enterprise cloud system (ecs) -...

Enterprise Cloud System (ECS) TCO Comparisons with Competitive Cloud Solutions Jose Castano Director, IBM System z New Workloads & Solutions

Fehmina Merchant, Ph. D. Senior Consulting Engineer, IBM Competitive Project Office

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© 2014 IBM Corporation

IBM Competitive Project Office

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Software as

a Service DevOps

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Hybrid

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Cloud with Linux on

System z

App Dev cloud Maximize efficiency by tapping

unutilized resources

z/OS® cloud Core business operations

enabled as cloud services

Hybrid cloud Maximum flexibility through

use of on- and off-premise

resources

Linux® on IBM System

z® cloud Highly efficient fully

virtualized infrastructure

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System z: The dynamic cloud for extreme flexibility and value

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zEnterprise redefines efficiency & economics of IT enabling new levels of business agility

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Delivering superior service at

lower cost than legacy x86 or Public

Cloud vendors

Saved

$46 million through consolidation

Cut datacenter costs by

70%

0

50

100

150

200

250

100 200 500 1600

Number of virtual servers

Co

st p

er

virt

ua

l se

rve

r

3200

Enterprise

Linux server

Public Cloud

x86 Largest MSP in Africa leveraging System z to

bring cloud to new markets

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IBM Enterprise Cloud System Trusted Cloud. Simply Delivered.

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Award Winning

Hardware Design

Fully Automated Cloud

Management Suite

Standard Linux

Environment • Red Hat/SUSE

• 3000+ Applications

Trusted, 24/7

IBM Support

Hypervisor and

Virtualization

Management

Utility Pricing and MSP

Flexible Financing

Factory Integrated

Delivered in 45 Days

Production Ready in Hours

Scale up to 6000 VMs

Mainframe Availability

Proven Server Security

{ }

{ } }

{ Memory

IFLs

I/O and Network

Linux Guests

Linux Guests

Linux Guests

Virtualization Management

LPAR LPAR LPAR

Enterprise Cloud System based

on zBC12* Server

Cloud Management

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Reduce costs with a System z private cloud

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03. Advantages of a private cloud on zEnterprise

Server configurations are based on equivalence ratios derived from IBM internal studies. Prices are in US currency and will vary by country. Public cloud case includes

costs of hardware (instances, data in/out, storage, support, free tier/reserved tier discounts), software (middleware) and labor. IBM zEnterprise® and x86 cases include

costs of hardware (system, virtualization, OS), software ( cloud mgmt, middleware), power, floor space and labor.

34% and 73% less cost

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Agenda

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Assumptions

– TCO model

– Platforms – Enterprise Cloud System, x86 cloud, public cloud

– Workloads – Heavy I/O, medium, very light dev/test

Two TCO studies

– 398 workload case

– 48 workload case

Summary

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TCO Model

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More than 30 cost variables – Blade and IFL amount and costs

– Memory amount and costs

– Storage amount and costs

– PVU counts

– Cost of hypervisors

– Cost of cloud management software

– Cost of operating system

– Cost of middleware

– Cost of hypervisor maintenance

– Cost of cloud management maintenance

– Cost of operating system maintenance

– Cost of middleware maintenance

– Power consumption

– Cost of power

– Space taken

– Cost of space

– Admin rate

– Efficiency factors for labor

– Number of FTE

– Number and type of instances

– Cost of instances

– Amount of data in/out

– Cost of data in/out

– Enterprise support costs

Placed in four categories – Hardware – Software – Labor – Power and Space

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Enterprise Cloud System Assumptions

Hardware costs include: ELS, storage, z/VM®, IBM Wave for z/VM and SLES

Software costs include: – WebSphere® Application Server ND (middleware)

– Cloud Management Suite for System z (SmartCloud Orchestrator, Tivoli® OMEGAMON® for z/VM and Linux, Tivoli Storage Manager EE),

– Tivoli software for z/VM (Operations Manager for z/VM, Backup and Restore for z/VM)

Labor costs included to manage both hardware and VMs

Power/floor costs included

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x86 Cloud Assumptions

Hardware costs include: x86 hardware with competitor hypervisor, SLES

Software costs include: – WebSphere Application Server ND (middleware)

– SmartCloud Orchestrator

– SmartCloud Monitoring

– Tivoli Storage Manager EE

Labor costs included to manage hardware and VMs

Power/floor costs included

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Public Cloud Assumptions

Each workload deployed as a separate instance

Reserved instances with heavy utilization pricing model used

Hardware costs include:

– Instances in east US region with SLES, EBS volume, data in/out, support

(enterprise), free and reserved tier discounts applied

Software costs include: WebSphere Application Server ND (middleware)

costs for instances

Labor costs included for managing instances

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Workload Assumptions

Workloads run 24x7

3 types of workloads

– Heavy I/O

• Online web application driving 22 transactions per second with 1 MB I/O per transaction

– Medium

• Online web application driving 22 transactions per second with light I/O

– Very light

• Dev/test environment for web application driving a few transactions per second

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Which option costs less for delivering mixed workloads?

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Which option provides the lowest TCO over 3 years?

Public Cloud

Cloud on System z (Enterprise Cloud

System)

Private Cloud (x86)

398 workloads

87 medium workloads

39 heavy I/O workloads

272 very light workloads

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Platform requirements for deploying workloads with heavy I/O

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Online banking workloads, each driving 22 transactions

per second with 1MB I/O per transaction

Server configurations derived from IBM internal studies.

39 cc2.8xlarge

reserved instances

26 IFLs

624 x86 cores

Public Cloud


System)

Private Cloud (x86)

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Platform requirements for deploying medium workloads

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87 medium workloads

87 c1.medium

reserved instances

14 IFLs

Online banking workloads, each driving 22

transactions per second with light I/O


24 x86 cores

Public Cloud


System)

Private Cloud (x86)

#mainframe



Platform requirements for deploying very light workloads

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272 m1. small

reserved instances

8 IFLs


28 x86 cores


Dev/test workloads, each driving a few transactions

per sec

Public Cloud


System)

Private Cloud (x86)

#mainframe



Public Cloud


System)

Private Cloud (x86)

Cloud on System z yields the lowest costs

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$37.0M (3yr TCO)

$18.3M (3yr TCO)

$9.4M (3yr TCO)

398 reserved instances

48 IFLs

676 x86 cores

49 and 75%

less cost

Server configurations are based on equivalence ratios derived from IBM internal studies.

Prices are in US currency and will vary by country. Public cloud case includes costs of

hardware (instances, data in/out, storage, enterprise support, free tier/reserved tier

discounts), software (middleware) and labor. zEnterprise and x86 cases include costs of

hardware (system, virtualization, OS), software ( cloud mgmt, middleware), power, floor

space and labor.

398 workloads

87 medium workloads



#mainframe



Enterprise Cloud System delivers lowest TCO

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Server configurations are based on equivalence ratios derived from IBM internal studies. Prices are in US currency and will vary by country. Public cloud

case includes costs of hardware (instances, data in/out, storage, enterprise support, free tier/reserved tier discounts), sof tware (middleware) and labor.

zEnterprise and x86 cases include costs of hardware (system, virtualization, OS), software ( cloud mgmt, middleware), power, floor space and labor.

49 and 75%

less cost

#mainframe



Which option costs less for delivering mixed workloads?

18

Which option provides the

lowest TCO over 3 years?

Public Cloud

Private Cloud (x86)

48 workloads

10 medium workloads




System)

#mainframe



Cloud on System z yields the lowest costs

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$3.9M (3yr TCO)

$1.6M (3yr TCO)

Public Cloud

Private Cloud (x86)

48 reserved instances

55

x86 cores

Server configurations are based on consolidation ratios derived from IBM internal studies.

Prices are in US currency and will vary by country. Public cloud case includes costs of

hardware (instances, data in/out, storage, enterprise support, free tier/reserved tier

discounts), software (middleware) and labor. zEnterprise and x86 cases include costs of

hardware (system, virtualization, OS), software ( cloud mgmt, middleware), power, floor

space and labor.

48 workloads

10 medium workloads



$1.0M (3yr TCO)

6

IFLs

34 and 73%

less cost


System)

#mainframe



Enterprise Cloud System delivers lowest TCO

20

Server configurations are based on equivalence ratios derived from IBM internal studies. Prices are in US currency and will vary by country. Public cloud case includes

costs of hardware (instances, data in/out, storage, enterprise support, free tier/reserved tier discounts), software (middleware) and labor. zEnterprise and x86 cases

include costs of hardware (system, virtualization, OS), software ( cloud mgmt, middleware), power, floor space and labor.

34 and 73%

less cost

20

#mainframe



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Summary

Up to 75% lower total cost of ownership than leading public

cloud provider

Up to 49% lower total cost of ownership than x86 private cloud

Lower software (middleware) license costs from running

workloads more efficiently

Lower labor, energy and floor space at scale

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Q&A

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Questions? Comments? Tell us what you think.

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