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Merged Dell-EMC Targets Hybrid Cloud

| HPCwire
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If bigger is better, the new IT behemoth Dell Technologies Inc. that combines the holdings of Dell and storage leader EMC Corp. fits the bill with the completion a $60 billion merger of cloud, storage, virtualization and hardware components that will seek to be all things to all enterprise IT customers.

“We think scale matters,” Michael Dell asserted Wednesday (Sept. 7) in unveiling the new Dell Technologies that incorporates EMC, VMware and other former EMC and Dell units. A tracking stock for VMware (NYSE: VMW) began trading on Sept. 7, the company said during a call with analysts. (It was trading lower at midday.)

The new company also underscores a shift toward IT industry consolidation as leading players in servers like Dell and storage leaders such as EMC search for synergies to meet enterprise demand for hybrid cloud and cloud native offerings.

The HPC community has been an active participant in the consolidation via one or another mechanism. IBM sold its PC business to Lenovo some time ago. Hewlett Packard Enterprise (HPE), itself the result of icon Hewlett-Packard’s split into two pieces, is in the process of acquiring SGI. One analyst on today’s Dell call noted rumors that HPE plans to take itself private, much as Dell had. Michael Dell declined to comment. Moreover, merger and acquisition speculation has percolated recently around other HPC mainstays. By sales volume, HPE is the leader in HPC sales but Dell has been making inroads.

Dell Technologies will at least initially employ 140,000 workers, making it the largest privately controlled technology in company “in numbers,” according to Tom Sweet, Dell Technologies’ CFO.

Emphasizing a hybrid cloud and cloud native application strategy, Michael Dell said the core Dell-EMC infrastructure solutions unit that includes the former Dell server hardware and EMC storage businesses would operate from “the edge to the core to the cloud.” Meanwhile, other units combined in the merger—including VMware, Virtustream, application developer Pivotal and security units RSA and SecureWorks—would operate under the own names and “can develop their own ecosystems,” Dell said.

The new IT behemoth is betting that its leading rankings in storage, converged platforms and cloud infrastructure position Dell Technologies to compete head-on with the likes of IBM (NYSE: IBM) and Hewlett-Packard Enterprise (NYSE: HPE) as the phrase “digital transformation” transitions from a marketing buzz phrase to reality. Dell and others are targeting enterprise customers searching for new ways to cope with growing data volumes while scaling the delivery of distributed business applications.

Dell Technologies and its rivals also are betting that converged hybrid cloud platforms running cloud native applications represent the future of enterprise IT. Hence, David Goulden, president of the new Dell EMC Infrastructure Solutions Group, said the new unit would likely extend partnerships with public cloud providers as it launches the combined cloud IT infrastructure unit.

Dell’s merger with EMC also underscores the fluid nature of a storage sector as next-generation technologies like all-flash arrays along with object and scale-out storage platforms make inroads in enterprise datacenters. EMC competitors such a scale-out network-attached storage specialist Qumulo Inc. emphasized market unease over the merger, including possible product overlap.

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Cloud Storage Market Worth $74.94 Billion by 2021

| prnewswire.co.in
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According to a new market research report Cloud Storage Market by Solution (Primary Storage, Disaster Recovery & Backup Storage, Cloud Storage Gateway & Data Archiving), Service, Deployment Model (Public, Private & Hybrid), Organization Size, Vertical & Region – Global Forecast to 2021″, published by MarketsandMarkets, the market size is estimated to grow from $ 23.76 Billion in 2016 to $ 74.94 Billion by 2021, at a CAGR of 25.8% from 2016 to 2021.

North America is expected to contribute the largest market share; Asia-Pacific (APAC) to grow the fastest

North America is expected to hold the largest market share and dominate the Cloud Storage Market from 2016 to 2021 owing to large investments in cloud-based solutions, early adoption of new & emerging technologies, and high internet penetration. The APAC region is in the initial growth phase; however, it is the fastest-growing region for the global Cloud Storage Market. The key reasons for the high growth rate in APAC are growing demand for hybrid cloud storage, increasing need for enterprise data storage, and rising cloud-based applications.

Cloud storage gateway solution is expected to grow at the highest CAGR during the forecast period

The cloud storage gateway solution has gained importance over the years owing to its easy integration into the existing infrastructure of the enterprises. This solution provides additional features such as encryption, compression, and de-duplication to make effective use of the available network bandwidth and transfer data rapidly on cloud.

Managed services segment is expected to grow at the highest rate during the forecast period

Among services, the managed services segment is expected to grow at the highest rate in the Cloud Storage Market during the forecast period. Managed services allow enterprises to focus on their core businesses, service quality, and better end user experience while delivering optimized and quality IT services. Managed Service Providers (MSPs) offer remote management and monitoring of IT infrastructure of the end user under a subscription model. Therefore, enterprises are increasingly opting for managed services to overcome the challenges of budget constraints and technical expertise as MSPs have specialized resources, infrastructure, and industry certifications.

The major vendors providing cloud storage solutions and services are Amazon Web Services (Seattle, Washington, U.S.); IBM Corporation (Armonk, New York, U.S.); Microsoft Corporation (Redmond, Washington, U.S.); VMware Inc. (Palo Alto, California, U.S.); HP Enterprise Company (Palo Alto, California, U.S.); Google Inc. (Mountain View, California, U.S.); Oracle Corporation (Redwood City, California, U.S.); EMC Corporation (Hopkinton, Massachusetts, U.S.); Rackspace Hosting, Inc. (San Antonio, Texas, U.S.); and Dropbox, Inc. (San Francisco, California, U.S.).

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CIOs Are Leading the Push Toward Cloud Adoption

| eweek.com
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A recent Unisys survey shows that chief information officers, above all others in the enterprise, are the primary drivers of cloud adoption.

Unisys has released results of a recent survey that indicates that chief information officers (CIOs) are the key drivers in migrating enterprise IT resources to the cloud. The company surveyed 200 IT and business executives in the United States and 72 percent of them said the CIO is their organization’s primary driver of cloud migration. Others in the so-called C-suite rated much lower than the CIO. Only 6 percent of respondents said their organization’s CEO was the primary driver for cloud adoption, 4 percent said the organization’s board of directors was the key driver and 3 percent said their chief financial officer was leading their move to the cloud. Ironically, though, survey respondents cited cost savings and gaining faster access to computing capacity as their main reasons for moving to the cloud. Sixty-three percent of respondents cited cost reduction as their key motivation for cloud adoption and 62 percent cited on demand access. Additionally, 44 percent said their move to the cloud was prompted by needing to replace end-of-life technology. When asked which cloud platforms they used, 46 percent of respondents said they used Microsoft Azure and 42 percent said they were using Amazon Web Services (AWS). Yet, 21 percent said they had not yet moved to the cloud.

Meanwhile, according to the survey, cloud-based applications are still the exception, not the norm. The survey showed that most companies still keep the majority of their applications on premise, particularly mission critical apps (78 percent) and storage (67 percent). Still, there is a clear trend of steady migration to the cloud, as 67 percent of respondents said they plan to have at least half of their IT resources in the cloud within the next two years, and 44 percent said they see more than 75 percent of their applications residing in the cloud within two years. “This study shows that far-sighted CIOs have a clear view of the competitive, operational and economic benefits of cloud computing, and are taking energetic action to realize them for their organizations,” said Steve Nunn, vice president of Cloud and Infrastructure Services at Unisys, in a statement. “At the same time, those decision-makers are clear-eyed about the need to secure both existing IT and new cloud resources in order to protect vital business assets.” Indeed, security remains a concern among cloud adopters. Forty-two percent of respondents cited security as the most challenging aspect of cloud management, far outweighing all other concerns. The next biggest concern cited among respondents, at 16 percent, was having multiple disconnected platforms. In addition, survey respondents indicated a heavy reliance on data centers. Forty-six percent of respondents said 75 percent of their IT is in data centers as opposed to public or private cloud environments. However, respondents were most comfortable with private cloud environments. In terms of forecasted use of the cloud, 68 percent of respondents said they plan to have half or more of their IT resources on private cloud within two years.

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Global Data Center Storage Market to Grow at a CAGR of 15.01% thru 2020

| Press releases

Global Data Center Storage Market 2016-2020 Size and Share Published in 2016-07-26 Available for US$ 2500 at Researchmoz.us Description A data center storage system is a repository for storing business information or data for a period of time depending on the needs of end-users. Enterprise users can fetch these data and share them through interconnected networks or online. Data center storage comprises of SSD and HDD devices that are commonly used in SAN, NAS, and DAS environments.

Technavios analysts forecast the global data center storage market to grow at a CAGR of 15.01% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the global data center storage market for 2016-2020. To calculate the market size, the report considers revenue generated from the sales of storage area network (SAN), network-attached storage (NAS), and direct-attached storage (DAS) systems.

The market is divided into the following segments based on geography:

Americas

APAC

EMEA

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EMC Storage Hardware Sales To Remain Suppressed, Services To Drive Growth

| nasdaq.com
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Over the last couple of years, EMC has witnessed a slowdown in its core information storage business, with its subsidiary VMware ( VMW ) driving much of the growth.

The net revenues generated by EMC’s information infrastructure segment, which includes product and services revenues for storage hardware, content management and information security, fell by 6% on a y-o-y basis to $3.4 billion through March quarter. On the other hand, the combined revenues of VMware and Pivotal were up almost 7% to $1.7 billion in the same period. The trend is expected to continue through the June quarter given the weak global spending on storage hardware. The company has not provided any guidance for 2016 due to the pending acquisition by Dell , which is likely to be completed by Q3 this year.

According to IDC-reported data, EMC’s share in the storage systems market has fallen considerably over the last couple of years, a trend consistent across most large storage vendors, including NetApp, HP Enetrprise, Hitachi and IBM.

 EMC’s share in the market stood at 24.9%, roughly 5 percentage points over early 2015 levels. EMC’s revenue decline in the March quarter this year outpaced the industry-wide decline.

Correspondingly, EMC’s Information Storage revenues have declined as a proportion of EMC’s net revenues over the last few years. We forecast EMC’s information storage revenues to decline from 73% of net revenues in 2011 to about 66% in 2016 and subsequently to around 60% in 2021. Comparatively, VMware’s contribution to EMC’s top line and operating profits has increased over the past few years.

Read more: http://www.nasdaq.com/article/emc-earnings-preview-storage-hardware-sales-to-remain-suppressed-services-to-drive-growth-cm649970#ixzz4ElroHoEM

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Hyper-converged architectures receive value from deduplication process

| Converged and hyper
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As capacity becomes cheaper, some storage administrators might assume deduplication is less relevant. But in hyper-converged data centers, the technology is as important as ever.

Deduplication, the process of eliminating redundant data segments across files, brings value to all parts of the data center. It allows backup targets to approach the price of tape libraries and permits all-flash arrays to compete favorably with hard disk-based systems. Savings are not only seen in terms of capacity, but in performance due to the elimination of writes. Using a deduplication process can add more potential value to hyper-converged architectures.

Most hyper-converged architectures are hybrid, meaning they use flash and hard disk-based storage and transparently move data between those tiers. Deduping the flash storage tiers delivers the most return on an organization’s deduplication investment because flash has a higher cost per gigabyte versus hard disks. As a result, many vendors decide not to spend the compute resources required to deduplicate the hard-disk tier. The hard-disk tier is also slower and requires a more efficient deduplication process to avoid an effect on performance. This requires extra development resources as well. But if that investment is made, there is a payoff. While squeezing additional capacity out of the hard-disk tier does not deliver the dollar-per-gigabyte savings that flash does, it can help in the following ways.

Compute inefficiency: Hyper-converged systems scale capacity by adding nodes to the cluster. Each additional node typically provides a set amount of flash, hard-disk storage and additional compute resources.

Using a deduplication process helps resolve, or at least limit, the compute inefficiency problem by enabling the architecture to densely pack data on both the flash and hard-disk tiers. This density means IT does not need to add nodes as quickly to keep up with capacity demands, so the cluster may not end up with excess compute resources as quickly. There is also the physical advantage of not having to take up as much data center floor space. While storage may be cheap, new data centers are not.

Network efficiency: Hyper-converged architectures are busy frameworks of nodes. The architecture writes new data in segments, and each segment goes to a specific node. Inline deduplication identifies redundant data prior to sending it across the cluster; this increases network efficiency by the same factor as the deduplication rate.

As the cost per gigabyte of hard-disk storage — and especially flash-based storage — continues to decline, IT may regard deduplication as an unnecessary technology whose expense may not equal its potential payoff. But dedupe has other benefits, such as limiting the growth of cluster nodes and improving storage media and network performance through write elimination. Some vendors have even gone so far as to integrate data protection into their hyper-converged architectures by leveraging deduplication to make data protection nearly cost-free. Given these capabilities, deduplication is more valuable to hyper-converged architectures than ever.

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WW Cloud Infrastructure Revenue Grows 3.9% to $6.6 Billion in 1Q16

| storagenewsletter.com
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According to the International Data Corporation‘s Worldwide Quarterly Cloud IT Infrastructure Tracker, vendor revenue from sales of infrastructure products (server, storage, and Ethernet switch) for cloud IT, including public and private cloud, grew by 3.9% year over year to $6.6 billion in 1Q16 on slowed demand from the hyperscale public cloud sector.

Total cloud IT infrastructure revenues climbed to a 32.3% share of overall IT revenues in 1Q16, up from 30.2% a year ago. Revenue from infrastructure sales to private cloud grew by 6.8% to $2.8 billion, and to public cloud by 1.9% to $3.9 billion.

In comparison, revenue in the traditional (non-cloud) IT infrastructure segment decreased by 6.0% year over year in the first quarter, with declines in both storage and servers, and growth in Ethernet switch.

A slowdown in hyperscale public cloud infrastructure deployment demand negatively impacted growth in both public cloud and cloud IT overall,” said Kuba Stolarski, research director for computing platforms, IDC. “Private cloud deployment growth also slowed, as 2016 began with difficult comparisons to 1Q15, when server and storage refresh drove a high level of spend and high growth. As the system refresh has mostly ended, this will continue to push private cloud and, more generally, enterprise IT growth downwards in the near term. Hyperscale demand should return to higher deployment levels later this year, bolstered by service providers who have announced new datacenter builds expected to go online this year. As the market continues to work through this short term adjustment period, with geopolitical wild cards such as Brexit looming, end-customers’ decisions about where and how to deploy IT resources may be impacted. If new data sovereignty concerns arise, service providers will experience added pressure to increase local datacenter presence, or face potential loss of certain customers’ workloads.

 

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$1.5 Trillion Reasons Cloud with Data Reduction Wins

| By: (61)

Experts say the hybrid cloud will house 80% of world data by 2020 and that Linux will be the leading OS – making open source THE platform of choice for the cloud era.  From our interactions with large enterprise customers as well as with telco/service providers, we can confirm that both trends are happening in the market. One metric we have for this is demand for data reduction in the…

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47% of Enterprises Using or Evaluating Hyperconverged Solutions

| storagenewsletter.com
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Evaluator Group, Inc. and the Storage Networking Industry Association (SNIA) announced the availability of their joint research study Hyperconverged Use in the Enterprise

The report reveals:

  • 47% of enterprises surveyed (companies with >1000 employees) were using or evaluating hyperconverged solutions for infrastructure consolidation
  • 42% of enterprises were using or evaluating hyperconverged solutions for VDI

The study ranks the other common hyperconverged use cases such as consolidation and data protection and lists the hyperconverged products that enterprises have chosen or were evaluating for these use cases.
 
The pressure to improve data center efficiency, especially the effort and time required to deploy new infrastructure, is driving enterprises to consider alternatives, such as hyperconverged solutions,” said Eric Slack, Evaluator Group senior analyst. “The enterprises we surveyed are focused on hyperconverged products from their primary suppliers. And while hyperconverged adoption will be a gradual process (enterprises won’t be ‘sweeping the floor’), most of the IT organizations we interviewed were open to eventually using this technology in tier 1 applications.”
 
David Dale, SNIA chairman, added: “Enterprise IT is rapidly changing with new technologies and architectures including hyperconverged systems, software defined storage and all-flash arrays. These survey results reinforce the importance of SNIA technology initiatives focused on solid state system use-case workloads and performance, new scale-out storage management, and data protection and security.”

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Hewlett Packard Enterprise Gets Leaner And Focuses On Hybrid Cloud

| Seeking Alpha
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According to a MarketsandMarkets report, the hybrid cloud market is expected to reach $85 billion in 2019, up from $25 billion in 2014. That translates to a CAGR of 27%, which outpaces the growth of the overall IT market. Hybrid cloud is a strong focus area for Hewlett Packard Enterprise (NYSE:HPE) after the recent split. HP (NYSE:HPQ), on the other hand, is continuing to struggle after the split.

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