Countless companies are today making the switch to cloud, inspired by the promise of a more flexible, agile operating model. But while you have probably heard plenty of buzz about elastic scalability and cloud’s suitability for developers working on new software tools, there are also hard financial benefits to be gained by waving goodbye to on-premises infrastructure.
On the one hand, cloud eliminates the need for regular CAPEX payments for new hardware. But more than this, it can significantly reduce your energy consumption and related costs. And at a time when IT budgets are shrinking—especially for small and medium-sized enterprises—this makes cloud an especially compelling proposition.
Curbing Unnecessary Expenses
In the old days, purchasing and provisioning on-premise infrastructure was simply a fact of life. But when you add up the various costs and complexities involved in the process, glaring drawbacks soon emerge. Every new server takes up extra rack-space in your data center, and you have to power and cool the devices non-stop—leading to a substantial energy bill every month.
Moreover, when you deploy on-premise servers, it is standard practice to overprovision capacity so you have some headroom in case your workloads increase. But from the cost-efficiency standpoint, this doesn’t make sense: you are effectively paying to power and cool hardware resources that won’t be used, reducing the return on your investment.
Reducing Your Energy Usage
The Meridian Power Cloud offers you a smarter way to support your business operations. Rather than having to purchase, manage, and power on-premise infrastructure, you use server resources running in one of our data centers. As an IBM Platinum Business Partner, we operate one of the largest IBM Power Systems deployments globally, distributed across six data centers in the UK and others overseas.
As an IBM Platinum Business Partner, we have the expertise to tackle all the necessary server management and security tasks for you, and can support everything from mission-critical application workloads to AI-based analytics solutions and Open Source platforms like Red Hat Linux.
Using the Meridian Power Cloud will allow you to switch off unused servers and reduce the amount of physical hardware running in your data center. With less infrastructure to power and cool, you should see a corresponding reduction in your energy bills, along with the savings you unlock through no longer having to purchase software licenses for tools to secure and administer your own servers.
The extent of your savings will depend on various factors: the extent of the workloads you move to cloud, for example, and how much other hardware you still run locally. But reports from independent analysts confirm that companies have everything to gain from making the switch from energy-hungry local servers to using cloud-based infrastructure.
To give just one example, researchers at the Lawrence Berkeley National Laboratory in the United States looked at the potential benefits of moving email, customer relationship management, and other core business applications from on-premise servers to the cloud. They discovered the changeover could cut energy consumption by up to 87%.