How Modern Business Requirements are Changing Data Center Trends

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By: Bill Kleyman|

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New kinds of workloads, user demands, and infrastructure technologies are all impacting how data center providers deploy and utilize various critical resources. Before we get any further – it’s critical to understand that these kinds of trends and demands will only continue to grow.

Organizations across all verticals are changing the way they control and distribute resources. This means that they’re trying to find more efficiency ways to create a much more scalable data center ecosystem. With global data center IP traffic slated to grow 3-fold over the next 5 years; new kinds of data center technologies have to be implemented to create this kind of cloud-ready scalability.  So, how will this ultimately impact data center infrastructures all over the world?

Consider this:

  • How cloud computing is impacting business growth and agility. Cloud computing is no longer in its infancy stages. In fact, there are more cloud platforms, services and environments being developed all the time. The evolution of the cloud has seen many organizations evolve from private, to public – and now to hybrid cloud platforms. Moving forward, the cloud model will give end-users even more services and benefits. Gartner recently reported that more than $1 trillion in IT spending will be directly or indirectly affected by the shift to cloud during the next five years. This will make cloud computing one of the most disruptive forces of IT spending since the early days of the digital age. “Cloud-first strategies are the foundation for staying relevant in a fast-paced world,” said Ed Anderson, research vice president at Gartner. “The market for cloud services has grown to such an extent that it is now a notable percentage of total IT spending, helping to create a new generation of start-ups and “born in the cloud” providers.”

Today, some great use cases for cloud IaaS are development and testing environments; high-performance computing and batch processing; Internet-facing websites and Web-based applications. Furthermore, an increasing number of organizations now also run mission-critical business applications on cloud-ready platforms.

  • The need for a new kind of cloud-ready architecture, ready for expansion and cost savings. There’s really no question that we are now in the cloud era. A new update from IDC shows worldwide revenues from public cloud services reaching more than $195 billion in 2020. This will be more than double the $96.5 billion in revenues for 2016 and represents a compound annual growth rate (CAGR) of 20.4% over the 2015-2020 forecast period. “Cloud software will significantly outpace traditional software product delivery over the next five years, growing nearly three times faster than the software market as a whole and becoming the significant growth driver to all functional software markets,” said Benjamin McGrath, senior research analyst, SaaS and Business Models. “By 2020, about half of all new business software purchases will be of service-enabled software, and cloud software will constitute more than a quarter of all software sold.” IDC points out those industries leading the way in public cloud services spending are discrete manufacturing, banking, and professional services, representing nearly a third of total worldwide revenues in 2016. Their report also indicates that the industries that will see the fastest revenue growth over the five-year forecast are media, telecommunications, and retail. However, all 20 of the industries profiled in the spending guide will experience revenue growth of more than 100% over the forecast period.
  • The next five years will be very defining moments for the modern data center as it will have to adapt to a data-on-demand generation. Not just that – cars, refrigerators, and entire houses will be connecting into the cloud. To support this level of high-density and multi-tenancy, the hardware (and software) model within the data center needed to evolve. We needed better workload management, improved resource control, and an optimized end-user experience. In many cases, traditional server technologies just weren’t enough. There were issues with scalability, automation, and management – all factors that can severely slow down the business process.

So, how can data centers and their environments support this boom in users? How can the modern infrastructure evolve to create a more efficient compute model? The resurgence around converged infrastructure seems to have really helped this challenge. Now, we have highly scalable, intelligent systems capable of dynamic resource utilization while optimizing the capabilities of your corporate cloud. Now, we have new kinds of hyper-converged platforms; capable of amazing things.

  • Converged infrastructure and hyper-convergence. What if you could work with a logical, software-based, platform that allows you to aggregate ALL resources and completely remove silos? What if you could manage your entire architecture from a software (hypervisor-ready) ecosystem? What if you could utilize an intelligent control layer which allows you to manage a heterogeneous data center and cloud architecture? This is the future of infrastructure and, arguably, the future of data center resource management and design. Somewhat like converged infrastructure, hyper-convergence takes the approach from a software perspective. In this scenario, the software controls ALL resources living on top of the hypervisor and within the data center. The amazing piece is the intelligence that gets built into your ecosystem. A technology which creates a next-generation data center operating system (DCOS) capable of running anything, storing everything – and utilizing a single, intelligent, infrastructure.

To support new types of cloud and data center initiatives, organizations must create greater levels of IT efficiency. This means utilizing better infrastructure components capable of creating improved economics, benefits to the business, and improved end-user experiences. Leveraging converged infrastructure allows organizations to reduce their overall data center footprints while still supporting evolve digital strategies.

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About The Author

Bill Kleyman

Vice President of Strategy and Innovation at MTM Technologies

Bill is an enthusiastic technologist with experience in datacenter design, management, and deployment. His architecture work includes large virtualization and cloud deployments as well as business network design and implementation. Bill enjoys writing, blogging, and educating colleagues around everything that is technology. During the day, Bill is the Vice President of Strategy and Innovation at MTM Technologies, where he interacts with enterprise organizations and helps align IT strategies with direct business goals. Bill’s whitepapers, articles, video blogs and podcasts have been published and referenced on InformationWeek, NetworkComputing, TechTarget, DarkReading, Data Center Knowledge, CBS Interactive, Slashdot, and many others. Most recently, Bill was ranked #16 in the Onalytica study which reviewed the top 100 most influential individuals in the cloud landscape, globally.

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