With budget cuts, data centers accept more risk

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Data centers are taking on more risk to cut costs, but they may just have been previously overestimating actual risk, according to a new report from researcher DCD Intelligence.

"It would appear that for the past decade companies have been overestimating risk-based concerns, since when money was readily available this was the more cautious approach," said DCD Intelligence managing director Nicola Hayes. But tighter corporate budgets are encouraging data center operators to consolidate operations, reduce data center capacity and shift to centers with less redundancy.

In practice, that can mean going with a Tier 3 facility instead of Tier 4--which means losing Tier 4's dual-powered cooling systems and fault-tolerant site power distribution, and increasing expected annual downtime from 27 minutes to 95 minutes.

Some data centers are even considering a shift to even less expensive Tier 2 operations (annual downtime: almost 23 hours), but building fault tolerance into applications. That adds its own challenges. "As most large organizations operate hundreds or thousands of applications, it can be difficult to predict how they interact with each other," Hayes said. "Application resiliency is still in its early stages."

For more:
- see Melanie Rodier's article at Wall Street & Technology

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