vSphere 4 and Intel Xeon 5500: Where ROI meets innovation…

In 1934, the legendary investment educators of Ben Graham and David Dodd, published the seminal stock investment book of the 20th century. "Security Analysis" provides a clear framework for value investing, unlocking capital value of a company and creating a "margin of safety" in the investments. In many respects, these principles became the backbone of Warren Buffett's investment criteria and the backbone of the great wealth that his companies have created for their shareholders and employees alike.

...But what does that have to do with Virtualization and Cloud Computing and VMWare's vSphere launch this week? Everything!

As global economic conditions careen on a daily basis it has become incumbent of IT professionals, technologists and designers to constantly re-evaluate our product development, deployment and usage models we enable. VMWare's launch of vSphere, in my opinion, is a leading indicator of this transition. After years of technology collaboration and design with Intel, vSphere introduces new usage models for Disaster Recovery, Zero-Downtime maintenance and flexibility that have yet to be realized in the x86 environment. The Distributed Resource Scheduler continues to enable additional features for virtual machine mobility, management and power optimizations. Many customers I speak to regard the rapid application deployment capability of virtualization as a differentiating factor for deploying virtualization widely. vSphere 4 enhances this capability while adding additional storage, high availability and 10 gigabit ethernet support for the new Intel platforms being introduced.

All of the features were designed to increase performance and efficiency. To create value that is worth more deployed than it costs to maintain your current assets. vSphere combined with the new Intel Xeon 5500 series processor family quite honestly, out performs all expectations than we had originally forecasted. We suspected that the architectural enhancements, combined with the virtualization technology collaboration would allow for 80-100% performance improvement over the previous generations. We suspected that the page table optmizations, quickpath interconnect and hyperthreading would be the key drivers...we were right. However, the new product launch has already delivered 160% plus performance increases over previous generations of VMWare when combined with Intel Xeon 5500 series processor family from Dell, HP, Cisco and IBM...exceeding our expectations by 60%. The performance results are very similar to the disciples of "Security Analysis", ahead of expectations and ahead of all others in the marketplace.

Next week I will be delivering an online webcast, one of the many I do each year to discuss this further and I will also spend some time discussing Cloud computing direction (link is below). vSphere is being marketed as the industry 1st operating system for Cloud Computing and on this point I would have to disagree. vSphere is a foundational technology that will help to enable enterprise cloud deployments, Paul Maritz and team have a solid vision for Cloud but vSphere falls short of being a Cloud Operating system for several reasons. It does not support a clear integration to mobile clients and mobile data. vSphere does not have desktop operating system integration and image management capabilities for IT administrators. Does that mean that I wouldn't vSphere in a Cloud? No, it just means that I would not look to vSphere as the sole technology for Cloud operating environments. For managing my server, storage and networking deployments in the Enterprise Cloud this product delivers as advertised. Cloud computing is in it's infancy, Vmware and Intel are playing important roles in bringing important technologies to market which will become the foundational technologies for Cloud computing. Like Ben Graham and David Dodd, it will be critical to evaluate your investment criteria for success, find the tools that create the best value and make the consistent investment that has a "margin of safety" you and your organization can sustain. If you follow those key steps when evaluating your decision with vSphere and Intel Xeon 5500 series processor family you will continue to create incremental value in your virtualization deployments without incremental expense.

Jake Smith Virtualization Webcast:

http://www.brighttalk.com/webcasts/3761/attend - April 29th, 2009 Webcast

Intel Xeon 5500 Series Processor Virtualization Performance Results: