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As the novelty of
virtualization wears off, IT management is facing a “Now what?” scenario in
regard to managing their data center environments. Clearly, many organizations
have experienced significant ROI from their excursions into virtualization, and
the market continues to evolve.
The overall virtualization market is expected to reach a healthy $2.7 billion by the end of the year, according to Gartner, a research firm headquartered in Stamford, Conn. Yet, now that the technology is at least partially installed in most enterprises, IT is starting to encounter unforeseen challenges that are holding up further adoption across the infrastructure and, in some cases, are even keeping current projects from delivering the value initially expected.
In fact, according to a survey of 120 IT decision-makers conducted by Network Instruments at Interop this year, 55 percent reported experiencing more problems than benefits from virtualization. Some of the issues cited were higher-than-expected rollout costs—47 percent said implementation costs were too high—and virtualization management issues. Approximately 59 percent of those interviewed reported that their organizations lacked the experience to appropriately manage the technology, and 27 percent said the lack of visibility and tools to manage virtualization was the biggest troubleshooting challenge in virtual environments.
“The cost of managing virtual environments may be higher than expected because, as utilization increases, the cost of managing servers may stay the same or increase as organizations come to grips with technologies they haven't previously dealt with,” wrote Gartner analyst Rene Millman in a report on virtualization published in April.
In order to truly reap the benefits of virtualization, pump up the percentage of virtualized servers and depend on the technology to support mission-critical applications, enterprises must adjust their virtualization strategies to account for the changes this new technology introduces into the server room.
“We see companies struggling to figure out how to increase the level of virtualization in their servers and do it in a responsible, budgetary way,” says Alex Bakman, CEO of VKernel, a virtualization management vendor. “From a cost-benefit perspective, they are clearly saving on electricity and on the amount of physical space that servers need, but they also realize that there are many surprises along the way, so things are costing a lot more than what they expected.”

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