IBM and Dynamic Infrastructure Doug Neilson, IBM Systems Group May 2009
IBM s Smarter Planet Strategy Every human being, company, organization, city, nation, natural system and man-made system is becoming interconnected, instrumented and intelligent. This is leading to new savings and efficiency but perhaps as important, new possibilities for progress. 1
Building a smarter planet Questions, questions, questions. Data is exploding and it s in silos New business & process demands My infrastructure is inflexible and costly Our resources are limited I Need Insight I Need to Work Smart I need to respond quickly I Need Efficiency How can we take advantage of the wealth of information available in real time from a multitude of sources to make more intelligent choices? How can we work smarter supported by flexible and dynamic processes modeled for the new way people buy, live & work. How do we create an infrastructure that drives down cost, is intelligent and secure, and is just as dynamic as today s business climate? How do we drive greater efficiencies, compete more effectively, and respond more quickly by taking action now on energy, the environment, and sustainability. New Intelligence Smart Work Dynamic Infrastructure Green & Beyond 2 Let s discuss each of these in a bit more detail.
Evolving Dynamic Infrastructure Four major IBM initiatives Dynamic Infrastructure IBM s smarter planet vision Dynamic Infrastructure New Intelligence The world has become flatter and smaller. Now it must become smarter. Green & Beyond Smart Work How do I create an infrastructure that drives down cost, is intelligent and secure, and is just as dynamic as today s business climate?
What does it look like? Enables visibility, control, and automation across all business and IT assets. Transforms assets into higher value services. Highly optimized to achieve more with less. Addresses the information challenge. Leverages flexible sourcing like clouds. 4 Manages and mitigates risks. delivers superior business and IT services with agility and speed.
Building a smarter planet IBM Systems Dynamic Infrastructure Management Energy Security Availability Multiple OS Virtualization Systems Systems Software IBM Software & Services IBM Systems provide choice to match diverse workload needs. Systems software provides rich capabilities with a consistent management approach. Optimized with IBM Software and Services. Delivering business value by helping clients improve service, reduce cost and manage risk
Starting with Advanced Technologies Power Systems Cell Processor Z6 Quad-core 500GHz SiGe Chip Multi-Chip Module Racetrack memory
Building Innovative Products Enterprise X-Architecture XIV Storage idataplex System z10 Storage virtualization Power 6 Roadrunner
Infrastructure this is so 1980 s Network Edge/Web Application Data/Transaction Storage
We can do better now Network, Edge, Web, Application Application, Data, Transaction Shared Virtual Network Shared Virtual Storage
The Energy Question Data Center IT Resources Utilisation IT Load Processor 55% 45% 70% 30% 80% 20% Idle Used Power distribution and Cooling Power supply, memory, fans, drives... 27 W data center X1.7 16 W equiv IT power x3 5 W equiv processor x5 +1 W equiv. used ressource 1W of application computing requires 27W of power Insufficient Cooling and Insufficient Power are key data centre issues Energy costs consume approximately 10-15% of most IT budgets and rising* *Source: Springboard research
Dramatic savings in power, heat and space Sq M 1400 1200 1000 800 600 400 200 0 500 1000 2000 5000 # Servers 2000 1800 1600 1400 1200 1000 800 600 400 200 0 Kw x86 Sq M z9 Sq M x86 kw z9 kw up to 90% saving. With tradable carbon savings
IBM Dynamic Infrastructure Data Centre Strategy Virtualization Consolidation Business resiliency and security Rapid service delivery Software resiliency Pooled shared environment New economics Rapid service delivery Aligned with business goals
IBM s own smart transformation IBM IT Transformation From 2002 through 2007, IBM's own IT investments delivered a cumulative benefit yield of approximately $4 billion. For every dollar invested, we saw a $4 cumulative benefit. 1997 Today CIOs 128 1 Host data centers 155 7 Web hosting centers 80 5 Network 31 1 Applications 15,000 4,700 Data Center Efficiencies Achieved Project Big Green Cloud-enabled on demand IT delivery solution Consolidation and virtualization - thousands of servers onto approximately 30 IBM System z mainframes. Additional virtualization leveraging System p, System x and storage across enterprise. Substantial savings being achieved in multiple dimensions: energy, software and system management and support costs. The virtualized environment will use 80% less energy and 85% less floor space. 2X existing capacity, no increase in consumption or impact by 2010. Self-service for 3,000 IBM researchers across 8 countries. Real time integration of information and business services.
Computing on Demand models Dedicated Custom Environment choice of data center, servers, storage, dedicated switch, WAN/LAN High Availability Network Dedicated resources: 1-3 year commitment Leased by IBM Global Financing Variable Utilize CoD Center infrastructure Virtual clusters dedicated to one client at a time Automated network and server provisioning Reserve by the week; Pay for use Dynamic Utilize CoD Center infrastructure Virtual clusters dedicated to one client at a time Automated network and server provisioning Reserve by the hour; Pay for use Ideal for Intraday and post trading workloads Customer B (night) Customer A (day) Dynamic C B A Customer C Variable C Customer D Variable D C D B E Customer E (day) E Central Switch A Dynamic F Customer F (night) F Compute Node Storage Nodes + Storage HW Management Node VPN Router
Evolution of Cloud Computing 2007 1980 Grid Computing Solving large problems with parallel computing Made mainstream by Globus Alliance 1990 Utility Computing Offering computing resources as a metered service Introduced in late 1990s 2000 Software as a Service Network-based subscriptions to applications Gained momentum in 2001 Cloud Computing Anytime, anywhere access to IT resources delivered dynamically as a service.
Why Cloud Computing Different Perspectives IT Customers: -Flexible pricing / business models - On demand provisioning - Unlimited scaling - Secure infrastructure -Flexible Market: - Pay by consumption - Lower costs -On demand provisioning -Grid and SaaS combination -Massive scaling - Efficient infrastructure -Simple and easy Source: IBM Corporate Strategy analysis of MI, PR, AR and VCG compilations Common Attributes of Clouds Elastic scaling Rapid provisioning Advanced virtualization Flexible pricing IT Analysts: - Variable pricing -No long term commitments -Hosted, on dem. provisioning -Massive, elastic scaling -Standard Internet technology -Abstracted infrastructure - Service-oriented Financial Analysts: - Utility pricing -Hosted, a-a-s provisioning -Parallel, on demand processing -Scalable -Virtualized, efficient infrastructure -Flexible
Business Interest is shifting ~10% of cloud spend is on servers; flat from 08 12 with market growing at ~27% CAGR* $ in billions $400 $350 $300 Near term, a large portion (~$50B) of new IT spending will be on cloud computing IT Growth $250 $200 $150 $100 $50 $0 2008 2011 2014 2017 In a decade, the majority of IT opportunity will be in the cloud Traditional IT market will be compressed Merrill Lynch has guesstimated apps and platform cloud computing to be a $95 billion annual opportunity within the next five years. Sources: IBM Market Intelligence; The Cloud Wars: $100+ Billion at Stake, Merrill Lynch, May 2008 *IDC, October 2008
A dynamic infrastructure is a journey these interrelated initiatives can provide the DNA needed to thrive in a smarter planet. 18
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