Virtualization is a technique for hiding the physical characteristics of computing resources to simplify the way in which other systems, applications, or end users interact with those resources. Simply put, virtualization lets a single resource, such as an application, appear as multiple resources or make multiple resources, like storage devices or servers, appear as a single resource. Another positive of virtualization is that it cuts costs on energy and uses excess server capacity that wasn't being utilized. This also leaves many old, unused servers out in the cold.

What this means for World Data is that our company has had the opportunity to do a great deal of take outs for our customers. We have been buying excess servers from companies that no longer have the need for them. This gives those customers a return on their excess hardware investments allowing them more capital for their virualization projects while at the same time opening resources and extra savings for those who need these servers.

If you would like more information on what do with your excess servers, storage, or networking, or would simply like more information on how you can benefit from our current take outs, please contact one of our account executives. Saving are only a phone call away. 1-800-553-0592

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Corey Donovan said:

Virtualization is certainly a great technology development for IT users when it comes to ease of management, resource allocation and numerous other benefits, but I still don't feel you've addressed the question of what it ultimately means for the refurb market... Yes, companies like World Data and ours have more opportunities to buy "take-outs" or lots of equipment available from corporations who can now run 20 virtual servers on one platform instead of 21 physical systems. The question at hand though is, who do we sell that equipment to if they need fewer systems? My answer is that timing is on our side (for now at least)... With the economic downturn we're currently facing, IT user's budgets will be constrained, forcing them to turn to more economical solutions and component upgrades rather than system replacement. Both of our companies are poised to benefit from this need by providing refurbished systems and being the go-to source for EOL and discount upgrade parts. The culmination of the current economic climate creating demand for our products and the excess equipment from projects such as consolidation and virualization will ramp up our supply allowing our marketplace to thrive for the near future. A looming question remains though... once this economic cycle bounces back, what will the demand be for the products in our industry?... I don't think the market will ever go away, but I suspect we'll see some ongoing consolidation, especially amid the smaller resellers... in 2008 though, opportunities for resellers (and our clients) abound! As leaders in the marketplace, I'm confident that companies like World Data and Vibrant have long and fruitful futures in this industry.

June 04, 2008

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