Making the Business Casefor VMware vSphere 4

TemperfieldCalin DAMIAN TANASE

+40 720 555 811

Agenda

• VMware vSphere Vision

• VMware vSphere Benefits Quantified

• Summary and Next Steps

The Problem

Overwhelming complexity

>70% of IT budgets just to keep the lights on

<30% of IT budgets goes to innovation and competitive advantage

The Goal

ITas a

Service(Internally or

Externally Provisioned)

Efficiency

Control

Choice

The Goal (cont.)

ITas a

Service

Just like…..

Inexpensive, usage based, pay-as-you-go

Ubiquitously available

Reliable

Choice of providers

The Path to IT as a Service

The Path to IT as a Service

VMware and the Private Cloud Bring…

Cloud OS – The Underpinning For Cloud Infrastructures

Introducing…

The best platform for buildingcloud infrastructures

VMware vSphere 4 Delivers

EFFICIENCY

CONTROL

CHOICE

Cut capital and operational costs by over 50% for all applications...

…while automatingquality of service…

…and remaining independent of hardware, operating system, application stack, and service providers

VMware vSphere 4 Delivers

EFFICIENCY

CONTROL

CHOICE

CapEx reductions• 30% greater consolidation ratios• Up to 50% in storage savings OpEx Reductions• Up to 20% additional energy savings• Saves more than half person/year in sys admin time

Business Risk Mitigation• One-mouse-click control over application service

levels• Continuous availability with Fault Tolerance• Security with vShield Zones

Freedom of choice• Any server• Any storage• Any OS• Numerous partners products• And soon – on- and off-premise

A Typical VMware Customer…

100 2-socket, dual-core servers running VMware Infrastructure 3

1,000 applications/virtual machines

Consolidation ratio of 5 VMs per physical processor

50 GB of storage on average per virtual machine (50 TB of storage total)

Each physical server consumes 1.4kW/hr of energy costing $1368/yr in terms of power and cooling @ $0.11 per kWh

By upgrading to VMware vSphere 4 this customer will:Save additional $417,561 annually or $1,252,684 over 3 years

VI3 Benefits

VMotion – Avoided downtime due to planned server maintenance

Storage VMotion – Avoided planned storage downtime

HA – Simple cost effective high availability

DRS – Automated monitoring and load balancing

= $ 450,000

= $ 430,000

= $ 480,000

= $ 390,000

Assumptions: • 6 updates per physical server per year• 1 storage move every 3 years• 2 failures per 10 server cluster per year• Avoided over-provisioning/admin time in monitoring servers for load balancing• Play with the numbers for yourself with the embedded excel spreadsheet

For our customer example

Elimination of additional 23 servers

$61,538 annual hardware savings

$31,579 power and cooling savings

30% Higher Consolidation Ratios

Tra

nsa

cti

on

Rat

e (R

atio

to

1-w

ay V

M)

11.8

3.7

7.5

8.8

0

1

2

3

4

5

6

7

8

9

10

1-Way 2-Way 4-Way 8-Way

VM

Native

Next Generation Intel® Xeon® based 8-pCPU server

RHEL 5.1 Oracle 11gR1 In-house ESX Server

Single VM Performance: Well-Known Database OLTP Workload

< 15% overhead for 8 vCPU VM

8,900 total DB transactions per second

Near-perfect scalability from 1 to 8 vCPUs

250 MB/sec of disk I/O

< 15% overhead for 8 vCPU VM

8,900 total DB transactions per second

Near-perfect scalability from 1 to 8 vCPUs

250 MB/sec of disk I/O

Single VM Performance – 8,900 TPS

5xGlobal payment processing traffic

Multi-core + VMware = Record Performance

OS

APP

Operating System

Application

VMware

OS

APP

OS

APP

Multi-Core + VMware = Record Performance

Building the Giant Computer

32 hosts

4,096 processor cores

32TB of RAM

3 Million IOPs

1,280 virtual machines

16PB of storage

Virtualize all workloads•Reduce downtime across more applications•Simplify provisioning and management across the entire environment•Utilize hardware resources most efficiently

Value of the Performance Optimizations

VMware vSphere 4

OS

APP

OS

APP

OS

APP

DPM consolidates workloads onto fewer servers when the cluster needs fewer resources

Places unneeded servers in standby mode

Brings servers back online as workload needs increase

ESX supports Intel Speed Step/AMD Power now for individual host power optimization

Minimizes power consumption while guaranteeing service levels

No disruption or downtime to virtual machines

OS

APP

OS

APP

OS

APP

OS

APP

OS

APP

OS

APP

VMware vSphere™

Power Optimization with Distributed Power Management

DPM powers off server when requirements are lower

DPM brings servers back online when load increases

Distributed Power Management Make the giant computer power thrifty

50% Savings During VMmark™

0

200

400

600

800

1000

1200

1400

1600

1800

2000

Wat

ts

No DPM

With DPM

Additional 20% Reduction in Power Costs with DPM…

Assumptions: 50 out of 100 servers can be powered down for 8 hrs/day on weekdays and 16 hrs/day on weekends.Total power consumption per server ( operating power + cooling power) = 1130.625 watts/hrCost of energy = $ 0.11 per kWH (source: Energy Information Administration)

For our customer example

Additional savings of $15,856 power and cooling (average)

1 YearPOWER SAVINGS

VMware

10 DaysPOWER CONSUMPTION

Denmark

Virtual machine disks consume only the amount of physical space in use

Virtual machine sees full logical disk size at all times

Full reporting and alerting on allocation and consumption

Significantly improve storage utilization

Eliminate need to over-provision virtual disks

Reduce storage costs by up to 50%

Storage Savings with vStorage Thin Provisioning

ESX

OS

APP

OS

APP

OS

APP

Datastore

Virtual Disks

20GB

40GB

20GB

20GB

60GB

20GB

100GB

ThickThick ThinThin ThinThin40GB 100GB

vStorage Thin Provisioning Savings

Make the giant computer storage efficient

vStorage Thin

Provisioning 50xALL PICS ON FACEBOOK

Up to 50% Storage Savings with vStorage Thin Provisioning

For our customer example

Reduced storage purchases due to less over provisioning

50% reduction in storage =$99,750 (over 3 years)

Assumptions:50% storage deferred due to thin provisioningStorage costs are $3/GB and RAID5 is used

vCenter Server Linked Mode

Make the giant computer easy to manage

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs3000

Hosts300

VMs2000

Hosts200

VMs3000

Hosts300

vCenter Host Profiles

Make the giant computer easy to extend/scale

vNetwork Distributed Switch

Make networking in the giant computer easy to configure

vSwitch vSwitch

App

OS

vSwitch

App

OS

vNetwork Distributed Switch

Net State Net StateNet State

App

OS

Nexus 1000V

Value of Host Profiles and vNetwork Distributed Switch

For our customer example

Reduced change and configuration management

Fewer errors and troubleshooting

Free up more than half year in sys admin time for $87,293 annual savings

Assumptions:Before vSphere :Per host setup time is 3hrs and change time is 2hrs; error rate is 5% for each changeAfter vSphere : Per host setup time is 15 mins and change time is 45 mins; error rate is 5% across all hosts

VMware vSphere 4 Delivers

EFFICIENCY

CONTROL

CHOICE

CapEx reductions• 30% greater consolidation ratios• Up to 50% in storage savings OpEx Reductions• Up to 20% additional energy savings• Saves more than half person/year in sys admin time

Business Risk Mitigation• One-mouse-click control over application service

levels• Continuous availability with Fault Tolerance• Security with vShield Zones

Freedom of choice• Any server• Any storage• Any OS• Numerous partners products• And soon – on- and off-premise

VMware Fault Tolerance

Single identical VMs running in lockstep on separate hosts

Zero downtime, zero data loss failover for all virtual machines in case of hardware failures

Zero downtime, zero data loss

No complex clustering or specialized hardware required

Single common mechanism for all applications and OS-es

Value of Zero Downtime, Zero Data Loss Application Availability with Fault Tolerance

4

Estimate of Lost Revenue

Minutes of downtime prevented

$6000

Lost Revenue/ Minute

X X

= $ 188,062

1.3

Avg number of FT protected VM/ host

X 8$8,000

Extra Hosts for FT

Costs/ Host Number of extra Hosts

X 8

1 Failure per Year in 10-host cluster

-

For our customer example

Minimized loss of revenue due to downtime

Conservative estimate ~$188,062 of savings

VMware vShield Zones

Self-learning, self-configuring firewall Service

VMotion and network-configuration aware trust zones

Dynamic firewall policy using application protocol awareness

Dynamic security capacity using infrastructure vServices

Security policies auto-adapt to network reconfiguration or upgrades

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

OSAPP

VMware vSphere™

VMware vSphere 4 Delivers

EFFICIENCY

CONTROL

CHOICE

CapEx reductions• 30% greater consolidation ratios• Up to 50% in storage savings OpEx Reductions• Up to 20% additional energy savings• Saves more than half person/year in sys admin time

Business Risk Mitigation• One-mouse-click control over application service

levels• Continuous availability with Fault Tolerance• Security with vShield Zones

Freedom of choice• Any server• Any storage• Any OS• Numerous partners products• And soon – on- and off-premise

vSphere 4 Delivers Choice

Most comprehensive OS supportSupport for more guest operating systems than any other bare-metal virtualization platform

Extensive enterprise application supportOver 300 enterprise software applications have explicit support statements for VMware vSphere today

Choice of end-to-end integrated managementPartnerships and integrations with leading systems management vendors

Flexibility to leverage internal and external cloudsStandardized interfaces to federate and move between internal and external clouds

VMware vSphere™: Most Comprehensive OS Support

VMware vSphere™ MS Hyper-V

Win Server 2008 (up to 4P vSMP)Win Server 2003 SP2 (up to 2P vSMP)Win Server 2000 SP4 (1P only)SLES10 (1P only)Windows Vista SP1Windows XP Pro SP2/SP3

vSphere = most guest OS-es

VMware vSphere 4 Delivers

EFFICIENCY

CONTROL

CHOICE

CapEx reductions• 30% greater consolidation ratios• Up to 50% in storage savings OpEx Reductions• Up to 20% additional energy savings• Saves more than half person/year in sys admin time

Business Risk Mitigation• One-mouse-click control over application service

levels• Continuous availability with Fault Tolerance• Security with vShield Zones

Freedom of choice• Any server• Any storage• Any OS• Numerous partners products• And soon – on- and off-premise

A Typical VMware Customer…

By upgrading to VMware vSphere 4 this customer will:•Save additional $575,599 annually or $1,726,678 over 3 years•Free up more than half person/year in sys admin time•Reduce business downtime by additional 30 min a year

Higher Consolidation Ratio

Distributed Power Management

Storage Savings

Avoided downtime

Configuration Efficiency

= $ 93,117

= $ 15,840

= $ 33,250

= $188,062

= $ 87,293

By upgrading to VMware vSphere 4 this customer will:Save additional $417,561 annually or $1,252,684 over 3 years

Next Steps – Learn More

In-Depth Cost Savings http://www.vmware.com/solutions/cost-savings/

Why Upgrade and How to Upgradehttp://www.vmware.com/products/vsphere/upgrade-center/

Give us a call today!

We are here to help. Start saving your money on CAPEX & OPEX.

What if you would use your resources (hardware, software, people) in a better way starting today?

Temperfield is certified partner of VMware and has certified staff on VMware vSphere, ranging from presales, technical presales to post-implementation support engineers.

Give us a call today: +40 31 432 80 83

Calin Damian Tanase +40 720 555 811