Cloud computing gets boost as energy costs skyrocket
A report by US researchers has shown the increasing cost of power and cooling in the data centre is a driver towards cloud computing.


The increase in cost of power and cooling in data centres is encouraging the move towards cloud computing, according to US researchers.
In a conference call yesterday, Dr Jonathan Koomey from Stanford University claimed that rising power and cooling costs makes it more economically viable for companies to hold data in large centralised hubs.
The claim followed a study commissioned by Intel and Microsoft exploring trends in servers when it comes to power consumption in the data centre.
Dr Koomey said in the call: "Half of the total cost of these facilities [data centres] is cooling and power distribution. This wasn't true 10 or 15 years ago. The implication is the need to have larger centralised facilities to take this cost."
"This gives the advantage to people doing cloud computing, making it more economically viable to do computation within the cloud instead of your own data centre."
There were three benefits to the cloud computing model according to Dr Koomey.
The first was that cost per computation would be less as it would be spread over more users.
Get the ITPro daily newsletter
Sign up today and you will receive a free copy of our Future Focus 2025 report - the leading guidance on AI, cybersecurity and other IT challenges as per 700+ senior executives
Secondly he believed the servers would be better utilised, or be able to handle more "diversity".
"An example of the diversity effect is geographically," said Koomey. "Companies would have peak demands at different times depending where they were based. This means the servers would be utilised throughout the day [and night] rather than all at the same time."
The final benefit he saw was the end to arguing over the budget split between hardware and power within a company's IT department as that decision was passed onto an external company.
The full report, entitled "Assessing trends over time in performance, costs and energy use for servers," is available to download here.
Jennifer Scott is a former freelance journalist and currently political reporter for Sky News. She has a varied writing history, having started her career at Dennis Publishing, working in various roles across its business technology titles, including ITPro. Jennifer has specialised in a number of areas over the years and has produced a wealth of content for ITPro, focusing largely on data storage, networking, cloud computing, and telecommunications.
Most recently Jennifer has turned her skills to the political sphere and broadcast journalism, where she has worked for the BBC as a political reporter, before moving to Sky News.
-
Westcon-Comstor and Vectra AI launch brace of new channel initiatives
News Westcon-Comstor and Vectra AI have announced the launch of two new channel growth initiatives focused on the managed security service provider (MSSP) space and AWS Marketplace.
By Daniel Todd Published
-
Third time lucky? Microsoft finally begins roll-out of controversial Recall feature
News The Windows Recall feature has been plagued by setbacks and backlash from security professionals
By Emma Woollacott Published
-
Accelerating business modernization
Modernizing your infrastructure with the right servers can accelerate business transformation, enhance security, and future-proof your organization for tomorrow’s challenges
By Rene Millman Published
-
Intel layoffs to hit 15,000 roles as falling revenue and poor returns on AI bite
News CEO Pat Gelsinger announced news of the Intel layoffs following a recent earnings call
By George Fitzmaurice Published
-
Sustainable business starts with sustainable IT infrastructure
Whitepaper Reduce energy consumption without sacrificing performance with Intel and CDW
By ITPro Published
-
Winning the data-centric digital business in this decade
Whitepaper Discover more about Dell’s adaptive, secure, and resilient portfolio for the digital business and win in this data-centric era
By ITPro Published
-
Intel and Dell secure deal to build a digital twin of a UK fusion power plant
News The simulation will be critical for meeting the ambitious goal of delivering fusion energy to the UK’s energy network in the 2040s
By Richard Speed Published
-
Continuously modernize storage
Whitepaper Modernize data storage to accelerate operations and digital business initiatives
By ITPro Published
-
Intel pitches new 4th Gen Xeon chips as its "most sustainable" data centre processors
News The chip giant suggested the launch of the 4th Gen Sapphire Rapids processors marks a turnaround in its recent history
By Bobby Hellard Published
-
Intel unveils Max Series chip family designed for high performance computing
News The chip company claims its new CPU offers 4.8x better performance on HPC workloads
By Zach Marzouk Published