the data center revolution: ultra fast networks

© BLADE Network Technologies, 2009

www.bladenetwork.net

©2009

www.bladenetwork.net VIRTUAL COOLER EASIER

The Data Center Revolution:

Ultra Fast Networks

BLADE Network Technologies

NYSE Euronext

VIRTUAL COOLER EASIER

Agenda

• Introductions

• Ultra-Fast Networking at NYSE Euronext

• Future Trends

• A Revolution is Needed in the Data Center

• Data Center Revolution Issues & Requirements

• Q&A

BLADE Network Technologies 230-Sep-09


Presenters

• Andy Bach

Senior Vice President & Global Head

of Network Services Technology

• Vikram Mehta

President & CEO

9/30/2009BLADE Network Technologies 3

High Speed Networking

Andrew Bach

September 30, 2009

Agenda

• Who We Are

• Global Financial Industry

• Bandwidth Trends in the Financial Industry

• Latency in the Financial Community

• Data center network considerations

• Conclusion

NYSE Euronext

• NYSE Euronext (NYX) operates the world’s leading and most liquid exchange group, and seeks to provide the highest levels of quality, customer choice and innovation.

• Global Cash Equities - Exchanges in five countries

– NYSE

– Euronext Paris

– Euronext Lisbon

– AMEX

• Global Derivatives

– NYSE ARCA

– Liffe Paris

– Liffe Lisbon

– Liffe London

• Operate Software and technology services

– Secure Financial Transaction Infrastructure (SFTI)

– Wombat

– TransactTools

– Euronext Brussels

– Euronext Amsterdam

– Alternext

– AMEX

– Liffe Brussels

– Liffe Amsterdam

NYSE Euronext

• NYSE Euronext has over 3,497 listed companies with a combined market capitalization of $12.0 trillion dollars as of June 2009.

• NYSE Euronext's equity exchanges transact an average daily trading value of approximately $154 billion (as of Dec. 31, 2008), which represents more than one-third of the world's cash equities trading.

• NYSE Euronext is part of the S&P 500 index and the only exchange operator in the S&P 100 index.

Global Financial Industry

• Increasing Customer Access Choices up to 10GbE

• Expansion and Trading Globally

• Increased Sensitivity to Latency & Speed

• Data Volume Increasing

• Bandwidth Requirements Expanding

• Growing Global Alliances

Market Capitalization and Value of Share Trading

In 2008 the United States

Gross Domestic Product

was $14.347 Trillion

Underlying Data Source: World Federation of Exchanges (www.world-exchanges.org)

Value of Share Trading $38.7 Trillion

($38.7 x 1012)

Trade Trends

Average Issues Traded / Millisecond over a Quarter

96 95

105

96

114

98

123

136

129

120

80

90

100

110

120

130

140

Jun-06 Sep-06 Dec-06 Mar-07 Jun-07 Sep-07 Dec-07 Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-09

Ave

rag

e #

of T

rad

es / M

illise

co

nd

s

Average # of Trades / Millisecond Linear (Average # of Trades / Millisecond)

Includes volume executed on the NYSE, NYSE Arca, and NYSE Alternext (AMEX) in all

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

2,000,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Op

tio

ns M

essag

es p

er

Seco

nd

0

50000

100000

150000

200000

250000

Eq

uit

ies M

essag

es p

er

Seco

nd

Options Data

Equities Trades

Equities Quotes

Order Traffic

Message rates based capacity allocated

Increasing Market Data Rates

Latency requirements

• Low latency market data is uncompressed, requiring more bandwidth

• Competitiveness of the market is no longer measured in milliseconds (ms), but in microseconds (µs)

• Any delay or queuing inserted into the trading path must be eliminated

• Delaying market data wreaks havoc on trading applications and is significantly worse than discard

Drive to Zero Latency

• Clients must have the latest technology to compete in the ultra low latency high frequency trading market

• Ten milliseconds of latency could potentially result in a 10% drop in revenues for a firm *

• Saving 5 microseconds could cost $200,000 per year. But for a trading firm, the cost of reducing latency can never be too high *

* Reference: TABB Group global consulting - Robert Iati

Requirements for a data center network

• Flat network but not L2

• Sub micro second hop time

• Minimal hops 2 - end of the hierarchical network

• Application assist embedded in the switching fabric

• LAG just will not work

• What is old is new – Welcome back the Clos network

• Support for your customers Co location equipment

Closing comments

• Bandwidth demands continue to grow

• Latency is key to the business

• New generation of network is needed to keep up



©2009


The Data Center Revolution:

Ultra Fast Networks

Vikram Mehta

President & CEO


About BLADE

• Facts– Independent, private company

since February 2006

– Santa Clara, CA Headquarters

– Offices in Canada, Europe, Middle East, Japan, China, Korea

– R&D in NA, AJP

17BLADE Network Technologies 30-Sep-09

• Products– Switches for blade servers

– Top-of-rack switches

– Virtualization & management

• Achievements– 6M+ datacenter ports shipped

– 16,000+ switches at one customer

– 44% blade switch market share

– Blade Firsts• 1st Converged Ethernet

• 1st Network virtualization

• 1st 10G Ethernet

• 1st Green networking company

• Customers– Over 300 of the Fortune 500

– 26+ industries

– OEMs:


A REVOLUTION is Needed

Busier servers

• Virtualization

• Multicore CPUs

• Multiple fabrics

More servers

• Consolidation

• Scale-out

• Web 2.0

• Clustering

Must Do More with Less

• Shrinking IT budgets

• Power & cooling squeeze

• Management complexity

18BLADE Network Technologies 30-Sep-09


The REVOLUTION Will Enable IT to

Do More with Less

• By optimizing

– Price/performance (10 GbE < $500 per port)

– High Capacity

• Reducing Total Cost of Ownership (TCO)

– Reduce equipment cost

– Reduce power consumption

– Consolidate space

– Increase IT efficiency

Maximize: Equipment + People + Power + Space



Key Elements of the REVOLUTION

30-Sep-09BLADE Network Technologies 20

Freedom

of Choice

Agile Virtualization

Cloud Ready &

Scalable

Ultra-Fast

Converged Networks

Open ecosystem of interoperable

data center solutions

Massively scalable networks with

1000s of switches

Mobility across 1,000s of

virtual switch ports

Extremely low latency

loss-less gigabit & 10G

Ethernet fabrics


Data Center Wiring ClosetHigh availability Yes-Uplink Failure Detection,

HotLinks, VRRP

No

Virtualization Yes-VMready, Server Mobility No

Dual Homing Yes for servers No for PCs & IP phones

Power over Ethernet Not needed Yes for VoIP & Wireless

Traffic Flow ~70% internal

Packet buffers critical

~70% uplink

Multicast Senders

1024 IGMP Groups

Receivers

60 IGMP Groups

Airflow Back-to-front or

front-to-back

Side-to-side

Start with Switches Built for the

Data Center

21www.bladenetwork.net 30-Sep-09


Performance Requirements for Data

Center Switches

• High Bandwidth

– Video and multimedia

– Faster processors

– Many virtual machines

sharing one pipe

• Low Latency

– Inter-processor

communication

– Storage access time

– Deterministic

Convergence on 10GbE delivers



Converging on 10GbE Delivers

• Losslessness– With Converged Enhanced Ethernet (CEE)

• Low latency– For high-performance clusters (HPC)

• Low power– Saving the planet

• Low cost– Conserving budget

• Ease of use– Leverage wide knowledge base & ecosystem

SAN

LAN

Converged Server Fabric

Fibre Channel

InfiniBand

HPC Cluster

Ethernet

Storage, LAN & Cluster Traffic are Converging on 10GbE

> 10G Ethernet

> iSCSI, NAS or FCoE



10G Ethernet iSCSI vs. Fibre Channel

Source: http://www.blade.org/docs/wp/10GbE_Blade_Performance_Final.pdf


http://www.blade.org/docs/wp/10GbE_Blade_Performance_Final.pdf


Fast Networks - Cloud Ready

• Cloud Ready Network Architecture Requirements

– High bandwidth, low latency

– Convergence to Ethernet

– Migrating virtualized applications

– Simplified scalability & management

– Green / low power

BLADE Network Technologies 2530-Sep-09

[compute]

Mobile Workload

[connect]

Intelligent Fabric

[orchestrate]

Dynamic Management

Scale


Agile Virtualization for Adoption &

Management of Virtualized Environments

• Data Centers are virtualizing

– Multiple VMs per server

– VMs becoming mobile to meet dynamic workloads

– Yet only 10% are virtualized

• Traditional switches are blind to VM traffic

– Can not monitor or manage Virtual Machine traffic

– Network Engineers lack tools to troubleshoot VM traffic

– VM mobility risks exposing security holes

• Agile Virtualization is the answer

– Automatically migrates VMs with network policies

– Works with all hypervisors

– Makes massive & fluid VM environments easy to manage

9/30/2009BLADE Network Technologies Confidential 26

VIRTUAL COOLER EASIER 30-Sep-09 27

Scale Efficiently with Rackonomics

• “Rackonomics” makes it easier to:

– Scale out massive data centers cost-effectively & efficiently

– “Go cloud”

• With Rackonomics, IT can:

– Respond faster to business demands

– Increase energy efficiency

– Decrease TCO


Virtual EasierCooler

Rackonomics

The Replicated Rack is the New Data Center!



Data Center REVOLUTION = Freedom

• Freedom of Choice with Network Infrastructure

– Open

– Standards-based

– Compatible

– Best-of-Breed

– Lower TCO



Summary

• Data Center Revolution

– Ultra-fast Converged Networks

– Agile Virtualization

– Cloud Ready

– Freedom of Choice

• Trusted BLADE Network Technologies

– Field-proven, compatible, mature products

– Exceptional value proposition

– Consistent innovation

– Passion for customer support

– Strong partners & ecosystem: IBM, HP, NEC, Netezza, Verari, Broadcom, Fulcrum, etc.

– Over 300 of the Fortune 500 count on BLADE




©2009


For More Information & Presentations:



• Replay: www.bladenetwork.net/BLADE-NYSE

• Slides: www.bladenetwork.net/financial (top right)

http://www.bladenetwork.net/

http://www.youtube.com/user/bladenetwork

http://twitter.com/BLADENetwork

http://www.slideshare.net/bladenet

http://www.facebook.com/pages/BLADE-Network-Technologies/107162475618

http://www.bladenetwork.net/BLADE-NYSE



http://www.bladenetwork.net/financial


Disclaimer

• BLADE Network Technologies Confidential.

• The information contained in this presentation is proprietary to BLADE Network Technologies (BLADE)

and is offered in confidence, subject to the terms and conditions of a Non-Disclosure Agreement.

• BLADE makes no warranties regarding the accuracy of this information. BLADE does not warrant or

represent that it will introduce any product to which the information relates. It is presented for discussion

purposes only.

• All statements regarding BLADE’s future direction and intent are subject to change or withdrawal

without notice, at BLADE’s sole discretion.

• Prices, delivery dates and technical specifications are subject to change without notice.

• Copyright 2009 BLADE Network Technologies. BLADE Network Technologies, the BLADE logo,

BLADEHarmony, RackSwitch, SmartConnect and VMready are trademarks of BLADE Network

Technologies. All other names or marks are property of their respective owners.


the data center revolution: ultra fast networks

Business

network virtualization

delaying market data

market data rates2

options data

nyse euronext future

nyse alternext amex

latency speed data volume

clos network support