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Zoho Doubles Customer Count in 5 Months, Racing Google Apps to 1 Million User Mark

Mon, 05 Mar 2007 17:20:00 -0400

When I first met Raju Vegesna at the Office 2.0 conference last October, Zoho had just passed the 100,000 user mark. Less than 5 months later, Raju says they're closing in on 200,000.

While Nielsen/NetRating (PDF) claims that Google has a 92% share of the web-based productivity apps market, Raju points out that Zoho and ThinkFree together attract as many unique visitors as Google Docs and Spreadsheet. (See Ismael Ghalimi's elaboration on the user count discrepancy.) 432,156 users visited Google Docs last December; that's 3% fewer than in October. Zoho, on the other hand, has undergone rapid growth (as CEO Sridhar Vembu puts it, "we try harder") - and hopes to beat Google to the 1 million user goal.

By the way, when Raju and I were introduced, a colleague of his described him as Zoho's PR strategist. I just found out that in addition to attracting favorable coverage in every possible media outlet, he was also in charge of company's data center infrastructure. (Raju recently managed to offload this responsibility.) He insists it wasn't as much work as it sounds, because Zoho's apps run on a self-healing grid that's attached to a pool of standby servers. If any application server dies, the appropriate code will automatically be deployed on one of the standby machines. The failed hardware can be swapped out whenever someone has time. As for customer data, everything is replicated three times and backed up offsite.

(Zoho's Rackable servers are colo-ed at Savvis and Equinix. They're in the process of migrating from 32 bit to 64 bit machines with dual core Intel Woodcrest processors and 8 to 16 GB of RAM. The new machines arrived last week, but won't be deployed until late March. As Google's recent hard drive study shows, a longer burn-in period can help weed out faulty hardware.)

Zoho's HR processes are similarly efficient. Adventnet, Zoho's parent company, has 600 employees (and counting). Whenever a new Zoho product is conceived, a dedicated team of 2-6 developers is allocated to the project. Having rapid access to talent gives Zoho a tremendous competitive advantage. Forget Google Office; the loooong list of ideas and partnerships that Zoho's in the process of implementing might coalesce into Zoho Life: single sign on access to an ever growing suite of fully integrated web apps that do... everything.

Keep an eye on Zoho; they're setting the standards for delivering a seamless SaaS experience. And sign up for an account if you don't already have one. Lastly, stay tuned. They've got some big announcements on the way.

Uptime Institute Says Power to Cost 300-2250% More Than Server Hardware; What Does This Mean?

Sun, 11 Mar 2007 22:31:00 -0400

I came across Uptime Institute founder Ken Brill's CIO Magazine article via 3tera VP Marketing Bert Armijo's blog.

Ken says while hardware prices are falling, total cost of data center ownership is headed through the roof. 5 years from now, the purchase price for a rack of servers will drop 27.5% from $138K today to just $103K. But while it only takes 15 kilowatts to power that rack right now, the energy requirement will rise to 22 - 170 kilowatts by 2012. It could cost as much as $2.3 million to power/cool $103K worth of gear throughout its 3-year lifespan.

(I'm not sure if this figure includes switches and routers and such. A recent Cisco/APC/Emerson study shows that servers/storage/cooling consume 76% of data center power, with 11% going to networking equipment, 3% lighting, and 10% power conversion losses. If Uptime's calculations didn't take the other 24% into account, Ken's $2.3M becomes over $3M!)

I've been thinking about Ken's stats and trying to understand what they mean. As a point of reference, I was looking at Dell's website, which advertises the 4U PowerEdge 6950 dual core, dual processor Opteron server for about $9K. Is Ken saying that:

(a) This particular machine will cost 27.5% less 5 years from now?

(b) 2012's late model machines will sell for 27.5% less than what's on the market today?

If we assume he means (c), and we accept Sun's claim that "server performance, power and space efficiencies are improving at up to 40% annually on average, and could double every 2 years", then 4U of space may be able to accommodate not one but 4 servers that each feature 4x more processing power and 4x greater energy efficiency.

In other words, $6,500 could buy you 16x more computing resources than that dual Opteron! If that's the case, you might even be able to afford $1M per rack per year in electricity. But only if you virtualize like crazy. No more leasing data center space per square foot or per rack. No more dedicated servers, either. The average customer won't need 4x more processing power in 5 years, which means you won't be able to justify turning on a whole entire server just for them.

You'd also have to replace hardware early and often. Sun recently announced a refresh service for swapping out your servers at least 3 times over 42 months. At first I thought that sounded wasteful, but if server power efficiency is improving at 40% per year, holding on to old gear might end up costing you more. Again, virtualization would be a must. You wouldn't want customer apps to become attached to machines that will be phased out before long.

Bert from 3tera says changes in data center economics will make it increasingly difficult for enterprise CIOs to justify operating their own facilities. But they won't outsource to traditional colo or dedicated server providers. Instead, he agrees with Cassatt CEO Bill Coleman that in the near-ish future, you'll be "paying for data center horsepower the same way you pay for electricity or gas". I think so too. How about you?

PS - On a somewhat related note, eWeek says Intel will release its "Clovertown" chips today. The quad core processors have a 50 watt thermal envelope, versus 80-120 watts on earlier models. That's a 38-60% drop.

PPS - Also, speaking of the Uptime Institute, check out this SearchDataCenter.com interview on how they've helped The Planet save $10K/month on electricity. The Planet, the article says, is looking to expand beyond Texas into the Midwest.

all about my life

Fri, 11 Jan 2008 05:09:19 -0600
ita all about my life .

Rackspace Adds New Firewall Controls

Fri, 30 May 2008 00:00:00 EST
May 30, 2008 -- ( <http://www.thewhir.com> WEB HOST INDUSTRY REVIEW) -- IT service and hosting company Rackspace, formerly of the "managed hosting" handle, said this week that it has added a new product to its self service portfolio with the launch of its enhanced Firewall Control Panel.

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