Hosting


23
Nov 09

Backups in the Hosting World

Something we’ve been finding pretty frustrating lately is the whole issue of backups. On my desktop I run Dropbox, but there still isn’t a Dropbox quality (or ease of use) service for hosting companies. If you run a website / service / business you need at the very least, a disaster recovery plan, and that plan involves backups. There are several ways hosting companies deal with this.

1) They dont do them

Yeah you read that right. You don’t actually get backups. These policies are buried deep in their terms of service or usage policies. It’s totally up to you to backup your server content. If you don’t and your server crashes its the end-users problem. High profile data losses can destroy any business, especially startups.

2) Highly Available Storage

This strategy is usually combined with #1 above. Instead of backing up your data they just replicate your data across multiple drives. This means that the chances of you losing your data go down, and depending on the technology used to safeguard against drive failure, you can get really high availability. (iSCSI and ZFS come to mind). Its important to remember that RAID is NOT a backup solution, only a way to mitigate potential failures.

3) OS Level Backups

In this strategy end users are still required to worry about their own data, and choose which sets of data they backup. A hosting company will provide an end-point for you to send your backups to. If you’ve ever done managed or dedicated hosting, this is often the product that is sold. Tivoli or some other backup client is provided, but still relies on either a consultant, sysadmin or service provider to configure correctly.

4) VM Level Backups

There’s another solution that works, and it gets around a lot of the issues with OS level backups, like running a database while doing a backup, etc. Snapshot the entire virtual machine and replicate the VM to an off-site storage system. For better performance, use data de-duplication technology to reduce the amount of time to perform your backup. This system seems to work well, however few providers are offering it.

What do you think? What’s your favourite backup strategy as a hosting company?


27
Oct 09

Competing in a Commodity Hosting Market

We knew it was going to happen but perhaps not so soon. Today Amazon announced that it would be reducing it’s pricing on EC2 linux instances by 15%. That’s a pretty significant cost reduction but we also have to factor in a whole bunch of other costs to figure out what their strategy seems to be.

Unlike with most bundled VPS services where you get a certain amount of disk space, bandwidth, memory and CPU resources, the Amazon model breaks things down into separate categories. You pay per use on everything. Instances per hour, Bandwidth and Storage per Gig, etc. Under this model it makes sense to shift your revenue to things that are higher margin. What that means is that with enough scale, you could almost afford to break even on the server instance and make money on other things – like bandwidth.

This is similar to the concept of “Freemium” in the Web Apps world. You get to use the basic version at a heavy heavy discount (in some cases free), but the add-ons, extra functionality, etc results in having to pay. The difference is that in the harsh reality of hosting, it costs real money to run a server.


16
Oct 09

Layerboom Launch – Announcing GeoVPS

We’ve really had our heads down working on our VPS platform. With every passing week we’ve made a lot of progress, hit a few road blocks, and learned a lot more about the hosting industry. We’ve also spoken with a bunch of dedicated server providers, developers, and a lot of really bright people. It’s through that process that we think we’ve come up with a solution that will help solve a major problem for many hosting companies by providing them with a way to start selling Virtual Private Servers in an efficient, economical, and easy manner.

We decided early on that part of the process in providing hosting companies with the best platform imaginable would be to get even more real world experience; To step into their shoes and demonstrate that – yes – this really does work.

So that’s what we did.

We built (in record time no less) a VPS hosting company using our Layerboom Platform. Our service is called GeoVPS, and it’s live right now. Go check it out, and if you’re interested in grabbing one of our hosted VPS servers subscribe to our mailing list and we’ll provide you with an account and a discount code that will give you 50% off your first server for 6 months.

Remember that we’re just starting out, so there will be some unanswered questions and that’s where you come in. We’re more than happy to answer your questions and listen to your feedback – If something is missing then please tell us! The best way is to hit us up on GetSatisfaction, or check out the Layerboom operated support system at support.layerboom.com

We’re lucky to be working closely with Peer1 Networks on this one. The servers have been provided by ServerBeach while we work with the Peer1 team as part of their CloudXcelerator program.

For those of you who have already signed up to the GeoVPS and mailing lists we’ll be emailing you soon with information and the supersecret location to sign up.

While we’re confident this service is going to be rock solid, we still have a whole bunch of features to add, and optimizations to make so that the experience for VPS customers, and hosting companies is the best it can possibly be. But we’re going to need your help so don’t hesitate to get in touch!

Thanks!

- The Layerboom Team

If you’re a hosting provider and you’re interested in chatting about the Layerboom Platform, then please send us a message and we’ll get in touch!


9
Oct 09

Government Brief on Canadian Cloud Computing

Today the Canadian Government released a brief on the opportunities for Canada in Cloud Computing. It’s a great paper that highlights some of the benefits and strategic advantages of building large cloud computing centers in Canada. I’ll jump straight to the conclusion in the article: Canada is one of the BEST places to build out data centers and cloud computing infrastructure. The article mentions a bunch of reasons – I’ll expand on a few.

Geography & Climate

Most of the costs associated with running the 1,000’s of servers is directly associated with the price of electricity and the cost of cooling. Canada has cheap, renewable electricity & it’s colder. That means you can offer competitive services at better margins than someone running a cloud in the hot Nevada Desert. Michael Geist wrote more about it at Clean Cloud Computing.

Legal Reasons

Not only are many Canadian companies required to keep their data on native soil, the privacy and electronic documentations act means keeping information here is a really good idea.

Reliable, low cost, renewable energy

The BC, PEI, and Quebec governments actually have the cleanest and lowest cost per KWh electricity prices in all of North America. That’s possible through the use of hydro-electric dams, which also have an extremely low carbon footprint. As stated previously, the cost of running your servers is mostly the cost of electricity.
Cheaper electricty = Competitive Cloud

We’re right next to the American market

One of the fastest computer networks in the world, funded in part by the Canadian government, already runs through most of Canada. We’re also right next to the American market. That means North Americans can’t really tell if their servers are in Nevada or Nunavut. From a consumers perspective, there would be no reason not to use a Canadian Cloud that’s cheap, secure, and efficient, and we would be able to export a utility that is higher margin than say, electricity.

All in all I’m really excited by this report, and I’m sure that more people will be thinking about the potential Canada has to become the world leader in cloud computing services. You can get a little more background information, and learn more about the suggested ways forward by reading the brief here “Cloud Computing and the Canadian Government


14
May 09

If A Tweet Killed a Tuna – Energy Cost Transparency in IT

One of the keys to improving anything is having enough information. This has been widely discussed in environmental circles, and recent innovations such as the Kill-A-Watt and the awesome hack the Tweet-A-Watt have lead to a more widespread appreciation for just *knowing* the amount of energy your appliances, computers, and home entertainment systems are consuming.  In addition to being surprising, the reality is that all too often assumptions are made about where to focus effort to fix a particular problem – or worse, you don’t even know a problem exists. But what to do with this information? At home it’s as easy as putting your devices on a power bar – such as your home theater – and turning it off when you’re not using it. Having the data enables you to make a decision – the decision to save money because all of the sudden it’s tangible.

These kinds of details can be applied at a really big and small scales too. What if you could measure the amount of power went into making your car? The amount of energy each Google search takes? The amount of energy for every tweet? Would knowing a tweet kills a tuna make you think twice? Would it enable you to make better decisions about the products you consume? Would it allow your customers to make better decisions about their energy efficiency?

This can apply to the hosting world too. Computers currently use more energy than the entire airline industry, and that’s expected to double within the next 5 years. Data centers consume a whopping 2-3% of the power in the United States alone. Hosting companies charge flat rates for collocation, virtual servers, shared hosting, etc. Bundled into that are the charges for electricity, and the electricity required to power the cooling. Unless you’re really close to the physical infrastructure, there’s no way to measure how efficient the servers are, or how much power your server is consuming. If we could measure the amount of power a server uses then you could incorporate that into the pricing of the server, and display the information separately. As a hosting company you would be able to make better decisions about which hardware, software, etc to use. As a hosting customer, you would be able to choose locations that are more power efficient. A slew of other possibilities exist. Due to power deregulation and trading markets in many locations, what costs a dollar during the day might cost 10 cents in the middle of the night.

hourly-demand-in-ontario

Data centers are built for peak capacity, but there should be an incentive for customers to adopt more energy efficient solutions. Being able to measure (in)efficiencies also means that making decisions about moving to a container might be easier to justify.


16
Oct 08

Hosting Apocalypse

Behold Sinners! The Apocalypse Aproacheth. No in all seriousness if you run a managed hosting company then your time is officially ‘up’. You won’t survive the coming hosting Apocalypse. Here’s why.

There are a few companies you may have heard of building large compute grids for consumption by the general public. They’re calling them their Cloud Computing products. IBM is building BlueCloud, Microsoft is building the Mesh, Amazon already has EC2, and Google has AppEngine. AppEngine is in a slightly different category than the others and the BlueCloud details are sparse, but they’re still worth mentioning. Of more immediate interest are Amazon and Microsoft’s solutions.

Microsoft is currently building their famous 300,000 server Data Center in Chicago. That’s roughly 3 times the number of servers that Google has. Microsoft has also announced several other Data center projects – each worth about $500 Million. It’s fair to say that that’s a lot of computing power, and it’s not all for MSN – Microsoft is planning on providing their platform in the cloud.

The real question is what Amazon will do when the Windows Cloud comes online. Microsoft has enough money in the bank to provide their 300,000 servers to customers for *years* without earning a single cent. That implies they can offer services at super low rates; Low enough to at least compete with Amazon’s EC2, which will support the Windows Server OS in fall 2008.

What happens with two huge cloud hosting companies get into a price war?

In the interest of self preservation they won’t make their services commodities – at least right away. But it won’t even matter. When you’re as big as Amazon, Microsoft, Google or IBM, you can afford to buy servers in such massive quantities that you could make money selling compute time for 10$ a month. The hosting space will change forever, because Amazon will eventually drop their prices by an *order of magnitude* and that has dire implications for the rest of the Mom’n'Pop hosting companies.

If thousands of companies can’t compete with Microsoft or Amazon on price, and they can’t compete in terms of convenience, then why would anyone use them? If you have to buy individual servers, or even servers by the rack, then you’re not going to get the price you need to be able to compete. You also don’t have access to the handful of specialized individuals and hardware required to make things work on such a grand scale.

The only answer is for all the smaller players to band together – to create a Federated Hosting environment, where together they can provide services that begin approaching levels of service and power that the Big 4 will offer.

Either way, we’re in an interesting period in the industry. Computing and the infrastructure of technology has become such a requirement for the economy that it will eventually become a general utility. The real question is who will be around.

Do you think it’s the end? We’re working on the answer, and your opinion is important.


8
Oct 08

Free Servers are Expensive

There are a lot of ways for companies to bootstrap, and even more companies and partners willing to lend a helping hand if you know who to ask, and where to look. One of the companies that’s willing to help is Sun Microsystems.

Through their Startup Essentials program, companies can get access to Sun gear and resources at heavily discounted rates. That’s great, because Sun gear is pretty much the best out there, and being competitive with other companies like Dell and HP on price will help get their technology into more Data Centers and up and coming businesses. But like all shiny objects, servers lose their luster. Even if they’re free.

In order to run a server you have to secure colocation space, pay for bandwidth, buy some switching gear and a router, and depending on your setup get UPS power. Sure you can get cheap switches to connect your high-end servers, but depending on your work load it would be like running a jet engine on bacon fat.

If you’re running more than a few servers you’ll probably need to get more than the standard ~3000W/Rack – especially if you have a SAN device. That means one full rack with extra power. Most older data centers don’t have the cooling capacity to handle todays dense and powerful systems, so your full rack will probably be half full (if you’re lucky), then you’ll have to get another rack if you want to expand. That involves more waiting. Average amount of time for a colo to provision a new rack? 4-6 weeks. You’ll also need to pay for installation, and every colo provides space on contract so you’re committed for a year. Time is money, and waiting 4-6 weeks to be able to expand your environment means you have less flexibility.

There are certain scenarios where getting colo still makes sense. If you’re running your own hosting environment *as a business* then obviously having the control over your environment is necessary. Companies with certain regulatory or security requirements will also need to stick with colo, but otherwise, why lock yourself into contracts and inflexible environments and hire extra staff to manage that operation, when you can just rent some servers en-masse and get super cheap bandwidth?

If you run the numbers you can get just as much if not more *power* for the same amount of money from companies like Joyent, Amazon, ServerBeach or Rackspace, and not have to worry about contracts. While it’s nice to have an awesome piece of kit, sometimes it isn’t worth the time or money.