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Data Economics: LTO-9 Technology Optimizing Data Value

Focus on Data

The economic value of enterprise data is inexplicably tied to the growth of analytic capability. The proliferation of data is reflected in the numerous global studies conducted, indicating that data production is growing at rates as high as 35% per annum. According to IDC and ESG Research studies, as much as 2% of the yearly created data is retained with 65% of that becoming untouched longterm retained data each year. The economic, social and governance (ESG) impacts of retained data are a growing concern for data centers and mid-to-large size enterprises. This study outlines a 10-year model of the expected benefits using LTO-9 tape technology, modelled in a direct compare of utilizing an all hard disk drive solution and with an all-cloud storage solution. The total ESG benefits will also be compared as we discuss the broader benefits of LTO-9 technology.

 

Impacts of Archived Data Growth - LTO-9

 

Reality of Data Retention

The reality of data retention is that it is a continuously growing responsibility for every organization. Where active data storage can be and often is transient, data that is not deleted from the active state becomes stored data, growing with every passing year, creating the data “archive”. Management of archive data entails custodianship, budget management, technology modernization planning and expiration planning.

Amongst these challenges, the least understood and most controversial is the expiration planning (EP). EP should be simple established requirements by internal or regulatory entities allowing for the deletion of data after a given period. As an example, United Kingdom (UK) National Healthcare System (NHS) records management code of practice¹ indicates that most health and care records are kept for 8 years after the treatment, although there are always exceptions such as General Practice records (GP). After the 8-year retention period, data can be deleted, except data which may have value in research. This ‘tagline’ results in very little data being deleted in modern infrastructures. Eight years of records now becomes 10-30 years of records, with those records growing exponentially with the population of patients due to an increase in digital technology.

The economics of data becomes the primary driver for IT professionals, this includes cost of ownership, technology refresh management and the growing focus on carbon impact of the chosen storage technologies.

Secure Data Guardianship

Secure Data Guardianship, a more universal term for data protection, cyber resiliency, cyber defense and backup and recovery, has been the singular most important focus for data in the past 2 decades. Yet everyday a new cyber-attack renders data and systems unusable because of data corruptive malware. The sum of estimated ransomware payouts in 2021 was $1.2 Billion USD, with the average payout being $258,000. These losses are before factoring in downtime, recovery costs and reputational damage.

Regardless of the business continuity playbook, every organization must build more robust cyber resiliency architectures, including airgap technology and methodologies. Often referred to as paying a little insurance for the peace of mind that business critical storage has an ultimate line of defense. A line of defense that is often orders of magnitude less than the cost of paying cyber criminals. Failures to invest adequately, often result in serious attacks, like the one at Wyandotte County.

Value from an economics, social and governance position

According to ESG Research 51% of CEOs rank sustainability as their organizations greatest challenge, while only 35% of organizations have acted on their strategy. Sustainability is no longer a limited choice of the wilderness exploration companies, like REI Inc. Sustainability is a fundamental driver of all choice individuals and corporations make to reduce the impact of living and working on earth while preserving the ability of future generations to have the same capabilities and luxuries.

At the core of measuring the impact or data storage products is Carbon footprint, often detailed as Carbon Dioxide equivalent (CO₂e). The equivalent is the impact of minor chemical compounds that are sometimes less and sometimes more toxic, yet much lower in occurrence than CO₂. Why is this important? Because every product results from processes generating CO₂e, produce CO₂e during the lifecycle of usage, and have a carbon impact during disposal and even recycling. In this report we are measuring the carbon footprint from the three most impacting stages of products; the embedded carbon of the products and the energy consumed to operate and cool the product during usage, and the impact of end-of-life processing.

The base for storage products is the storage components of Solid-State Drives (SSD), Hard Disk Drives (HDD) and physical tape media, LTO-9 in this compare. Based on an eight-year life cycle, tape media has a carbon footprint that is over 55 times lower than SSD, and over 25 times lower than HDD

Carbon Impact and Breakdown by Component

 

Carbon Impact of LTO-9 vs SSD vs HDD

 

The need to integrate these components into larger operational systems further contributes to the complexity of determining the real impact of data storage. Tape consumes 96% less energy than HDD when used for data archives. Tape sustainability is demonstrated in a 1 Petabyte (PB) comparison of an industry leading high-density HDD storage rack and the most widely sold 3U stackable tape automation, with a 10-year retention requirement.

A single Petabyte of HDD data retained for a decade, results in 66.2 tons of CO₂e, while the tape solution results in 15.6 tons of CO₂e for the same period. The difference in this compare, is equivalent to saving 13 years of CO₂e production by the average United Kingdom gas powered automobile .

All this CO₂e production carries a calculated cost to the environment, directly influencing the economics of sustainable investments. According to the 2022 DOI.org study, which attempts to compute the real cost of a ton of CO₂e (tCO₂), the economic cost of CO₂e is $185 tCO₂.

This cost must be applied to our economic value of Ultrium9 media. In our 1PB example, the LTO-9 data retention solution results in a savings of $9,361 USD. Organizations deploying tape are starting with lower carbon, produce less carbon during the operational life of the product and produce less waste. Tape represents the core of sustainable solutions for data.

 

The Economics of Tape Summary

The economics of data storage starts with performance related data, where reducing latency and total energy consumption drives nearly every decision. As data becomes colder the latency demand increase rapidly. Not only will more data end up in the long-term retention tier, the need for lower costs of ownership plays a critical role in meeting the shrinking IT budgets. The Total Cost of Ownership (TCO) of long-term retention, frozen data, is a comparison of three primary solutions: HDD, tape and cloud. Continuing the analysis of 1 PB of data retained for 10 years , LTO-9 tape solutions provide significant benefit for data storage.

LTO-9 10 Year TCO vs HDD JBOD vs MSP

 

Up to 1856% Return on Investment

The fundamental economic benefits of deep archive data further extend to new use cases, with a primary benefit provided to multiple copy data storage environments where durability of data is crucial. Reducing the cost of the third data copy results in the savings observed in figure 3, for every petabyte of data moved to LTO-9 tape solutions.

A clear financial indicator can be established between the compared solutions by adopting the standard ROI calculation.

 

LTO-9 ROI Calculation TCO

 

Recognizing the inevitability of data recall and retrieval from deep archives and applying the values in to the LTO TCO tool, LTO-9 tape has a measurable Return on Investment of up to 1856% when compared to cloud storage, and 501% compared to HDD . This includes a tangible financial impact of sustainability as referenced in the LTO TCO tool table in Figure 3.

Organizations that are mandated to report carbon footprint of the IT infrastructure may recognize further unmeasurable and variable benefits from the reduced carbon footprint of tape infrastructure because of the lower total carbon footprint, the scale and scope of which are calculated using vendor carbon impact reports such as the whitepaper provided on lto.org . As energy restrictions continue to be part of the daily challenges for data centers, reducing energy of stored data by utilizing LTO-9, offers larger data centers even greater measurable benefits through the 96% energy savings over HDD. The impacts of the energy savings are variable and specific to the method of energy production and the degree to which a specific organization is impacted by mandated energy restrictions.

Longevity of data, media reliability, data durability, airgap by design and the fundamental economic benefits outlined, demonstrate the primary influence for utilizing tape in modern data storage. While very small data customers can realize an economic benefit from utilizing cloud storage, or the benefit of a single storage on-premises for active and archive data on HDD, every size organization can recognize benefits from LTO-9 tape. The intangible “insurance” that tape provides against cyber-attacks, especially malware can only be measured when an organization fails to protect their data.

LTO-9 reduces risk by providing the airgap protection in the on-premises control of the organization. In a world that is challenged to reduce consumption every day, in every way, the most logical long-term data retention technology is LTO-9 tape.

 

Contact your BackupWorks Account Rep Today and ask about LTO-9 Tape for your Backup and Archive Environment at 866 801 2944

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