IDC: Cloud IT infrastructure spending grew 12.4% in 4Q19

According to the International Data Corp. (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker, total end-user spending on IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, recovered in the fourth quarter of 2019 (4Q19) after two consecutive quarters of decline. The 12.4% year-over-year growth in 4Q19 yielded $19.4 billion in spending. The fourth-quarter results also brought the full year into positive territory with annual growth of 2.1% and total spending of $66.8 billion for 2019. Meanwhile, the overall IT infrastructure market continued to struggle after its strong performance in 2018, up 3.3% to $38.1 billion in 4Q19 but declining 1.1% to $134.4 billion for the full year. Non-cloud IT infrastructure fell 4.6% to $18.7 billion for the quarter and declined 4.1% to $67.7 billion for the year.

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Windows Systems and Network

Zayo Bolsters Global Network Infrastructure, Increases Capacity to Meet Rapid Bandwidth Demand

Business Wire | October 10, 2023

Zayo Group Holdings, Inc., a leading global communications infrastructure platform, today announced its latest series of infrastructure investments to extend global capacity to support rapidly increasing bandwidth demand—including deployment of 400G across the globe, long-haul capacity growth, and enhancements to its global IP infrastructure. Next-generation technology is being deployed at never-before-seen rates. This has placed the communications infrastructure industry at a unique inflection point as all digital businesses—enterprises, carriers and hyperscalers alike—scramble to ensure they have enough capacity to support these technologies, said Bill Long, Chief Product Officer at Zayo. As this trend plays out, it will be a strong tailwind for those providers who can capitalize on the moment. As one of the newest and most modern networks on the market, Zayo is uniquely positioned to support this growing demand for global bandwidth. Deploying 400G Globally For today’s digital businesses, 400G is essential to ensure the speed and scalability to support increasingly complex and data-intensive applications. Zayo recently completed upgrades of its European network to be fully 400G-enabled, with plans for its Tier-1 backbone in North America to be fully 400G-enabled by the end of 2024. In Q3, Zayo added nine new 400G-enabled routes to its North American network to provide high-bandwidth options between key cities, including: Atlanta to DC Denver to Dallas (Direct) Montreal to Quebec City Clinton to Ponchatoula Indianapolis to Columbus Ashburn to Baltimore Bend to Umatilla Laurel to Denver Additional 400G routes in progress include: Houston to New Orleans St. Louis to Chicago Buffalo to Albany Winnipeg to Toronto Toronto to Montreal Buffalo to Toronto Columbus to Ashburn Cleveland to Buffalo Houston to Ponchatoula Umatilla to Quincy What this means: The enablement of Zayo’s global network with 400G will allow customers to continue scaling their bandwidth with Zayo on existing routes, opening up high-capacity access on new routes, improving network stability and providing an overall better customer experience through quicker delivery and optimal routing. The enhanced capacity from these routes will support customers that have exponential growth needs driven by emerging technologies such as 5G, cloud adoption, IoT, AI, edge computing, and automation. Expanding Global Low-Latency Network Zayo has also been working to expand capacity in other key economic centers across the globe. In October 2022, Zayo announced its global low-latency route connecting the U.S. to South America’s financial hub of Sao Paulo. In Q3 2023, the company completed expansions to its connectivity infrastructure in Sao Paulo including a new key terrestrial route that will provide connectivity throughout the metro ring and to four key data centers. New Sao Paulo Points of Presence (PoPs): Alameda Araguaia, 3641, Alphaville, Barueri, SP, 06455 000, Brazil Av. Marcos Penteado de Ulhoa Rodrigues, 249, Santana de Parnaiba, SP, 06543 001, Brazil Avenida Ceci, 1900, Tambore, Barueri, SP, 06460 120, Brazil Rua Ricardo Prudente de Aquino, 85 Santan de Parnaiba, Brazil What this means: As Latin America’s center of innovation and commerce, São Paulo has seen an increased demand for connectivity from the U.S. To meet the growing needs of customers, Zayo is establishing diverse, high-bandwidth connectivity from its first-class North American fiber network directly into the largest economic center in the Southern Hemisphere. IP Infrastructure Growth IP demand continues to be a driver for capacity increases. Zayo continues to bolster its IP infrastructure with new PoPs in key markets and data centers across the globe. Zayo added eight new IP PoPs to its North American network in Q3, including: 45 Parliament St, Toronto, ON 250 Williams St NW, Atlanta, GA 6477 W Wells Park Rd, Salt Lake City, UT 2335 S Ellis St, Chandler, AZ 375 Pearl St, New York, NY 626 Wilshire Blvd, Los Angeles, CA 431 Horner Ave, Etobicoke, ON 1100 White St SW, Atlanta, GA Zayo's IP backbone, which runs on Zayo's wholly owned fiber infrastructure, makes up nearly 10% of the world's Internet capacity. Zayo currently manages 96Tb of core capacity and 34TB of peering capacity, and adds 1-2Tb of peering capacity every quarter. Upgrading Long-Haul Capacity As one of the other providers actively investing in its long-haul infrastructure, Zayo is continuing to overbuild its routes in high-demand areas to enable enhanced fiber capacity. In Q3 2023, Zayo completed the overbuild of its Omaha to Denver route, providing increased capacity on this highly sought-after route. Zayo also has three new long-haul route builds and two additional route overbuilds in progress with scheduled completion by the end of 2023. What this means: The enhancement to Zayo’s long-haul dark fiber routes provide customers with diverse routing options and the ability to customize and enhance their network to meet the unique needs of their businesses while maximizing resiliency and ability to scale. Zayo will continue to invest in future-proofing its network and services to connect what’s next for its customers. About Zayo For more than 15 years, Zayo has empowered some of the world’s largest and most innovative companies to connect what’s next for their business. Zayo’s future-ready network spans over 17 million fiber miles and 142,000 route miles. Zayo’s tailored connectivity and edge solutions enable carriers, cloud providers, data centers, schools, and enterprises to deliver exceptional experiences, from edge to core to cloud. Discover how Zayo connects what’s next at www.zayo.com and follow us on LinkedIn and Twitter.

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Hyper-Converged Infrastructure

Cloudflare Helps Companies Reduce Their IT Infrastructure's Carbon Footprint By Up To 96% by Moving To The Cloud

Business Wire | September 26, 2023

Cloudflare, Inc. (NYSE: NET), the security, performance, and reliability company helping to build a better Internet, today shared a new independent report published by Analysys Mason that shows switching enterprise network services from on premises devices to Cloudflare’s cloud-based services can cut related carbon emissions up to 78% for very large businesses to up to 96% for small businesses. The report is one of the first of its kind to calculate potential emissions savings achieved by replacing enterprise network and security hardware boxes with more efficient cloud services. Global Internet usage accounts for 3.7% of global CO2 emissions, about equal to the CO2 emissions of all air traffic around the world. The Internet needs to reduce its overall energy consumption, especially as regulators continue to implement the Paris Climate Accord, including plans to transition to a zero emissions economy. The European Climate Law requires that Europe’s economy and society become climate-neutral by 2050, with a target of reducing net GHG emissions by at least 55% by 2030, compared to 1990 levels. Regulators in the United States and the European Union, among others, have also announced plans to require companies to disclose climate-related information including carbon emissions resulting from their operations and supply chains, as well as climate related risks and opportunities. Finally, among the Fortune Global 500, 63% of companies now set 2050 targets for emissions reductions. Companies large and small will increasingly be looking to reduce carbon throughout their supply chains, particularly their IT infrastructure. “The best way to reduce your IT infrastructure’s carbon footprint is easy: move to the cloud,” said Matthew Prince, CEO and co-founder, Cloudflare. “At Cloudflare, we’ve built one of the world’s most efficient networks, getting the most out of every watt of energy and every one of our servers. That’s why, with Cloudflare, companies can help hit their sustainability goals without sacrificing security, speed, performance, or innovation.” The Analysys Mason study found that switching enterprise network services from on premises devices to Cloudflare services can cut related carbon emissions up to 96%, depending on the current network footprint. The greatest reduction comes from consolidating services, which improves carbon efficiency by increasing the utilization of servers that are providing multiple network functions. On premises devices are designed to host multiple workloads and consume power constantly, but are only used for part of the day and part of the week. Cloud infrastructure is shared by millions of customers, often all over the world. As a result, cloud providers are able to achieve economies of scale that result in less downtime, less waste, and lower emissions. Furthermore, the Analysys Mason study found that there are additional gains due to the high Power Usage Effectiveness of cloud data centres, and differences in the carbon intensity of generation in the local electricity grid. ​“Happy Cog is a full-service digital agency that designs, builds, and markets experiences that engage our clients and their audiences. We’ve relied on Cloudflare for many of those websites and apps because it's secure, reliable, fast, and affordable – but also aligns with many of our clients’ sustainability roadmaps and goals,” said Matt Weinberg, Co-Founder and President of Technology at Happy Cog. “Switching our clients from their previous on premises or other constant-usage infrastructure to Cloudflare's network and services has let them be greener, more efficient, and more cost effective. It's ideal when you can offer your clients a solution that covers all their needs and provides a delightful experience now, without having to compromise on their longer term priorities.” About Cloudflare Cloudflare, Inc. (www.cloudflare.com / @cloudflare) is on a mission to help build a better Internet. Cloudflare’s suite of products protect and accelerate any Internet application online without adding hardware, installing software, or changing a line of code. Internet properties powered by Cloudflare have all web traffic routed through its intelligent global network, which gets smarter with every request. As a result, they see significant improvement in performance and a decrease in spam and other attacks. Cloudflare was awarded by Reuters Events for Global Responsible Business in 2020, named to Fast Company's Most Innovative Companies in 2021, and ranked among Newsweek's Top 100 Most Loved Workplaces in 2022.

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Application Infrastructure

Penguin Solutions Certified as NVIDIA DGX-Ready Managed Services Partner

Business Wire | September 28, 2023

Penguin Solutions™, an SGH™ brand (Nasdaq: SGH) that designs, builds, deploys, and manages AI and accelerated computing infrastructures at scale, today announced that it has been certified by NVIDIA to support enterprises deploying NVIDIA DGX™ AI computing platforms under the NVIDIA DGX-Ready Managed Services program. NVIDIA DGX systems are an advanced supercomputing platform for large-scale AI development. The NVIDIA DGX-Ready Managed Services program gives customers the option to outsource management of DGX systems deployed in corporate data centers, including the implementation and monitoring of server, storage, and networking resources required to support DGX platforms. Generative AI requires a completely new computing infrastructure compared to traditional IT, said Troy Kaster, vice president, commercial sales at Penguin Solutions. These new computing infrastructures require services skills, which Penguin is uniquely qualified to support given our extensive experience partnering with some of the largest companies in AI. As a full-service integration and services provider, Penguin has the capabilities to design at scale, deploy at speed, and provide managed services for NVIDIA DGX SuperPOD solutions. Penguin has designed, built, deployed, and managed some of the largest AI training clusters in the world. Penguin currently manages over 50,000 NVIDIA GPUs for Fortune 100 customers including Meta’s AI Research SuperCluster – with 2,000 NVIDIA DGX systems and 16,000 NVIDIA A100 Tensor Core GPUs – one of the most powerful AI training clusters in the world. “AI is transforming organizations around the world, and many businesses are looking to deploy the technology without the complexities of managing infrastructure,” said Tony Paikeday, senior director, DGX platform at NVIDIA. “With DGX-Ready Managed Services offered by Penguin Solutions, our customers can deploy the world’s leading platform for enterprise AI development with a simplified operations model that lets them tap into the leadership-class performance of DGX and focus on innovating with AI.” Advantages of Penguin Solutions powered by NVIDIA DGX include: Design large-scale AI infrastructure combining the most recent DGX systems, ultra-high speed networking solutions, and cutting-edge storage options for clusters tailored to customer requirements Manage AI infrastructure making the most of multiple layers of recent hardware and software, such as acceleration libraries, job scheduling and orchestration Reduce risk associated with investments in computing infrastructure Optimize efficiency of AI infrastructure with best-in-class return on investment. About Penguin Solutions The Penguin Solutions™ portfolio, which includes Penguin Computing™, accelerates customers’ digital transformation with the power of emerging technologies in HPC, AI, and IoT with solutions and services that span the continuum of edge, core, and cloud. By designing highly-advanced infrastructure, machines, and networked systems we enable the world’s most innovative enterprises and government institutions to build the autonomous future, drive discovery and amplify human potential.

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