• About Us
  • Partnership Opportunities
  • Privacy Policy

Data Center Frontier

Charting the future of data centers and cloud computing.

  • Cloud
    • Hyperscale
  • Colo
    • Site Selection
    • Interconnection
  • Energy
    • Sustainability
  • Cooling
  • Technology
    • Internet of Things
    • AI & Machine Learning
    • Edge Computing
    • Virtual Reality
    • Autonomous Cars
    • 5G Wireless
    • Satellites
  • Design
    • Servers
    • Storage
    • Network
  • Voices
  • Podcast
  • White Papers
  • Resources
    • COVID-19
    • Events
    • Newsletter
    • Companies
    • Data Center 101
  • Jobs
You are here: Home / Cloud / The Future of the Enterprise Data Center in a Cloud and Colo World

The Future of the Enterprise Data Center in a Cloud and Colo World

By Rich Miller - November 16, 2017 2 Comments

The Future of the Enterprise Data Center in a Cloud and Colo World

A horizon filled with clouds, rising above the mountains, and viewed from the roof of the Facebook data center in Prineville, Oregon - an example of the growing scale of cloud infrastructure. (Photo: Rich Miller)

LinkedinTwitterFacebookSubscribe
Mail

Today we conclude our Data Center Executive Roundtable, a quarterly feature showcasing the insights of thought leaders on the state of the data center industry, and where it is headed. In today’s discussion, our panel of experienced data center executives – IO Chief Operating Officer Rick Crutchley, Marvin Rowell of BASELAYER, Vertiv VP of marketing & strategy Amy Johnson and Jeff Klaus, GM of Intel Data Center Software Solutions – discuss the future of the enterprise data center, and where it fits amid the dynamic growth of cloud and colocation services.

The conversation is moderated by Rich Miller, the founder and editor of Data Center Frontier.

Data Center Frontier:  It appears that a dwindling number of users are building new corporate data centers, with most new workloads shifting to cloud or colo environments. What’s your take on this transition, and what will it mean for legacy corporate data centers? Do these facilities have a future as candidates for retrofit or repurposing?

MARVIN ROWELL, BASELAYER

MARVIN ROWELL, BASELAYER

Marvin Rowell: Large corporations often diversify their data center assets across three resource pools (1) on-premise, (2) colocation, and (3) cloud. While many new applications fit nicely to a cloud environment, not all follow suit based requirements (latency, security, regulatory needs, etc.). Therefore, we do see an ongoing need for on-premise data centers, however their usage may change over time.

We’ve seen many companies exploring modular solutions for their new builds to supplement and upgrade their on-premises infrastructure while they transition their legacy data center buildings into office space. Enterprises can then consolidate their staff into one physical location allowing them to eliminate lease and rent costs. The result is significant savings with the added benefit of updated data center capacity.

RICK CRUTCHLEY of IO.

RICK CRUTCHLEY of IO.

Rick Crutchley: While the number of legacy corporate data centers is shrinking (or at least the amount of space is shrinking), the need for them is not. Whether companies have an emotional tie to their data centers or they need to run business-critical apps in-house, there will continue to be a role for corporate data centers for the foreseeable future.

That means that we’re in a place where the hybrid computing model is growing, and the role of IT has become less a “tender of the machines” and more a strategic decider of where their workloads will be placed. Mission-critical apps and data will likely reside in house, while less critical apps or apps demanded by internal customers will be put out to the public cloud.

And, as the need for availability, reliability, security, scalability, and connectivity increases, enterprises will continue to look to colocation as a viable option for their infrastructures. Colos offer managed IT services – such as carrier-neutral connectivity with cloud on-ramps – that make it easier for companies to make strategic decisions about where their workloads will run.

AMY JOHNSON, Vertiv

AMY JOHNSON, Vertiv

Amy Johnson: With so much focus on colo and cloud, it’s easy to forget that the majority of data centers are enterprise. Corporate data centers are not going away. Recent IHS data shows about 40 percent of loads are colo and cloud, 60 percent are enterprise. That mix certainly will tilt more toward cloud and colo going forward, but there are some tasks that either cannot or will not be moved to third-party providers.

What we will see – and it’s already starting – is a refocus of those enterprise data centers to try to take advantage of the colo and cloud generation best practices to improve their efficiency, scalability and utilization rate. We anticipate widespread consolidation projects that take the opportunity to leverage those best practices to produce smaller, more efficient and more secure facilities with high levels of availability. Remember, these new or refurbished enterprise data centers will be housing mission-critical data that can’t be outsourced, so security and availability will be critical for enterprise, cloud and colocation facilities.

JEFF KLAUS, Intel

Jeff Klaus:  We haven’t hit the wall on data center demand yet. Service providers are making their environments more flexible (so they can deploy to cloud and scale out), but security still has a need to drive data on premise, and most HPC is still run on premise.

We may experience lower demand at some point, but the virtuous cycle of data demand and growth is still driving buildout.

RECAP: Bookmark our entire DCF Executive Roundtable

Keep pace with the fact-moving world of data centers and cloud computing by following us on Twitter and Facebook, connecting with me on LinkedIn, and signing up for our weekly newspaper using the form below:

 

LinkedinTwitterFacebookSubscribe
Mail

Tagged With: BASELAYER, Enterprise, Intel, IO, Vertiv

Newsletters

Stay informed: Get our weekly updates!

Are you a new reader? Follow Data Center Frontier on Twitter or Facebook.

About Rich Miller

I write about the places where the Internet lives, telling the story of data centers and the people who build them. I founded Data Center Knowledge, the data center industry's leading news site. Now I'm exploring the future of cloud computing at Data Center Frontier.

Comments

  1. g.hinton@bridge.uk.com'Graham Hinton says

    November 16, 2017 at 6:05 pm

    Hi Rich,

    I’m no expert in data centres but I I do have a reasonable grasp of engineering, I have sat the DCDA and the OCP awareness course with John Laban.
    That said, I am a keen follower of OCP and the way that the Hyperscalers do certain things, or have brought certain aspects of engineering along to a more energy efficient way of functioning. The reduction of double conversions, the reduction of cabling and double power supplies on the rear of the kit, the 12 v or 48 v power standard now being deployed…etc….etc…etc….I’m sure you know what Facebook do..

    What happens to the legacy kit from these Hyperscalers as time goes by?

    Could it be used for Private cloud, Colo cloud who would like to try the OCP format. but do not know where to buy or how to get it to work.

    I went to a Facebook Showcase yesterday 15th Nov where I asked how often they refresh their kit and the answer was every three years. the whole kit …racks, servers, storage ( except drives) UPS racks , switches …etc.

    Would this be useful to some private cloud clients that wanted to try this out? three year old kit that still has plenty of ‘ life ‘ left albeit out of warranty perhaps – ( may need to ask Quanta if they could extend) and certainly with regard to the lithium batteries that would have 7 years life left to give.

    Of course the questions that would be raised are ;- who will support it, who will set it up with regard to software….but I’m sure all surmountable issues

    Regards

    Graham Hinton

    Reply
  2. coelho_osvaldo@yahoo.com'Osvaldo Coelho says

    November 17, 2017 at 10:20 am

    Datacenter geography is in for a major change
    https://www.linkedin.com/pulse/datacenter-geography-major-change-osvaldo-coelho/

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Facebook
  • Instagram
  • LinkedIn
  • Pinterest
  • Twitter

Voices of the Industry

How to Simplify Distributed IT Management? Focus on the Tools to Improve Flexibility and Efficiency

How to Simplify Distributed IT Management? Focus on the Tools to Improve Flexibility and Efficiency Russell Senesac, Director of Data Center Strategy at Schneider Electric, explores how to address distributed IT management and the tools available today.

DCF Spotlight

The COVID-19 Crisis and the Data Center Industry

The COVID-19 pandemic presents strategic challenges for the data center and cloud computing sectors. Data Center Frontier provides a one-stop resource for the latest news and analysis for decision-makers navigating this complex new landscape.

An aerial view of major facilities in Data Center Alley in Ashburn, Virginia. (Image: Loudoun County)

Northern Virginia Data Center Market: The Focal Point for Cloud Growth

The Northern Virginia data center market is seeing a surge in supply and an even bigger surge in demand. Data Center Frontier explores trends, stats and future expectations for the No. 1 data center market in the country.

See More Spotlight Features

White Papers

HSE solutions

360 Degrees of Health and Safety Assurance

Maintaining a safe and healthy work environment is a crucial responsibility of employers, and most companies have a health and safety policy to prevent injuries and illnesses at work. But who makes sure that the policy is enforced? Download the new white paper from Stream Data Centers that explores why expert protocols are required to support your enterprise’s health and safety mission. 

Get this PDF emailed to you.

We always respect your privacy and we never sell or rent our list to third parties. By downloading this White Paper you are agreeing to our terms of service. You can opt out at any time.

Newsletters

Get the Latest News from Data Center Frontier

Job Listings

RSS Job Openings | Peter Kazella and Associates, Inc

  • Data Center Facility Manager - San Jose, CA
  • Senior Electrical Commissioning Engineer - Nashville, TN
  • UPS Field Service Technician - Boston, MA
  • Data Center Facility Engineer - TS/SCI - Columbia, MD
  • Construction Project Manager - Data Center - Papillion, NE

See More Jobs

Data Center 101

Data Center 101: Mastering the Basics of the Data Center Industry

Data Center 101: Mastering the Basics of the Data Center Industry

Data Center Frontier, in partnership with Open Spectrum, brings our readers a series that provides an introductory guidebook to the ins and outs of the data center and colocation industry. Think power systems, cooling, solutions, data center contracts and more. The Data Center 101 Special Report series is directed to those new to the industry, or those of our readers who need to brush up on the basics.

  • Data Center Power
  • Data Center Cooling
  • Strategies for Data Center Location
  • Data Center Pricing Negotiating
  • Cloud Computing

See More Data center 101 Topics

About Us

Charting the future of data centers and cloud computing. We write about what’s next for the Internet, and the innovations that will take us there. We tell the story of the digital economy through the data center facilities that power cloud computing and the people who build them. Read more ...
  • Facebook
  • LinkedIn
  • Pinterest
  • Twitter

About Our Founder

Data Center Frontier is edited by Rich Miller, the data center industry’s most experienced journalist. For more than 15 years, Rich has profiled the key role played by data centers in the Internet revolution. Meet the DCF team.

TOPICS

  • 5G Wireless
  • Cloud
  • Colo
  • Connected Cars
  • Cooling
  • Cornerstone
  • Coronavirus
  • Design
  • Edge Computing
  • Energy
  • Executive Roundtable
  • Featured
  • Finance
  • Hyperscale
  • Interconnection
  • Internet of Things
  • Machine Learning
  • Network
  • Podcast
  • Servers
  • Site Selection
  • Social Business
  • Special Reports
  • Storage
  • Sustainability
  • Videos
  • Virtual Reality
  • Voices of the Industry
  • White Paper

Copyright Data Center Frontier LLC © 2021