What’s Driving Cloud Adoption Part 1

Those Are Some Old Computers

About a decade ago, the IT industry had just gotten through the Y2K scramble, with most older technology being replaced by new. It was a unique time when virtually the entire technical world synchronized with the same generation of technology. It’s not likely that this will happen again without some global technology crisis.

Since then, organizations have been replacing their computer technology–IT staff call it infrastructure refresh–on one of two schedules: every three years for leased equipment (given that technology tends to turn over every 18 months, leases run about two technology generations) or every five years for purchased equipment (the product support life span from major IT vendors). 

When the world economy tanked in 2009, IT spending slowed substantially with computer departments choosing to buy out their leases and hang on to the equipment and others electing to hold off replacing aging equipment that was still functional.

Add to this mix the widespread adoption of server virtualization that helps IT departments use their computers more efficiently, and you see why the IT industry has taken a big revenue hit.

All of this adds up to an overtaxed and aging computer infrastructure that is well overdue for replacement. Current-generation servers are hundreds of times faster and 10 times more energy efficient with replacement payback times as short as two months.

Ask Yourself or Your Board…

Yet the question is, should we replace the aging servers or just outsource our compute power to the cloud and forget about the never-ending technology refresh cycle?

Ask Your CIO…

  • What is the age profile of our IT infrastructure?
  • How old is our oldest server?
  • What percentage of our servers are that old?
  • Are they still in support life? (Not life support!)
  • How old is our newest server?
  • What percentage of our servers are that old?
  • Are our servers leased or purchased?
  • When is the lease up for renewal?