Public vs Private Cloud Usage Costs The Stratus

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Public vs Private Cloud Usage Costs: The Stratus. Lab Case Ioannis Konstantinou Greek Research

Public vs Private Cloud Usage Costs: The Stratus. Lab Case Ioannis Konstantinou Greek Research & Technology Network and National Technical University of Athens, [email protected] ntua. gr Evangelos Floros Greek Research & Technology Network [email protected] gr Nectarios Koziris Greek Research & Technology Network and National Technical University of Athens [email protected] ntua. gr • Stratus. Lab is co-funded by the • European Community’s Seventh • Framework Programme (Capacities) • Grant Agreement INSFO-RI-261552

Q&A How much does it cost to build your cloud? § TCO calculation When

Q&A How much does it cost to build your cloud? § TCO calculation When and how public clouds make money? § Break even point calculation What is cheaper: build and own a private cloud, or renting it in Amazon? § Stratus. Lab case § Actual usage traces from 11/2010 until 11/2011 2

The Stratus. Lab project 1/2 2 year EU funded started in June 2010 §

The Stratus. Lab project 1/2 2 year EU funded started in June 2010 § an Iaa. S platform § an open source distribution Automatic Iaa. S cloud setups Focus on automatic virtual Grid Site deployments 3

The Stratus. Lab Project 2/2 Disk Marketplace Claudia VM • management Management – Set

The Stratus. Lab Project 2/2 Disk Marketplace Claudia VM • management Management – Set of cloud digitally § Open. Nebula Monitoring signed VM § KVM– hypervisor Pdisk service – Elasticity – images i. SCSI based on KPI interface 4

Physical Infrastructure Description Athens datacenter completed in 2010 § 4 racks with 32 servers

Physical Infrastructure Description Athens datacenter completed in 2010 § 4 racks with 32 servers each § ¼ dedicated to Stratus. Lab § 1 rack plus few TBs of EMC storage Stratus. Lab cloud physical machines § 18 VM containers + 1 Front. End + 4 testbed + 1 DHCP – Dual Quad. Core E 5520 Xeon with Hyperthread 2 x 4 x 2=16 VCPU each – 48 GB RAM and 2 RAID 1 SAS Disks – A total of 16 x 18=288 CPU available for VM usage § GB Network for servers and FC with the storage § 280 TB EMC Celera NS-480 storage 5

TCO calculation Cost Categories break-down in §Hardware and Infrastructure §Power Consumption §Manpower 6

TCO calculation Cost Categories break-down in §Hardware and Infrastructure §Power Consumption §Manpower 6

TCO: Hardware and Infrastructure 1/2 8 K€ per server including network, storage and dc

TCO: Hardware and Infrastructure 1/2 8 K€ per server including network, storage and dc infrastructure cost § 5 year warranty, non linear depreciation rate § In 2 years, 60% value decrease Server cost: 24 x 8 K€ x 60%=115. 2 K€ Network line cost § Flat-rate 2 x 10 Gb. E lines result in 30 K€ § Negligible GEANT network expenses 7

TCO: Hardware and Infrastructure 2/2 Power Consumption Cost § Monitoring period between 11/2010 -11/2011

TCO: Hardware and Infrastructure 2/2 Power Consumption Cost § Monitoring period between 11/2010 -11/2011 § Actual Watt measurements from VM containers using the IPMI interfaces § Assuming an 1. 8 PUE value § Multiplied by the energy provider’s tarrif A total of 6. 6 K€ for 2 years 8

TCO: Manpower costs 1 DC administrator with a yearly salary 40 K€ § 25%

TCO: Manpower costs 1 DC administrator with a yearly salary 40 K€ § 25% commitment to Stratus. Lab for 2 years § 2 x 40 x 25% = 20 K€ 2 people for site admin and management § 20 K€ each for 2 years resulting in § 20 x 2 = 80 K€ 9

TCO summing up • Hardware and infrastructure • € 80 K • € 20

TCO summing up • Hardware and infrastructure • € 80 K • € 20 K • € 6. 6 K • € 115. 2 K • € 30 K • Network line leases • Power Consumption • Datacenter administration • Cloud site administration • A total of 251. 8 K€ • Including support hardware • Open-source software, no license fees 10

Break-Even point calculation Based on the calculated TCO, the hourly cost of service hosting

Break-Even point calculation Based on the calculated TCO, the hourly cost of service hosting is § 251. 8 K€/(365 days∙ 2 years)/24 h≈14. 37€/hour For a total of 288 cores and an average utilization of 70%, a single core VM costs § 14. 37€/(288 ∙ 0. 7)=0. 0712 €/core For the above price, the cloud would amortize its cost in two years time (zero profit) 11

Use Case: Virtualized Grid Site Part of the EGI under the control of GRNET

Use Case: Virtualized Grid Site Part of the EGI under the control of GRNET Core grid services provisioning § A CE, 16 WN, a SE with 2 TB and APEL service § Each WN has 2 CPU and 4 GB RAM Since Jul 2011 support for 18 VOs incl. high energy physics (ALICE and ATLAS) biomedical (Biomed) Com. Chemistry etc. 31, 781 jobs requiring 11, 655 wall clock hours with 28, 321 h normalized CPU time 12

Public Cloud Cost Analysis Methodology § Extract Computing, Storage and Memory consumption stats from

Public Cloud Cost Analysis Methodology § Extract Computing, Storage and Memory consumption stats from usage log files § According to consumption, calculate how much it would cost to run it on Amazon Stratus. Lab VM hardware resembles Amazon’s t 1. small and t 1. micro instances § t 1. micro hourly rate in Dublin: 0. 019€ § t 1. small hourly rate in Dublin: 0. 07€ § EU/Dollar rate and Amazon prices in Nov 2011 § Per hour pricing, not reserved or spot instances 13

Charge types CPU Cost § EC 2 cost for Amazon § break even cost

Charge types CPU Cost § EC 2 cost for Amazon § break even cost for Stratus. Lab Storage Cost (EBS + S 3) § No EBS, we consider local volatile disks § No need for S 3 storage Network Cost § Amazon Charges only for in/out traffic § Free traffic between Amazon servers Therefore, only CPU cost 14

Stratus. Lab vs Amazon Costs 1/2 • 700000 € • 600000 € • 500000

Stratus. Lab vs Amazon Costs 1/2 • 700000 € • 600000 € • 500000 € • 400000 € • 300000 € • 200000 € • 100000 € • t 1. micro x 0. 019€/hour • t 1. small x 0. 07€/hour • Stratus. Lab VM x 0. 0712€/hour 15

Stratus. Lab vs Amazon Costs 2/2 t 1. micro is cheaper, but micro instances

Stratus. Lab vs Amazon Costs 2/2 t 1. micro is cheaper, but micro instances are overcommitted t 1. small price the same as the break-even By the end of the year, 20% of TCO has been amortized After a couple of years the full TCO will be amortized 16

Conclusions A small scale private cloud is amortized in 2 -3 years In Stratus.

Conclusions A small scale private cloud is amortized in 2 -3 years In Stratus. Lab the break-even cost for self-funding the service is the same with EC 2 § Slower amortization can achieve cheaper rates Economies of scale § The larger the cloud, the faster the amortization Utilization is very important § CPU cycles cannot be wasted Compute-demanding apps are expensive § Best for private clouds 17

Questions? • http: //www. stratuslab. eu 18

Questions? • http: //www. stratuslab. eu 18