Despite an expected increase in organisations embracing virtual server platforms the role of data centres will still feature prominently in 2016. The desire for organisations to reduce their carbon footprint whilst having a solution that still enables high power performance is a key requirement in the migration towards virtual servers. This is further supported by research undertaken by the Cloud Industry Forum, which found that an estimated 84 per cent of enterprises adopted some form of cloud technology in 2015.

[easy-tweet tweet=”Data Centres are here to stay in 2016, even the increased uptake of virtual server platforms can’t change that”]

In addition, when weighing the differences between CAPEX vs OPEX, research indicates that there will be an 11 per cent shift in IT budgets from traditional in-house IT systems, to ones based on variations of the cloud network, further supporting the shift towards virtualised servers.

Yet, despite the rise of virtual servers, the importance of data centres should not be underestimated. Many organisations have not fully migrated to cloud services and are instead adopting a combined approach between cloud-based platforms and data centres. What we are now seeing is that whilst organisations use cloud based services for 80 per cent of their operations, the other 20 per cent are still within co-located data centres.

Data centres still remain a popular option for those who prefer having direct physical access to where their data is stored

Data centres still remain a popular option for those who prefer having direct physical access to where their data is stored, not to mention the increased connectivity of having your data centre located nearby. But, perhaps the most important driving factor is the cost-effectiveness of data centres. Rent has been between 30-40 per cent cheaper in the previous year, and with prices looking to stay low, it seems highly likely that data centres will continue to provide a very viable solution, especially for start-ups.

Another key trend that continues to impact both cloud services and data centres is the widespread adoption and presence of the Internet of Things (IoT). Estimates predict that connected devices will increase to 50 billion by 2020, resulting in greater data consumption, prompting a greater need for data storage systems and more power demands.

[easy-tweet tweet=”The ever-increasing demands on online activity will add pressure on power needs” user=”comparethecloud”]

In line with the IoT, the ever-increasing demands on online activity will further add pressure on power needs. In 2015, we saw a longer duration in online gaming sessions, significant e-commerce activity fuelled by events such as Black Friday, and also the growing users of streaming media such as Netflix and Amazon Prime. The surge in these activities once again highlights the necessity for servers to provide consistent high power to cope with increased demands.

Looking forward, the demands on power and reducing footprint will only drive the adoption of virtual servers. However, what we have and will continue to see is the ability for cloud services and data-centres to co-exist and provide a cost-effective and powerful solution to support the huge boosts in online activity and connected devices.

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Greg McCulloch, CEO, Aegis Data In May 2015, Greg McCulloch joined as the new CEO of Aegis Data, one of the UK’s new breed of technologically advanced, highly efficient and resilient colocation providers. McCulloch joins with 19 years of Data Centre experience across Europe and Scandinavia and is responsible for accelerating the growth of the company, shaping its future and maintaining the core strength and focus of the business.  McCulloch joined from his previous role as COO at DigiPlex where he was responsible for overseeing Sales, Marketing and Operations as well as leading the negotiations and acquisition of the new Swedish Data Centre and  playing an instrumental role in securing its first large US based Financial customer.  Prior to that McCulloch was Managing Director of Interxion (UK), where he had overall responsibly for the growth and expansion of the UK business.  McCulloch started his career at Telehouse and has also worked for Global Switch and Sentrum.