September 16, 2010
Making sense of private cloud ROI is tricky business; for some, private clouds are a no-brainer following even a cursory cost analysis, for others this is never quite clear—just how much will be saved with an investment now (despite constrained budgets) over the course of say, five years—and will it be worth it?
For those evaluating enterprise-level private cloud solutions, the best analogy seems to be making the decision to buy an electric or hybrid vehicle, just on a much, much smaller scale, of course. When you strip out the environmental impacts part of that decision (although that too could be pulled into this conversation, just not now) you’re left with a simple choice: do I spend quite a bit more now and wait for it to pay itself off down the road or do I just stick with what’s more reasonable on an up-front cost basis, even though there’s a decent chance I’ll end up paying more over the long term…perhaps a lot more?
Rick Parker, IT Director at Fetch Technologies, weighed in about the true cost of private clouds, arguing that the only reason companies have not adopted the model is because it’s hard to rationalize the initial cost in the face of benefits that might seem far off
He notes that while private clouds may not always be the cheapest option for enterprises, it is “definitely the most cost-effective way to build a truly reliable and scalable IT infrastructure” since that scalability itself is what makes the concept of clouds attractive from a cost-benefit standpoint.
One of the key areas Parker notes as being of particular value in the private cloud decision is the notion that hardware and software costs can be dramatically reduced, especially since most firms already have the hardware required to begin building and deploying private clouds. He does, however, state that on a hardware level there are some uniquely tailored hardware options, including “enterprise-class, chassis-based systems that are more cost effective and probably necessary for a production cloud for scalability reasons.”
Along the costs associated with physical infrastructure (power and cooling come to mind first) and IT staff needed to monitor their monsters, the issue of scalablity and redundancy are seen as critical elements (that might be overlooked to often) when performing cost evaluations of a private cloud.
Parker reminds readers that organizational “mileage will vary, of course, in terms of what a cloud computing solution costs you to build and operate. Cloud computing isn’t necessarily cheap, but it is more cost-effective in the long run than a traditional infrastructure. And if you’re focused on the big picture, that’s what really matters.”
Full story at Enterprise Efficiency
Large-scale, worldwide scientific initiatives rely on some cloud-based system to both coordinate efforts and manage computational efforts at peak times that cannot be contained within the combined in-house HPC resources. Last week at Google I/O, Brookhaven National Lab’s Sergey Panitkin discussed the role of the Google Compute Engine in providing computational support to ATLAS, a detector of high-energy particles at the Large Hadron Collider (LHC).
Frank Ding, engineering analysis & technical computing manager at Simpson Strong-Tie, discussed the advantages of utilizing the cloud for occasional scientific computing, identified the obstacles to doing so, and proposed workarounds to some of those obstacles.
The private industry least likely to adopt public cloud services for data storage are financial institutions. Holding the most sensitive and heavily-regulated of data types, personal financial information, banks and similar institutions are mostly moving towards private cloud services – and doing so at great cost.
05/10/2013 | Cleversafe, Cray, DDN, NetApp, & Panasas | From Wall Street to Hollywood, drug discovery to homeland security, companies and organizations of all sizes and stripes are coming face to face with the challenges – and opportunities – afforded by Big Data. Before anyone can utilize these extraordinary data repositories, however, they must first harness and manage their data stores, and do so utilizing technologies that underscore affordability, security, and scalability.
04/02/2012 | AMD | Developers today are just beginning to explore the potential of heterogeneous computing, but the potential for this new paradigm is huge. This brief article reviews how the technology might impact a range of application development areas, including client experiences and cloud-based data management. As platforms like OpenCL continue to evolve, the benefits of heterogeneous computing will become even more accessible. Use this quick article to jump-start your own thinking on heterogeneous computing.