Study Reveals Data Centre Consolidation Can Save $18.8 Billion

A new report has shown that Federal agencies can bring down in their IT related expenditures by a hefty amount of $18.8 billion from data centre consolidation efforts.

The data was unveiled through a report released by MeriTalk in collaboration with the government information technology (IT) network, and sponsored by NetApp

The report emphasised on the point that in case the consolidation takes place, the yearly total IT infrastructure cost could be shared by the Department of Homeland Security, Department of Veterans Affairs, Social Security Administration, Department of Health and Human Services, and the Department of the Interior.

“Data centre consolidation is yielding immediate cost savings for Federal agencies, but the potential for increased future savings is significant,” Mark Weber, president of US Public Sector, NetApp said in a statement.

“Utilizing a more flexible and efficient IT infrastructure can enable agencies to consolidate their data centres and meet OMB’s mandate,” he added.

The study also revealed that as of now, the approach of the Federal Agencies towards consolidation is fairly on the positive side till now with 82% agreeing that consolidation would eventually lead to a cut down in the expenditure.

The consolidation process is likely to come into effect within the preset deadline of 2015.