Consolidation vs Virtualization? Or both?

http://www.networkworld.com/news/2008/010208-oregon-virtualization-consolidation.html

The state of Oregon is embarking on a data center consolidation and virtualization project that officials say will save $10 million to $12 million per year.

The project, which costs $43 million, was started in 2005 with the construction of a new data center in Salem, the state capital, in which 11 separate state agency data centers serving 45,000 employees will be consolidated. The project is scheduled to conclude in June 2009 with a new Gigabit Ethernet backbone and virtual circuits replacing a frame relay network to support new applications and a converged infrastructure.

Very cool, check out this article showing how the state of Oregon used virtualization and consolidation to save a significant amount of money. It’s not just the capital cost, being able to reduce the size of your server estate through virtualization or consolidation can reduce your power and cooling requirements, as well as the hardware support contract. Do check it out, an interesting read.

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