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Cloud Computing, Virtualization 

& Green IT

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Cloud computing can change how IT 

supports business

Consider the following:

•As much as 85% of computing capacity sits idle in  distributed computing environments.

•Seventy percent of IT budgets is typically spent on  maintaining current IT infrastructures and only 30% 

is typically spent on new capabilities.

Over 30% of consumers notified of a security  breach will terminate their relationship with the  company that contributed to the breach.

Source: Capturing the Potential of Cloud ‐How cloud drives value in enterprise IT strategy”, IBM Global Business Services®White Paper. 

Document

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Defining Cloud Computing

Cloud computing has emerged as a new  paradigm for:

•Hosting services

•Delivery services

•Allows enterprises to start from small and  increase resources on requirement

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Defining Cloud Computing 

Cloud computing is a new consumption and delivery  model for information technology (IT) and business  services and is characterized by:

•On‐demand self‐service

•Reliable  network access

•Location‐independent resource pooling

•Rapid elasticity and provisioning

•Pay‐per‐use

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Cloud and Environmental Sustainability

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Cloud Computing

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Customer View & Providers View

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Cloud Application

• Application rum on user machines via web  browser, hosted desktop or remote client.

• User never purchase expensive software  licenses

• Cost is incorporated into subscription fees.

• Removes burden of software maintenance,  ongoing operations

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Cloud platform

• Middle layer which provides computing  platform or framework as a services

• Dynamically provisions, configures, 

reconfigures, and de‐provisions servers as  needed for demand

• Real distributed computing environment 

where many services pull together to deliver  an application or infrastructure request

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Cloud Infrastructure

• Foundation of cloud pyramid

• Deliver IT infrastructure through virtualization

• Infrastructure includes servers, networks, and  other hardware appliances

• Virtualization allows physical piece of 

hardware into independent, self governed 

environments which can be scaled in terms of  CPU, memory, storage capacity & other 

elements

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More on cloud…

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Types of Cloud

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Benefits with Cloud 

• Removal/reduction of capital expenditure

• Reduced administrative cost

• Improved resource utilization

• Economies of scale

• Scalability on demand

• Quick and easy implementation

• Anywhere access

• Helps smaller business 

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Challenges with Cloud

• Less job opportunities for IT staff

• Security Risk

• Internet outage will be a serious problem

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Business Impact of  Server Consolidation  with Virtualization

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State of Infrastructure Today

Server Sprawl

36M physical x86 servers by  20111 a ten‐fold increase in  15 years1

$140 bn in excess server  capacity  ‐ a 3‐year supply2

Power & Cooling

50c for every $1 spent on  servers2

$29 bn in power and cooling  industry wide2

Operating Cost

$8 in maintenance for  every 

$1 spent on new  infrastructure2

20‐30 : 1 server‐to‐admin  ratio3

Space Crunch

$1,000 / sqft2

$2,400 / server2

$40,000 / rack2

1. IDC, U.S. and Worldwide Server Installed Base 2007–2011 Forecast, Doc #207044, May 2007 

2. IDC, Virtualization And MulticoreInnovations Disrupt The Worldwide  Server Market, Doc #206035, March 2007 3. Source: VMware

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Using virtual infrastructure, we  can offer the same levels of 

service and more flexibility for up  to 40 percent lower server and  operating costs.

Virtualization Can Help…

1. “Pragmatic Approaches To Server Virtualization,”Forrester, June 2006

1

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Server consolidation with Virtualization

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BEFORE Virtualization AFTER Virtualization

Reduce Excess Server Capacity

1,000

Direct attach

3000 cables/ports 200 racks

400 power whips

80

Tiered SAN and NAS 400 cables/ports 10 racks

20 power whips Servers

Storage Network Facilities

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Cut Related Data Center Requirements

3 network ports per server 3000 network ports / cables 200 racks and 2,000 sq ft.

5 network ports per host 400 network ports / cables 10 racks and 250 sq ft.

BEFORE AFTER

$430 space savings per workload over 3 years

$296 network savings per workload over 3 years

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+ + +

Benefits of Consolidation

Fewer Servers to Manage  

Less Power required

Less Space needed

Less Cabling required

3-Year Cost Savings / Workload

Server Hardware $5,816

Power Costs $759

Cooling Costs $949

Data Center Real Estate

$431

Network

Infrastructure

$296

TOTAL $8,251

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Benefit of Instant Provisioning

Provisioning time reduced to minutes instead of  days or weeks

Configure  hardware

Install  OS

Configur

OS & 

Tools

Assign  IP Addr

Configure  Network

Deploy  from   Template

Power on VM

<1 hour  of  work 1‐2 days  lead time

20‐40 hrs of  work 4‐6 week  lead time BEFORE Virtualization

AFTER Virtualization Procure 

hardware

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Key Task Traditional Approach Virtual Infrastructure Approach

Moving an

application to a new server

4 - 6 hours for migration

Service interrupted for duration of maintenance window

Requires days/weeks of change management preparation

2 - 5 minutes for live migration

Hardware maintenance

Requires 1 - 3 hour maintenance window

Requires days/weeks of change management preparation

Zero downtime hardware upgrades

Traditional Process vs. Virtual Infrastructure

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Free Up $$$ from Maintenance to Innovation

Application maintenance

15%

Application innovation

45%

Infrastructure innovation

10%

Infrastructure maintenance

30%

Application maintenance

30%

Application innovation

23%

Infrastructure innovation

5%

Infrastructure maintenance

42%

BEFORE AFTER

Source: Fortune 100 Company

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Green IT Initiatives

References

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