Source URL: https://www.theregister.com/2025/01/02/cloud_hardware_research_hpe/
Source: The Register
Title: Screwed by the cloud: Hardware vendors looking for that raison d’refresh
Feedly Summary: 40% of world’s servers are 6 years +, drink 66% of DC energy, provide 7% of compute. Please refresh, says HPE
Four in ten of the servers currently residing in datacenters across the globe are at least six years old. Meanwhile, not only does this 40 percent slice consume 66 percent of the energy used by all bit barns – they also only provide 7 percent of the world’s total compute.…
AI Summary and Description: Yes
Summary: The content highlights the efficiency challenges posed by aging server infrastructure in data centers, emphasizing the need for technological refresh due to energy consumption and carbon footprint concerns. It discusses the shift towards cloud solutions, the impact of AI demands on hardware investment decisions, and the growing trend of enterprises questioning the cost-effectiveness of public cloud services.
Detailed Description:
– **Aging Infrastructure**: The article states that four in ten servers in global data centers are over six years old, consuming a disproportionate amount of energy compared to their compute contribution.
– **Energy Consumption**: These aging servers represent 40% of the total and consume 66% of energy while providing only 7% of the world’s computing power.
– **Need for Refresh**: HPE’s executive Neil MacDonald advocates for refreshing outdated hardware due to inefficiency in energy usage and the associated carbon footprint.
– **Example Provided**: A ProLiant Gen 11 server can replace eight Gen 8 servers, providing the same compute capacity with a 19% reduction in power consumption.
– **Economic and Sustainability Benefits**: Beyond energy savings, refreshing infrastructure can unlock computing capacity for different applications and help meet sustainability goals.
– **Shifting Market Dynamics**: Enterprises are increasingly looking to the cloud for AI capabilities rather than investing in on-premises solutions. Analysts suggest:
– Public cloud providers might dominate data center capacity, projected to reach over 60% by 2029.
– Large enterprises are prioritizing control, security, and compliance while considering cost efficiency.
– **Co-location Solutions**: With the challenges of traditional data centers, companies may turn to co-location and specialized hosting providers to manage their requirements without the downsides of ownership—like high power use and cooling needs.
– **Business Implications**: The text notes challenges HPE faces as traditional methods to persuade companies to purchase new servers are less effective. This reflects broader trends impacting the hardware market, including competition from public cloud offerings.
– **Market Forecast**: Despite traditional hardware struggles, the public cloud sector is expected to continue growing robustly, with revenues projected to leap to $805 billion in 2024 and double by 2028.
This analysis underscores the critical need for IT leaders to adapt their approaches in hardware acquisition and management, aligning with modern energy efficiency demands and shifting market expectations driven by cloud and AI advancements.