Most active IBM i (iSeries, AS400) servers range from POWER4 (9406-270/820), POWER5 (9406-520/525), POWER6 (9407/8, 8203) and POWER7.
Recent surveys suggest that over 50% of the install base is POWER5 and POWER6. This is the most active portion of the install base thinking about upgrading to newer technology.
A portion of those users are also interested in hosting their applications instead of buying a new IBM POWER8 server.
How come?
Here are the 6 most common reasons we hear from the folks we talk to.
- Save Money
Cloud hosting is generally 30%-70% less expensive than owning an on premise server. IBM’s smallest POWER servers have more capacity and resource than 80% of IBM i users’ need. When compared to “renting” a small portion of a server – a right-sized Logical Partition, or LPAR – IBM i users often discover they can save $3,000 – $15,000 per year by hosting instead of buying. Not only does hosting eliminate the server purchase price, it also eliminates the costs for core activation, user-based pricing, IBM Licensed Program Products, on-going hardware and software maintenance fees, and related server support labor.
We also get approached by those who already host their IBM applications. They want to find less-expensive options. Typically, they can pay 30%-70% less than they are charged by their current hosting service.
- IBM i/OS400 Expert Support, Server Management, and Backup
Prospective cloud users frequently mention their critical IBM i talent is shrinking. Retirement, staff reductions and trusted consultants leaving the business are commonly mentioned. Qualified replacement talent can be hard to find.
Additionally, many IBM i shops are now run by IT specialists with backgrounds other than IBM i. They want to supplement their technical support with IBM i (OS400) expertise.
Quite simply, hosting with expert IBM i support provides confidence that their applications are safe and required support is easily accessible. Rather than manage version upgrades, PTFs and backups, they prefer to leave these tasks to IBM i pros.
- Greater Security, Redundancy And Disaster Resilience At A Fraction Of A Data Center’s Cost.
Data Centers provide more security, disaster resilience and redundancy than most companies can afford for themselves. Commonly, data centers have redundant power, cooling, internet access, and secure physical access, to mention a few of their key strengths. Yet, the cost to host a server at a data centers can cost from $1000-$3000 per month.
By hosting your applications on an IBM i LPAR, you get the benefits of data center security, redundancy and disaster resilience at a fraction of the cost.
- Access To New Technology
Hosting can allow you to upgrade to IBM’s newest POWER server at the latest IBM i (OS400) version level and benefit from the newer, faster hardware and latest operating system enhancements.
You never need to be concerned with buying a server again.
- No Major Capital Outlay
While getting a new server is a capital investment which frequently requires special approvals, hosting is an operational expense. Companies often discover that an operational expense can be easier to get approved than a capital investment.
- Flexible Terms
Hosting terms are far more flexible than buying new hardware. New purchases are generally in terms of 3-5 years with important considerations at the end of the term. Hosting can be month to month, quarter to quarter, or a term that meets your needs.
This is particularly attractive for short-term needs like version upgrades and test/development or application archiving.
What are your thoughts?
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