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IBM Allocates $1 Billion to Advance "Green" Technology and Services



May 10, 2007 By

IBM is redirecting $1 billion per year across its businesses, mobilizing the company's resources to dramatically increase the level of energy efficiency in IT. The plan includes new products and services for IBM and its clients to sharply reduce data center energy consumption, transforming the world's business and public technology infrastructures into "green" data centers.

The savings are substantial -- for an average 25,000 square foot data center, clients should be able to achieve 42 percent energy savings. Based on the energy mix in the US, this savings equates to 7,439 tons of carbon emissions saved per year.

Called "Project Big Green," IBM's initiative targets corporate data centers where energy constraints and costs can limit their ability to grow. The initiative includes a new global "green team" of more than 850 energy efficiency architects from across IBM.

Today, according to analyst firm IDC, roughly 50 cents is spent on energy for every dollar of computer hardware. This is expected to increase by 54 percent to 71 cents over the next four years.

"The data center energy crisis is inhibiting our clients' business growth as they seek to access computing power," said Mike Daniels, senior vice president, IBM Global Technology Services. "Many data centers have now reached full capacity, limiting a firm's ability to grow and make necessary capital investments. Today we are providing clients the IBM action plan to make their data centers fully utilized and energy efficient."

IBM currently runs the world's largest commercial technology infrastructure, with more than eight million square feet of data centers in six continents. By using the same energy efficiency initiatives it is offering clients today, IBM expects to double the computing capacity of its data centers within the next three years without increasing power consumption or its carbon footprint. Compared to doubling the size of its data centers by building out new space, IBM expects this will help save more than five billion kilowatt hours of energy per year.

IBM Details "Project Big Green"

IBM is using its expertise and energy-smart technology innovations to outline a five-step approach for clients that is designed to dramatically improve energy efficiency:

1. DIAGNOSE: Evaluate existing facilities -- energy assessment, virtual 3-D power management and thermal analytics

2. BUILD: Plan, build or update to an energy efficient data center

3. VIRTUALIZE: Virtualize IT infrastructures and special purpose processors

4. MANAGE: Seize control with power management software

5. COOL: Exploit liquid cooling solutions -- inside and out of the data center

"Just as IBM helped organizations grapple with new innovations around the Internet and Linux, we will again assist clients navigate this new era of energy efficient computing," said Bill Zeitler, senior vice president, IBM Systems and Technology Group. "Relief from the energy crisis can't be achieved through incremental improvements. Bold ideas and actionable plans are needed to deal with this issue."

IBM will soon launch an open, Web-enabled clearinghouse for energy efficiency incentives. The Energy Efficiency Incentive Finder will be one central website for details about energy efficiency incentives and programs that are available from local utility companies, governments, and other participating agencies anywhere in the world.



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