IBM: Computing On Demand

  • Deleted user 31 October 2002 20:17:58
    Feersum Ego got a lift today when I discovered another prediction of mine comes true within a week of my posting it on Eurogamer. IBM is planning to build systems and services that enables on-demand processing power to be bought and serviced remotely. Such an infrastructure is likely to be used by so-called "cell" computers which may include devices such as the much speculated on Sony PS3.

    International Business Machines Corp. chief executive Samuel J. Palmisano said yesterday that his company is investing $10 billion in a business strategy aimed at getting corporate customers to pay for their computing power in much the way they now buy power from utilities: as they use it.

    Palmisano described his vision of "on-demand" computing in a speech to customers and analysts in New York. It was his first address since the company announced that he would gain the title of chairman Jan. 1.

    IBM, he said, hoped to fashion a computing grid that would allow services to be shifted from company to company as they are needed. For instance, a car company might need the computing power of a supercomputer for a short period as it designs a new model but then have little need for that added horsepower once production begins. Other services could be delivered in much the same way, assuming IBM can pull together the networks, computers and software needed to manage and automate the chore. Palmisano said the industry would first need to embrace greater standardization.

    Palmisano said the company is pursuing its $10 billion strategy through acquisitions, marketing and research, much of which has taken place in the past year.

    "No doubt about it, it is a bold bet. Is it a risky bet? I don't think so," he said.

    Source: technews.com

    Edited by Feersum Boundah at 20:17:58 31-10-2002
  • ssuellid 1 Nov 2002 12:22:03 19,141 posts
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    As Ahab sort of said IBM are not the first to do this or even announce it.

    There were a number of startups either did not get off the ground or are currently having difficulty. I can only remember that two actually launched.

    SETI@Home are reportedly in a bit of financial trouble.

    The other company, whose name escapes me - check fuckedcompany, who did on demand processing via the web went tits up recently.

    There are also a number of Universities who sell spare capacity to other Universities or companies - some by the web.

    Its a very old business model to sell unused CPU time its been going since the 60's.
  • Deleted user 1 November 2002 12:25:50
    Selling time is nothing new. What is new is the scale and level of integration between nodes. You must also see how it also fits alongside "cell" computing.
  • ssuellid 1 Nov 2002 12:41:59 19,141 posts
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    Maybe for the future it would be a good idea but at the moment there is an excess is processing capacity around the world and nobody wants to buy it.

    If Sony is to add a facility to the PS3 that allows excess capacity to be sold then this has to be of some benefit to the owner of the console and I don't think it will be. Maybe for the PS4.

    What do you mean by level of integration between nodes?
  • Deleted user 1 November 2002 12:49:16
    ssuellid wrote:
    Maybe for the future it would be a good idea but at the moment there is an excess is processing capacity around the world and nobody wants to buy it.


    I dispute that.

    What do you mean by level of integration between nodes?

    Plug-and-go at the service level and placing all capacity within a pool available to be shared out.
  • ssuellid 1 Nov 2002 13:03:32 19,141 posts
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    "Plug-and-go at the service level and placing all capacity within a pool available to be shared out."

    Already been done. Funnily enough modelled on the power industry.

    Real time processing capabilies are always in demand but with all the hi tech companies selling off servers on the cheap and comapnies tightening spending there is no demand for distributed processing at the moment.

    Maybe in a few years this may be a profitable thing to do but I reckon in the short term that this is IBM trying to sell some of its own unused processing power.


    Edited by ssuellid at 13:03:32 01-11-2002
  • Deleted user 1 November 2002 13:07:12
    ssuellid wrote:
    Already been done. Funnily enough modelled on the power industry.

    I can see that. But, provision is too fragmented. It's not ubiqutous. Shifting the entire business model of providing CPU power to a client from the current arrangement to this arrange is new. I see no reason why it can't be cascaded down to the individual business or domestic user, perhaps even provided via the OS with bills credited or debited by your ISP.

    Regarding the power industry, it will be under pressure to shift to a peer to peer sytem within the next decade or so as generation shifts from central providors to small generators possibily including domestic units.

    Real time processing capabilies are always in demand but with all the hi tech companies selling off servers on the cheap and [companies] tightening spending there is no demand for distributed processing at the moment.

    That's a blip not strategic.
  • ssuellid 1 Nov 2002 13:14:24 19,141 posts
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    Yes it a blip, but its been a bloody long blip. Its going to be a while for quite a few companies to use up there own internal processing capacity. After that it will be a choice of them investing, adding there own new capacity, or buying capacity from someone like IBM. If tech companies have learnt anything from the current market then they may go for the low risk option of buying in the capacity.
  • Deleted user 5 November 2002 08:43:20
    Canadians brew up a supercomputer.

    He was keen to distinguish the Ciss effort from attempts to create Grid based supercomputers which are developing standardised interfaces that let anyone tap computers and resources.
  • MrWorf 5 Nov 2002 18:18:16 63,798 posts
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    1 more to go!!
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