Benefits of SUSE OpenStack Cloud: Half a Million in Cost Savings—and That’s Just the Start

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IT managers looking to transform their data centers are finding that SUSE® OpenStack Cloud is an effective way to create and manage private cloud environments. Not only does it provide an infrastructure-as-a-service (IaaS) solution that gives users access to automated compute resources so they can scale quickly to meet workload demand, but the speed and agility of SUSE OpenStack Cloud also means faster turnaround time for projects.

To measure the value, SUSE commissioned a new study with Forrester Consulting: “The Total Economic Impact™ of SUSE OpenStack Cloud.” For this study, Forrester interviewed current customers to identify their challenges before adopting SUSE OpenStack Cloud and what their results were after deployment, in order to get a clear picture of their return on investment (ROI).

 

Here are some of the report’s findings:

Adoptees reduced the cost of their hardware infrastructure by an average of 20 percent.

Because they’re using commodity servers and storage with components that can easily be swapped out in the event of a failure, SUSE OpenStack Cloud adoptees can lower their overall hardware costs.

Adoptees reduced the cost of their IT staff and development time.

Some of the organizations had already tried to deploy an OpenStack environment but found it was much too complex without the added benefits of SUSE OpenStack Cloud. They needed additional staff for deployment, configuration and ongoing management, such as dealing with new code releases a couple of times every year. With SUSE OpenStack Cloud, the organizations needed fewer employees to manage the environment.

And those benefits are just the start of the savings on employees’ time. Check out the report to see how adoptees also improved productivity for development teams. Forrester estimated all of the staffing costs and time savings at more than half a million dollars over a three-year period.

Adoptees saw an increased demand that resulted in a business growth of more than $460,000.

After SUSE OpenStack Cloud adoption, internal IT organizations relied even more heavily on cloud services. They also saw an increase in demand from internal developer teams by an average of 50 percent per year. And with a stable cloud environment, service providers increased revenue when clients migrated to cloud services. Forrester estimates that this demand amounted to more than $460,000 of additional revenue growth over a three-year period.

SUSE OpenStack Cloud delivers an ROI of 380% and less than 6 months payback.

Forrester’s interviews with the customers found that an organization based on these interviewed organizations experienced PV benefits of nearly $2 million over three years versus PV costs of $414,216, adding up to a net present value (NPV) of $1.6 million and an ROI of 380%. And with a payback of fewer than 6 months.

These quantified benefits are just a part of the economic impact of SUSE OpenStack Cloud adoption. In addition, there are a number of unquantified benefits that Forrester uncovered through the research. Get an in-depth picture of the findings and Forrester’s methodology in the complete report at https://suse.lookbookhq.com/suse-openstack-cloud-overview/tei-report 

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Terri Schlosser
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Terri Schlosser

Terri recently joined the SUSE team as the Head of Product and Solutions Marketing. Prior to joining, Terri was at Rackspace where she was a Senior Marketing Manager for their OpenStack private cloud solutions, responsible for developing the solutions messaging framework and delivering a comprehensive integrated product marketing program. And before that Terri spent 16 years at IBM primarily within the Tivoli and Power Systems Software teams as a manager and individual contributor in marketing, product management, development, sales enablement and business development. She was even lucky enough to spend 2 years on assignment in the IBM software lab in Krakow Poland. Terri currently lives in Austin, Texas with her husband and 2 boys and loves spending time with her family, traveling and skiing.