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Friday, November 9, 2012

A closer look at capital costs: Traditional vs. scale-out storage in a data center

By Igal Smith

Over the past several years, scale-out storage technologies have grown increasingly popular. Many companies have considered the technological advantages scale-out storage provides in a data center; however there have been few economic comparisons. This makes it difficult for many companies to decide whether or not the potential benefits of scale-out storage in a data center will translate into cost savings. The first question every business asks when investing in new technologies for their data center is whether or not the initial capital costs allow for it to even be considered. To compare the overall capital costs of traditional and scale-out storage in a data center, several variables must be considered.

Pricing

Traditional storage in data centers often rely on proprietary hardware components. Scale-out storage environments can be built using off-the-shelf servers. Commodity pricing is always lower than proprietary pricing because market pressures constantly drive down commodity prices whereas vendors can always charge a premium for proprietary storage systems in data centers. On a per unit basis, scale-out storage in a data center is much less expensive over the lifetime of a business.

Total investment
 
Traditional storage systems in data centers allow users to scale up, however they must invest in expensive hardware initially deemed appropriate for the eventual level of scale. This inherently creates a significant upfront investment because of expected future storage needs.  Plus, it encourages over provisioning which does not provide adequate returns if it takes longer than expected to reach the estimated capacity target.  In a data center, scale-out storage allows businesses to add new nodes whenever the amount of storage needs to be increased. This allows businesses to start small and grow over time whenever their needs dictate.


Hardware repurposing

A significant financial benefit of scale-out storage in a data center is the ability to repurpose existing hardware.  This defers new capital expenses because decommissioned servers can be added to new and existing storage environments throughout a data center.

High availability

 High availability can be achieved more cost effectively in a scale-out storage environment.  This is because the software ensures high availability and the failure of an individual server will not compromise access to the data or affect the system's overall availability.  This also allows less extra capacity to be maintained.  Traditional NAS storage in a data center relies on a storage chassis which is replicated for critical applications and held in reserve in the event of a hardware failure.  This requires significantly more resources, both in terms of hardware and financial investment.

Potential for additional capital cost savings

Traditional NAS storage in a data center eliminates the possibility of additional capital cost savings because users are limited to a select number of alternatives provided by the vendor.  Scale-out storage in a data center allows users to deploy the exact hardware and software they need. The additional flexibility provides the opportunity for additional capital cost savings on a case-by-case basis. When looking solely at capital costs, scale-out storage is clearly more economically advantageous. Not only does it allow companies to spend less per unit, but it also allows for a smaller initial investment.  Factoring in the ability for hardware repurpose seen and the potential for additional savings, scale-out storage provides long-term financial benefits as well.


Attached Images: 
  •  License: Image author owned 
  •  License: Image author owned 
  •  License: Image author owned 

Igal Smith writes articles about colocation and data centers. He believes that using a colocation service is a wise choice for many businesses. Igal believes companies should always think about customizable solutions that are tailored to meet their needs. The Colocation service he recommends can be found at http://www.datafoundry.com/colocation

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