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February 27, 2009

Data Centers Going Green: ABI Study

By Brendan B. Read

Senior Contributing Editor

A recent study by ABI Research, "Green Wi-Fi, Data Centers, and Network Switches" says that U.S. data center managers and owners have been taking steps to become part of the environmental solution by reducing power usage.

That move places data centers in step with commitments by the Obama Administration to work towards a sustainable, energy-efficient future, incorporated as part of the recently-signed economic recovery package. With the world's servers currently consuming some 408 MWh of electricity, the ABI says effort is certainly needed.

The study provides a comprehensive evaluation of the vendors' efforts to offer ‘green’ Wi-Fi equipment, data center equipment, and network switches. It rates vendors' products and initiatives, and assesses equipment environmental performance.

“Cisco (News - Alert), HP and Dell have all taken significant steps to reduce power consumption in the data centers they operate,” says ABI Research vice president and practice director Stan Schatt. “Cisco has emphasized virtualization, HP is utilizing some unique server technologies in order to reduce power requirements, and Dell (News - Alert) has set benchmarks for restricted energy use in its own operations, setting itself up as a role model in this field.”

Whether any recovery plan funding will target data centers is unknown, but, notes Schatt, "There is likely to be greater emphasis on "greening' the data centers used by government."

Another likely area for improvement is the health care industry. Part of the stimulus package funding is targeted to medical records computerization. That will involve data centers - not just software, but modifications to the equipment itself - providing an opportunity for these vendors to help move the healthcare industry towards a greener future.

There are other drivers to greener data equipment adoption. These include cost and space savings from rising electricity pricing and lowering real estate outlays, regulatory requirements: the EU, China, and South Korea impose regulations on all IT imports that cover hazardous materials, recyclability, and other risks, and green branding and procurement.

“The problem now is liquidity,” Schatt cautions. “With credit so tight, how will companies finance the replacement of equipment? Cisco has one answer: finance provided through its Cisco Capital subsidiary. Cisco Capital provides Cisco Systems (News - Alert) with a strategic opportunity in the data center market, making money available to companies that want to reduce their energy consumption immediately."

Brendan B. Read is TMCnet’s Senior Contributing Editor. To read more of Brendan’s articles, please visit his columnist page.

Edited by Tim Gray

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