IBM Announces Sweeping Initiative to Address Major Shift in the Flow of World's Data: Financial News

IBM Announces Sweeping Initiative to Address Major Shift in the Flow of World's Data
Monday September 8, 2008 12:24 pm ET

Largest Information Infrastructure Launch Ever for IBM; New Offerings Enable Clients to Tackle Information Challenges and Move Data From Institutions to Individuals and "Clouds"

MONTPELLIER, FRANCE and ARMONK, NY and TOKYO--(MARKET WIRE)--Sep 8, 2008 -- IBM (NYSE:IBM - News)

New technologies and services for businesses, governments designed to tackle massive growth and mobility of data; skyrocketing energy costs, security concerns and more demanding consumers;
Largest information infrastructure launch ever for the company that invented the disk drive, relational database -- more than 30 new and upgraded information infrastructure technologies and services unveiled;
$2 billion investment; three years and more than 2,500 IBM researchers and developers from nine different countries; key acquisitions in the last 24 months cement strategy.(1)
Average individual's "information footprint" -- the digitization of entertainment, healthcare, security, retail preferences -- will grow from 1 terabyte (about 50,000 trees cut and printed) per year to more than 16 terabytes by 2020, according to IBM.(2)
Technologies incubating in IBM's labs such as the long-term archiving project, solid state technologies, memory breakthroughs, real-time decision making to further enhance future storage offerings (see separate release on http://www.ibm.com/press).

IBM today announced its largest launch ever of new storage hardware, software and services that are the building blocks for the world's strongest information infrastructure portfolio. The new IBM offerings are designed to enable businesses, governments and other institutions to transform static data managed in silos into more dynamic information that is accessible by individuals wherever they go in a cloud computing environment.

As consumers now look to "take their information" with them -- improving their healthcare, security, entertainment, social life and consumer experience anytime, around the globe, in real time -- businesses are struggling with outdated data centers, which are unable to handle the increased information management demands.

The proliferation of the mobile web, connected sensors everywhere, from cars to pipelines, online medical records, and the explosive growth of Web 2.0 data and social networking, are leading to 16-fold growth in each individual's "information footprint" by 2020, according to IBM. Infrastructures need to adapt today to meet this demand.

In response, IBM today delivered critical elements for an information infrastructure as part of its New Enterprise Data Center strategy. These elements focus on the availability, compliance and retention, and security pain points for clients as they re-design their data centers. More than 30 new and upgraded products and services are being introduced across the IBM portfolio to meet these critical needs:

Internet-Scale Availability: Today's infrastructure is not designed to efficiently manage the estimated two billion people who will be on the Web by 2011(3) nor the expected one trillion connected objects -- cars, appliances, cameras, roadways, pipelines -- comprising "the Internet of things." Cost-effective, scale-out technologies are needed as an essential element of a client's information infrastructure to enable Internet scale and speed for the management of vast amounts of online information within an organization and out to billions of individuals. Businesses must be prepared for this new phase of "cloud computing," giving consumers access to data and systems remotely, from any device, anywhere. To meet these needs, IBM announced a series of products and offerings enabling Internet Scale Availability. Among the highlights:

An entirely new, highly scalable disk storage system designed to handle today's diverse mix of information -- from Web 2.0 to traditional applications such as financial services. Developed from the XIV acquisition in January, this new enterprise disk offering features a unique grid-based architecture that offers easier management, greater performance scalability, self-tuning/healing and thin provisioning to help reduce the cost and complexity of information storage while enabling consistently quick access of data for today's dynamic range of workloads. More information on the IBM XIV system can be found here: http://www.ibm.com/systems/storage/disk/xiv/index.html
Designed to meet demanding mid-range data center requirements, IBM is introducing a new disk storage system which can add interfaces, increase performance, grow capacity as Internet scale demands, and be reconfigured on-the-fly. More information on the DS5000 can be found here: http://www.ibm.com/systems/storage/disk/ds5000/index.html
IBM is offering new storage virtualization software that helps clients more efficiently manage and consolidate volumes of business data, providing clients with a storage solution designed to help improve utilization rates, energy efficiency, availability, and scalability of critical applications. More information on SVC can be found here: http://www.ibm.com/systems/storage/software/virtualization/svc/index.html
As a means to support storage optimization, IBM is announcing new scale out file services (SOFS), flexible storage virtualization services that will help alleviate data storage challenges by enabling quick implementation of highly scalable, global, clustered network attached storage systems. More information on SOFS can be found here: http://www-935.ibm.com/services/us/its/html/sofs-landing.html

Consolidation and Retention: Today's information infrastructure suffers from massive inefficiency in both duplicate sources of the same information and excessive energy costs. Leading analysts have stated that 50 percent of data centers will run out of power or space for their data centers sometime in 2008(4) and the energy consumed by U.S. data centers will grow from 1.5 percent to 2.5 percent of the nation's total energy consumption over the next five years.(5) To meet these needs, IBM announced a series of products and offerings enabling data center consolidation and retention. Among the highlights:

IBM is delivering new data de-duplication software and hardware from the Diligent Technologies acquisition in April, which may help clients reduce redundant data by a factor of up to 25:1(6) More information on the IBM ProtecTier offering can be found here: http://www.ibm.com/systems/storage/tape/ts7650g/index.html
To help clients retain and back-up copies of their critical data off-site, and ensure the continuous availability of e-mail and mission critical applications and data on site in the event of a disaster, IBM is introducing Onsite and Remote Data Protection offerings through its acquisition of Arsenal. More information can be found here: http://www.ibm.com/services/us/index.wss/offerfamily/bcrs/a1026934
Physical space is a huge problem for data centers today as they look to consolidate, so a new high density tape storage library frame is being introduced that can hold up to three-times more cartridges in a 10 square foot footprint, providing nearly twice the storage density of Sun(7). More information on the TS3500 can be found here: http://www.ibm.com/systems/storage/tape/ts3500/index.html
IBM is introducing an upgraded high end disk offering that adds more IBM mainframe storage functionality for customers dealing with large database growth in their mainframes. The updated disk offering will also have RAID 6 protection -- while delivering 50 percent more storage capacity(8) in the same footprint with new, higher capacity, performance-optimized drives -- allowing clients to keep data center costs and energy usage down. More information on the DS8000 can be found here: http://www.ibm.com/systems/storage/disk/ds8000/index.html

Security: Ensuring that the information in a data center is secure and being accessed only by those authorized has become a top concern for all data centers -- large and small. A recent data center hack cost one company more than $60 million dollars in damages through theft of data and unauthorized use of credit card information of consumers.(9) Meanwhile, the availability and authentication of data -- from massive corporate and government databases to the 1 billion people expected to be using the mobile web(10) this year -- is a key priority.

IBM is enhancing its leading compliance disk storage offering with enhanced drives that will enable 33 percent more disk capacity.(11) Unlike the EMC Centera(12), the IBM system allows partitioning to run third-party ISV applications and leverages both disk and tape, allowing clients to reduce their total cost of ownership and power consumption up to 50 percent.(13) More information on the DR550 can be found here: http://www.ibm.com/systems/storage/disk/dr/index.html
IBM is formally offering clients the world's fastest one terabyte storage tape drive, far surpassing the current Sun offering(14), to help them protect and archive more information with less cost and less energy usage. Storing up to one terabyte of uncompressed data per tape cartridge, storage backups can be completed up to 54 percent faster than the previous IBM generation drive. More information on the TS1130 can be found here: http://www.ibm.com/systems/storage/tape/ts1130/index.html
In the emerging area of information security and encryption key management for storage -- where information is "locked" and can only be accessed by users who have "keys," IBM will release new Tivoli Key Lifecycle Management software, which helps automate the management of keys where disk and tape storage devices cannot be compromised if lost or stolen. More information on TKLM can be found here: http://www-01.ibm.com/software/tivoli/solutions/security/
To help clients cost-effectively monitor, secure and manage their IT infrastructures while addressing increasing workloads, IBM is announcing new Remote Managed Infrastructure Services (RMIS). These services offer clients a new model for efficient IT management and security with minimal disruption to existing environments, allowing clients to maintain their existing assets on-site. More information on RMIS can be found here: http://www-935.ibm.com/services/us/its/html/rmis-landing.html

More than 30 new products and services from IBM Systems and Technology Group, IBM Software Group and IBM Research were announced today, supporting the information infrastructure pillar of IBM's New Enterprise Data Center strategy. Coupled with new announcements from IBM's Global Technology Services business, IBM aligns critical storage usage to a client's direct business priorities, helps them reduce the risk, cost, complexity and planning efforts required for large data migrations, and delivers strategic IBM design and implementation services to target client pain-points. For a full listing of all the products and services announced today, please visit http://www.ibm.com/systems/storage/product/showcase/index.html

Through home-grown innovation, development and acquisitions, today's announcement marks a $2 billion investment, three years of research and development, and a global team of more than 2,500 storage technical professionals, engineers and researchers from nine different countries including France, Germany, Israel, Japan, Mexico, Singapore, Switzerland, United States, and the United Kingdom. Key acquisitions of XIV, Diligent, Cognos, Arsenal, Optim, FilesX, Softek, and NovusCG over the last 24 months add strategic pieces to the strongest ever information infrastructure portfolio of offerings unveiled today.

"The world is re-tooling its underlying IT infrastructure in a dramatic shift away from a decades-old client/server model to a radically more efficient Internet-style architecture. This requires different thinking and new capabilities, which we are addressing in this information infrastructure launch, with our investments going forward, and how IBM will do business with our clients," said Andy Monshaw, General Manager, IBM System Storage. "There is no bigger opportunity for our clients than to unlock the value they have in their data centers and help them create smart, innovative offerings for their end users -- the consumer. IBM is the only company in the world -- not HP, not EMC, not Sun -- with decades of research, industry knowledge, market leadership and the end-to-end capabilities to make this a reality for our clients."

To help clients accelerate their data center transformation initiatives and integrate these new IBM information infrastructure offerings into their data centers, IBM is also announcing the global opening of the New Enterprise Data Center Leadership Centers. At these new centers, more than 500 IBM engineers and experts across locations in the U.S. and Europe will work with clients and focus on solutions and best practices around energy efficiency, consolidation and virtualization, business resiliency and security and service management and information infrastructure. More information can be found here: http://www.ibm.com/support/techdocs/atsmastr.nsf/web/leadershipcenters

These new tools and offerings for the IBM information infrastructure will allow clients to streamline their data centers with highly integrated storage offerings focused around archive, compliance, retention, and security pain points to help clients deliver information as a service to their customers -- the consumers, who are looking for access to information at any time from any device. These tools and technology resources which IBM has been developing and amassing, open doors to new industry collaborations, and on demand storage technologies -- a key pillar in the emergence of cloud computing.

IBM Global Financing, the lending and leasing business segment of IBM, offers low-rate financing and environmentally safe storage asset disposal for this comprehensive suite of new information infrastructure offerings. IBM Global Financing rates are as low as 4.6% for hardware purchases; 4.8% for software; and 6.3% for services for best qualified clients. For information on easy funding options for clients seeking to finance these new storage technology capabilities, visit: http://www-03.ibm.com/press/us/en/pressrelease/25037.wss

For more information about IBM, IBM System Storage and the IBM Information Infrastructure, visit http://www.ibm.com/information_infrastructure

Reporter note: to listen to related IBM podcasts, watch video of clients, business partners and industry experts, and gain access to fact sheets and product photos, visit http://www-03.ibm.com/press/us/en/pressrelease/25035.wss

IBM, System Storage, and the IBM logo are trademarks or registered trademarks of International Business Machines Corporation. For a list of additional IBM trademarks, see www.ibm.com/legal/copytrade.shtml

 
1: Source: IBM internal
2: Source: IBM internal
3: Source: "Worldwide Internet Users Top 1 Billion in 2005." Computer
Industry Almanac. 4 Jan. 2006. 30 July 2008,
http://www.c-i-a.com/pr0106.htm
4: Source: EPA Report to Congress on Server and Data Center Efficiency,
presented on August 2, 2007
5: Source: November 29, 2006 press release: Gartner Says 50 Percent of Data
Centers Will Have Insufficient Power and Cooling Capacity by 2008:
http://www.gartner.com/it/page.jsp?id=499090
6: Source: Gartner's "Cool Vendors In Data Protection, 2008."  ID Number:
G00155726
7: Source: as of September 3, 2008.  Comparisons are based on published
data when comparing maximum tape cartridge slots per square foot.  The IBM
TS3500 with LTO can hold 125.
http://www-304.ibm.com/jct03004c/systems/storage/tape/ts3500/specifications.html. The
Sun SL8500 can hold 72.
http://www.sun.com/storagetek/tape_storage/tape_libraries/sl8500/specs.xml.
8: Source: As of September 3, 2008.  IBM compares.  The previous DS8000
release supported "performance-optimized" fibre channel drives of 73, 146,
and 300GB capacities. The new DS8000 R4 adds 450GB fibre channel drives.
9: Source: http://www.technewsworld.com/story/64072.html?welcome=1218640804
10: Source: Underwood, Lee. "Getting in on the 'Mobile' Internet."
Webreference.com. 8 Aug. 2008
http://www.webreference.com/programming/mobile/intro
11: Source: New IBM DR550 now has 1TB drives compared to previous
generation of IBM DR550 which has 750GB drives, thus increasing capacity 33
percent.
12: Source: comparisons based on published specifications, features and
benefits. Comparing the offering of the IBM DR550 vs. the EMC Centera based
on specs published at
http://www.emc.com/collateral/hardware/specification-sheet/c932-centera-cas-ss.pdf.
13: Source: results from IBM TCO Study for System Storage DR550, 2007.
Cuts total cost of ownership by 50% with blended tape and disk offering.
14: Source: as of September 3, 2008.  Comparisons are based on published
data.  The IBM TS1130 native sustained data rate (uncompressed) of 160 MBps
http://www-03.ibm.com/systems/storage/tape/ts1130/specifications.html vs
Sun T10000 native sustained data rate (uncompressed) of 120 MBps
http://www.sun.com/storagetek/tape_storage/tape_drives/t10000/specs.xml