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BatteryClerk
Ponemon Institute:
UPS Failure is No.1
Cause of Data Centre
Outage

In 2016, Ponemon Institute released its latest study on the cost of data centre outages. One of its key
findings is that the failure of the uninterruptible power supply or UPS system is the number one cause of
unplanned data centre outages. It accounted for one-fourth of all recorded events, says the research
organisation.
Massive Costs of Downtime
According to Ponemon Institute, an unplanned data centre outage could cost companies an average of
$750, 357 today. This is a 7% increase from 2013, which had an average cost of $690,204, and a 38%
increase from 2010, which averaged at $505,502.
These are accumulated financial losses from many areas of a business operation. The results of a UPS
system failure can range from damage to hardware to loss of critical data. In addition to losses in revenue
due to business disruption, companies also have to spend for subsequent investigations, containment,
personnel productivity loss, new equipment, and repairs.
Repercussions of Data Loss
In June 2017, British Airways suffered a 15-minute data centre shutdown which brought down the
airline’s systems, grounded its aircraft, damaged its IT infrastructure, and caused chaos among
thousands of its passengers (many of whom lost track of their luggage and became stranded overseas).
Investigators cited several factors for the shutdown, including UPS system failure.

This is just one scenario in which failure to provide backup power for data centres can be devastating. To
put things lightly, the repercussions resonate beyond the business and inconveniences customers. For
operations as vital and as vast as British Airways’, a one-time failure could mean setbacks for days, weeks,
even months.
Data Centre-Dependent Industries
The research findings reinforce the importance of having a reliable UPS system in place. This is especially
true for enterprises that are dependent on data centres, such as airline, financial, mass transit, oil and gas
production and telecommunications. Government offices and facilities, especially in intelligence and
defence, also need superior UPS batteries and system components.
Data centre outages do not only affect businesses; they also affect the public. In many cases, it can even
compromise their personal security and welfare. Investing in a superior UPS system will spare all parties
from the costs and long-term repercussions.

Resources:
https://www.vertivco.com/globalassets/documents/reports/2016-cost-of-data-center-outages-11-
11_51190_1.pdf
https://www.theregister.co.uk/2017/06/02/british_airways_data_centre_configuration/
https://www.7x24exchange.org/7x24-news/how-data-center-industries-ranked-in-an-analysis-of-the-
worlds-most-critical-industries/
https://www.batteryclerk.co.uk/batteries/ups-batteries.html