It seems strange to those of us who work in the networking industry, and have had the benefit of so many customer insights and experiences, that in a world where commercial viability equals reliable connectivity, some people still don’t seem to understand why the network matters.
For anyone who remains unconvinced of its commercial importance, here are a few stats that may make interesting reading:
"For every hour it is not up and running, Amazon.com takes a hit of almost $5 million".1
"The RBS/Natwest technical outage that blighted the bank and its customers in June has cost the firm £125m according to its latest financial reports".2
"In 2009, Paypal suffered a 4 hour service outage, with an estimated loss of $28 million in commerce".3
The summary? Network downtime impacts profitability. Yet global research we commissioned and announced this week, shows that despite this commercial reality, many organizations still depend on antiquated data center infrastructures, with a third of respondents admitting that their organizations experience multiple network failures each week.
Furthermore 61 percent of data center personnel confided that their corporate networks are not fit for the intended purpose, with almost half (41 percent) admitting that network downtime has caused their business financial hardship. 91 percent of IT decision-makers stated that their current IT infrastructures still require substantial upgrades to meet the networking requirements created by virtualization and cloud computing.
Many of the data centers that exist today are based on 20-year old technologies, and the simple fact is that they can no longer keep up with demand.
Businesses may be concerned that they ‘can’t afford’ the necessary investment into the network, but they can’t afford not to respond to the changes that are impacting their data centers. Virtualization and cloud models can provide much better utilization of current assets, and more cost effective connection to services and applications. But they also require greater network agility and performance. Software-defined networking promises significant improvements to how the network can be managed and become more responsive to changing business needs, but it requires a more automated, efficient and flatter network topology than legacy three-tier architectures can provide.
This approach is encapsulated in our vision of The On-Demand Data Center, which represents a major evolution in networking toward a highly virtualized, open and flexible network infrastructure. With this approach, Brocade is transforming the industry with intelligent, automated and scalable solutions that overcome the complexity and architectural limitations of traditional networks. By uniting the best aspects of virtual and physical networking across a cloud orchestration framework, The On-Demand Data Center delivers simplicity, scalability and resource utilization. The result is a purpose-built network infrastructure for highly virtualized and cloud computing environments.
If you would like to learn more about The On-Demand Data Center, you can find a wealth of resources and customer best practices here: The On-Demand Data Center