areyentiraidhi Posted July 13, 2022 Report Share Posted July 13, 2022 Going completely cloud-native will save it $400m a year, CIO estimates The datacenter is dead – at least according to FedEx, which announced plans to close its server farms and transition completely to the cloud, where it hopes to save an estimated $400 million annually. At FedEx's investor relations day held last week, CIO Rob Carter said FedEx had long been a leader in technology, claiming the company was first to introduce tracking, handheld computers and automated package sorting. The next big movement in tech, Carter went on to say, is migrating all of its systems to the cloud. "We've been working across this decade to simplify and streamline our technology and systems to create value all along the way by improving productivity, security and reliability," Carter said on the call. Along with closing its remaining datacenters, FedEx said its closure plans will eliminate the 20 percent of its mainframe fleet that's still in operation, with an eye toward "zero mainframe, zero datacenter" operations by 2024. Trying to ascertain the size of FedEx's datacenter fleet is difficult – the company isn't forthcoming on how many facilities it has. According to datacenter tracking site Baxtel, FedEx only has one: Its Colorado Springs location, which was opened in 2011. Nor is it easy to determine how many FedEx employees work at its datacenter(s) – the company said it employs over 600,000 people, but only breaks those numbers down to its business units, not to location or job type. The Register has asked FedEx for comment but has yet to receive a response. FedEx has been looking at its cloud options for at least three years, and in 2019 partnered with colocation company Switch to host its western US operations at Switch's Las Vegas datacenter. The package company signed a 10-year contract with Switch, and while it's unclear what role Switch will play in FedEx's all-cloud future, that contract means it is likely to plays a part in it. The datacenter is dead – at least according to FedEx, which announced plans to close its server farms and transition completely to the cloud, where it hopes to save an estimated $400 million annually. At FedEx's investor relations day held last week, CIO Rob Carter said FedEx had long been a leader in technology, claiming the company was first to introduce tracking, handheld computers and automated package sorting. The next big movement in tech, Carter went on to say, is migrating all of its systems to the cloud. "We've been working across this decade to simplify and streamline our technology and systems to create value all along the way by improving productivity, security and reliability," Carter said on the call. Along with closing its remaining datacenters, FedEx said its closure plans will eliminate the 20 percent of its mainframe fleet that's still in operation, with an eye toward "zero mainframe, zero datacenter" operations by 2024. Trying to ascertain the size of FedEx's datacenter fleet is difficult – the company isn't forthcoming on how many facilities it has. According to datacenter tracking site Baxtel, FedEx only has one: Its Colorado Springs location, which was opened in 2011. Nor is it easy to determine how many FedEx employees work at its datacenter(s) – the company said it employs over 600,000 people, but only breaks those numbers down to its business units, not to location or job type. The Register has asked FedEx for comment but has yet to receive a response. FedEx has been looking at its cloud options for at least three years, and in 2019 partnered with colocation company Switch to host its western US operations at Switch's Las Vegas datacenter. The package company signed a 10-year contract with Switch, and while it's unclear what role Switch will play in FedEx's all-cloud future, that contract means it is likely to plays a part in it. Quote Link to comment Share on other sites More sharing options...
Popular Post Telugodura456 Posted July 13, 2022 Popular Post Report Share Posted July 13, 2022 chaa...wait until they get their cloud bills from aws and azure. 1 1 1 Quote Link to comment Share on other sites More sharing options...
jaathiratnalu Posted July 13, 2022 Report Share Posted July 13, 2022 21 minutes ago, Telugodura456 said: chaa...wait until they get their cloud bills from aws and azure. Yes .. exactly it will be more tag that after few yrs of use. Quote Link to comment Share on other sites More sharing options...
futureofandhra Posted July 13, 2022 Report Share Posted July 13, 2022 8 minutes ago, jaathiratnalu said: Yes .. exactly it will be more tag that after few yrs of use. Its Worth doing Otherwise they will be out of competition Quote Link to comment Share on other sites More sharing options...
JackSeal Posted July 13, 2022 Report Share Posted July 13, 2022 37 minutes ago, Telugodura456 said: chaa...wait until they get their cloud bills from aws and azure. True, my company tried to use aws vm’s for QA, after one year they realised it’s going to cost them more than physical servers. 1 Quote Link to comment Share on other sites More sharing options...
Popular Post sarvayogi Posted July 13, 2022 Popular Post Report Share Posted July 13, 2022 if you optimally use you can do wonders with cloud else you give up seeing the first year bill thats why you need experts and not people completing udemy courses where the fk you get HPC servers to play around if not by the cloud providers 3 Quote Link to comment Share on other sites More sharing options...
Spartan Posted July 13, 2022 Report Share Posted July 13, 2022 Cloud move avte saripodu, you need to know how things can run in optimal way else edaina okate also it needs heavy automation to maintain that cost optimization Quote Link to comment Share on other sites More sharing options...
AverageDesiGuy Posted July 13, 2022 Report Share Posted July 13, 2022 AWS is very costly, all the companies are slowly realizing it but they don't have choice. Quote Link to comment Share on other sites More sharing options...
DesiPokiri Posted July 13, 2022 Report Share Posted July 13, 2022 Just now, AverageDesiGuy said: AWS is very costly, all the companies are slowly realizing it but they don't have choice. I don’t think so, you pay for use in aws and so it comes cheaper Quote Link to comment Share on other sites More sharing options...
AverageDesiGuy Posted July 13, 2022 Report Share Posted July 13, 2022 1 minute ago, DesiPokiri said: I don’t think so, you pay for use in aws and so it comes cheaper But you have to pay for every small thing so the cost adds up. Quote Link to comment Share on other sites More sharing options...
DesiPokiri Posted July 13, 2022 Report Share Posted July 13, 2022 1 minute ago, AverageDesiGuy said: But you have to pay for every small thing so the cost adds up. Even if you pay for every resource and service in aws for only how much you use of it, I think it ll be cheaper that’s why many companies are switching to cloud to save Quote Link to comment Share on other sites More sharing options...
FLraja Posted July 13, 2022 Report Share Posted July 13, 2022 3 hours ago, Telugodura456 said: chaa...wait until they get their cloud bills from aws and azure. You have to think from cio perspective 1. he is paying salary to 10 teams to run dc( san, dba, unix, mainframe, security, network….) 2. He is paying to software license and upgrades, customization on top of these Total lets say 100 employees plus software cost per year ( this is what is his 800mil per year cost as an example) now in the cloud he will pay for hardware and software license plus cost to customize software ( may be 5 teams) so he eliminated 5 teams now his yearly cost is 400 mil bill so he saved. dont ask me cloud migration cost of 2bil which noone talks about also after 10 years his cloud license cost triples and he can’t help but pay ( he will not talk about this today) This is how he saved his job and got bonus 1 Quote Link to comment Share on other sites More sharing options...
JambaKrantu Posted July 13, 2022 Report Share Posted July 13, 2022 Seriously what is the cloud it is also a bunch of data centers just owned by a different entity not the fedex ante.. Quote Link to comment Share on other sites More sharing options...
FLraja Posted July 13, 2022 Report Share Posted July 13, 2022 7 minutes ago, JambaKrantu said: Seriously what is the cloud it is also a bunch of data centers just owned by a different entity not the fedex ante.. What is hackerrank its just a notepad managed by different company ante.. what is software development its bunch of code outsourced to tcs infy ante.. edayina part part ga vidagotti different specialized companies manage so you can focus on business instead of technology 1 Quote Link to comment Share on other sites More sharing options...
csrcsr Posted July 13, 2022 Report Share Posted July 13, 2022 14 minutes ago, JambaKrantu said: Seriously what is the cloud it is also a bunch of data centers just owned by a different entity not the fedex ante.. Not simple answer bro it takes lot of effort with legacy running in these companies , if yiu just move the war or jar etc to ec2 on aws it is not real real cloud chala Katha untadi automation cost optimization data center management, production engineers cost cut avutadsoftware, infra as code avutundi Quote Link to comment Share on other sites More sharing options...
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