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AI Growth to Outpace IT Hardware as Spending Plateaus Global enterprise IT budgets are being reshaped by the surge in artificial intelligence, with IDC warning that traditional hardware spending is set to plateau as AI absorbs future growth. According to the research firm’s latest Worldwide Artificial Intelligence IT Spending Market Forecast, global AI investment is expected to expand at a compound annual growth rate of 31.9% between 2025 and 2029, reaching $1.3 trillion by the end of the forecast period. That trajectory is being driven by the rise of Agentic AI - systems that can operate independently or in coordinated fleets to execute tasks, manage workflows, and build new applications. IDC’s analysis suggests these developments will increasingly determine how IT leaders prioritize budgets, with dollars flowing toward platforms that build, manage, and secure agents rather than into general-purpose compute. “Application and services providers that fail to embed AI deeply into their products risk losing share to those that do,” said Rick Villars, Group Vice President of Worldwide Research at IDC. “The alignment between investment growth and IT leaders’ trust in AI’s ability to shape business outcomes is undeniable. Those who hesitate will fall behind.” While cloud providers and hyperscalers are expected to continue building dense, compute-heavy environments to run these workloads, IDC forecasts that other parts of the IT stack will stagnate. Spending on traditional non-AI servers and storage, in particular, is projected to flatten as enterprises and service providers pursue efficiency and consolidation rather than expansion. In effect, AI will become the gravitational force that captures spending growth that once flowed into conventional hardware refreshes. Spending on AI-enabled Applications The shift underscores how AI is not simply another workload but a restructuring force across the enterprise technology landscape. IDC projects service providers will account for 80% of infrastructure spending through 2029, reflecting the scale required to support massive agentic environments. At the same time, spending on AI-enabled applications will outpace all other segments, triggering competitive realignment across the software industry. Crawford Del Prete, President of IDC, highlighted the organizational implications of this shift. “As agents become more commonplace, roles inside enterprises will evolve rapidly. Some will see productivity gains, others will become redundant. Both workers and enterprises will need to adapt with unprecedented agility,” he said. The consequences extend beyond budgets. Enterprises embracing AI are expected to adopt AI-driven network operations, anomaly detection, and self-healing capabilities to streamline IT management. These changes will accelerate digital transformation, but they also concentrate risk - placing greater importance on leadership and strategy in navigating the transition. IDC’s forecast suggests a future in which AI-driven innovation defines competitive advantage while reshaping the tech stack beneath it. Traditional IT hardware will remain, but its growth curve will flatten, overshadowed by the acceleration of agentic systems and AI-enabled applications. For enterprise CIOs, the challenge is not just whether to invest in AI, but how to reallocate budgets from legacy infrastructure toward the emerging foundation of digital business.

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AI Growth to Outpace IT Hardware as Spending Plateaus Global enterprise IT budgets are being reshaped by the surge in artificial intelligence, with IDC warning that traditional hardware spending is set to plateau as AI absorbs future growth. According to the research firm’s latest Worldwide Artificial Intelligence IT Spending Market Forecast, global AI investment is expected to expand at a compound annual growth rate of 31.9% between 2025 and 2029, reaching $1.3 trillion by the end of the forecast period. That trajectory is being driven by the rise of Agentic AI - systems that can operate independently or in coordinated fleets to execute tasks, manage workflows, and build new applications. IDC’s analysis suggests these developments will increasingly determine how IT leaders prioritize budgets, with dollars flowing toward platforms that build, manage, and secure agents rather than into general-purpose compute. “Application and services providers that fail to embed AI deeply into their products risk losing share to those that do,” said Rick Villars, Group Vice President of Worldwide Research at IDC. “The alignment between investment growth and IT leaders’ trust in AI’s ability to shape business outcomes is undeniable. Those who hesitate will fall behind.” While cloud providers and hyperscalers are expected to continue building dense, compute-heavy environments to run these workloads, IDC forecasts that other parts of the IT stack will stagnate. Spending on traditional non-AI servers and storage, in particular, is projected to flatten as enterprises and service providers pursue efficiency and consolidation rather than expansion. In effect, AI will become the gravitational force that captures spending growth that once flowed into conventional hardware refreshes. Spending on AI-enabled Applications The shift underscores how AI is not simply another workload but a restructuring force across the enterprise technology landscape. IDC projects service providers will account for 80% of infrastructure spending through 2029, reflecting the scale required to support massive agentic environments. At the same time, spending on AI-enabled applications will outpace all other segments, triggering competitive realignment across the software industry. Crawford Del Prete, President of IDC, highlighted the organizational implications of this shift. “As agents become more commonplace, roles inside enterprises will evolve rapidly. Some will see productivity gains, others will become redundant. Both workers and enterprises will need to adapt with unprecedented agility,” he said. The consequences extend beyond budgets. Enterprises embracing AI are expected to adopt AI-driven network operations, anomaly detection, and self-healing capabilities to streamline IT management. These changes will accelerate digital transformation, but they also concentrate risk - placing greater importance on leadership and strategy in navigating the transition. IDC’s forecast suggests a future in which AI-driven innovation defines competitive advantage while reshaping the tech stack beneath it. Traditional IT hardware will remain, but its growth curve will flatten, overshadowed by the acceleration of agentic systems and AI-enabled applications. For enterprise CIOs, the challenge is not just whether to invest in AI, but how to reallocate budgets from legacy infrastructure toward the emerging foundation of digital business.

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Cisco and NTT DATA Partner to Modernize Networks for AI Era NTT DATA and Cisco have announced a deepened collaboration aimed at reshaping enterprise networking for the artificial intelligence era, underscoring the mounting pressure on organizations to overhaul legacy systems that can no longer sustain modern digital workloads. The two companies revealed their joint initiative through a new IDC InfoBrief, Wired for Intelligence: A CIO Guide to Enterprise Networking for AI, which outlines how businesses can modernize network infrastructure to accelerate digital transformation and unlock AI-driven value at scale. The integration of AI across industries is creating unprecedented demands on networks. From manufacturing and healthcare to financial services, enterprises are embedding AI into critical applications requiring high-performance, low-latency, and secure connectivity. Legacy networking equipment, often built for traditional workloads, is ill-equipped to handle the scale, complexity, and dynamic nature of AI environments. NTT DATA and Cisco argue that enterprises now face a fundamental decision: either modernize their networks or risk falling behind in the global AI race. According to the IDC study, more than 78 percent of organizations recognize that networking capabilities are critical when selecting providers for generative AI infrastructure. Companies are increasingly looking for intelligent networks that not only transport data but also incorporate AI-driven functions such as anomaly detection, self-healing, configuration automation, and predictive monitoring. These capabilities are becoming essential for ensuring reliability, reducing operational costs, and accelerating issue resolution. Industries already leveraging AI-enabled networking are reporting gains in operational efficiency, improved resilience, and secure data flows that can support mission-critical processes. NTT DATA executives frame the network as a core enabler of business growth in the AI era. “As two market leaders, NTT DATA and Cisco are well positioned to help clients modernize their digital infrastructure foundations for the AI era,” said Dilip Kumar, Global Head of Technology Solutions at NTT DATA. “The network exists as a catalyst for growth, and organizations can unlock powerful new capabilities and achieve AI-driven business transformation at scale.” Cisco’s leadership emphasized that modernization is not limited to upgrading hardware but involves an architectural rethink to align with AI-driven operations. “Network modernization is about more than replacing old hardware - it’s about allowing enterprises to lead in an AI-driven world,” noted Brink Sanders, Senior Vice President of Global Networking Sales at Cisco. IDC’s perspective was similarly blunt: “Your network will make or break your AI transformation,” said Chris Barnard, Vice President of European Telecoms and Infrastructure at IDC, stressing that the shift from outdated systems to AI-ready networks is no longer optional. To meet this moment, NTT DATA is expanding its suite of intelligent services to support enterprises through the full lifecycle of modernization. Its offerings cover advisory services to align networking with AI goals, strategic sourcing of next-generation technologies, professional services to architect and deploy scalable systems, and adoption services to maximize infrastructure value. Software-defined infrastructure services integrate automation and AI into day-to-day operations, while managed services provide end-to-end oversight of network performance, ensuring seamless data flow across edge and cloud environments. A highlight of this expanded portfolio is NTT DATA’s recently launched AI-powered Software Defined Infrastructure services for Cisco technologies. These solutions deliver automation, real-time monitoring, and optimization capabilities designed to reduce costs, improve efficiency, and help enterprises translate infrastructure investments into measurable business outcomes. The NTT DATA and Cisco partnership illustrates a broader trend: networks are no longer passive transport layers but the backbone of enterprise AI adoption. As businesses intensify their digital transformation efforts, the ability to build intelligent, adaptive networks could become the deciding factor between successful AI integration and stalled innovation. For global enterprises, the message is clear - AI demands new infrastructure foundations, and the network sits at the center of this transformation.

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Cisco and NTT DATA Partner to Modernize Networks for AI Era NTT DATA and Cisco have announced a deepened collaboration aimed at reshaping enterprise networking for the artificial intelligence era, underscoring the mounting pressure on organizations to overhaul legacy systems that can no longer sustain modern digital workloads. The two companies revealed their joint initiative through a new IDC InfoBrief, Wired for Intelligence: A CIO Guide to Enterprise Networking for AI, which outlines how businesses can modernize network infrastructure to accelerate digital transformation and unlock AI-driven value at scale. The integration of AI across industries is creating unprecedented demands on networks. From manufacturing and healthcare to financial services, enterprises are embedding AI into critical applications requiring high-performance, low-latency, and secure connectivity. Legacy networking equipment, often built for traditional workloads, is ill-equipped to handle the scale, complexity, and dynamic nature of AI environments. NTT DATA and Cisco argue that enterprises now face a fundamental decision: either modernize their networks or risk falling behind in the global AI race. According to the IDC study, more than 78 percent of organizations recognize that networking capabilities are critical when selecting providers for generative AI infrastructure. Companies are increasingly looking for intelligent networks that not only transport data but also incorporate AI-driven functions such as anomaly detection, self-healing, configuration automation, and predictive monitoring. These capabilities are becoming essential for ensuring reliability, reducing operational costs, and accelerating issue resolution. Industries already leveraging AI-enabled networking are reporting gains in operational efficiency, improved resilience, and secure data flows that can support mission-critical processes. NTT DATA executives frame the network as a core enabler of business growth in the AI era. “As two market leaders, NTT DATA and Cisco are well positioned to help clients modernize their digital infrastructure foundations for the AI era,” said Dilip Kumar, Global Head of Technology Solutions at NTT DATA. “The network exists as a catalyst for growth, and organizations can unlock powerful new capabilities and achieve AI-driven business transformation at scale.” Cisco’s leadership emphasized that modernization is not limited to upgrading hardware but involves an architectural rethink to align with AI-driven operations. “Network modernization is about more than replacing old hardware - it’s about allowing enterprises to lead in an AI-driven world,” noted Brink Sanders, Senior Vice President of Global Networking Sales at Cisco. IDC’s perspective was similarly blunt: “Your network will make or break your AI transformation,” said Chris Barnard, Vice President of European Telecoms and Infrastructure at IDC, stressing that the shift from outdated systems to AI-ready networks is no longer optional. To meet this moment, NTT DATA is expanding its suite of intelligent services to support enterprises through the full lifecycle of modernization. Its offerings cover advisory services to align networking with AI goals, strategic sourcing of next-generation technologies, professional services to architect and deploy scalable systems, and adoption services to maximize infrastructure value. Software-defined infrastructure services integrate automation and AI into day-to-day operations, while managed services provide end-to-end oversight of network performance, ensuring seamless data flow across edge and cloud environments. A highlight of this expanded portfolio is NTT DATA’s recently launched AI-powered Software Defined Infrastructure services for Cisco technologies. These solutions deliver automation, real-time monitoring, and optimization capabilities designed to reduce costs, improve efficiency, and help enterprises translate infrastructure investments into measurable business outcomes. The NTT DATA and Cisco partnership illustrates a broader trend: networks are no longer passive transport layers but the backbone of enterprise AI adoption. As businesses intensify their digital transformation efforts, the ability to build intelligent, adaptive networks could become the deciding factor between successful AI integration and stalled innovation. For global enterprises, the message is clear - AI demands new infrastructure foundations, and the network sits at the center of this transformation.

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KIOXIA, Dell Unveil High-Capacity SSDs for AI-Scale Workloads KIOXIA has introduced a new class of high-capacity, high-efficiency storage solutions in collaboration with Dell Technologies, targeting the performance and sustainability requirements of AI-scale workloads. The joint effort leverages KIOXIA’s LC9 Series 245.76-terabyte NVMe solid-state drives (SSDs) to equip Dell systems with the ability to manage multi-petabyte datasets while modernizing infrastructure for generative AI and machine learning applications. The LC9 Series delivers PCIe 5.0 performance in high-density form factors, including 2.5-inch, E3.S, and E3.L, offering up to 245.76 TB of flash-based storage per drive. This capacity represents a potential replacement for numerous traditional hard disk drives, which can be limited in speed, less power-efficient, and more costly to operate. By consolidating storage into fewer, higher-capacity SSDs, organizations can improve GPU utilization, free up drive bays, and reduce cooling requirements - translating into lower power consumption and a reduced data center footprint. Dell Technologies Senior Vice President of Compute and Networking Arun Narayanan said the collaboration builds on a long-standing relationship between the companies. He highlighted that pairing the LC9 Series with Dell PowerEdge servers delivers a high-capacity, power-efficient solution designed to handle advanced AI workloads, while helping optimize total cost of ownership and data center space. The LC9 Series is built with KIOXIA’s eighth-generation BiCS FLASH 3D flash memory, incorporating 32-die QLC stacking and CMOS directly Bonded to Array (CBA) technology. This engineering enables compact, large-capacity SSDs suited to the demands of AI infrastructure - from training large language models to supporting inference pipelines such as retrieval augmented generation. Neville Ichhaporia, Senior Vice President and General Manager of KIOXIA America’s SSD business unit, said enterprises are pushing the limits of their infrastructure to remain competitive in the AI era. He noted that the LC9 Series addresses storage bottlenecks, increases rack density, and enables sustainable, scalable systems that maximize GPU performance and power efficiency.

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KIOXIA, Dell Unveil High-Capacity SSDs for AI-Scale Workloads KIOXIA has introduced a new class of high-capacity, high-efficiency storage solutions in collaboration with Dell Technologies, targeting the performance and sustainability requirements of AI-scale workloads. The joint effort leverages KIOXIA’s LC9 Series 245.76-terabyte NVMe solid-state drives (SSDs) to equip Dell systems with the ability to manage multi-petabyte datasets while modernizing infrastructure for generative AI and machine learning applications. The LC9 Series delivers PCIe 5.0 performance in high-density form factors, including 2.5-inch, E3.S, and E3.L, offering up to 245.76 TB of flash-based storage per drive. This capacity represents a potential replacement for numerous traditional hard disk drives, which can be limited in speed, less power-efficient, and more costly to operate. By consolidating storage into fewer, higher-capacity SSDs, organizations can improve GPU utilization, free up drive bays, and reduce cooling requirements - translating into lower power consumption and a reduced data center footprint. Dell Technologies Senior Vice President of Compute and Networking Arun Narayanan said the collaboration builds on a long-standing relationship between the companies. He highlighted that pairing the LC9 Series with Dell PowerEdge servers delivers a high-capacity, power-efficient solution designed to handle advanced AI workloads, while helping optimize total cost of ownership and data center space. The LC9 Series is built with KIOXIA’s eighth-generation BiCS FLASH 3D flash memory, incorporating 32-die QLC stacking and CMOS directly Bonded to Array (CBA) technology. This engineering enables compact, large-capacity SSDs suited to the demands of AI infrastructure - from training large language models to supporting inference pipelines such as retrieval augmented generation. Neville Ichhaporia, Senior Vice President and General Manager of KIOXIA America’s SSD business unit, said enterprises are pushing the limits of their infrastructure to remain competitive in the AI era. He noted that the LC9 Series addresses storage bottlenecks, increases rack density, and enables sustainable, scalable systems that maximize GPU performance and power efficiency.

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Study: Legacy Systems Slow Database Modernization AWS Premier Tier Services Partner Caylent has published its 2025 Database Migration study, revealing widespread difficulties enterprises face in modernizing their data infrastructure. The findings, drawn from more than 300 IT leaders across industries such as manufacturing, energy, healthcare, education, and entertainment, underscore the persistent risks of downtime, cost overruns, and strategic uncertainty that accompany large-scale migration projects. Only 6 percent of respondents reported that their organizations completed their most difficult database migration projects on schedule, and the same percentage said they experienced zero downtime. Most projects involved significant delays, with 46 percent of participants noting more than five hours of downtime during their most complex migrations. This downtime, according to the study, translated directly into operational slowdowns (44 percent), lost revenue (49 percent), and negative impacts on customer experience (51 percent). The types of migrations most frequently cited as challenging were database version upgrades, cross-cloud transitions, and moves from on-premises systems to the cloud. While such efforts are often driven by the need to increase scalability, reduce database licensing costs, or avoid vendor lock-in, the report indicates that many organizations underestimate the complexity involved in executing them. Artificial intelligence is already playing a role in easing migration challenges, but its potential remains underutilized. Sixty percent of respondents said they had employed generative AI or automation tools in their toughest migration projects, and 77 percent of those found AI to be helpful or very effective. However, a notable 53 percent admitted uncertainty over which AI tools and capabilities would best serve their needs. This knowledge gap suggests that while AI adoption in data migrations is accelerating, clear standards and proven practices are still developing. The study highlights three processes as particularly time-consuming: transferring data from the source to the target database, validating the target database and its integrations, and adapting schemas to the new platform. Each of these steps introduces opportunities for downtime and errors if not carefully managed. ‘Tech Debt Slows Modernization Efforts’ Caylent CEO Lori Williams said the survey findings reinforce the company’s day-to-day experience: modernization is unavoidable but often hampered by legacy technical debt and outdated strategies. Williams argued that integrating generative AI with deep technical expertise can help reduce downtime, speed migrations, and lower costs.  “Modernization is imperative, but too often organizations are slowed by accumulated tech debt and outdated approaches that create unnecessary downtime and delayed returns,” said Lori Williams, pointing to AI-enabled methods as a way to accelerate time to value. The research results come at a moment when enterprises are under growing pressure to modernize databases to support emerging workloads, particularly those tied to artificial intelligence and advanced analytics. With IT leaders identifying cost reduction, scalability, and freedom from vendor lock-in as key motivations, the findings suggest that more agile and intelligent approaches will be required to keep pace with demand. For businesses weighing future migration efforts, the report provides a clear warning: the risks of downtime and disruption remain high, but AI-driven solutions are emerging as a pathway toward smoother, faster, and more resilient transformations.

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Study: Legacy Systems Slow Database Modernization AWS Premier Tier Services Partner Caylent has published its 2025 Database Migration study, revealing widespread difficulties enterprises face in modernizing their data infrastructure. The findings, drawn from more than 300 IT leaders across industries such as manufacturing, energy, healthcare, education, and entertainment, underscore the persistent risks of downtime, cost overruns, and strategic uncertainty that accompany large-scale migration projects. Only 6 percent of respondents reported that their organizations completed their most difficult database migration projects on schedule, and the same percentage said they experienced zero downtime. Most projects involved significant delays, with 46 percent of participants noting more than five hours of downtime during their most complex migrations. This downtime, according to the study, translated directly into operational slowdowns (44 percent), lost revenue (49 percent), and negative impacts on customer experience (51 percent). The types of migrations most frequently cited as challenging were database version upgrades, cross-cloud transitions, and moves from on-premises systems to the cloud. While such efforts are often driven by the need to increase scalability, reduce database licensing costs, or avoid vendor lock-in, the report indicates that many organizations underestimate the complexity involved in executing them. Artificial intelligence is already playing a role in easing migration challenges, but its potential remains underutilized. Sixty percent of respondents said they had employed generative AI or automation tools in their toughest migration projects, and 77 percent of those found AI to be helpful or very effective. However, a notable 53 percent admitted uncertainty over which AI tools and capabilities would best serve their needs. This knowledge gap suggests that while AI adoption in data migrations is accelerating, clear standards and proven practices are still developing. The study highlights three processes as particularly time-consuming: transferring data from the source to the target database, validating the target database and its integrations, and adapting schemas to the new platform. Each of these steps introduces opportunities for downtime and errors if not carefully managed. ‘Tech Debt Slows Modernization Efforts’ Caylent CEO Lori Williams said the survey findings reinforce the company’s day-to-day experience: modernization is unavoidable but often hampered by legacy technical debt and outdated strategies. Williams argued that integrating generative AI with deep technical expertise can help reduce downtime, speed migrations, and lower costs.  “Modernization is imperative, but too often organizations are slowed by accumulated tech debt and outdated approaches that create unnecessary downtime and delayed returns,” said Lori Williams, pointing to AI-enabled methods as a way to accelerate time to value. The research results come at a moment when enterprises are under growing pressure to modernize databases to support emerging workloads, particularly those tied to artificial intelligence and advanced analytics. With IT leaders identifying cost reduction, scalability, and freedom from vendor lock-in as key motivations, the findings suggest that more agile and intelligent approaches will be required to keep pace with demand. For businesses weighing future migration efforts, the report provides a clear warning: the risks of downtime and disruption remain high, but AI-driven solutions are emerging as a pathway toward smoother, faster, and more resilient transformations.

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Leaseweb Named Official Shirt Sponsor of Dutch Football Team AZ Leaseweb has announced a new partnership with Dutch football club AZ Alkmaar, stepping in as the team’s official shirt sponsor beginning with the upcoming season. The agreement brings together two organizations that highlight a shared focus on technology, data, and community impact, while signaling Leaseweb’s intention to strengthen its visibility both in the Netherlands and internationally. The sponsorship is framed as more than a branding exercise. Leaseweb, founded in 1997, operates a global infrastructure spanning 25 data centers across North America, Europe, Asia, and Australia. With more than 80,000 servers supporting cloud, hosting, and interconnection services, the company enables customers to run mission-critical workloads ranging from email and security to storage and large-scale web applications.  Leaseweb’s offerings emphasize scalability, resilience, and agility - qualities its leadership sees as directly comparable to the demands of professional football. Leaseweb’s co-CEOs drew a parallel between the company’s technology-driven culture and the qualities necessary for competitive sports. Lex Boost described football and cloud computing as industries rooted in speed, reliability, teamwork, and passion. Svenja de Vos added that the alignment with AZ highlights shared values of agility and cooperation, which she noted are central to Leaseweb’s solutions for business customers worldwide. Innovative Partnership AZ, a club with a strong reputation for youth development, community ties, and international recognition, underscored the partnership as one that extends beyond financial backing. General Director Merijn Zeeman characterized Leaseweb not only as a sponsor but as an “innovative partner,” stressing the role technology can play in enhancing both sporting performance and business operations. He emphasized that the collaboration aims to build a future where sport and technology complement each other in tangible ways. According to both organizations, the sponsorship will expand into broader initiatives during the contract term. Plans include exploring how cloud services can support AZ’s internal operations, launching joint community engagement programs, and nurturing talent in both digital and athletic fields. By linking its brand to one of the Netherlands’ best-known football clubs, Leaseweb positions itself to strengthen recognition within its home market while underscoring its global footprint. For AZ, the agreement reflects not just a financial boost but also an opportunity to leverage technology partnerships in ways that align with the club’s long-term development goals.

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Leaseweb Named Official Shirt Sponsor of Dutch Football Team AZ Leaseweb has announced a new partnership with Dutch football club AZ Alkmaar, stepping in as the team’s official shirt sponsor beginning with the upcoming season. The agreement brings together two organizations that highlight a shared focus on technology, data, and community impact, while signaling Leaseweb’s intention to strengthen its visibility both in the Netherlands and internationally. The sponsorship is framed as more than a branding exercise. Leaseweb, founded in 1997, operates a global infrastructure spanning 25 data centers across North America, Europe, Asia, and Australia. With more than 80,000 servers supporting cloud, hosting, and interconnection services, the company enables customers to run mission-critical workloads ranging from email and security to storage and large-scale web applications.  Leaseweb’s offerings emphasize scalability, resilience, and agility - qualities its leadership sees as directly comparable to the demands of professional football. Leaseweb’s co-CEOs drew a parallel between the company’s technology-driven culture and the qualities necessary for competitive sports. Lex Boost described football and cloud computing as industries rooted in speed, reliability, teamwork, and passion. Svenja de Vos added that the alignment with AZ highlights shared values of agility and cooperation, which she noted are central to Leaseweb’s solutions for business customers worldwide. Innovative Partnership AZ, a club with a strong reputation for youth development, community ties, and international recognition, underscored the partnership as one that extends beyond financial backing. General Director Merijn Zeeman characterized Leaseweb not only as a sponsor but as an “innovative partner,” stressing the role technology can play in enhancing both sporting performance and business operations. He emphasized that the collaboration aims to build a future where sport and technology complement each other in tangible ways. According to both organizations, the sponsorship will expand into broader initiatives during the contract term. Plans include exploring how cloud services can support AZ’s internal operations, launching joint community engagement programs, and nurturing talent in both digital and athletic fields. By linking its brand to one of the Netherlands’ best-known football clubs, Leaseweb positions itself to strengthen recognition within its home market while underscoring its global footprint. For AZ, the agreement reflects not just a financial boost but also an opportunity to leverage technology partnerships in ways that align with the club’s long-term development goals.

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DE-CIX Launches São Paulo IXs Across Three Data Centers DE-CIX, one of the world’s largest operators of Internet Exchanges (IXs), has launched operations in São Paulo, marking a major expansion of high-performance interconnection infrastructure in Brazil. The new DE-CIX São Paulo Internet Exchange is distributed across three data centers - Equinix SP4, Elea SPO1, and Ascenty SP4. The new DE-CIX PoP is already onboarding its first customers, including Azion Technologies, a leader in distributed edge computing. The platform offers a suite of interconnection services such as local peering, remote peering, cloud exchange, and multi-cloud routing, all designed to reduce latency and increase performance for enterprise networking. Through direct, private connections, businesses in São Paulo can now access cloud providers locally or remotely, ensuring low-latency, high-availability connectivity for mission-critical workloads. Participants can also connect to thousands of networks - ranging from ISPs and carriers to cloud and content providers - spanning more than 100 countries. The São Paulo IX is fully integrated into DE-CIX’s global ecosystem, linking directly to exchanges in New York, Lisbon, Madrid, and Frankfurt, the latter being Europe’s largest IX. This integration leverages multiple South-North and South-South transatlantic connectivity corridors, enabling Brazilian networks to establish direct connections with local, regional, and global networks within what DE-CIX calls the world’s largest interconnection fabric. For Brazil, the move is strategic. With more than 10,000 networks and an Internet user base exceeding 165 million, the country represents one of the largest network markets globally. DE-CIX CEO Ivo Ivanov noted that the expansion enhances Brazil’s position as a major digital economy and strengthens its global integration. “The new IX further enriches the country as the second-largest market in the world in terms of number of networks,” said Mr. Ivanov, adding that high-performance, secure, and scalable interconnection is essential to Brazil’s digital future. The launch is also aimed at increasing national competitiveness by expanding the choices available to Brazilian network operators. DE-CIX São Paulo operates on a carrier- and data-center-neutral model and provides service-level agreements (SLAs) to guarantee performance standards - an offering still rare in parts of the Brazilian market.  Azion Technologies, one of the early adopters, operates infrastructure in over 100 data centers globally. CEO Rafael Umann said the DE-CIX partnership strengthens Azion’s global network, ensuring “high availability and low latency for clients, regardless of location.” The company’s focus on performance, security, and resilience for AI and other critical workloads aligns with the low-latency capabilities of the new IX. The São Paulo deployment follows DE-CIX’s long-term strategy of establishing IXs in key digital hubs. It complements existing strategic connections with data center operators in São Paulo and Rio de Janeiro and marks South America as the fifth continent where DE-CIX operates. Founded in 1995, DE-CIX has grown to serve around 60 locations worldwide across Europe, Africa, North and South America, the Middle East, and Asia. Its Frankfurt exchange handles nearly 45 exabytes of data annually and connects about 1,100 networks. The company employs around 250 people from over 35 countries and participates in key industry bodies such as the Internet Engineering Task Force (IETF). With its entry into São Paulo, DE-CIX is not only expanding its global footprint but also positioning itself to play a pivotal role in Brazil’s next phase of digital growth, offering the infrastructure backbone for “low-latency, secured, and scalable connectivity” in one of the world’s fastest-growing network markets.

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Celebrate 15 Years of OpenStack with OpenMetal Cloud Infrastructure Credits This year marks the 15th anniversary of OpenStack, the open-source cloud platform trusted by some of the largest public and private clouds in the world. To celebrate, OpenMetal, a leader in Hosted Private Cloud powered by OpenStack and Ceph, and a Si...

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DE-CIX Launches São Paulo IXs Across Three Data Centers DE-CIX, one of the world’s largest operators of Internet Exchanges (IXs), has launched operations in São Paulo, marking a major expansion of high-performance interconnection infrastructure in Brazil. The new DE-CIX São Paulo Internet Exchange is distributed across three data centers - Equinix SP4, Elea SPO1, and Ascenty SP4. The new DE-CIX PoP is already onboarding its first customers, including Azion Technologies, a leader in distributed edge computing. The platform offers a suite of interconnection services such as local peering, remote peering, cloud exchange, and multi-cloud routing, all designed to reduce latency and increase performance for enterprise networking. Through direct, private connections, businesses in São Paulo can now access cloud providers locally or remotely, ensuring low-latency, high-availability connectivity for mission-critical workloads. Participants can also connect to thousands of networks - ranging from ISPs and carriers to cloud and content providers - spanning more than 100 countries. The São Paulo IX is fully integrated into DE-CIX’s global ecosystem, linking directly to exchanges in New York, Lisbon, Madrid, and Frankfurt, the latter being Europe’s largest IX. This integration leverages multiple South-North and South-South transatlantic connectivity corridors, enabling Brazilian networks to establish direct connections with local, regional, and global networks within what DE-CIX calls the world’s largest interconnection fabric. For Brazil, the move is strategic. With more than 10,000 networks and an Internet user base exceeding 165 million, the country represents one of the largest network markets globally. DE-CIX CEO Ivo Ivanov noted that the expansion enhances Brazil’s position as a major digital economy and strengthens its global integration. “The new IX further enriches the country as the second-largest market in the world in terms of number of networks,” said Mr. Ivanov, adding that high-performance, secure, and scalable interconnection is essential to Brazil’s digital future. The launch is also aimed at increasing national competitiveness by expanding the choices available to Brazilian network operators. DE-CIX São Paulo operates on a carrier- and data-center-neutral model and provides service-level agreements (SLAs) to guarantee performance standards - an offering still rare in parts of the Brazilian market.  Azion Technologies, one of the early adopters, operates infrastructure in over 100 data centers globally. CEO Rafael Umann said the DE-CIX partnership strengthens Azion’s global network, ensuring “high availability and low latency for clients, regardless of location.” The company’s focus on performance, security, and resilience for AI and other critical workloads aligns with the low-latency capabilities of the new IX. The São Paulo deployment follows DE-CIX’s long-term strategy of establishing IXs in key digital hubs. It complements existing strategic connections with data center operators in São Paulo and Rio de Janeiro and marks South America as the fifth continent where DE-CIX operates. Founded in 1995, DE-CIX has grown to serve around 60 locations worldwide across Europe, Africa, North and South America, the Middle East, and Asia. Its Frankfurt exchange handles nearly 45 exabytes of data annually and connects about 1,100 networks. The company employs around 250 people from over 35 countries and participates in key industry bodies such as the Internet Engineering Task Force (IETF). With its entry into São Paulo, DE-CIX is not only expanding its global footprint but also positioning itself to play a pivotal role in Brazil’s next phase of digital growth, offering the infrastructure backbone for “low-latency, secured, and scalable connectivity” in one of the world’s fastest-growing network markets.

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Celebrate 15 Years of OpenStack with OpenMetal Cloud Infrastructure Credits This year marks the 15th anniversary of OpenStack, the open-source cloud platform trusted by some of the largest public and private clouds in the world. To celebrate, OpenMetal, a leader in Hosted Private Cloud powered by OpenStack and Ceph, and a Si...

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Lumen Tops 1,000 Customers on Expanding NaaS Platform Lumen Technologies has surpassed 1,000 customers on its Network-as-a-Service (NaaS) platform, marking a significant milestone in the shift toward more agile and scalable enterprise connectivity. As artificial intelligence drives new operational models across industries, enterprises are seeking ways to modernize their networks without the complexity of legacy infrastructure. Lumen’s NaaS platform addresses this demand by offering near-instant provisioning, flexible bandwidth, and integrated security, enabling organizations to adapt quickly to changing workloads. Ashley Haynes-Gaspar, Executive Vice President and Chief Revenue Officer at Lumen, characterized the achievement as a signpost in the company’s mission to power the next generation of business. The platform, launched in late 2023, has already been recognized as the 2024 NaaS Service Provider of the Year in North America and continues to expand across the U.S., targeting an economy increasingly shaped by AI-driven applications. Lumen’s NaaS offering consolidates on-demand networking capabilities into a unified platform, allowing customers to connect offices, hyperscalers, and third-party data centers in minutes via self-service portals. Services include Internet On-Demand for public connectivity, Ethernet On-Demand for private layer 2 links, and IP VPN On-Demand for private layer 3 networking. Built-in security options include automated DDoS mitigation and threat intelligence from Lumen’s Black Lotus Labs, aimed at blocking malicious traffic before it reaches enterprise networks. Expansive Network Backbone Customers span a broad range of industries, using the platform for applications from cloud migration and SaaS integration to high-profile live events. Clients include Best Buy, Churchill Downs Racetrack, Columbia Sportswear, and MTN Satellite Communications. For example, Churchill Downs deployed high-capacity secure connections in minutes to support media coverage and vendor operations during the Kentucky Derby, while IT service provider IVision cited dynamic bandwidth provisioning as a key enabler for its disaster recovery and backup services. The platform is underpinned by one of the most expansive networks in the world, with approximately 163,000 on-net buildings and 340,000 global fiber route miles. Lumen is investing heavily to expand this footprint, aiming for 47 million intercity fiber miles by 2028, increasing backbone capacity, and scaling beyond 100G capabilities. These enhancements are designed to reduce latency and deliver AI-optimized connectivity across major enterprise and cloud corridors. By combining on-demand flexibility with a large-scale, deeply interconnected network, Lumen is positioning its NaaS platform as a foundational service for enterprises navigating the demands of AI-era workloads. The company’s investments in network expansion and automation suggest a focus on keeping pace with the rapid growth of high-performance, secure, and scalable connectivity requirements. More on Lumen Technologies * Google Cloud, Lumen Partner to Boost AI and Network Efficiency (Nov 2024) * Lumen Partners with AWS to Modernize Network with AI and Security (Oct 2024)

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Lumen Tops 1,000 Customers on Expanding NaaS Platform Lumen Technologies has surpassed 1,000 customers on its Network-as-a-Service (NaaS) platform, marking a significant milestone in the shift toward more agile and scalable enterprise connectivity. As artificial intelligence drives new operational models across industries, enterprises are seeking ways to modernize their networks without the complexity of legacy infrastructure. Lumen’s NaaS platform addresses this demand by offering near-instant provisioning, flexible bandwidth, and integrated security, enabling organizations to adapt quickly to changing workloads. Ashley Haynes-Gaspar, Executive Vice President and Chief Revenue Officer at Lumen, characterized the achievement as a signpost in the company’s mission to power the next generation of business. The platform, launched in late 2023, has already been recognized as the 2024 NaaS Service Provider of the Year in North America and continues to expand across the U.S., targeting an economy increasingly shaped by AI-driven applications. Lumen’s NaaS offering consolidates on-demand networking capabilities into a unified platform, allowing customers to connect offices, hyperscalers, and third-party data centers in minutes via self-service portals. Services include Internet On-Demand for public connectivity, Ethernet On-Demand for private layer 2 links, and IP VPN On-Demand for private layer 3 networking. Built-in security options include automated DDoS mitigation and threat intelligence from Lumen’s Black Lotus Labs, aimed at blocking malicious traffic before it reaches enterprise networks. Expansive Network Backbone Customers span a broad range of industries, using the platform for applications from cloud migration and SaaS integration to high-profile live events. Clients include Best Buy, Churchill Downs Racetrack, Columbia Sportswear, and MTN Satellite Communications. For example, Churchill Downs deployed high-capacity secure connections in minutes to support media coverage and vendor operations during the Kentucky Derby, while IT service provider IVision cited dynamic bandwidth provisioning as a key enabler for its disaster recovery and backup services. The platform is underpinned by one of the most expansive networks in the world, with approximately 163,000 on-net buildings and 340,000 global fiber route miles. Lumen is investing heavily to expand this footprint, aiming for 47 million intercity fiber miles by 2028, increasing backbone capacity, and scaling beyond 100G capabilities. These enhancements are designed to reduce latency and deliver AI-optimized connectivity across major enterprise and cloud corridors. By combining on-demand flexibility with a large-scale, deeply interconnected network, Lumen is positioning its NaaS platform as a foundational service for enterprises navigating the demands of AI-era workloads. The company’s investments in network expansion and automation suggest a focus on keeping pace with the rapid growth of high-performance, secure, and scalable connectivity requirements. More on Lumen Technologies * Google Cloud, Lumen Partner to Boost AI and Network Efficiency (Nov 2024) * Lumen Partners with AWS to Modernize Network with AI and Security (Oct 2024)

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Scality Releases Open Source Drivers for Kubernetes Storage These releases mark a significant step in aligning containerized applications with scalable, standards-based storage, offering developers and IT teams greater flexibility and automation. The newly introduced drivers include a Container Object Stora...

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DE-CIX Launches AWS Cloud On-Ramp in Istanbul DE-CIX, the world’s largest operator of Internet Exchanges, has launched the first AWS Cloud On-Ramp in Istanbul, marking a significant development in cloud connectivity for Turkey and neighboring regions. The new service enables direct, secure, and high-performance access to Amazon Web Services (AWS) from within Turkey, reducing reliance on distant interconnection hubs such as Frankfurt. With this launch, businesses and network providers in Turkey gain faster, lower-latency cloud access through local integration, which also translates into more efficient application performance and reduced data transfer costs. Bülent Sen, Regional Director at DE-CIX Türkiye, emphasized that the local AWS Cloud On-Ramp offers “a more efficient and cost-effective cloud connectivity solution” for customers already connected to the DE-CIX Istanbul exchange. AWS Türkiye General Manager Berrin Özselçuk noted that the Cloud On-Ramp provides the most direct path to AWS resources. “By routing data through AWS’s global network, customers benefit from lower latency, enhanced processing speed, and reduced costs associated with network construction and operation,” she explained. The platform also includes multiple encryption options to enhance data security. AI, Big Data Analytics The Istanbul Cloud On-Ramp would deliver enterprise-grade capabilities tailored for high-bandwidth, data-intensive workloads. It supports secured and scalable data transfers, hybrid cloud integration, and applications that require regulatory compliance - such as those in finance, healthcare, and government sectors. It is also optimized for advanced use cases including artificial intelligence and big data analytics, offering a compliant alternative to routing traffic over the public Internet. The deployment of the AWS Cloud On-Ramp in Istanbul would align with a broader push for localized infrastructure in emerging digital markets and is expected to accelerate regional cloud adoption, particularly among enterprises seeking low-latency and high-security environments for mission-critical operations.  

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Scality Releases Open Source Drivers for Kubernetes Storage These releases mark a significant step in aligning containerized applications with scalable, standards-based storage, offering developers and IT teams greater flexibility and automation. The newly introduced drivers include a Container Object Stora...

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DE-CIX Launches AWS Cloud On-Ramp in Istanbul DE-CIX, the world’s largest operator of Internet Exchanges, has launched the first AWS Cloud On-Ramp in Istanbul, marking a significant development in cloud connectivity for Turkey and neighboring regions. The new service enables direct, secure, and high-performance access to Amazon Web Services (AWS) from within Turkey, reducing reliance on distant interconnection hubs such as Frankfurt. With this launch, businesses and network providers in Turkey gain faster, lower-latency cloud access through local integration, which also translates into more efficient application performance and reduced data transfer costs. Bülent Sen, Regional Director at DE-CIX Türkiye, emphasized that the local AWS Cloud On-Ramp offers “a more efficient and cost-effective cloud connectivity solution” for customers already connected to the DE-CIX Istanbul exchange. AWS Türkiye General Manager Berrin Özselçuk noted that the Cloud On-Ramp provides the most direct path to AWS resources. “By routing data through AWS’s global network, customers benefit from lower latency, enhanced processing speed, and reduced costs associated with network construction and operation,” she explained. The platform also includes multiple encryption options to enhance data security. AI, Big Data Analytics The Istanbul Cloud On-Ramp would deliver enterprise-grade capabilities tailored for high-bandwidth, data-intensive workloads. It supports secured and scalable data transfers, hybrid cloud integration, and applications that require regulatory compliance - such as those in finance, healthcare, and government sectors. It is also optimized for advanced use cases including artificial intelligence and big data analytics, offering a compliant alternative to routing traffic over the public Internet. The deployment of the AWS Cloud On-Ramp in Istanbul would align with a broader push for localized infrastructure in emerging digital markets and is expected to accelerate regional cloud adoption, particularly among enterprises seeking low-latency and high-security environments for mission-critical operations.  

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Survey: 80% ITAM Pros Leaving Oracle Java Over Cost, Licensing Issues A new survey reveals that more than 80% of IT Asset Management (ITAM) and Software Asset Management (SAM) professionals are turning away from Oracle Java, driven largely by rising costs, audit risks, and growing frustration with the vendor’s complex and evolving licensing structure. The findings come from the 2025 ITAM & SAM Survey, jointly conducted by the ITAM Forum - a non-profit membership association representing ITAM professionals - and Azul, a provider of open-source Java runtime solutions. The survey analyzed responses from 500 IT professionals responsible for Java usage and compliance within their organizations, painting a clear picture of industry-wide dissatisfaction with Oracle’s recent licensing policies. A key source of frustration stems from Oracle’s shift in January 2023 to a new pricing model known as the Java SE Universal Subscription. This model introduced a per-employee pricing structure, replacing the previous per-device or per-processor model. Under the new policy, organizations must pay licensing fees for every employee - regardless of whether they use Java - if their Java usage exceeds Oracle’s free-use thresholds. This change has had significant operational and financial implications for companies using Oracle Java at scale. The survey found that 96% of ITAM and SAM professionals expressed concern over Oracle’s licensing and pricing practices. Many respondents reported undergoing Oracle audits and said the new pricing model has forced them to invest in tracking tools, monitoring systems, and internal audit processes just to ensure they remain compliant—or to facilitate a complete migration away from Oracle Java. As a result, 79% of businesses have either already moved away from Oracle Java, are in the process of doing so, or plan to transition in the near future. Cost savings, simpler compliance, and security were cited as the leading motivations behind these moves. Among those who had completed migrations, 57% ranked security and reliability as their top concerns, while 51% of those planning to migrate cited it as their primary reason, followed by cost reduction (42%) and easier compliance (40%). ITAM Market Growth Open-source Java alternatives would appear to offer a compelling path forward. Two-thirds of survey participants estimated they could save at least 40% by switching away from Oracle. Only 1% of respondents believed migrating would result in no cost savings. The mass shift away from Oracle Java also reflects broader trends in the ITAM and SAM industries. According to the report, the ITAM market has grown at a compound annual growth rate (CAGR) of 6.9% - from $1.15 billion in 2019 to $1.49 billion in 2023. The SAM segment, in particular, is expected to grow even faster, at a projected CAGR of 16% through 2029. Contributing factors include the rising costs of software - now accounting for nearly 30% of IT budgets - along with increased software virtualization, cloud adoption, and heightened regulatory scrutiny. Martin Thompson, founder of the ITAM Forum, noted the strategic importance of SAM and ITAM professionals in navigating increasingly opaque licensing frameworks. “The results highlight a fundamental mismatch between the complexity of modern software licensing and the resources organizations rely on to effectively manage software compliance,” he said. “As licensing missteps can lead to serious financial penalties and operational disruptions, these professionals require proper tools, processes, and executive backing to manage compliance effectively.”

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Broadcom Debuts Innovative Ethernet Switch for AI and HPC Broadcom, a provider of infrastructure software solutions and semiconductors, has announced the delivery of the Tomahawk Ultra, a revolutionary Ethernet switch. With its industry-leading ultra-low latency, huge throughput, and lossless networking, Tomahawk Ultra was designed to revolutionize the Ethernet switch for high-performance computing (HPC) and artificial intelligence applications. Ram Velaga, Senior Vice President and General Manager of Broadcom's Core Switching Group, said, "Tomahawk Ultra is a testament to innovation, involving a multi-year effort by hundreds of engineers who reimagined every aspect of the Ethernet switch." This would demonstrate Broadcom's dedication to funding Ethernet advancements for high-performance networking and AI scale-up. Dispelling Myths and Changing Performance Tomahawk Ultra redefines what an Ethernet switch can do, having been designed from the bottom up to satisfy the rigorous requirements of densely connected AI clusters and HPC settings. Ethernet assumes a new function after being long thought of being lossy and having increasing latency: * Ultra-low latency - At full 51.2 Tbps throughput, a switch latency of 250 ns is achieved * High performance - Supports up to 77 billion packets per second and provides line-rate switching speed even at 64-byte packet minimum sizes * Flexibility - application-specific optimizations are made possible by adaptable, optimized Ethernet headers, which lower header overhead from 46 bytes to as little as 10 bytes while yet preserving full Ethernet compliance. This would increase network performance Lossless fabric: Uses Credit-Based Flow Control (CBFC) and Link Layer Retry (LLR) to prevent packet loss and guarantee dependability.  According to Bloomberg information senior semiconductor analyst Kunjan Sobhani, "AI and HPC workloads are convergent into tightly coupled accelerator clusters that require supercomputer-class latency - critical for inference, reliability, and in-network intelligence from the fabric itself." In order to satisfy the needs of an AI scale-up stack, which is expected to reach double digit billions in a few years, it is crucial to show that open-standards Ethernet can now provide sub-microsecond switching, lossless transmission, and on-chip collectives. Designed for Scale-Up in AI and HPC AI clusters and high-performance computer systems both need closely coupled, low-latency communication patterns, which Tomahawk Ultra is tailored for. It offers consistent, high-efficiency performance for synchronized AI model training and inference, scientific computing, and large-scale simulations thanks to its ultra-low latency switching and flexible, optimized Ethernet headers. The Broadcom Tomahawk Ultra would set a new standard for closely synchronized AI computation at scale by enabling sub-400ns XPU-to-XPU communication latency, including the switch transit time, when implemented with Scale-Up Ethernet (the SUE specification is publicly accessible here). Tomahawk Ultra significantly increases network efficiency by lowering Ethernet header overhead from 46 bytes to only 10 bytes while preserving complete Ethernet compliance. This application-specific optimized header provides flexibility and performance improvements for a range of HPC and AI applications. Lossless fabric technology, which Tomahawk Ultra uses, prevents packet losses while transferring large amounts of data. By using LLR, the switch automatically retransmits packets to prevent dropouts at the wire level and uses Forward Error Correction to identify connection faults. At the same time, CBFC prevents buffer overflows, which used to result in packet loss. When combined, these processes provide an Ethernet fabric that is genuinely lossless, meeting the dependability requirements of today's most data-intensive applications. In-Network Collectives, which address one of the most enduring bottlenecks in AI and machine learning workloads, are another way that Tomahawk Ultra boosts performance. Tomahawk Ultra performs collective operations like AllReduce, Broadcast, and AllGather directly inside the switch chip, eliminating the need for XPUs to handle them. This may enhance the use of costly computing resources and shorten the time needed to complete a task. Crucially, this feature is endpoint-neutral, allowing for instant deployment in a variety of vendor ecosystems and system designs. In addition to being compatible with the UEC standard, Tomahawk Ultra embraces the openness and rich ecosystem of Ethernet networking and was designed with advancements in topology-aware routing to enable advanced HPC topologies like Dragonfly, Mesh, and Torus. Presenting SUE-Lite Broadcom also unveiled SUE-Lite, an enhanced SUE standard designed for power and area-sensitive accelerator applications, as part of its Ethernet-forward strategy for AI scale-up. SUE-Lite significantly minimizes the silicon footprint and power consumption of Ethernet interfaces on AI XPUs and CPUs while maintaining the essential low-latency and lossless features of full SUE.  Ethernet is becoming more widely used as the preferred connection in scale-up designs thanks to this lightweight version, which makes it simpler to integrate standards-compliant Ethernet fabrics in AI systems. AI Scale-Up and HPC Scale-Out Platform The 102.4 Tbps Tomahawk 6 and Tomahawk Ultra together provide a unified Ethernet architecture that allows scale-out Ethernet for distributed workloads and HPC and scale-up Ethernet for AI. Now Shipping A very quick time-to-market is guaranteed since Tomahawk Ultra and Tomahawk 5 are 100% pin-compatible. It is currently being shipped for use in supercomputing settings and rack-scale AI training clusters.

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Survey: 80% ITAM Pros Leaving Oracle Java Over Cost, Licensing Issues A new survey reveals that more than 80% of IT Asset Management (ITAM) and Software Asset Management (SAM) professionals are turning away from Oracle Java, driven largely by rising costs, audit risks, and growing frustration with the vendor’s complex and evolving licensing structure. The findings come from the 2025 ITAM & SAM Survey, jointly conducted by the ITAM Forum - a non-profit membership association representing ITAM professionals - and Azul, a provider of open-source Java runtime solutions. The survey analyzed responses from 500 IT professionals responsible for Java usage and compliance within their organizations, painting a clear picture of industry-wide dissatisfaction with Oracle’s recent licensing policies. A key source of frustration stems from Oracle’s shift in January 2023 to a new pricing model known as the Java SE Universal Subscription. This model introduced a per-employee pricing structure, replacing the previous per-device or per-processor model. Under the new policy, organizations must pay licensing fees for every employee - regardless of whether they use Java - if their Java usage exceeds Oracle’s free-use thresholds. This change has had significant operational and financial implications for companies using Oracle Java at scale. The survey found that 96% of ITAM and SAM professionals expressed concern over Oracle’s licensing and pricing practices. Many respondents reported undergoing Oracle audits and said the new pricing model has forced them to invest in tracking tools, monitoring systems, and internal audit processes just to ensure they remain compliant—or to facilitate a complete migration away from Oracle Java. As a result, 79% of businesses have either already moved away from Oracle Java, are in the process of doing so, or plan to transition in the near future. Cost savings, simpler compliance, and security were cited as the leading motivations behind these moves. Among those who had completed migrations, 57% ranked security and reliability as their top concerns, while 51% of those planning to migrate cited it as their primary reason, followed by cost reduction (42%) and easier compliance (40%). ITAM Market Growth Open-source Java alternatives would appear to offer a compelling path forward. Two-thirds of survey participants estimated they could save at least 40% by switching away from Oracle. Only 1% of respondents believed migrating would result in no cost savings. The mass shift away from Oracle Java also reflects broader trends in the ITAM and SAM industries. According to the report, the ITAM market has grown at a compound annual growth rate (CAGR) of 6.9% - from $1.15 billion in 2019 to $1.49 billion in 2023. The SAM segment, in particular, is expected to grow even faster, at a projected CAGR of 16% through 2029. Contributing factors include the rising costs of software - now accounting for nearly 30% of IT budgets - along with increased software virtualization, cloud adoption, and heightened regulatory scrutiny. Martin Thompson, founder of the ITAM Forum, noted the strategic importance of SAM and ITAM professionals in navigating increasingly opaque licensing frameworks. “The results highlight a fundamental mismatch between the complexity of modern software licensing and the resources organizations rely on to effectively manage software compliance,” he said. “As licensing missteps can lead to serious financial penalties and operational disruptions, these professionals require proper tools, processes, and executive backing to manage compliance effectively.”

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Strong Q2 Demand for IT and Business Services in Americas, Says ISG The latest quarterly report from Information Services Group (ISG), a global technology research and advisory firm focused on AI, reveals that the Americas region experienced a record-breaking second quarter in IT and business services demand. This surge is driven by enterprises’ growing appetite for AI adoption, cloud investments, and strategic cost optimization efforts. According to the ISG Index, which tracks commercial outsourcing contracts valued at $5 million or more, the combined annual contract value (ACV) for managed services and cloud-based as-a-service (XaaS) in Q2 2024 reached $15.5 billion. This marks a 26% year-over-year increase - the strongest quarterly growth rate the region has seen in three years—and a 6% rise from the previous quarter. The performance was fueled by significant gains in both managed services and cloud services. Managed services ACV rose 20% year-over-year to $5.9 billion, representing the highest growth since Q3 2023 and the third consecutive quarter of gains, a trend not seen since 2022. Cloud-based XaaS grew even faster, with a 29% increase bringing its ACV to $9.6 billion. ISG attributes this momentum to enterprises scaling AI initiatives by leveraging cloud platforms. Contract activity also reflected increased enterprise commitment. A total of 392 managed services deals were signed in the quarter, 10% more than a year earlier. Notably, five of those deals were mega-contracts worth at least $100 million in ACV, up from four in the same period last year and three in Q1. The value of those mega-deals surged 81% year-over-year, underscoring a shift toward larger, more consolidated outsourcing agreements to streamline costs and fund innovation. Despite a slowdown in lower-value contracts under $10 million, likely tied to delays in discretionary spending, new-scope contract volume and ACV climbed more than 30% compared to Q2 2023 - highlighting continued demand for transformation-driven services. Industry-wise, several sectors posted standout growth. Manufacturing surged by 69%, travel, transportation, and hospitality rose 68%, and energy-related managed services jumped 78%. Banking, financial services, and insurance (BFSI) - the region's top market by contract value - grew 20%, while healthcare followed with a 33% increase. “The market acceleration in the Americas continues,” said Todd Lavieri, ISG Vice Chairman and President for the Americas and Asia Pacific. “Despite broader macroeconomic uncertainty, enterprises remain focused on cloud transformation and AI-driven reinvention. At the same time, they are turning to managed services to drive down costs and reinvest savings into innovation.” Managed Services Within managed services, application development and maintenance (ADM) was the primary growth engine for IT outsourcing (ITO), with ITO ACV rising 32% to $4.6 billion. Business process outsourcing (BPO), however, declined by 20% to $920 million, reflecting widespread challenges across service lines. Engineering, research, and development (ER&D) saw a 35% increase to $326 million. On the XaaS side, infrastructure-as-a-service (IaaS) experienced substantial growth, jumping 39% to $7.2 billion, while software-as-a-service (SaaS) grew more moderately at 7%, reaching $2.5 billion. The first half of 2024 also reflected this upward trend. Combined ACV for the Americas reached $30.1 billion, up 22.5% year-over-year. Managed services rose 11% to $11.3 billion, with 783 deals signed, including eight mega-deals. ITO increased 24% to $8.8 billion, while BPO fell 29% to $1.8 billion. ER&D rose 22% to $758 million. BFSI remained the largest contributor, adding $550 million in new contract value during the period. XaaS services continued to expand rapidly in the first half of the year, with overall spending increasing by 31% to $18.7 billion. IaaS led the way with a 42% increase to $13.8 billion, while SaaS rose 7.5% to $5 billion. Looking ahead, ISG maintains its 2025 forecast of 1.3% growth in managed services revenue, pointing to a more stable macro environment. However, based on continued AI adoption and strong demand for digital transformation, the firm has revised its growth outlook for XaaS upward, increasing its forecast by 300 basis points to 21%. The results suggest that businesses across the Americas remain committed to scaling AI, consolidating vendor relationships, and driving technology-driven efficiencies - regardless of economic headwinds.

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Broadcom Debuts Innovative Ethernet Switch for AI and HPC Broadcom, a provider of infrastructure software solutions and semiconductors, has announced the delivery of the Tomahawk Ultra, a revolutionary Ethernet switch. With its industry-leading ultra-low latency, huge throughput, and lossless networking, Tomahawk Ultra was designed to revolutionize the Ethernet switch for high-performance computing (HPC) and artificial intelligence applications. Ram Velaga, Senior Vice President and General Manager of Broadcom's Core Switching Group, said, "Tomahawk Ultra is a testament to innovation, involving a multi-year effort by hundreds of engineers who reimagined every aspect of the Ethernet switch." This would demonstrate Broadcom's dedication to funding Ethernet advancements for high-performance networking and AI scale-up. Dispelling Myths and Changing Performance Tomahawk Ultra redefines what an Ethernet switch can do, having been designed from the bottom up to satisfy the rigorous requirements of densely connected AI clusters and HPC settings. Ethernet assumes a new function after being long thought of being lossy and having increasing latency: * Ultra-low latency - At full 51.2 Tbps throughput, a switch latency of 250 ns is achieved * High performance - Supports up to 77 billion packets per second and provides line-rate switching speed even at 64-byte packet minimum sizes * Flexibility - application-specific optimizations are made possible by adaptable, optimized Ethernet headers, which lower header overhead from 46 bytes to as little as 10 bytes while yet preserving full Ethernet compliance. This would increase network performance Lossless fabric: Uses Credit-Based Flow Control (CBFC) and Link Layer Retry (LLR) to prevent packet loss and guarantee dependability.  According to Bloomberg information senior semiconductor analyst Kunjan Sobhani, "AI and HPC workloads are convergent into tightly coupled accelerator clusters that require supercomputer-class latency - critical for inference, reliability, and in-network intelligence from the fabric itself." In order to satisfy the needs of an AI scale-up stack, which is expected to reach double digit billions in a few years, it is crucial to show that open-standards Ethernet can now provide sub-microsecond switching, lossless transmission, and on-chip collectives. Designed for Scale-Up in AI and HPC AI clusters and high-performance computer systems both need closely coupled, low-latency communication patterns, which Tomahawk Ultra is tailored for. It offers consistent, high-efficiency performance for synchronized AI model training and inference, scientific computing, and large-scale simulations thanks to its ultra-low latency switching and flexible, optimized Ethernet headers. The Broadcom Tomahawk Ultra would set a new standard for closely synchronized AI computation at scale by enabling sub-400ns XPU-to-XPU communication latency, including the switch transit time, when implemented with Scale-Up Ethernet (the SUE specification is publicly accessible here). Tomahawk Ultra significantly increases network efficiency by lowering Ethernet header overhead from 46 bytes to only 10 bytes while preserving complete Ethernet compliance. This application-specific optimized header provides flexibility and performance improvements for a range of HPC and AI applications. Lossless fabric technology, which Tomahawk Ultra uses, prevents packet losses while transferring large amounts of data. By using LLR, the switch automatically retransmits packets to prevent dropouts at the wire level and uses Forward Error Correction to identify connection faults. At the same time, CBFC prevents buffer overflows, which used to result in packet loss. When combined, these processes provide an Ethernet fabric that is genuinely lossless, meeting the dependability requirements of today's most data-intensive applications. In-Network Collectives, which address one of the most enduring bottlenecks in AI and machine learning workloads, are another way that Tomahawk Ultra boosts performance. Tomahawk Ultra performs collective operations like AllReduce, Broadcast, and AllGather directly inside the switch chip, eliminating the need for XPUs to handle them. This may enhance the use of costly computing resources and shorten the time needed to complete a task. Crucially, this feature is endpoint-neutral, allowing for instant deployment in a variety of vendor ecosystems and system designs. In addition to being compatible with the UEC standard, Tomahawk Ultra embraces the openness and rich ecosystem of Ethernet networking and was designed with advancements in topology-aware routing to enable advanced HPC topologies like Dragonfly, Mesh, and Torus. Presenting SUE-Lite Broadcom also unveiled SUE-Lite, an enhanced SUE standard designed for power and area-sensitive accelerator applications, as part of its Ethernet-forward strategy for AI scale-up. SUE-Lite significantly minimizes the silicon footprint and power consumption of Ethernet interfaces on AI XPUs and CPUs while maintaining the essential low-latency and lossless features of full SUE.  Ethernet is becoming more widely used as the preferred connection in scale-up designs thanks to this lightweight version, which makes it simpler to integrate standards-compliant Ethernet fabrics in AI systems. AI Scale-Up and HPC Scale-Out Platform The 102.4 Tbps Tomahawk 6 and Tomahawk Ultra together provide a unified Ethernet architecture that allows scale-out Ethernet for distributed workloads and HPC and scale-up Ethernet for AI. Now Shipping A very quick time-to-market is guaranteed since Tomahawk Ultra and Tomahawk 5 are 100% pin-compatible. It is currently being shipped for use in supercomputing settings and rack-scale AI training clusters.

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Strong Q2 Demand for IT and Business Services in Americas, Says ISG The latest quarterly report from Information Services Group (ISG), a global technology research and advisory firm focused on AI, reveals that the Americas region experienced a record-breaking second quarter in IT and business services demand. This surge is driven by enterprises’ growing appetite for AI adoption, cloud investments, and strategic cost optimization efforts. According to the ISG Index, which tracks commercial outsourcing contracts valued at $5 million or more, the combined annual contract value (ACV) for managed services and cloud-based as-a-service (XaaS) in Q2 2024 reached $15.5 billion. This marks a 26% year-over-year increase - the strongest quarterly growth rate the region has seen in three years—and a 6% rise from the previous quarter. The performance was fueled by significant gains in both managed services and cloud services. Managed services ACV rose 20% year-over-year to $5.9 billion, representing the highest growth since Q3 2023 and the third consecutive quarter of gains, a trend not seen since 2022. Cloud-based XaaS grew even faster, with a 29% increase bringing its ACV to $9.6 billion. ISG attributes this momentum to enterprises scaling AI initiatives by leveraging cloud platforms. Contract activity also reflected increased enterprise commitment. A total of 392 managed services deals were signed in the quarter, 10% more than a year earlier. Notably, five of those deals were mega-contracts worth at least $100 million in ACV, up from four in the same period last year and three in Q1. The value of those mega-deals surged 81% year-over-year, underscoring a shift toward larger, more consolidated outsourcing agreements to streamline costs and fund innovation. Despite a slowdown in lower-value contracts under $10 million, likely tied to delays in discretionary spending, new-scope contract volume and ACV climbed more than 30% compared to Q2 2023 - highlighting continued demand for transformation-driven services. Industry-wise, several sectors posted standout growth. Manufacturing surged by 69%, travel, transportation, and hospitality rose 68%, and energy-related managed services jumped 78%. Banking, financial services, and insurance (BFSI) - the region's top market by contract value - grew 20%, while healthcare followed with a 33% increase. “The market acceleration in the Americas continues,” said Todd Lavieri, ISG Vice Chairman and President for the Americas and Asia Pacific. “Despite broader macroeconomic uncertainty, enterprises remain focused on cloud transformation and AI-driven reinvention. At the same time, they are turning to managed services to drive down costs and reinvest savings into innovation.” Managed Services Within managed services, application development and maintenance (ADM) was the primary growth engine for IT outsourcing (ITO), with ITO ACV rising 32% to $4.6 billion. Business process outsourcing (BPO), however, declined by 20% to $920 million, reflecting widespread challenges across service lines. Engineering, research, and development (ER&D) saw a 35% increase to $326 million. On the XaaS side, infrastructure-as-a-service (IaaS) experienced substantial growth, jumping 39% to $7.2 billion, while software-as-a-service (SaaS) grew more moderately at 7%, reaching $2.5 billion. The first half of 2024 also reflected this upward trend. Combined ACV for the Americas reached $30.1 billion, up 22.5% year-over-year. Managed services rose 11% to $11.3 billion, with 783 deals signed, including eight mega-deals. ITO increased 24% to $8.8 billion, while BPO fell 29% to $1.8 billion. ER&D rose 22% to $758 million. BFSI remained the largest contributor, adding $550 million in new contract value during the period. XaaS services continued to expand rapidly in the first half of the year, with overall spending increasing by 31% to $18.7 billion. IaaS led the way with a 42% increase to $13.8 billion, while SaaS rose 7.5% to $5 billion. Looking ahead, ISG maintains its 2025 forecast of 1.3% growth in managed services revenue, pointing to a more stable macro environment. However, based on continued AI adoption and strong demand for digital transformation, the firm has revised its growth outlook for XaaS upward, increasing its forecast by 300 basis points to 21%. The results suggest that businesses across the Americas remain committed to scaling AI, consolidating vendor relationships, and driving technology-driven efficiencies - regardless of economic headwinds.

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KIOXIA AiSAQ Boosts AI RAG with Updated Vector Search Library With the help of the new open-source release's configurable controls, system architects can now determine the ideal balance between search speed and vector count, two parameters that are mutually exclusive given the system's set SSD storag...

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KIOXIA AiSAQ Boosts AI RAG with Updated Vector Search Library With the help of the new open-source release's configurable controls, system architects can now determine the ideal balance between search speed and vector count, two parameters that are mutually exclusive given the system's set SSD storag...

#IaaSHosting

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German Blockchain Provider Expands Solana Network in Europe with INTROSERV ​​​​​ Challenges Expanding the network meant solving many technical and operational challenges. The team aimed to deploy validator nodes across several European countries to boost decentralization and lower risks from centralized setups. Keeping the...

#TechWire #IaaSHosting

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German Blockchain Provider Expands Solana Network in Europe with INTROSERV ​​​​​ Challenges Expanding the network meant solving many technical and operational challenges. The team aimed to deploy validator nodes across several European countries to boost decentralization and lower risks from centralized setups. Keeping the...

#IaaSHosting

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