Consulting Engineering Outsourcing

Consulting Engineering Outsourcing

Opportunities, challenges and strategies 5.º Fórum Lusófono das Comunicações Maputo, 24 de Abril de 2014 Maksen 2014 Consulting Engineering Outsourcing

AGENDA 01. Data Centers 4 02. Opportunities 15 03. Challenges 20 04. Strategies 28 05. About Maksen 33 Maksen 2014 3

01. Data Centers Maksen 2014 4

What is a Data Center Data Centers are facilities which are specifically designed and build to house computer, storage, and telecommunications systems Source: Lifeline Data Centers Maksen 2014 5

Evolution of Data Centers Yesterday (Early 90s 2002: Dot.com Revolution) Siloed Data Centers - Hardware has leaded the way. The Data Center is/was an infrastructure where the servers and storage are located, operated and managed. Today (2003 Today: Virtual Technology Revolution) Virtualized/Pool Data Centers - Software is leading the way. The primary goal for Data Centers is to connect users to applications. Data Centers are evolving from isolated resource islands to interconnected pools of virtualized resources shared between multiple Data Center locations helping business cut costs and maximize IT efficiency Tomorrow (2011-?: Hybrid Cloud Revolution) Dawn of Software-Defined Data Centers - Data Centers without walls Oceans of data. Everyone who works in IT will be a service provider. Source: Adapted from IDC Datacenter Interconnected 1/11 ; NetApp The Evolution of the Data Center to Software Defined Maksen 2014 6

Types of Data Centers (1/2) There are 4 types of Data Centers (TIA Telecommunication Industry Association) TIA-942: Published in 2005, the Telecommunications Infrastructure Standards for Data Centers was the first standard to specifically address Data Center infrastructure and was intended to be used by Data Center designers early in the building development process. Tier 1 Basic, no redundant components (N): 99.671% availability Susceptible to disruptions from planned and unplanned activity Single path for power and cooling Must be shut down completely to perform preventive maintenance Annual downtime of 28.8 hours Tier 2 - Redundant Components (limited N+1): 99.741% availability Less susceptible to disruptions from planned and unplanned activity Single path for power and cooling includes redundant components (N+1) Includes raised floor, UPS and generator Annual downtime of 22.0 hours Maksen 2014 7

Types of Data Centers (2/2) Tier 3 - Concurrently Maintainable (N+1): 99.982% availability Enables planned activity (such as scheduled preventative maintenance) without disrupting computer hardware operation (unplanned events can still cause disruption) Multiple power and cooling paths (one active path), redundant components (N+1) Annual downtime of 1.6 hours Tier 4 - Fault Tolerant (2N+1): 99.995% availability Planned activity will not disrupt critical operations and can sustain at least one worst-case unplanned event with no critical load impact Multiple active power and cooling paths Annual downtime of 0.4 hours Due to the doubling of infrastructure (and space) over Tier 3 facilities, a Tier 4 facility will cost significantly more to build and operate. Consequently, many organizations prefer to operate at the more economical Tier 3 level as it strikes a reasonable balance between CAPEX, OPEX and availability. Source: TIA Telecommunication Industry Association Maksen 2014 8

Services & components of a successful Data Center Build room: Stacking; Configuring; Testing new systems before they go into production Monitoring: Monitoring tools sends out pings to each resources such as databases, applications, network devices. Failure to respond results in a degraded service condition report Redundancy and disaster recovery: Redundancies and back-ups provisions protect interruptions Storage: SAN Storage Area Network Fire suppression; Earthquake and seismic isolation platforms; Smoke sensors Power supply Climate & cooling systems (HAVAC); Temperature sensing system Source: Wikibon.org Maksen 2014 9

Data Center s vital signs Strong heart: The power system (UPS, capacitors and batteries). UPS system failure costs accounted for 29% of data center outages laste year, and the average UPS related failure cost USD 689.700. Sharp brain: Data center consolidation, virtualization and cloud computing help keeps your Data Center running at peak efficiency delivering real-time information, allowing you to make the best decisions to operate and maintain your infrastructure. Efficient air intake & circulation: Check the air pumping, keep temperature and humidity in the recommended range. Cooling accounts for 40% of total energy used for the average Data Center. Diet & exercise: A proactive approach to service and maintenance in the Data Center can extend the life cycle of IT equipment and delay major capital investments. Source: Adapted from Emerson s Vital Signs of a Data Center Maksen 2014 10

Data Center s benefits Savings Switching to server virtualization can lower capital costs, reduce downtime and increase efficiency Servers Consolidating server infrastructure and leveraging automation tools drives availability Storage Software and policy-based management systems reduce labor and optimize storage Networks Big Data means that a strategic plan of action for data center is a necessity Operation & Maintenance Forecasting facility power, space, capacity and availability means less disruption Risk Management Thinking through and planning for potential risks can optimize opportunities Source: Adapted from IBM (Survey in 2013 of 300 clients, across 25 industries and seven countries) Maksen 2014 11

Largest Data Centers Note: One sq. meter equals to 10.7639104 sq. feet Maksen 2014 12

Data Center s statistics (1/2) 500.000 Data Centers worldwide More than 15.000 Data Centers are the size of a football field In 2013, mankind has created 1,9 trillion GB of data (Every person on earth would have 16 iphones) Total investment in Data Center IT infrastructure will grow 5% on average per year to reach USD 125 billion in 2016 84% of enterprises planned to add Data Center capacity due to the influx of new applications and efficiency constraints Source: Gartner: Forecast: Public Cloud Services ; Digital Reality Trust: US Campus Survey Result 1/12 Maksen 2014 13

Data Center s statistics (2/2) In 2008, only 12% of server workloads were virtualized. 60% of server workloads are virtualized in 2013 5,75 million new servers are installed each year Average server life is 3 years Average Data Center is 9 years old (Gartner suggests that a Data Center that is more than 7 years old is obsolete) Source: Gartner: Forecast: Public Cloud Services ; Digital Reality Trust: US Campus Survey Result 1/12 Maksen 2014 14

02. Opportunities Maksen 2014 15

Africa s Lions on the move (1/2) Maksen 2014 16

Africa s Lions on the move (2/2) Maksen 2014 17

What s driving Data Centers usage (1/2) Source: Adapted from CenturyLink Business; Emerson Network Power; Oracle Challenges to a Modern Optimized Data Center Maksen 2014 18

What s driving Data Centers usage (2/2) By 2020: 10 x more servers + 50 x more [BIG] data + 75 x more files, all with 1,5 more IT personnel Increased costs 24/7/365 = >USD450.000 p/yr. It takes a minimum of 5 IT employees to achieve a baseline 24/7/365 support team, with an average cost of USD 450.000 Globalization 25% of all commerce is truly global (USD 1,25 trillion = GDP of Mexico) Demographic growth youth & technology awareness State pressure on business: Telco s & Banking Regulators are increasing data protection & privacy requirements compliance Mobile & BIOD (Bring Your Own Device) explosion Industry trends Water and economization are techniques that are gaining popularity in the general Data Centers solutions industry, as providers seek lower infrastructure costs Source: Adapted from CenturyLink Business; Emerson Network Power; Oracle Challenges to a Modern Optimized Data Center Additional downtime costs Maksen 2014 19

03. Challenges Maksen 2014 20

Complexity challenge (1/2) Source: Symantec 2012 State of the Data Center Maksen 2014 21

Complexity challenge (2/2) Source: Symantec 2012 State of the Data Center Maksen 2014 22

Energy ( Go Green ) challenge (1/2) Source: GreenIT_LP Maksen 2014 23

Energy ( Go Green ) challenge (2/2) A green Data Center is designed in such a way as to maximize PUE Power Usage Effectiveness (PUE = Total Facility Power/IT Equipment Power. Ideal PUE = 1), minimize environmental impact and using alternate forms of energy like wind or solar power The ICT sector is responsible for 2% of the world s Global Carbon Emissions oh witch 14% is attributed to Data Centers Server virtualization: virtualizing a single server can save 7.000 KWh in electricity a year and about USD 7.000 in energy costs over 10 years Fresh air technology: allows servers, storage units, and network switches to run at more extreme temperatures (up to 45º C) to help save on cooling and, in some climates, eliminate chillers altogether Economizer cooling: involves using only outside air to keep the Data Center cool (effective in climate as hot as 33ºC) Source: GreenIT_LP Data Center containment: which involves separate hot and cold air to maximize cooling potential (7.7% improvement in overall energy efficiency) Maksen 2014 24

Cost challenge What are the biggest challenges your organization faces in managing its Data Center operations? 51% Software costs 46% Hardware costs 42% Maintenance costs 36% Physical constraints 27% Labor costs 25% Back up costs 14% Ageing servers costs 10% Electricity costs 8% New services costs Source: IDG Connect in association with IBM UK Data Trends 2013 Maksen 2014 25

Downtime challenge (1/2) Source: VirtualHosting Data Center Downtime What does it cost the World Economy Maksen 2014 26

Downtime challenge (2/2) 84% of Data Centers had issues with power, space and cooling capacity, assets, and uptime that negatively impacted business operations. Consequences to the Business (repeated events sum up more than 100%): 31% Delay in applications rollout 30% Disrupted ability to provide service to customers 27% Forced to spend unplanned OPEX budget 26% Need to roll back an application deployment Source: IDC Global DCIM Survey 2012 Source: VirtualHosting Data Center Downtime What does it cost the world economy? Maksen 2014 27

04. Strategies Maksen 2014 28

Public Policy strategies Strategy #1: Don t be e-locked to e-trade (two pillars: high education; international telecommunications) Strategy #2: Create a transparent and investor-friendly environment for Data Centers Strategy #3: Try to attract FDI (Foreign Direct Investment), not AID Strategy #4: Become a Data Center s haven for the region (CPLP) Strategy #5: Increase neighborhood growth spillover Source: Adapted from Paul Collier Growth Strategies for Africa) Maksen 2014 29

Tech strategies (1/3) Trait #1 Optimization: Use storage virtualization; Employ data deduplication; Servers virtualized Trait #2 Flexibility: Primary Data center replicated with active-active; Upgrade equipment, no disruption; Use replication for storage backup Trait #3 Automation: Implement storage service catalog; Move virtual machines to meet SLAs; Monitor thermal conditions Trait #4 Planning: Adopt technology quickly; Forecast power demand; Have a converged infrastructure implementation plan Source: Adapted from IBM (Survey in 2013 of 300 clients, across 25 industries and seven countries) Maksen 2014 30

Tech strategies (2/3) Reduced complexity: Reduce the total number of vendors and application versions. Simplify IT and unlock resources to focus on Business Innovation Increases performance & flexibility: 10x faster networking CPU and memory; 10-50x faster query responses; Cloud-services built-in; integrated management and provisioning Risk reduction & integration: Best of bread components; Optimized solutions, and engineered systems are all engineered to work together Consolidate servers 20 to 1: Reduce deployment time and costs by 75% Greenify /Carbon neutral: Conserving energy; Utilizing more environmentallyfriendly power sources Source: Oracle Challenges to a Modern Optimized Data Center Maksen 2014 31

Tech strategies (3/3) How is your organization working to optimize its Data Center? 55% Consolidating software 55% Consolidating hardware 27% Improving storage utilization 22% Reducing maintenance spend 14% Improving energy management 14% Improving backup 11% Consolidating vendors 7% Improving software management 21% Other Source: IDG Connect in association with IBM UK Data Trends 2013 Maksen 2014 32

05. About Maksen Maksen 2014 33

About us Contact www.maksen.com Maksen 2014 34

Opportunities, challenges and strategies Distribution list: Maputo, 24 de Abril de 2014 Secretariado do 5.º Fórum Lusófono das Comunicações Maksen 2014 Consulting Engineering Outsourcing