The High Cost of Latency

THE HIGH COST OF LATENCY (and what to do about it) Are you an IT leader looking to drive revenue growth and profitability? FOR MANY ORGANIZATIONS, SECONDS OF DELAY CAN HAVE MULTI-MILLION DOLLAR CONSEQUENCES. OFTEN THE HEALTH OF VIRTUAL AND CLOUD ENVIRONMENTS IS THE CULPRIT. Just how bad is latency? Amazon found that Sales 100 ms of latency causes 4 1% loss in Sales To put this percent into perspective $88.94 billion x 1% $889,400,000 AMAZON'S REPORTED $88.94 BILLION IN REVENUE FOR 2014..oNE PERCENT OF THAT IS NOT INSIGNIFICANT Опе study found that a 1 millisecond advantage CAN BE WORTH 16 15- $100,000,000 TO A MAJOR BROKERAGE FIRM A problem so costly that $1.5 billion NORTH t MERICA FIBER-OPTIC CABLE ATRANTIC DCEAN PACIFIC OCEAN TO LAY THE FIRST TRANS-ARCTIC OCEAN FIBER NORTH POLE OPTIC CABLES IN ORDER TO CUT LATENCY WINTER SEA KE BETWEEN LONDON AND TOKYO BY 30% IS RUSSIA JA PAN practically a steal Now, some good news... You Can Reduce 37% Latency by "In a virtualized application, every order counts. When you add VMTurbo to your environment, you can see the immediate improvement in performance from the first time you implement the recommended changes." - Principled Technologies – Principled Technologies ran a study The study empirically proves how VMTurbo improves application performance and drives benefits that directly impact the bottom-line. VMTurbo Keeps you right where you wnnt tobe! The firm deployed VMTurbo's Demand- Driven Control system in their virtualized data center. QoS GuaranteeV It implemented VMTurbo's recommendations in its virtual environment with an OLTP application. Utilization loor 07 What happened? 37% decrease in latency 23% increase in orders per minute Without VMTurbo After 1st Reallocation ---- After 2nd Reallocation TOTAL OPM TOTAL OPM TOTAL OPM 191K 209K | 236K Decrease VCPU allocation to reduce contention Decrease VCPU allocation to reduce contention & increase AVERAGE LATENCY allocation to SQL VMs increase allocation to SOL VMs AVERAGE LATENCY AVERAGE LATENCY migrate VMs to more responsive storage 62ms 51ms 39ms Principled Technologies is trusted by EMC, Microsoft, IBM, Red Hat, VMware and many other tech giants to provide technical evidence. REPORT The report includes a detailed reference architecture and how they achieved the results. Read it here http://www.principledtechnologies.com/vmturbo/VMTurbo_performance_0315.pdf About VMTurbo Over 1000 customers trust VMTurbo's Demand-Driven Control system to drive their virtual and cloud environments to a state of perpetual health Engineered to do the thinking and the doing, VMTurbo prevents degradation in the environment before it happens, while maximizing infrastructure utilization. Define Founded in 2008, VMTurbo is on a mission to end nter, elevating virtual and cloud administrators to IT innovators. Our customers include JP Morgan Chase, Salesforce.com and Thomson Reuters, as well as many of the world's leading financial institutions, social and e-commerce sites, carriers and service providers. VMT break-fix IT in the data Contrel Drive VM TURBO vmturbo.com Additional Sources: http://highscalability.com/latency-everywhere-and-it-costs-you-sales-how-crush-it https://moallemi.com/ciamac/papers/latency-2009.pdf http://www.extremetech.com/extreme/122989-1-5-billion-the-cost-of-cutting-london-toyko-latency-by-60ms Delay