This document discusses the storage challenges associated with server virtualization and how scale-out storage solutions address these challenges. It finds that supporting server virtualization initiatives is impacting storage spending. As organizations progress through stages of virtualization maturity, their storage challenges change. Scale-out storage solutions provide scalability, performance, faster provisioning and lower costs to better support virtual environments compared to traditional scale-up storage. Its management efficiencies and ability to scale capacity and performance together help organizations overcome barriers to further virtualization adoption.

1. Overcoming the Storage Challenges Associated With Server Virtualization Terri McClure October 6, 2011

2. What You Will Learn Today The current state of server virtualization deployments The storage challenges associated with each stage of server virtualization maturity The impact server virtualization will have on storage management and tools How scale out storage solutions address the key challenges associated with supporting virtual server environments © 2011 Enterprise Strategy Group

3. How Far Along is Server Virtualization?

4. The Four Dimensions of ESG’s Server Virtualization Maturity Model © 2011 Enterprise Strategy Group 4 Source: ESG Research Report: The Evolution of Server Virtualization, November 2010.

5. ESG Server Virtualization Maturity Model Segmentation © 2011 Enterprise Strategy Group 5 Source: ESG Research Report: The Evolution of Server Virtualization, November 2010.

6. Length of Server Virtualization Deployment © 2011 Enterprise Strategy Group 6

7. Percentage of Servers That Have Been Virtualized © 2011 Enterprise Strategy Group 7

8. Percentage of VMs Deployed in Production © 2011 Enterprise Strategy Group 8

9. Storage Infrastructure Challenges Related to Server Virtualization Usage © 2010 Enterprise Strategy Group 9 Source: ESG Research Report: The Evolution of Server Virtualization, November 2010.

10. Storage-Specific Challenges Related to Server Virtualization Environment, by Maturity Phase © 2011 Enterprise Strategy Group

11. Top Five Storage Challenges, by Maturity Phase 11

12. Impact to Storage Management Process & Tools 54% 35% 24% Significant (Migrate most or all storage management functions to a virtualization software platform) 39% 59% 52% Some (Migrate some storage management functions to a virtualization software platform, but continue to use existing tools) 7% 2% 15% Little or none (Use storage management functions in the virtualization software platform to a minor extent, will not fundamentally change existing tools) © 2011 Enterprise Strategy Group Source: ESG Research Report, The Evolution of Server Virtualization, November 2010.

13. Storage-specific Factors That Would Enable More Widespread Usage of Server Virtualization 13 © 2011 Enterprise Strategy Group

14. Netting it Out Server virtualization stresses the surrounding infrastructure Creates new demands on the storage infrastructure Changes the storage management paradigm Requires a more scalable and cost effective storage infrastructure © 2011 Enterprise Strategy Group 14

15. Scale-out Storage Meeting the needs of virtual server environments with a virtual storage environment

16. ESG Research Findings More than 1 in 4 users surveyed report that supporting server virtualizationinitiatives is the IT initiative that will have the greatest impact on storage spending (#1 response) Improved scalability, performance, faster provisioning and lower infrastructure and management costs drive scale-out adoption in enterprise IT Scale-out usage is much more common among organizations in which storage is viewed as strategic to IT and the business Scale-out users more likely to have a sufficient number of administrators to manage their storage and are more satisfied with utilization rates 16 © 2011 Enterprise Strategy Group

17. Current Challenges Scaling Storage Environments © 2010 Enterprise Strategy Group 17

18. Most Common Reason For Adding New Storage Systems © 2010 Enterprise Strategy Group 18

19. Length of Implementation Cycle for New Storage Systems © 2010 Enterprise Strategy Group 19

20. Scale-Up vs. Scale-Out Storage Additional disk resources Disk resources Disk resources Disk resources Disk resources Disk resources System resources (e.g., processors, memory, host interfaces, disks) System resources (e.g., processors, memory, host interfaces, disks) System resources (e.g., processors, memory, host interfaces, disks) Additional system resources Internal network (bus or high-speed memory) Disk resources External network Multiple nodes acting as one storage system System resources (e.g., processors, memory, host interfaces) “Scale-Out” Storage: Scales by adding nodes - connected by an external network – that work together as a single system Storage system “Scale-Up” Storage: Scales by adding resources within a single system, connected by an internal network

21. Why Scale-Out Storage? Management efficiencies reduce the headcount required to provision, tune and manage storage Faster provisioning increases ability to respond to a dynamic virtual server environment Granular, or just-in-time, scalability allows IT to ride the commodity curves associated with declining disk and processor pricing, reducing CAPEX Better utilization means fewer systems to manage and less wasted floor space, power and cooling Scaling performance with capacity allows for greater capacity, more throughput and broader application support 21

22. Use of Scale-out Storage Architectures, All Respondents 22 © 2011 Enterprise Strategy Group

23. Length of Implementation Cycle for New Storage Systems, by Scale-Out Storage Usage © 2010 Enterprise Strategy Group 23

24. Most Important Considerations in Deploying Scale-out Storage, Early Adopters 24 © 2011 Enterprise Strategy Group

25. Benefits of Deploying Scale-out Storage, Early Adopters 25 © 2011 Enterprise Strategy Group

26. Types of Data Organizations Expect to Store on Scale-Out Storage Solution, Planned Adopters/Interested 26 © 2011 Enterprise Strategy Group

27. Types of Data Stored on Scale-out Storage Solution, Early Adopters 27 © 2011 Enterprise Strategy Group

28. Adoption Trends Summary Scale-out storage use is on the rise The promise and benefits are real, not marketing spin Because of these benefits we see “usage creep” Storage is becoming more of an IT infrastructure decision, less tied to single applications ESG expects 80% of external networked storage shipment revenue in 2015 to be from scale-out systems © 2011 Enterprise Strategy Group 28

29. The Bigger Truth Server virtualization impacts all adjacent technology areas The storage environment needs to be as virtual as the server environment Scale-out storage is well aligned to supporting server virtualization It virtualizes the underlying storage hardware infrastructure; scales quickly and efficiently; helps drive down operational costs Scale-out storage can help ease users journey along the path to broadening server virtualization initiatives © 2011 Enterprise Strategy Group 29

30. For more information, please contact Terri McClure, Senior Analyst 508.381.5162 | teri.mcclure@esg-global.com