Transcript Document
ITM 6.1: To Co-locate or Not Co-locate Presented by: Steve Miano, Managing Principal, PlanNet; and Gary Davis, Principal, Data Center Services, PlanNet 1 Data Center World – Certified Vendor Neutral Each presenter is required to certify that their presentation will be vendor-neutral. As an attendee you have a right to enforce this policy of having no sales pitch within a session by alerting the speaker if you feel the session is not being presented in a vendor neutral fashion. If the issue continues to be a problem, please alert Data Center World staff after the session is complete. 2 ITM 6.1: To Co-locate or Not Co-locate This session will cover the analysis, criteria and decision making process to determine whether colocation is the right solution for your enterprise. Real-life case studies will be presented on companies who elected to co-locate their data centers, and on those who determined that building and operating their own data center(s) was the better option, and how they came to those conclusions. 3 Agenda Why Firms are Interested in Co-location Co-location Myths and Misnomers Primary Co-Location Markets Various Scenarios and Use Cases Incorporating Colocation Process of Vetting and Selecting a Co-location Facility Co-location Pricing Models (Making Sense) Case Studies 4 Co-location Myths and Misnomers • I will save money by moving the data center o o • The co-location data center is Tier 4 and I won’t experience any downtime o • Very few data centers would meet TUI/TIA standards for Tier 4 including premium co-lo sites I trust the Co-lo so SLAs are not important o • Co-location may not the lowest cost option over time Conduct a Total Cost of Operation comparing co-lo, build and uplift vs. current state SLA’s are critical to protect the client’s interest including financial penalties (abatements), selfhelp, poor operating procedures, etc. I can try co-location for a few years (3-5) before extending o o o The cost of migrating a data center is extensive (multi-millions) and very disruptive. Recommend a 10 to 15 year lease (including options) without clauses in the contract Don’t assume additional space/power/cooling will be available 5 Primary Co-Location Markets • Metropolitan areas that meet the following criteria are desirable locales o Low to no geographical risk (earthquake, hurricanes) o Cool climates (even desert climates offer more free cooling days than thought o Low and sustainable power costs (previously made renewable energy investments will ensure power costs will stay relatively stable) o Large enough market to have numerous IT and MEP support vendors and experienced IT support staff pool o Door-to-door time to get from main IT presence to co-lo (4 hours) o Site with ample utility infrastructure (sub-station, water, entitlements) o Tax incentives such as no Sales Use Tax, Tax Abatements (construction) o Ample facility infrastructure to accommodate growth 6 Scenarios and Use Cases Incorporating Co-location • • • • • Primary Data Center is Co-lo and existing DC repurposed to DR Two data centers deployed in an active/active configuration supporting the client's critical systems Owned Data Center is Primary Production and Co-lo is DR/sub prod Three DC configuration with split loads using one, two or three Co-lo’s with geographical disbursement Co-location is determined as a strategy by the organization 7 Vetting and Selecting a Co-location Facility • Conduct a strategy with key stakeholders having a voice • Determine best case scenarios including combinations of co-lo, build, uplift, etc. • Determine the best markets for your co-location data center • Prepare a formal RFP stipulating requirements (current and future demand load, spatial requirements, etc.) • Short-list the RFP to 3 to 5 co-lo’s in 2 or 3 markets • Vet pricing by having the co-lo’s fill out a common form to normalize pricing • Short-list co-lo’s to 2 or 3 for evaluation purposes 8 Vetting and Selecting a Co-location Facility • Have a professional engineer with data center experience to evaluate quantity, quality, redundancy of MEP, specific location risks, review SOPs and MOPs, identify gaps and deficiencies, and have co-lo’s respond to identified issues • Ensure responses mitigate issues to your satisfaction • Ask for best and final pricing • Negotiate terms of 10 or 15 years (including options) without clauses based on SLA’s • Utilize an attorney with experience negotiating co-lo leases • Utilize an owner’s rep to oversee any improvements and make-ready state 9 Co-Location Pricing Models • Co-location providers have different pricing models which make it difficult to normalize: o Metered Power – You pay for the power you actually use plus a factor of 1.x for cooling and overhead o Circuits – You pay for circuits to your racks whether they are primary or redundant, 110 or 240 o Telecom Cross Connects – Co-lo’s usually charge a monthly fee for fiber cross connects from the Meet Me Room o Racks – You pay for the number of racks you install whether used or not, plus power charges o Growth – You pay for expansion space whether it’s used or not o Wholesale – You’re given your own suite similar to Metered Power option 10 Case Studies Mentor Graphics 11 Case Studies Entertainment 12 Case Studies Regional Bank 13 Case Studies Global Airline 14 Case Studies Global Biotech Company 15 Thank you for your time! Steve Miano Gary Davis Principal Principal PlanNet Consulting PlanNet Consulting 714.982.5820 714.982.5886 [email protected] [email protected] www.PlanNet.com 16