With both cyber attacks and the costs of data center outages rising,
there is an immediate need for businesses to secure proper technology
and safeguard data. This need was highlighted in a recent study, the “2013
Study on Data Center Outages,” in which 34 percent of respondents
cited cyber attacks as a cause for data center downtime, compared to
just 15 percent in 2010. The Ponemon
Institute study – which was sponsored by Emerson
Network Power, a business of Emerson (NYSE: EMR) and a global leader
in maximizing availability, capacity and efficiency of critical
infrastructure – explores the causes and costs of downtime in the United
States.
“On the heels of Cyber Monday, data center downtime is an e-commerce
platform manager’s biggest concern,” said Scott Barbour, global business
leader of Emerson Network Power. “There is a need for additional
investment in data center infrastructure management in order to support
increasingly mobile, social and cloud-based businesses. The data in this
report will help decision-makers evaluate financial implications
associated with mitigating risk.”
In addition to the “2013 Study on Data Center Outages,” a companion
report was released highlighting the cost
of data center outages. That report quantifies the cost of an
unplanned data center outage at slightly more than $7,900 per minute, a
41 percent increase from 2010.
“Given the fact that today’s data centers support more critical,
interdependent devices and IT systems than ever before, most would
expect a rise in the cost of an unplanned data center outage compared to
2010,” said Larry Ponemon, Ph.D., chairman and founder, the Ponemon
Institute. “However, the 41 percent increase in costs was higher than
expected and underscores the importance for companies to prioritize risk
mitigation.”
Highlights of the “2013 Cost of Data Center Outages” report – and the
companion “2013 Study on Data Center Outages” – include:
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The average reported outage length was 86 minutes, resulting in an
average cost per incident of approximately $690,200. (In 2010, the
average outage was 97 minutes and cost approximately $505,500.)
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For a total data center outage, which had an average recovery time of
119 minutes, average costs were approximately $901,500. (In 2010, the
average recovery time was 134 minutes and cost about $680,700.)
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For a partial data center outage, which averaged 56 minutes in length,
average costs were approximately $350,400. (In 2010, a partial outage
averaged 59 minutes and cost approximately $258,000.)
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Ninety-one percent of survey respondents reported experiencing an
unplanned data center outage in the past 24 months. This is a slight
decrease from the 95 percent of respondents in the 2010 study who
reported outages.
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Regarding the frequency of outages, respondents experienced an average
of two complete data center outages in the past two years. Partial
outages, or those limited to certain racks, occurred an average of six
times in the same timeframe.
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Companies with revenue models that depend on the data center’s ability
to deliver IT and networking services to customers – such as
telecommunications service providers and e-commerce companies – and
those that deal with a large amount of secure data – such as defense
contractors and financial institutions – continue to incur the most
significant downtime costs; with the highest cost of a single event
reaching more than $1.7 million.
Study Methodology
The “2013 Cost of Data Center Outages” report analyzes costs and a
number of other downtime-related factors at 67 data centers (2,500
square feet or more) within the past year across varying industry
segments. It provides a comprehensive analysis of the direct, indirect
and opportunity costs from data center outages, including damage to
mission-critical data, impact of downtime on organizational
productivity, damage to equipment, legal and regulatory repercussions,
and lost confidence and trust among key stakeholders. The “2013 Study on
Data Center Outages” is a survey of 584 individuals in U.S.
organizations who have responsibility for data center operations.
To download the complete 2013 Ponemon Institute study and a related
podcast, or to register for the upcoming webinar “The Increased Costs of
Data Center Downtime and Best Practices to Prevent It,” visit www.EmersonNetworkPower.com/Downtime.
Emerson Network Power also recently issued an infographic
summarizing the costs of data center downtime and the findings of the
study.
For more information on technologies and services from Emerson Network
Power, visit www.EmersonNetworkPower.com.
About Emerson Network Power
Emerson Network Power, a business of Emerson (NYSE: EMR), delivers
software, hardware and services that maximize availability, capacity and
efficiency for data centers, healthcare and industrial facilities. A
trusted industry leader in smart infrastructure technologies, Emerson
Network Power provides innovative data center infrastructure management
solutions that bridge the gap between IT and facility management and
deliver efficiency and uncompromised availability regardless of capacity
demands. Our solutions are supported globally by local Emerson Network
Power service technicians. Learn more about Emerson Network Power
products and services at www.EmersonNetworkPower.com.
About Emerson
Emerson (NYSE: EMR), based in St. Louis, Missouri (USA), is a global
leader in bringing technology and engineering together to provide
innovative solutions for customers in industrial, commercial, and
consumer markets around the world. The company is comprised of five
business segments: Process Management, Industrial Automation, Network
Power, Climate Technologies, and Commercial & Residential Solutions.
Sales in fiscal 2013 were $24.7 billion. For more information, visit www.Emerson.com.
Copyright Business Wire 2013