Telecom Power Presentation

MidAmerican Energy Holdings Company

Telecom Power Infrastructure Analysis

Premium Power for ColocationTelecom Power Infrastructure Analysis

February 27, 2001

Gary Hoogeveen, Ph.D.MidAmerican Energy Holdings Company

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Telecom Power Infrastructure Analysis

Overview

• U.S. Power Issues that Affect the Data Center Industry

• The Escalation of Power Requirements in Data Centers

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Telecom Power Infrastructure Analysis

Status of the U.S. Electricity Industry

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Telecom Power Infrastructure Analysis

2001 Percent Over/Under Target Reserve Margins (high demand/low supply projection)

NWPA0

ERCOT14.3

RMPA20.9

AZNMA/CANVA-5.2

MAPP-2.3

SPP2.5

ECAR/MAIN3.4

SERC-2.0

FRCC-4.7

NEPOOL18.0

MAAC-4.7

NYPP4.4

New York City-5.0

Undersupply

Oversupply

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2004 Percent Over/Under Target Reserve Margins(high demand/low supply projection)

NWPA-3.2

RMPA4.5

ERCOT2.5

AZNMA/CANVA-20.1

MAPP-16.5

SPP-6.8

ECAR/MAIN-7.5

SERC-11.6

FRCC-10.0

MAAC-15.4

NYPP-2.6

NEPOOL9.3

New York City-20.0

Undersupply

Oversupply

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Transmission Congestion Problem Areas

Export

Import

Import and Export

New York City

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NYMEX Continuous ChartOf Henry Hub Natural Gas Futures (Nominal $)

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($/M

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NYMEX Prompt Month Historical Mean '96-Current Mean

Low Price $1.046 on Low Price $1.046 on January 24, 1992January 24, 1992

High Price $9.978 on High Price $9.978 on December 27, 2000December 27, 2000

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Telecom Power Infrastructure Analysis

Low Price $1.046 on Low Price $1.046 on January 24, 1992January 24, 1992

High Price $9.978 on High Price $9.978 on December 27, 2000December 27, 2000

NYMEX Continuous ChartWith PG&E Citygate Prices

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($/M

MB

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NYMEX Prompt Month Historical Mean '96-Current Mean PG&E Citygate

Low Price $1.046 on Low Price $1.046 on January 24, 1992January 24, 1992

High Price $9.978 on High Price $9.978 on December 27, 2000December 27, 2000

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Telecom Power Infrastructure Analysis

Power Quality Issues

Data centers have power quality issues. What’s the solution?

1. Treat the symptoms at each individual data center, even though the disease exists within the grid.

OR2. Cure the problem by designing your own grid and

removing power quality viruses like aluminum smelters, steel plants, and so on from your system.

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Telecom Power Infrastructure Analysis

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Telecom Power Infrastructure Analysis

Summary of US Power Issues

• Power availability may become limiting factor in data center development.

• Higher natural gas prices will result in higher electricity costs.

• The grid is 99.9% (at best) reliable and not getting better.

• The California crisis has increased regulatory uncertainty nation wide.– Uncertainty is death to new power infrastructure

investments.

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Data Center Demand Escalation

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Data Center Demand Analysis

• Current and projected Data Center (including Colo, Gateways, Network facilities, etc.) demand exceed current and planned supply

• Current Data Centers do not support all of the following:– Some current and nearly all projected computing power densities– Upgrading beyond 150 watts/sq ft of raised floor

• Power and cooling limitations because of physical plant

– 99.99% uptime (tier 3 and 4 Data Centers)*

– Unlimited bandwidth (not on backbones)

∴ New, high-capability, long-life Data Centers will be built– Dispersed – individually built– Concentrated – in Parks

* Uptime Institute

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Two Significant Impacts on Infrastructure

1. Quality of Data Center● Increased quality increases physical plant support

equipment (N+1, System+System) which increases non-productive (cooling, UPS losses, etc.) power requirements

2. Power Density (watts/sq ft)● Increased power density increases physical plant

support space as a percentage of raised floor space

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Quality of Data Center

• Power required to cool a watt of heat created by computers is approximately a watt

• Facilities requiring significant power at data center● Chillers● UPSs (due to power conversion losses)● Computer Room Air Conditioner (CRACs) – Note, since

CRACs are traditionally on the raised floor, they actually contribute heat as they cool

• Higher quality data centers require System+System redundancy, increasing the power draw by physical plant

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Power Density Trends

• Current data centers built to 30-75 watts / sf• New installations averaging 125 watts / sf demand• Dense rack-mounted servers can theoretically push

demand to 600 watts / sf, or close to 20,000 watts per cabinet

• Computing power density will continue to go up● New generations of CPU are hotter

● Itanium● Sparc III

● More CPUs are being put into smaller servers

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Power Density Trends

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-4 years -3 years -2.5 years -2 years -1 year Today +1 year (est.)

Time

Wat

ts p

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abin

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Total watts per CabinetCPU watts per Cabinet

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How Did This Come on So Fast?

• Server density (illustrated in previous slide)● Movement of disk off the server● Each generation of CPU is hotter than the last● More CPUs are being put into small rack-mounted servers● Rack mounted server form factor has shrunk in size dramatically

• Under-utilized server capacity● Movement from larger multi-purpose computing work loads on

servers running at > 70% utilization to many small single-purpose servers running at 15-25% utilization

● Installation of redundant servers, further decreasing utilization● Under-utilized servers still draw full power

• Consolidating distributed computing back to data centers● Lack of skills to run distributed systems● Emergence of servers as critical to business

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What To Do?

• Continue to build small data centers distributed throughout the power / telecom networks● Emerging inhibitors to building new facilities (mostly

power related)● No economies of scale

• Build larger data centers with on-site power, cooling and telecom● Economies of scale● Concentration of telecom points of presence

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Implications to the Telecom Industry

• Power Densities are increasing:• Requiring more HVAC and Power per square foot• Alternative site deployments (either centralized or decentralized)

• Heightened awareness of power problems affects:• Growth of data centers• Growth of power generation facilities

• Power stresses may impact costs for Service providers and consumers• Telecom providers may be charged a premium for power which

eventually would impact consumers• Poor power quality require service provider to over engineer at the

edge which increases costs

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Call to Action

• NRIC V Chair proposes that, subject to available funding, the appropriate FG initiate a “Study on Potential Power Issues in the US and their impact on the Nation’s Communications Networks”

• This study should include:• Region by region assessment of potential power shortages• Region by region view of Data Center concentration• Assessment of Power Plant construction currently underway in the

US• Identification of potential gap in power supply and demand project

for 5 years

• This Study should result in a Paper and presentation to NRIC V