the data center hybrid solution · capex and opex short and long term data center hybrid analysis....

Presented by:

Mark Evanko

Principal – Engineer / BRUNS-PAK

The Data Center

Hybrid Solution

The data center presentation provides a summary of data center options and

considerations associated with meeting present and future facility requirements.

Whether retrofitting an existing complex, expanding an existing facility,

consolidating multiple data center/server facilities, or relocating a data center

operation, the elements that impact size, space, cooling, reliability,

OPEX/CAPEX costs, and scalability/modularity will include:

Facility Infrastructure

Energy Efficiency

Co-Location

Cloud Internal/External

Migration/Relocation

Computer Software

Disaster Recovery

Computer Hardware/Software

Personnel

Modularity/Scalability/Reliability

Communications/Network

Service Level Agreements

CAPEX vs. Lease/OPEX

Container

Legal Repercussions

Government/Corporate/University/Non-Profit

The critical aspect is to maximize the return on investment both short and long term. 2

Agenda

3

Part I

The 2015 and “Beyond” Data Center

Solution Challenge

4

The 2015 and “Beyond”

Data Center Solution Challenge

• Reduce Data Center CAPEX/OPEX Costs While

Increasing Performance

• Leverage Available Technologies

Cloud both private and public

Co-Location

Containers

Physically owned sites

Disaster recovery

• Increasing Data/Telecommunication Uptime Performance

• Project Data Security

Critical

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• Exceed Both Internal and External SLA Agreements

• “Just in Time” Data Processing with Corresponding Data

Center Facility Expansion

• Data Center Solutions That Provision for the Future

Technology Solutions (HPC, Chilled Water, Cloud, etc.)

• Complete and Comprehensive Disaster Recovery/Business

Continuity Planning and Execution.

• At All Costs, Protect the Enterprise Computing Operation.

• Deploy Energy Efficient Green/LEED, Modular/Scalable

Solutions.

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The 2015 and “Beyond”

Data Center Solution Challenge

Part II

Defining the Mix of “Elements” (16)

Considered in the Data Center Solution

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PERSONNEL (12)

CLOUD (4) Internal/

External

SERVICE LEVEL

AGREEMENTS (11)

CONTAINERS (14)

CAPEX vs. LEASE/OPEX

(13)

CO-LOCATION (6)

MIGRATION/

RELOCATION (7)

MODULARITY/SCALABILITY

/RELIABILITY (9) COMMUNICATIONS/

NETWORK (10)

COMPUTER

SOFTWARE (8)

DISASTER RECOVERY (5)

COMPUTER HARDWARE (3)

FACILITY INFRASTRUCTURE (1)

GOVERNMENT/CORPORATE/

UNIVERSITY/NON-PROFIT

(15)



The BRUNS-PAK Hybrid “2015 Transformation”

Efficient Data Center Elements

ENERGY EFFICIENCY (2)

LEGAL REPERCUSSIONS (16)

Copyright © 2014 BRUNS-PAK 2014. All Rights Reserved.

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1) Facility Infrastructure

A. Architectural

B. Civil

C. Electrical

D. Fire Protection (EPO Code Change) – Update NEC/NFPA vs.

Factory Mutual

E. Mechanical – CFD Models

F. Security

G. Site

H. Structural

I. Geographic Regional Considerations… i.e. southwest hurricanes,

west earthquakes, etc.




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2) Energy Efficiency

A. ASHRAE 9.9 – Higher Inlet Temperatures

B. Why pay for electrical consumption for mechanical cooling?

C. CFD Models

D. Heat Wheel

E. 400v AC/DC

F. DCIM

G. Virtualization of Servers

H. Higher efficiency computer equipment

I. March 14, 2014 – Federal data center efficiency legislation passes

US House of Representatives




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Written to save “dollars” and be more green

Office of Management and Budget to create a strategy

DOE and EPA to study server and data center efficiency trends

New “data center energy practitioner program”

New “metrics”

Data center LEED guidelines - New

J. LEED – New data center guidelines




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3) Computer Hardware

A. Higher Efficiency

B. “Flash” storage announcements

C. Virtualization

D. High performance computing impacts – All critical?

E. Scalability/Modularity/Flexibility

F. Water cooled to the chiller




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4) Cloud

A. Managed services

B. Internal vs. external

C. Migration to the cloud

D. Impact of returns

E. Moves/adds/changes

F. Trouble shooting

G. True “partner” of equal financial stability – San Diego 2013 cloud

provider “30 day notice to vacate”

H. Downtime: Who Pays?

I. Security Breach: Who Pays?

J. Terms and conditions (Legal Beagles!!!) 2014+




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http://www.bing.com/images/search?q=Cloud+Computing&view=detail&id=EA8BCF241D5869D8ED679C5834F4BBDCCF69FCF6&first=259

K. Senator Menendez – New Jersey – Sponsoring new legislation

2015 - fines

L. Speed to delivery of applications

M. “Candidacy” of applications

N. The 2014 / 2015 / 2016 contract language for cloud contracts

O. Critical vs. non-critical data

P. Moves/adds/changes




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5) Disaster Recovery

A. Hot or cold

B. Recovery time

C. Internal disaster recovery data centers vs. external “leased”

disaster recovery centers

D. Lease terms and conditions for availability

E. Government regulations for uptime – banking/healthcare/etc.

F. Active testing

G. Guarantee of “space” when needed?




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6) Co-Location

A. Leased data center constructed space

B. Capex schedule of delivery minimized

C. ROI – see total cost of ownership – 3+?

D. Other tenants? – Impact of security

E. Downtime: Who pays?

F. Security Breach: Who pays?

G. Terms and conditions (Legal Beagles 2014!!!)

H. Senator Menendez – New Jersey sponsoring legislation 2014 and

beyond

I. Financial strength of service providers – see Cushman Wakefield

survey of “economics” 2014 report.

J. Moves/add/changes




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7) Migration / Relocation

A. Move existing or buy/lease new?

B. Asset swap outs

C. General hardware life cycle ± 3-4 years?

D. Maximize uptime

E. Multiple phases

F. Consolidation strategies

G. Physical cost vs. planning costs

H. Impacts of the network

I. Move it? – Plan to migrate back? – Resume update




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8) Computer Software

A. Large scale corporate “procurement” effort to leverage one (1)

massive licensing agreement vs. “two hundred” division licenses

B. Single point of failure considerations vs. mirroring

C. Impacts of hardware platforms

D. Downtime

E. Impact of licenses at cloud and/or co-location

F. Cost changes 2014 / 2015 / 2016




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9) Modularity / Scalability / Reliability

A. Optimize

Computer hardware

Computer software

Telecommunication (network)

Facilities

Service level agreements

Scale with growth!

B. Defray CAPEX dollars until needed across the board

C. Scale without interruption

D. Reliability past/present/future

E. In house vs. outsource




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10) Communications / Network

A. Redundant / isolated paths?

B. Multiple carriers

C. Data breach? Who pays? Significant dominant focus 2014 /

2015 / 2016

D. Data security? Who is responsible?

E. The power of the cloud – iPhone® 5S/6/6Plus – WOW!!

F. Impact of network loss

G. Who manages the network?




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11) Service Level Agreements

A. Internal vs. external (client) based

B. Government imposed guidelines/performance (i.e. HIPPA, etc.)

C. Co-Location / Cloud – 2014 transformation – fine print – who

pays? – how much? – damages (Legal Beagles 2014!!)

D. What does 99.999 availability mean to me when “I go down?”

E. Moves/adds/changes without interruption!

F. New “fines/penalties” by external agencies being processed 2014

/ 2015 / 2016




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12) Personnel

A. Employee vs. contract personnel

B. Mr. Snowden contract person? Who is liable?

C. Client worldwide – “as the world turns” personnel solution –

United States/Europe/Singapore – payback 18 months

D. Efficiency metrics

E. Data Breaches?

F. Banks recent statements – limited liability




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13) CAPEX vs. OPEX

A. CAPEX – Capital dollars spent to build/deploy

data center across (16) elements

B. OPEX – Operating dollar “expense” to

financial statements – very attractive

C. New trend of internal “OPEX” data center

solution 2014 / 2015 / 2016

D. Cloud/co-location OPEX?

E. 2008 - 2014 economics crises worldwide leads

to bottom line




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14) Containers

A. Portable

B. Speed of delivery?

C. Local zoning regulations regarding deployment of permanent

structure?

D. Pre-fabricated structure compliance with local building codes /

approvals

E. Work flow

F. Saves building addition

G. Government exempt

H. ADA compliance




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15) Government/Corporate/University/Non-Profit

A. The new “data center energy efficiency” (March 2014) and

Senator Menendez Initiative

B. The cost and liability of data infringement

C. Worldwide government are experiencing the impacts of data

processing issues

D. Currently US regulations exist for banking, healthcare, financial

etc.

E. The board or directors and trustee (university) responsibility and

liability

F. Insurance




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16) Legal Repercussions

A. The most dominant theme of 2014 / 2015 / 2016 data center

optimization impacting in house vs. outsource

B. Government fines

C. Stockholder lawsuits

D. Individual lawsuits

E. Fiduciary responsibility

F. “Non-disclosed” trends




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Part III

Total Cost of Ownership?

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Total Cost of Ownership

The 2015 and beyond data center “hybrid” total cost

contributors include costs of: Facility Infrastructure

Energy Efficiency

Computer Hardware

Cloud Internal/External

Disaster Recovery

Co-location

Migration/Relocation

Computer Software

Modular/Scalability/Reliability

Computer Network

Service Level Agreement.

Personnel

CAPEX vs. Lease/OPEX

Containers

Government/Corporate/University/Non-Profit

Legal Repercussions

Total cost of ownership for all data center solutions is the

optimal value. 28

Step Process

1) Information technology understanding of existing, growth, and

uptime

2) Interpolation to hardware, software, network, and facility

requirements

3) Overall consideration of sixteen (16) element solution with total

cost of ownership

4) OPEX vs. CAPEX

Considerations / include:

1) Retrofit

2) Expansion

3) Build new

4) Cloud

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5) Co-Location

6) Container

7) Network

8) Multiple data center sites

Define

1) Day 1 CAPEX

2) Day 2 CAPEX

3) Day 1 OPEX

4) Day 2 OPEX

Return on investment.

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Energy efficiency solutions

1) Heat Wheel

2) 400v AC/DC

3) DCIM

4) ASHRAE 9.9

5) LEED

6) CFD

NOTE: Initial CAPEX and continuing OPEX considerations.

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900 kW IASE Using Rotary HXs

Part IV

Concerns of All Data Center Solutions

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Concerns of All

Data Center Solutions

CAPEX and OPEX short and long term data center hybrid

analysis.

Impacts of down time for remote provide solutions (i.e. co-

location, cloud, etc.) Who pays? Duration? Amount?

Impacts of network security for data provisioned and/or hosted off

site? If compromised, who pays, amount?

What are the specific contract provisions for cloud/co-

location/third party suppliers?

Considerations of the financial viability of the third party

providers with guaranteed expansion rights and costs fixed?

The hybrid solution in summary encompasses a true partner

mentality. 33

Third party providers: A) Network carriers?

B) High density power?

C) Green practices?

The financial and healthcare regulations/conformance?

Should I lease vs. capitalize the data center solution?

What are the terms of any third party agreement?

Adds/changes? Future technology?

What provisions have I made associated with ever bringing

back the applications to corporate data center? What are costs?

Resume update???

Damages and Claims

34

Concerns of All

Data Center Solutions

Part V

Data Center, Co-Location, Container,

and Cloud Considerations

35



Data Center Facility

1) PLUS A. Complete ownership of hardware, software, and network

B. Self provisioned security

C. Self provisioned operations

D. Control of overall short/long term “16 element solutions”

E. Control of change management

F. Direct costs for change management

G. Self reliability

2) MINUS A. Larger CAPEX cost

B. Non-leveraged non-critical applications

C. Reliance on employee operation

D. Larger employee cost/commitment

E. Potential provisioning space/power/cooling for short term facility

solutions

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Co-Location

1) PLUS A. Defray capital cost

B. Short schedule for availability

C. Manage your own services

D. “Others” maintain facility

2) MINUS A. Network cost

B. Shared facility with multiple tenants

C. Legal contract terms and conditions

D. SLA regarding downtime

E. Not on company owned property/facility

F. “Control” by others

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Containers (Physical)

1) PLUS A. Pre-packaged/pre-wired

B. Short term delivery

C. Trailer/modular building blocks

D. Minimized capital expense

E. Modular

2) MINUS A. Uniform building code acceptance

B. Planning board/zoning board

review/approval

C. “Tractor trailer” concept

D. Data center long term work flow

consideration

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Cloud Computing

1) PLUS A. Fast delivery of “IT” services including hardware, software, and

network

B. Decreased capital cost of computer hardware, computer software,

network, and facilities

C. “Instantaneous” increase in bandwidth planning

D. Decreased electrical utility cost and facility maintenance (assume

off site)

E. Access to latest “refresh” of technology

F. Emerging technology

G. Internal vs. external clouds

H. Many vendors

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2) MINUS A. Network security of information

B. Control of operation

C. Legal contract terms and conditions

D. Fees/costs associated with cloud

E. Definition of “total cost of ownership” of the cloud

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Part VI

Critical Considerations to be Evaluated when

Assessing Whether to Keep a Data Center

Operation “In House” or to “Outsource”

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1) Type of data processed

2) Type of applications utilized

3) Type of computer platforms utilized across the enterprise

4) Uptime requirements both short and long term

5) Impacts to the enterprise of:

A. Downtime

B. Data security breach

C. SLA’s

D. CAPEX vs. OPEX mission

6) Impact of pending legal legislations – if it changes – can you

move back? Force existing contracts to change with

liabilities?

Critical Considerations to be Evaluated when

Assessing Whether to Keep a Data Center

Operation “In House” or to “Outsource”

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Part VII

How to Optimize the Overall Data Center

Solution Recommendation

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1) The BRUNS-PAK belief of the 2014 / 2015 / 2016 sixteen (16)

element data center “hybrid solution”

2) One “size” does not fit all!

3) The major components of hybrid:

How to Optimize the Overall Data

Center Solution Recommendation

A. Physical internal data center

B. Cloud – external

C. Cloud – internal

D. Co-location

E. Network

F. Disaster Recovery

G. Container

H. Internal finance – OPEX vs. CAPEX

I. Legal liability

Breach

Downtime

J. Application and hardware

“candidacy”

K. Flexibility to change based on current

legislation!! (Unless new opportunities

are sought)

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Part VIII

What are the Recent “Trends” in the Data

Center Industry for Solutions

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1) Outsource – no thinking required

2) Co-location vs. cloud

3) Critical data/platforms/applications staying “home”

4) Legal language/penalties/liabilities in new co-location and

cloud contracts for:

A. Downtime

B. Data breaches

C. Financial guarantees of 3rd party providers

D. Accommodation of future “unknown” legislation

5) Internal data center cloud and co-location solutions with

OPEX cost models

What are the Recent “Trends” in the

Data Center Industry for Solutions

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6) Tremendous focus on total cost of ownership for all sixteen

(16) elements prior to decision

7) TCO considerations with risk

What are the Recent “Trends” in the

Data Center Industry for Solutions

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Part IX

Why is Data Center Security Such a Large

Consideration for Location of Processing?

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1) Liability, Liability, Liability

2) If corporate, what are the board of directors responsibility to

the stockholders?

3) If academic/university, what are the trustees responsibility?

4) If non-profit, what are the board members responsibility?

5) If government, what are the administration members

responsibility?

6) Hospital / healthcare:

A. Patient care records?


Consideration for Location of Processing

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7) Recent sample examples:

Anthem – 80 Million

Home Depot – 60 Million

Target – update from spring 2014 - CIO, President, and Board of

Directors removed.

JP Morgan Chase – 56 Million

Dairy Queen

Fire Department (specific)

US Government and Wiki leak – national security

The Cyber attack

Numerous other financial institutions

Apple / iPhone

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8) Reported by cyber security breach data. The attacks were

up 20.5% last year and expected to significantly grow in 2015

/ 2016 / 2017 +++ - Identity Theft Resource Center

9) Confidential examples:

A. Client co-lo

B. After seminar disclosed “in confidence” lost $56,000,000 attack. Non-

disclosed

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Thank You

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the data center hybrid solution · capex and opex short and long term data center hybrid analysis....

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