IT is under significant pressure to create, deliver and maintain flexible IT services that enable the business to turn on a dime in response to changing business conditions. With economic uncertainty, IT budgets are being slashed. IT is facing a dilemma: how can they do the same job with less budget and personnel??
Even in tough environment, companies should still invest in virtualization technology and VMware, in particular. Recent analysts research with CIOs in Fortune 1000 companies all agree: virtualization, specifically VMware, is the best investment for IT departments in tough economic times. Analyst research show: Companies are aggressively planning to adopt virtualization in 2009 34% of servers to be virtualized within next 12mos (double the 15% virtualized today) 45% of companies expect to virtualize over 30% of their servers, up from 7% today UBS report “2009 IT State of the Union”, January 12 th 2009: “V irtualization projects are still expected to proceed in 2009 given the technology's cost savings benefits”
VMware provides tangible CapEx and OpEx cost savings. In this tough economy, with declining IT budgets, the Top 3 Reasons to adopt VMware virtualization software: Physical Infrastructure Cost Reduction: With virtualization, you can reduce the number of servers and related IT hardware in the datacenter. This leads to reductions in real estate, power and cooling requirements, resulting in significantly lower IT costs. VMware virtualization solutions makes it possible to achieve significantly higher resource utilization by pooling common infrastructure resources and breaking the legacy “one application to one server” model. Datacenter Operating Cost Reduction: Virtualization offers a new way of managing and automating your IT infrastructure and can help IT administrators spend less time on repetitive tasks such as provisioning, configuration, monitoring and maintenance. VMware virtualization improves your organization’s operational efficiency --- increasing flexibility & responsiveness Downtime and Risk Reduction: Eliminate planned downtime and recover quickly from unplanned outages with the ability to securely backup and migrate entire virtual environments with no interruption in service. VMware virtualization increases your Application Availability & improves Business Continuity.
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We see customers deploying virtualization to solve the following problems. Most customers start with consolidation to improve average server utilization to get more out of today’s fast industry standard hardware Then users use virtual servers to quickly and cheaply set up development, test, and production environments Availability features allow users to recover from failures quickly, reliably and cost-efficiently (using N+1 hardware versus 2N) and simplifying reconfigurations for DR scenarios Match the capacity to workload (Optimize your equipment for efficiency) Reduce the human labor needed through policy-based automation (reduce human error, reduce # of human resources needed)
The IT Dilemma I am supposed to do the same job, but with less budget and headcount?!?
Recent CIO Surveys Agree: Virtualization is the Top CIO Priority in a Tough Economic Environment Source: Merrill Lynch CIO Survey, Oct 28 th , 2008 Source: Goldman Sachs IT Spending Survey, Nov 2nd, 2008 “ The current environment has moved virtualization toward the top of the priority list for CIOs.” “ Total cost of ownership (TCO) reductions will be a key driver of the acceleration in server virtualization deployments as CIOs are forced to cut capital spending and reign in management, administrative and power/ cooling costs.”
Top 3 Reasons Why Virtualization is the Right IT Investment in a Tough Economic Environment Minimize Lost Revenue Due to Downtime 3 Reduce Datacenter Operating Cost (e.g. Power & Cooling) 2 Reduce Physical Infrastructure Cost 1
The Virtualization Umbrella Server Virtualization Clustering Network Virtualization Storage Virtualization
Virtualized Operating Model Uncoupling of Software From Physical Servers Virtualized Operating Model Drivers
Continued Importance of Legacy Applications
Preserve Intellectual Property
High Replacement Cost
Avoid Disruption
Slow Phase-out
Increase Network System Complexity
Broader Connectivity
More Data &Integration
New Architecture
Technology Migration
Out of Space
Increased Security & Reliability
Safety
Compliance
Patch Management
Higher Performance
Computing Platforms
Infrastructure Consolidation
Replace Obsolete Platforms
Common Automation Platform
Virtualization Hardware
Sample Suppliers of Virtualization Widely Deployed – Different Needs, Strategies, Benefits Plus Many Suppliers of Tools, Monitoring, Deployment Methods … IBM Microsoft VMware Sun HP Cisco SWsoft Oracle Xensource Virtual Iron TenAsys (Real Time) Windows? Linux? RTOS? Tools? Monitoring? Management? Single OS Version? Multiple Versions? Type Of Virtualization? Scheduling? Hardware Mgmt? Performance? Hardware Requirements? Virtualization Software
Server Virtualization In the Enterprise Reduced CapEx, Increased Utilization Reduced Cost of HA and DR High Availability & Disaster Recovery Rapid Provisioning Server Consolidation Reduced Operational Costs Capacity Management Operational Efficiency Policy-based Automation Any app, any resource, any time Business Value Virtualization Use
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