage as database servers (45%), Web servers (33%) or SAN storage arrays (15%). It is clear that SMBs are repurposing or plan to repurpose hardware to serve other business needs. As backup servers As database servers As Web servers As SAN arrays Other Don t know In what ways are or will the servers be repurposed? 10% 15% 17% 33% 45% 0 10% 20% 30% 40% 50% 60% 60% Overall base: 40 IT respondents indicating usage or virtualization technology to repurpose hardware for other needs Multiple responses allowed. Types of applications currently being virtualized at SMBs Overall, nearly nine out of 10 respondent organizations are currently virtualizing applications. Web services (48%) and Active Directory (40%) are the most common types of applications being virtualized at small and midsize businesses, followed by e-commerce (28%), industry-specific applications (24%) and supply chain (13%). Examples of industry-specific applications being virtualized include custom banking/financial applications, ERP and document management applications. Which, if any, of the following types of applications is your organization currently virtualizing? Web services Active Directory E-commerce applications Industry-specific applications Supply chain Other 13% 17% 24% 28% 40% 48% Not currently virtualizing any applications 11% 0 10% 20% 30% 40% 50% Multiple responses allowed. October 2007 Page 10 of 11

Case Study AIC Ltd. Challenge: Shrink data center footprint and manage IT infrastructure more effectively. Solution: With the VMware Infrastructure 3 suite, the mutual fund company has been able to handily address its IT challenges and create a scalable, manageable IT infrastructure. Results: Saved $400,000 annually, reduced administrative work by 70%, and doubled IT productivity without increasing headcount. We were able to see savings right off the bat, by shrinking our data center footprint from 175 boxes down to four boxes. And more importantly, it makes us better suited to future growth: We can scale easily and create virtual machines as needed, in a matter of minutes. Sam Stravato, CTO, AIC Ltd. For more customer success stories go to: www.vmware.com/ customers/stories/ Issues experienced at SMBs in the past 90 days In the past 90 days, more than six out of 10 respondent organizations (62%) have experienced downtime or performance lags. In fact, production downtime for maintenance and user performance lags were both reported by 43% of respondent organizations. Continued reliance on virtualization solutions will help companies with these issues to be able to minimize downtime in order to ensure business continuity. In the past 90 days, which, if any, of the following issues has your company experienced? Conclusion Experienced recent downtime or performance issues (net) Production downtime for maintenance Performance lags experienced by users Downtime due to virus Other problem Have not experienced any recent issues 7% 13% Multiple responses allowed. 38% 43% 43% 62% 0 10% 20% 30% 40% 50% 60% 70% 80% The need for increased efficiency in managing the server environment, controlling hardware costs, and repurposing hardware for other needs cited by IT respondents makes it clear that IT organizations today need to continue their investment in virtualization technology in order to improve the performance and efficiency of the IT infrastructure. So what does all this mean for your IT organization? Basically, your organization can use responses from this survey as a benchmark for how your peers are addressing these issues. If your IT organization is not currently using or considering virtualization technology, you need to begin to address this. It s important that the solution you seek enables your IT organization to lower IT costs through increased efficiencies, flexibility and responsiveness. October 2007 Page 11 of 11