IBM Energy Efficiency Initiative Steven Sams vp global site and facilities services
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1 IBM Energy Efficiency Initiative Steven Sams vp global site and facilities services Copyright IBM Corporation 2007
2 agenda 1 IBM Project Green 2 Data center challenges 3 IBM Energy Efficiency Initiative overview 4 New IBM Site and Facilities offerings 5 Why IBM 2 Copyright IBM Corporation 2007
3 Project Big Green IBM to reallocate $1 billion each year: - To accelerate green technologies and services - To offer a roadmap for clients to address the IT energy crisis - To create a global green team of almost 1,000 energy efficiency specialists from across IBM - IBM green solutions include the strength of IBM s hardware, software, services, research, and financing teams What green solutions can mean for clients: - For the typical 25,000 square foot data center that spends $2.6 million in power annually, energy costs can be cut in half. - Equals the reduction of emissions from taking 1,300 automobiles off of the road. $ $ $ $ 3 Copyright IBM Corporation 2007
4 5-Step Roadmap to Green Data Centers 1. Diagnose Get the facts to understand your energy use and opportunities for improvement. 2. Build Plan, build, and update energy efficient data centers. 3. Implement Deploy virtualized infrastructure and exploit specialty processors. 4. Manage Seize control with power management software. 5. Cool Exploit liquid cooling solutions inside and outside of the data center. 4 Copyright IBM Corporation 2007
5 Facing new pressures: Data centers are at a tipping point According to Gartner, The underlying consumption of energy in large data centers to power and cool hardware infrastructure is likely to increase steadily during the next ten years. 2 Increased Computing Demand Changing Cost Dynamics Data Center Lifecycle Mismatch In the next decade, growth in server shipments will be 6x and 69x for storage IBM / Consultant studies Per square foot, annual data center energy costs are 10 to 30 times more than those of a typical office building. 4 - William Tschudi, March 2006 Datacenters have doubled their energy use in the past five years. 5 - Koomey, February 2007 US commercial electrical costs increased by 10 percent from EPA Monthly Forecast, 2007 Eighty-six percent of data centers were built before Twenty-nine percent of clients identified data center capability affected server purchases - Ziff Davis 2. Gartner, Data Center Power and Cooling Scenario Through 2015, Rakesh Kumar, March William Tschudi, March Koomey, February EPA Monthly Forecast, Nemertes Research, Architecting and Managing the 21st Century Data Center, Johna Till Johnson, Copyright IBM Corporation 2007
6 The IBM Energy Efficiency Initiative Principles 1 Energy usage in the data center has a significant impact today and will have an even greater impact in the future 2 Real solutions are available now that can reduce data center energy usage 3 To meet the challenge, collaboration is a must across IT technology vendors, data center design and build businesses, infrastructure technology providers, energy utilities and governments 4 Think green. And think ahead. Understanding your energy facts is key. Expert advice can help make savings real 6 Copyright IBM Corporation 2007
7 Where does the energy go? The data center energy challenge affects both the physical data center and the IT infrastructure % of total data center electricity use Chiller/ Cooling Tower Cooling systems Humidifier Computer Room Air Conditioner Information Technology Power Distribution Unit Electrical and building systems Uninterruptible Power Supply Switch/ Gen Lighting Power Use 7 Copyright IBM Corporation 2007
8 Requires collaboration with the world s leading providers of data center infrastructure, energy providers, and government agencies Systems and technology Data Center services Management systems Data center infrastructure partners Collaboration: government, utilities Energy efficiency awareness, programs and incentives 8 Copyright IBM Corporation 2007
9 Data Center Energy Efficiency Assessment facts you need IBM provides a comprehensive, fact-based analysis that prioritizes tactical plans across your data center to improve efficiency and reduce costs. Offering benefits Energy savings: Infrastructure upgrades can provide from percent savings % of total data center electricity use ,000,000 Chiller/ Cooling Tower Cooling systems Humidifier Computer Room Air Conditioner Information Technology Power Use Power Distribution Unit Electrical and building systems Uninterruptible Power Supply Estimated Electricity Annual Savings Switch/ Gen Lighting Recommendations include: - Standard comparison - Low performance areas - Actions for improvement - Business cases to prioritize investments Energy Bill Cost ($USD) 2,500,000 2,000,000 1,500,000 1,000, ,000 Facilities IT 0 Current Practices Optimize Existing Infrastructure Upgrade Infrastructure 9 Copyright IBM Corporation 2007
10 Data Center Energy Efficiency Assessment using a simple standard to assess your data center s energy efficiency (1) Compares total power used by the data center to the power used by the technology Provides a market comparison that is gaining wide acceptance Demonstrates range for opportunity improvement Most energy efficient Objective Current Least energy efficient (1) Standard supported by Green Grid, originally published by Lawrence Berkley National Laboratory, Copyright IBM Corporation 2007
11 Web-based tool provides an energy efficiency self assessment Free self assessment available on the web to highlight opportunities for energy efficiency improvement Assessment Process Twelve questions on energy usage Three main categories - Awareness of power related issues - Deployment of tactical quick hitters - Extent of strategy data center planning Report on improvement areas IBM Service recommendations 11 Copyright IBM Corporation 2007
12 Data Center Stored Cooling Solution the cool battery A turnkey, patented thermal storage solution to improve the efficiency of the cooling system and reduce energy costs. The ice cube for your data center Offering benefits Improved efficiency: percent improvement in chiller efficiency Reduced cost: Shift up to 30 percent of energy usage out of peak time - Access to lower cost power - Free cooling 12 Copyright IBM Corporation 2007
13 Scalable Modular Data Center efficiency within weeks A cost-effective, high quality 500-1,000 square foot ( square meters) data center. The unit can be designed and installed in nearly any working environment in less time than a traditional raised floor. Offering benefits Rapid deployment: A fully functional, cost effective data center in 8-12 weeks Energy efficient design: UPS systems and in-row, load variable cooling High quality: complete turn-key solution from planning to install and start-up Lower cost: up to 15 percent lower than traditional data center design and build 13 Copyright IBM Corporation 2007
14 Optimized Airflow Assessment for Cabling under floor savings A comprehensive assessment of the existing data center cabling infrastructure provides an expert analysis of the overall cabling actions. The service is designed to improve airflow for optimized cooling, simplified change management and improved cabling resiliency. Offering benefits Improved air flow under raised floor creates a more energy efficient data center Reduce hot spots due to bypass airflow Improve manageability of cabling systems Reduce operational costs associated with cable installation and change management Before After 14 Copyright IBM Corporation 2007
15 Intelligent and Green Building Asia Pacific region Specialized Facilities enables the integration of all building subsystems so that they operate in a safe, efficient and ecologically friendly environment. The system manages the air conditioning, fire and security systems of the building and can lead to significant energy savings. Offering Benefits Automatic regulation: Indoor environmental conditions controlled by intelligent use of natural light and fresh air. Enables reductions of total energy consumption up to 30 percent Environmental control: Manages fire, security and air conditioning systems to provide a safe, healthy and comfortable environment Flexibility: Open architecture serves multiple user requirements Mabuchi Motors IBM Nankoh Data Center China Intelligent Building Architectural culture Award Of Chiba Prefecture IBM Hakosaki COCSO IB Copyright IBM Corporation 2007
16 A world class set of global partner enabled offerings bringing leadership technologies to our clients 16 Copyright IBM Corporation 2007
17 Energy efficiency incentive finder - a community of energy users and energy providers where everyone can benefit An open, web-enabled clearinghouse for data center energy efficiency programs offered by local utilities and governments A one stop Shopping website For energy efficiency program available in your community and applicable to your data center Includes participating providers around the world An alternative to information available from disparate existing locations 17 Copyright IBM Corporation 2007
18 IBM has helped companies around the globe increase their energy efficiency and reduce expenses Data Center and Facilities Strategy Super computing: Built the #1 super computing center (Mare Nostrum) for high redundancy with extremely dense computing environment Financial: Built 50 large Chinese data centers including the country s top 5 banks IT Facilities Consolidation and Relocation From many to few: ICBC - 38 to 2 centers; $180M in annual savings Without interruption: 4 to 1 centers with no interruption; ~$11M in annual savings When uptime is critical: Relocation of Wake Medicals hospital data center without patient impact IT facilities assessment, design and construction Deep experience: >30 M sq ft of raised floor Global breadth: Building largest client data centers for Egypt Telecom and India Wide array of assessments: energy, resiliency and new technology adoption All size businesses: Small client solutions at Bryant University Specialized Facilities A green leader: Designed and built > 35 percent of the top rated green / Intelligent buildings in Japan When precision matters: Design and building of facilities for clean rooms for chip fabrication and pharmaceutical companies 18 Copyright IBM Corporation 2007
19 MareNostrum Barcelona Super Computing Centre Courtesy of Barcelona Supercomputing Center 19 Copyright IBM Corporation 2007
20 Highlights of IBM s Operational Leadership in Climate Protection 40% Early Results Between 1990 and 2005, IBM s global energy conservation actions reduced or avoided CO 2 emissions by an amount equal to 40% of its 1990 emissions. Awards & Recognition 2005 The Clim ate Group , 99, % 1998 Become the first semiconductor company to set a numerical target for PFC emissions reduction USEPA Climate Protection Award 1998 and 2006 FORTUNE 500 Top , 2005, 2006 Green Power Purchaser Award Charter member 2000 Business Environmental Leadership Council Present Goal Further extend IBM s early accomplishments by reducing CO 2 emissions associated with IBM s energy use 12% from 2005 to 2012 via energy conservation, use of renewable energy, and/or funding CO 2 emissions reductions with Renewable Energy Certificates or comparable instruments. Early Support for Disclosure Computer Program Charter member 1992 CHARTER MEMBER 2002 S i n c e i n c e p t i o n WRI GREEN POWER MARKET DEVELOPMENT GROUP Charter member 2000 Charter member (b) voluntary emissions reporting S i n c e Copyright IBM Corporation 2007
21 IBM Energy Efficiency Initiative: IBM Project Financing TM Planning and Preparation: Transitioning to more Energy Efficient solutions Disposition: Environmentally compliant disposal, data protection Buyback services Asset disposal Secure disk overwrite Packaging and transportation services Funding Energy Efficiency Use & Management: Matching technological and economic life; Flexibility Acquisition: Meeting capital requirements for your Data Center Solutions Driving Value Throughout the Project Lifecycle Conserves cash Aligns repayment streams with anticipated project benefits Facilitates planning and tracking of project costs Improves budget management with predictable costs 21 Copyright IBM Corporation 2007
22 Key analysts are recognizing IBM s leadership position ""This is a significant statement of unification that should offer users a more comprehensive set of solutions, including products, services and financing. The announcement also shows that IBM sees the power and cooling issue at the data center level whereas both HP and Sun see it at a product level. Rakesh Kumar, Gartner "'Big Blue' Goes Green With Energy Efficiency Initiative" (15 May 2007) "'What's significant is IBM s emphasis on using a range of technologies and on planning, design and user practices. It's not just about selling new, more efficient chips and computers. And that is in contrast to some of its peers in the industry." -- Forrester analyst Christopher Mines, New York Times, May 10,2007 "IBM is in an ideal position to help customers examine energy efficiency problems, propose options, and implement solutions, a combination that should prove profitable to the company and its Eco-System Partners -- Charles King, Pund- IT"IBM Launches Project Big Green " (11 May 2007) " Several vendors also announced partnerships with IBM these include Anixter, GE, Eaton, Liebert/Emerson Network Power, Schneider Electric in addition to comments from PG&E and the EPA..IBM pulled together some significant muscle to announce its formal foray into EcoEfficiency for IT. David Yokelson, the451 "Green and bear IT: IBM's new 'EcoEfficiency'Program" (10 May) "One of the more innovative element of IBM's 'big green' strategy is a patented stored cooling solution that allows customers to store cooling capacity in a chemical solution which can be altered to change state from solid to liquid at a wide range of temperatures. IBM claims that this solution makes existing chilled water cooling infrastructures run 40-50% more efficiently. --Matt Eastwood, IDC : "Big Blue Focuses Attention on "Big Green" (11 May 2007) 22 Copyright IBM Corporation 2007
23 The potential to reduce energy and cost savings is significant. 1 Up to 40% annual energy savings for infrastructure alone Representative of a typical, medium size data center of 25,000 sq ft Savings at $0.12 per kilowatt hour = $735,000 Savings at $0.18 per kilowatt hour = $1,103,000 Or the equivalent of 850 cars off the road 2 Optimizing across the enterprise yields dramatically greater savings Very small data center of 3,500 square feet Consolidated from 4 sites Yielded $7 M operational savings Plus $4 M in equipment savings 23 Copyright IBM Corporation 2007
24 Proposed client next steps Let us help you get the facts on energy efficiency - You can t manage what you can t see (or measure) - Take the Energy Efficiency Web Self Assessment Leverage IBM experience in energy efficiency and resiliency - Apply it to the tactical problems your data center faces - Use it across your enterprise including data center consolidation and new data center build plans 24 Copyright IBM Corporation 2007
25 Contact information Sang Joon Yoo Site and Facilities Services - Korea yusjun@kr.ibm.com Eun Kyoung Ryu Site and Facilities Services - Brand Management Korea lemonsatang@kr.ibm.com 25 Copyright IBM Corporation 2007
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