Hewlett-Packard picked up a new storage leader as well as a new lead storage platform from its $2.35 billion 3PAR acquisition.
HP today named former 3PAR CEO Dave Scott senior vice president and general manager of its StorageWorks division, reporting to EVP of enterprise servers, storage and networking Dave Donatelli. Scott replaces Dave Roberson, the former Hitachi Data Systems CEO who will be re-assigned inside of HP.
Scott ran HP’s XP enterprise storage division before taking the 3PAR CEO job.
Scott will oversee a group that will continue to sell HP’s current storage platforms, but 3PAR’s InServ family becomes the new flagship. “We’re clearly positioning 3PAR front and center in the midrange and enterprise markets,” HP StorageWorks marketing VP Tom Joyce told StorageSoup.com today in a phone conversation from Barcelona, where HP execs are meeting with European media. “We will lead with the 3PAR F Series and T Series, and if a customer wants an EVA or XP we’ll sell them.”
Joyce’s comments echoed those made by Donatelli last week at HP’s analyst day. Although HP refreshed its high-end P9500 (formerly XP) family last week and Joyce said the vendor plans to upgrade the EVA, he made it clear that HP sees 3PAR as the key to increasing its storage market share.
HP had 11% external storage market share in the second quarter of this year according to IDC. That placed HP tied for third with NetApp behind EMC and IBM. Those numbers show there are a lot of SAN customers who haven’t bought EVA or XP, and HP will chase them with 3PAR. But Joyce said HP won’t push customers off its current flagship, the EVA.
“EVA has well over 100,000 customers and a lot of loyalty,” Joyce said. “We’ll continue to drive that product and deliver feature functionality on our roadmap for next year. If customers want to stay on EVA and buy more, we’ll sell them.”
Joyce said it would be difficult to port 3PAR technologies such as its thin provisioning and Adaptive Optimization automated tiering to other HP platforms, but he pointed out the iSCSI SAN family HP acquired from LeftHand Networks has similar features for the lower end of the midrange.
“LeftHand is definitely below where 3PAR hits, but they have things in common: they run on industry standard gear, they’re built to scale out with thin provisioning, and they’re software management is all inclusive so you don’t have to buy all the options like you do on other arrays,” he said.
That suggests HP’s future storage portfolio will rely heavily on scale-out architectures, with 3PAR, LeftHand and the X9000 NAS – built on technology acquired from Ibrix – as its major platforms.
Like other large storage vendors, IBM gets criticized for having too many storage platforms and for not making it clear which products are best for certain markets. But IBM is looking to clarify the position of several of its systems by combining them as part of its cloud storage strategy.
Todd Neville, product development lead for IBM Cloud Storage, told StorageSoup that its XIV and Scale-out Network Attached Storage (SONAS) systems are key pieces of Big Blue’s cloud strategy both separately and in combination. He said Storwize data reduction software will also play a role in the cloud when IBM integrates it with its hardware.
“Going forward, you will see various aspects of the IBM portfolio coming together and it will be obvious as to how they complement each other,” he said.
Neville said there are four key components of IBM’s cloud storage strategy. Two of them are services — Smart Business Cloud Storage (SBCS) and Storage Cloud Services (SCS). IBM also launched SONAS based on its General Parallel File System (GPFS) with the cloud in mind, Neville said. He referred to SBCS as a managed SONAS.
Then there is XIV. It’s been almost three years since IBM bought XIV, and Big Blue hasn’t done a good job convincing people where the product fits in its enterprise storage strategy. Neville said XIV’s main role is as a cloud product.
“People are confused, they say ‘How does that position with these other [cloud] things?’” he said. “Well, it’s really complementary. The cool things in XIV are the nuts and bolts in the storage itself – the RAID, the provisioning, and the way you’re laying out and retrieving data from disk drives. Now look at the really cool intellectual property on SONAS, a lot of it’s the presentation of data to the end user – the namespace, file system, clustered CIFS, clustered NFS. These two are very complementary. They’re not walking on top of each other at all. They’re also both very scalable. Today we ship SONAS two ways – as native SONAS or we can put an XIV behind SONAS as the storage device.”
Neville said the two platforms will integrate more. He also said IBM has no plans to discontinue or halt development of XIV now that XIV founder – and EMC Symmetrix creator – Moshe Yanai has left IBM.
“We are absolutely committed to XIV,” he said.
IBM also looks to SONAS to help XIV scale beyond its single-box 79 TB usable capacity limit, Neville said.
“Any product has limit on the individual box,” he said. “You have the ability to put multiple XIV boxes under a single SONAS. The native SONAS software scales to something like 14 TB. And we have the GPFS layer on top of it. We have implementations in the field that are in the multiple PBs. There’s no reason an XIV-SONAS combination couldn’t be very large. We can do it today with multiple XIVs under the SONAS.”
“I can’t comment on what we’re going to do to the XIV hardware to make it more scalable, that’s a whole other discussion.”
Neville said Storwize will also play in IBM’s cloud picture, although that wasn’t the main reason IBM acquired the data reduction vendor.
“Storwize is an interesting asset,” he said. “I’ve been looking at them a lot more since we acquired them. I think they will play a prominent role across a number of different products. There’s potential for them immediately in SONAS, which has a good use case for compression and deduplication and the kind of things the Storwize algorithm can do. I’m talking generically, not just what it can do today. The technology’s good for a lot of things. I see it applied toward these cloud items like toward SONAS, SBSC, SCS, but it is also applicable toward a different type of compression and dedupe level at the block level. I envision it with some of our block products as well.”
Now that Hewlett-Packard has closed its $2.35 billion 3PAR acquisition, HP executives are looking for 3PAR’s InServ storage systems to fill three spots in its product lineup.
HP’s GM of enterprise storage, servers and networking David Donatelli said Tuesday during HP analyst day that 3PAR is a technology leader in the storage space and a key to his plans to revive HP’s storage business. Pointing to HP’s 11% market share in external storage, Donatelli said “storage is an area we really want to improve on. We want to go after the 89 percent of the market we don’t have.”
And HP is counting on its shiny new toy to chase that market share.
“3PAR has the new storage software architecture on the market, and it has all the features customers want,” Donatelli said, mentioning thin provisioning and sub-volume automated tiering among those features.
Donatelli said 3PAR’s products will complement HP’s current storage lineup without replacing any platform. The vendor plans to continue its P4000 (Left-Hand iSCSI), P6500 and P8500 (EVA) and P9500 (XP) families, as well as its scale-out NAS (Ibrix). But he said EVA would become a lower mid-tier platform with 3PAR taking over the high end of the midrange, open systems enterprise, and cloud storage segments.
“With 3PAR, we can cover multiple markets with a single product,” Donatelli said. “Everybody has unique products by market segment, even we do. But for the service provider and cloud space we had nothing. 3Par covers mid-tier, the high end and the cloud. You can start it small [with two controllers] and grow it [to eight controllers]. It supports three distinct markets.”
HP launched its P9500 enterprise system Monday based on the same architecture as Hitachi Data Systems’ Virtual Storage Platfrom (VSP). Donatelli said that product “is great for our installed base and mainframes.”
Hewlett-Packard is launching is version of Hitachi Data System’s new VSP system today, which should end speculation that HP will sever its OEM deal with Hitachi’s parent company for its enterprise storage platform.
HP is dropping the XP brand for its enterprise system, instead calling it the HP StorageWorks P9500 Disk Array. That’s part of HP’s new naming structure, where the MSA became the StorageWorks P2000, LeftHand iSCSI SANs became P4000 and the EVA turned into the P6400 and P8400. But the P9500 is a continuation of HP’s OEM deal with Hitachi Japan (not HDS).
“It’s still XP, but it’s called the P9500,” HP StorageWorks VP Tom Joyce said.
HP’s acquisition of 3PAR for $2.35 billion raised the question of whether it would end its Hitachi OEM deal. 3PAR positions its InServ T-Class arrays as a direct competitor to the XP line, as well as enterprise systems from HDS, EMC and IBM. But 3PAR lacks mainframe connectivity found in the XP/P9500, USP/VSP, EMC Symmetrix, and IBM DS8000, and that’s reason enough for HP to maintain its Hitachi OEM deal.
“It’s premature for us to talk publicly about 3PAR because we haven’t closed it [the deal closed today], and we don’t want to get ahead of ourselves,” Joyce said. “But a lot of customers need mainframe capability and this [P9500] has it. A lot of customers have made an investment in XP and we want to keep those customers happy.”
What else about the P9500can keep customers happy? Joyce pointed to its use of Intel architecture as a key to HP’s converged infrastructure strategy and the automatic sub-LUN tiering capability built into the new architecture. HP, which sells its own management software with the XP/P9500, also has new metered licensing software for the P9500.
HP will eventually have to answer questions about where it will position its 3PAR products. When HP first bid for 3PAR, HP storage chief Dave Donatelli said it could fit in the midrange. HP’s midrange EVA has been losing market share and people in the industry say it lacks the features of its competitors, most notably the EMC Clariion. Still, the EVA has a large installed base and HP wants to keep those customers happy, too.
David Floyer, CTO of analyst firm Wikibon, said 3PAR’s arrays are not sufficient to replace HP’s enterprise platform.
“3PAR is not tier one,” he said. “It makes everything work well, but it’s not the box you want if you have a huge database that is temperamental and you have to throw everything at it to work well.”
Does Larry Ellison want NetApp, or does he only want the large chunk of customers who use NetApp systems to store Oracle databases?
The Oracle CEO appeared envious of NetApp when addressing financial analysts Thursday, guessing that 60% of NetApp’s business comes from storing Oracle databases. “We’d love to have that 60 percent,” Ellison added.
Oracle gobbled up Sun earlier this year, and Ellison and Oracle CFO Jeff Epstein said Thursday that Oracle is still shopping. Ellison said a chip company is on his shopping list. A lot of people in the IT industry think he would like to add storage as well although Oracle expanded its storage line at Oracle OpenWorld this week with its Exalogic cloud product and an enhanced ZFS Storage Appliance platform.
In any case, Ellison’s comments will certainly increase speculation that NetApp is an acquisition target, and is likely to send it stock price soaring as rumors of IBM and Dell interest this week did for Brocade’s shares.
Storage blogger and Storage Magazine/SearchStorage.com contributor Stephen Foskett this week made a case for Oracle buying either Hewlett-Packard or NetApp, and concluded that NetApp is the more likely target:
“An Oracle acquisition of NetApp makes so much sense, I’m surprised it hasn’t happened already,” Foskett wrote on his Pack Rat site. “Combine very little product overlap, a ‘doable’ price, and a poke-in-the-eye for IBM and you have a winner for Larry Ellison. No other available company offers the solid enterprise storage portfolio and sales of NetApp, and few other companies could make the purchase. The recent NetApp/Oracle ZFS settlement makes it look like something could already be in the works. Unless Oracle really is content to stand pat with Sun’s ZFS storage systems, I expect a NetApp deal within a year.”
Oracle’s big storage product launch at Oracle OpenWorld today wasn’t much of a surprise. It rolled out the next generation of its ZFS Storage Appliance line, bumping up the speeds and feeds and adding tight integration with Oracle software. That’s what Oracle CEO Larry Ellison said the vendor would do back in January, shortly after Oracle acquired Sun. Ellison also said the new unified storage appliances would be announced at Oracle OpenWorld during Oracle’s earnings call last week.
The ZFS Storage Appliance is Oracle’s name for what Sun called the Sun Storage 7000 series. Today, Oracle replaced the Sun Storage 7110, 7310, and 7410 with the Sun ZFS Storage 7120, 7320 and 7420, and added the 7720 for bulk storage and capacity.
The 7120 is a 2U system for SMBs and departments, and scales to 120 TB with two shelves of 2 TB SAS drives. The 7320 is a 1U configuration that can be clustered for high availability, and scales to 192 TB with four disk shelves. The 7420 3U system scales to 1.15 PB with 24 disk shelves and the 7720 is a 42U device that scales to 720 TB in one chassis. All the systems support solid state drives (SSDs), and they range from four Intel processing cores for the 7120 to 32 cores for the 7420 and 7720.
The appliances also include Oracle RMAN backup, Oracle Database Cloning, and Oracle Fusion Middleware for backup and recovery of Oracle apps, and are optimized for Oracle Applications, Oracle Database, Oracle Solaris, Oracle Linux and Oracle VM.
Xiotech chief marketing officer Brian Reagan said the vendor had no timetable for embedding primary dedupe into its storage systems. “We’re looking at incorporating Albireo into our next-generation products,” he said, adding that Xiotech does not plan to use it in current shipping products. “It’s an opportunity to enhance products on our roadmap now.”
However, the press release issued by the companies said Xiotech will use dedupe with its Intelligent Storage Element (ISE) storage blades, suggesting that it will be in an ISE upgrade. Xiotech has been pushing its storage’s performance with virtual desktop infrastructures (VDI), and the release said “Xiotech’s leading cost per virtual desktop will be taken to the next level when combined with Albireo’s enormously powerful deduplication of virtual desktops, greatly reducing storage requirements.”
The release also noted that Albireo sits outside the data path, has no impact on data reads, and scales to petabytes.
Reagan said Permabit and Xiotech are headed in the same strategic direction with data reduction, and the move to incorporate reduction technology is inevitable.
“We’ve seen the rise of deduplication and compression in backup and archiving, and it’s a matter of time until it becomes a table stakes feature in primary storage,” he said. Reagan also said using Permabit’s deduplication leaves the door open for Xiotech to add compression as well, although the vendor has no concrete plans for that yet.
Xiotech is the second vendor to publicly announce plans to use Albireo, following NAS vendor BlueArc last month. Permabit CEO Tom Cook says more are coming.
“Until now, NetApp has had a strong advantage as the only vendor with [primary] deduplication,” Cook said. “We’re seeing a clear objective from all storage vendors to have these products in the market in 2011.”
NetApp has offered dedupe for primary data since 2007, but other vendors have been lining up this year to follow that path. Dell acquired primary reduction vendor Ocarina Networks and IBM bought compression vendor Storwize this year. EMC added block compression to its midrange Clariion storage systems, and Hewlett-Packard said it will extend its StoreOnce backup deduplication technology to primary data. Storage systems based on ZFS can also take advantage of the dedupe built into that file system.
Brocade has been the subject of acquisition rumors for about a year now, despite denials from its CEO Mike Klayko that it is for sale. No acquisition talk came up Wednesday during the vendor’s three-hour analyst day webcast, as Brocade executives tried persuading analysts and investors that the company is on its way to boosting its struggling Ethernet business while remaining a Fibre Channel networking powerhouse.
But that didn’t stop at least one analyst from playing matchmaker. Kaushik Roy of Wedbush Securities sees Brocade as a good fit for Dell. Dell’s rival Hewlett-Packard bought Ethernet networking vendor 3Com earlier this year and then outbid Dell for storage systems vendor 3PAR. There has been a lot of speculation that Dell would look for another target after failing to match HP’s final $2.35 billion offer for 3PAR.
“We believe that Brocade is an attractive acquisition candidate and its stock is cheap,” Roy wrote in a research note today. “Dell is following on the footsteps of HP and we think that acquiring Brocade would give Dell access to storage and data networking, important components of the data center.”
Brocade would give Dell something HP lacks — its own Fibre Channel networking products. Dell and HP both sell devices from Brocade and Cisco through OEM and reseller deals. HP was believed to be a suitor for Brocade last fall until it bought 3Com, but is unlikely to chase Brocade now just for its FC business.
NetApp and Oracle today dropped their lawsuits against each other, ending their three-year legal scuffle over patents related to ZFS.
NetApp issued a release saying both sides agreed to dismiss their suits, but kept terms of the agreement confidential.
“For more than a decade, Oracle and NetApp have shared a common vision focused on providing solutions that reduce IT cost and complexity for thousands of customers worldwide,” NetApp CEO Tom Georgens said in the release. “Moving forward, we will continue to collaborate with Oracle to deliver solutions that help our mutual customers gain greater flexibility and efficiency in their IT infrastructures.”
The lawsuits go back to before Georgens was NetApp’s CEO and before Oracle had anything to do with ZFS. The dispute actually began in 2006 when ZFS Sun accused NetApp of violating Sun patents. NetApp then sued Sun for patent infringement in Sept. 2007, and Sun counter-sued a month later. Oracle inherited the suits when it acquired Sun this year, with litigation still pending. Oracle and NetApp began working on an out-of-court settlement soon after the Oracle-Sun deal closed.
There was collateral damage, too. In May, Coraid pulled its EtherDrive Z-Series NAS after NetApp claimed the product infringed on its ZFS patents and threatened to sue. Coraid has not yet said if the settlement means it can resume selling the Z-Series.
EMC executives have been touting the low-end midrange storage system they intend to launch early next year, talking it up on the company’s last earnings call last month and at an investors’ conference this week.
And documents like this about a Celerra NX3e NAS and iSCSI system are making the rounds. The NX3e, according to documents, is “storage for IT generalists — not storage managers.” But EMC people say the NX3e and the new midrange system are not the same, although they may be distant cousins.
In a terse post today, EMC blogger Storagezilla asked himself the question of whether the NX3e is the system CFO David Goulden talked about at the CitiGlobal Technology Conference this week.
His answer: “No that isn’t it. See you in 2011.”
It turns out the NX3e isn’t new, it’s just been geographically limited, according to an EMC spokesman who responded to my query.
“The Celerra NX3e is an IP storage solution that was released in a limited fashion last year,” the spokesman wrote in an email. “It is a channel-only product that is available only in Sweden, Denmark, Norway and Finland for the SMB market. … The ‘e’ emphasizes entry level and the online ‘experience’ for our partners and end users, including ease of installation, configuration and use, and a new online portal for support.
“This is the first of ongoing efforts to address customer needs in this fast growing segment of the market and, as was previously reported, look for details of new offers in early 2011.”
At the CitiGlobal conference, Goulden said the new low-end midrange system would cost in the $10,000 to $75,000 range and would have many capabilities found in higher end Clariion or Celerra systems. But a lot of lower-end midrange admins would probably appreciate some of the features of the NX3e — especially if EMC makes good on its claims made in the NX3e literature, such as:
“No more storage jargon, like LUNs and RAID groups. No more cumbersome and confusing configuration processes.”