StratusLab is co-funded by the European Community’s Seventh Framework Programme (Capacities) Grant Agreement INSFO-RI Ioannis Konstantinou Greek Research & Technology Network and National Technical University of Athens, Evangelos Floros Greek Research & Technology Network Nectarios Koziris Greek Research & Technology Network and National Technical University of Athens Public vs Private Cloud Usage Costs: The StratusLab Case

2 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?  StratusLab case  Actual usage traces from 11/2010 until 11/2011

3 The StratusLab project 1/2 2 year EU funded started in June 2010  an IaaS platform  an open source distribution Automatic IaaS cloud setups Focus on automatic virtual Grid Site deployments

4 The StratusLab Project 2/2 VM management  OpenNebula cloud  KVM hypervisor Claudia –Monitoring –Elasticity based on KPI Disk Management –Pdisk service –iSCSI interface Marketplace –Set of digitally signed VM images

5 Physical Infrastructure Description Athens datacenter completed in 2010  4 racks with 32 servers each  ¼ dedicated to StratusLab  1 rack plus few TBs of EMC storage StratusLab cloud physical machines  18VM containers + 1FrontEnd + 4 testbed + 1 DHCP –Dual QuadCore E5520 Xeon with Hyperthread 2x4x2=16VCPU each –48GB RAM and 2 RAID1 SAS Disks –A total of 16x18=288 CPU available for VM usage  GB Network for servers and FC with the storage  280TB EMC Celera NS-480 storage

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

7 TCO: Hardware and Infrastructure 1/2 8K€ 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 8K€ x 60%=115.2K€ Network line cost  Flat-rate 2 x 10GbE lines result in 30K€  Negligible GEANT network expenses

8 Power Consumption Cost  Monitoring period between 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 6.6K€ for 2 years TCO: Hardware and Infrastructure 2/2

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

10 TCO summing up A total of 251.8K€ Including support hardware Open-source software, no license fees

11 Break-Even point calculation Based on the calculated TCO, the hourly cost of service hosting is  251.8K€/(365days∙2years)/24h≈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)= €/core For the above price, the cloud would amortize its cost in two years time (zero profit)

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

13 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 StratusLab VM hardware resembles Amazon’s t1.small and t1.micro instances  t1.micro hourly rate in Dublin: 0.019€  t1.small hourly rate in Dublin: 0.07€  EU/Dollar rate and Amazon prices in Nov 2011  Per hour pricing, not reserved or spot instances

14 Charge types CPU Cost  EC2 cost for Amazon  break even cost for StratusLab Storage Cost (EBS + S3)  No EBS, we consider local volatile disks  No need for S3 storage Network Cost  Amazon Charges only for in/out traffic  Free traffic between Amazon servers Therefore, only CPU cost

15 StratusLab vs Amazon Costs 1/2

16 StratusLab vs Amazon Costs 2/2 t1.micro is cheaper, but micro instances are overcommitted t1.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

17 Conclusions A small scale private cloud is amortized in 2-3 years In StratusLab the break-even cost for self-funding the service is the same with EC2  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

18 Questions?