Artificial Intelligence Authors: Yeshim Deniz, Zakia Bouachraoui, Pat Romanski, Liz McMillan, Elizabeth White

Blog Feed Post

Is There a Data and I/O Activity Recession?

With all the focus on both domestic and international economic woes and discussion of recessions and depressions and possible future rapid inflation, recent conversations with IT professionals from organizations of all size across different industry sectors and geographies prompted the question, is there also a data and I/O activity recession?

Here's the premise, if you listen to current economic and financial reports as well as employment information, the immediate conclusion is that yes, there should also be an I recession in the form of contraction in the amount of data being processed, moved and stored which would also impact I/O (e.g. DAS,, LAN, SAN, FAN or NAS, MAN, WAN) networking activity as well. After all, the server, storage, I/O and networking vendors earnings are all being impacted right?

As is often the case, there is more to the story, certainly vendor earnings are down and some vendors are shipping less product than during corresponding periods from a year or more ago. Likewise, I continue to hear from both IT organizations, vars and vendors of lengthened sales cycles due to increased due diligence and more security of IT acquisitions meaning that sales and revenue forecasts continue to be very volatile with some vendors pulling back on their future financial guidance.

However, does that mean fewer servers, storage, I/O and networking components not to mention less software is being shipped? In some cases there is or has been a slow down. However in other cases, due to pricing pressures, increased performance and capacity density where more work can be done by fewer devices, consolidation, data footprint reduction, optimization, virtualization including VMware and other techniques, not to mention a decrease in some activity, there is less demand. On the other hand, while some retail vendors are seeing their business volume decrease, others such as Amazon are seeing continued heavy demand and activity.

Been on a trip lately through an airport? Granted the airlines have instituted capacity management (e.g. capacity planning) and fleet optimization to align the number of flights or frequency as well as aircraft type (tiering) to the demand. In some cases smaller planes, in other cases larger planes, for some more stops at a lower price (trade time for money) or in other cases shorter direct routes for a higher fee. The point being is that while there is an economic recession underway, and granted there are fewer flights, many if not most of those flights are full which means transactions and information to process by the airlines reservations and operational as well as customer relations and loyalty systems.

Mergers and acquisitions usually mean a reduction or consolidation of activity resulting in excess and surplus technologies, yet talking with some financial services organizations, over time some of their systems will be consolidated to achieve operating efficiency and synergies, near term, in some cases, there is the need for more IT resources to support the increased activity of supporting multiple applications, increased customer inquiry and conversion activity.

On a go forward basis, there is the need to support more applications and services that will generate more I/O activity to enable data to be moved, processed and stored. Not to mention, data being retained in multiple locations for longer periods of time to meet both compliance and non regulatory compliance requirements as well as for BC/DR and business intelligence (BI) or data mining for marketing and other purposes.

Speaking of the financial sector, while the economic value of most securities is depressed, and with the wild valuation swings in the stock markets, the result is more data to process, move and store on a daily basis, all of which continues to place more demand on IT infrastructure resources including servers, storage, I/O networking, software, facilities and the people to support them.

Dow Jones Trading Activity Volume
Dow Jones Trading Activity Volume (Courtesy of data360.org)

For example, the amount of Dow Jones trading activity is on a logarithmic upward trend curve in the example chart from data360.org which means more transactions selling and buying. The result of more transactions is that there are also an increase in the number of back-office functions for settlement, tracking, surveillance, customer inquiry and reporting among others activities. This means that more I/Os are generated with data to be moved, processed, replicated, backed-up with additional downstream activity and processing.

Shifting gears, same things with telephone and in particular cell phone traffic which indirectly relates on IT systems particular for support email and other messaging activity. Speaking of email, more and more emails are sent every day, granted many are spam, yet these all result in more activity as well as data.

What's the point in all of this?

There is a common awareness among most IT professionals that there is more data generated and stored every year and that there is also an awareness of the increased threats and reliance upon data and information. However what's either not as widely discussed is the increase in I/O and networking activity. That is, the space capacity often gets talked about, however, the I/O performance, response time, activity and data movement can be forgotten about or its importance to productivity diminished. So the point is, keep performance, response time, and latency in focus as well as IOPS and bandwidth when looking at, and planning IT infrastructure to avoid data center bottlenecks.

Cheers GS

Read the original blog entry...

More Stories By Greg Schulz

Greg Schulz is founder of the Server and StorageIO (StorageIO) Group, an IT industry analyst and consultancy firm. Greg has worked with various server operating systems along with storage and networking software tools, hardware and services. Greg has worked as a programmer, systems administrator, disaster recovery consultant, and storage and capacity planner for various IT organizations. He has worked for various vendors before joining an industry analyst firm and later forming StorageIO.

In addition to his analyst and consulting research duties, Schulz has published over a thousand articles, tips, reports and white papers and is a sought after popular speaker at events around the world. Greg is also author of the books Resilient Storage Network (Elsevier) and The Green and Virtual Data Center (CRC). His blog is at www.storageioblog.com and he can also be found on twitter @storageio.

IoT & Smart Cities Stories
DXWorldEXPO LLC announced today that Telecom Reseller has been named "Media Sponsor" of CloudEXPO | DXWorldEXPO 2018 New York, which will take place on November 11-13, 2018 in New York City, NY. Telecom Reseller reports on Unified Communications, UCaaS, BPaaS for enterprise and SMBs. They report extensively on both customer premises based solutions such as IP-PBX as well as cloud based and hosted platforms.
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
The deluge of IoT sensor data collected from connected devices and the powerful AI required to make that data actionable are giving rise to a hybrid ecosystem in which cloud, on-prem and edge processes become interweaved. Attendees will learn how emerging composable infrastructure solutions deliver the adaptive architecture needed to manage this new data reality. Machine learning algorithms can better anticipate data storms and automate resources to support surges, including fully scalable GPU-c...
To Really Work for Enterprises, MultiCloud Adoption Requires Far Better and Inclusive Cloud Monitoring and Cost Management … But How? Overwhelmingly, even as enterprises have adopted cloud computing and are expanding to multi-cloud computing, IT leaders remain concerned about how to monitor, manage and control costs across hybrid and multi-cloud deployments. It’s clear that traditional IT monitoring and management approaches, designed after all for on-premises data centers, are falling short in ...
DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City and will bring together Cloud Computing, FinTech and Blockchain, Digital Transformation, Big Data, Internet of Things, DevOps, AI, Machine Learning and WebRTC to one location.
We are seeing a major migration of enterprises applications to the cloud. As cloud and business use of real time applications accelerate, legacy networks are no longer able to architecturally support cloud adoption and deliver the performance and security required by highly distributed enterprises. These outdated solutions have become more costly and complicated to implement, install, manage, and maintain.SD-WAN offers unlimited capabilities for accessing the benefits of the cloud and Internet. ...
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
DXWorldEXPO LLC announced today that "IoT Now" was named media sponsor of CloudEXPO | DXWorldEXPO 2018 New York, which will take place on November 11-13, 2018 in New York City, NY. IoT Now explores the evolving opportunities and challenges facing CSPs, and it passes on some lessons learned from those who have taken the first steps in next-gen IoT services.
SYS-CON Events announced today that Silicon India has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Published in Silicon Valley, Silicon India magazine is the premiere platform for CIOs to discuss their innovative enterprise solutions and allows IT vendors to learn about new solutions that can help grow their business.
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...