Shape Your Business For the Future - cisco.com · ... 2011–2016 Global Mobile Speed Data Global Forecast ... Akamai State of the Internet Report Q4 2011 ... Is your infrastructure

© 2012 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 1

Shape Your Business For the Future:

Powering Transformation With

Cisco

Stephen Thomas Misa

Country General Manager


Our World is Changing… Market Transitions Wait for No One

Businesses Networked IT

as Differentiator

Economic Recovery…

GDP Growth

Speed, Scale, Flexibility, Replication

Productivity

Public Sector Spending

Broadband

Global Competition

Information Economy Networked Economy

Social Networking

Innovation

New Threats…

Evolving Everyday

Technology & Business

ArchitectureEmerging Markets

Safety & Security

Natural Disasters


Cisco® VNI Forecast research is an ongoing initiative to predict global traffic growth. This study focuses on consumer and

business mobile data traffic and its key drivers.

Source: Cisco VNI Global Mobile Data Traffic Forecast, 2011–2016

Global Mobile

Speed Data

Global Forecast

Data


Source: Cisco VNI Global Forecast, 2011–2016

More Devices

More Internet Users

Faster Broadband Speeds

More Rich Media Content

Growth Catalysts

Nearly 19 Billion Connections 4-Fold Speed Increase

3.4 Billion Internet Users 1.2 Million Video Minutes/Second


• One trillion gigabytes

• Approximately 1021

(1,000,000,000,000,000,000,000 bytes)

1.3 Zettabytes is equal to:

• 10X More than all IP traffic generated in 2008 (121 exabytes)

• 38 Million DVDs per hour

By 2016, global IP

traffic will reach an

annual run rate of

1.3 zettabytes per year

What is a zettabyte?



By 2016, global mobile

data traffic will reach an

annual run rate of 130

exabytes per year.

© 2011 Cisco and/or its affiliates. All rights reserved. Cisco Public 6

Source: Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast, 2011–2016

• 130X More than all IP traffic generated in 2000

• 33 Billion DVDs

• 813 Quadrillion SMS text messages

130 Exabytes

is equal to:


North America

2.9 Billion by 2016

CAGR 14.1%

Western Europe

2.6 Billion by 2016

CAGR 13.2%

Central/Eastern Europe

1.3 Billion by 2016

CAGR 10.2%

Latin America

1.6 Billion by 2016

CAGR 12.2%

Middle East & Africa

1.8 Billion by 2016

CAGR 10.4%

Asia Pacific

8.7 Billion by 2016

CAGR 14.1%



North America

269 Million by 2016

CAGR 1.6%

Western Europe

319 Million by 2016

CAGR 2.5%


197 Million by 2016

CAGR 7.7%

Latin America

287 Million by 2016

CAGR 11.0%


542 Million by 2016

CAGR 16.1%

Asia Pacific

1.7 Billion by 2016

CAGR 13.2%



• In 2010, PCs generated 97% of consumer Internet traffic. This will fall to

87% by 2015―demonstrating the impact that an increasing number and

variety of devices like tablets and smartphones are having on how

consumers and business users access and use the Internet.

• By 2015, TVs will account for over 10% of global consumer Internet traffic

(up from just 3% in 2010), and TVs will represent 18% of Internet video

traffic (up from only 7% in 2010).

• This forecasted growth demonstrates the impact of web-enabled TVs as

a viable online option for many consumers and the continued evolution of

video on the internet from low-quality clips to high-quality programs and

movies.

So let’s look at WHAT we’re connecting to the network with…


=

=

Tablet

Internet-Enabled 3DTV

Internet-Enabled HDTV

64-bit Laptop/PC

Gaming Consoles

1.2 X (monthly 32-bit laptop fixed traffic)

= 4.1 X (monthly 32-bit laptop fixed traffic)



3.4 X (monthly 32-bit laptop fixed traffic)



North America

3.5-Fold growth

11 to 37 Mbps

Western Europe

3.8-Fold growth

11 to 42 Mbps


3.1-Fold growth

10 to 29 Mbps

Latin America

2.8-Fold growth

4.2 to 12 Mbps


2.5-Fold growth

3.4 to 8.4 Mbps

Asia Pacific

4.4-Fold growth

8.1 to 36 Mbps



10 Mbps5 Mbps

2 Online Video

(HD Streams)

1 SD Business

Videoconference

1 Online Music

Stream

3 Online Video

(HD Streams)

1 Business Desktop

Conference Call

4 Online Music

Streams

1 Online Gaming

Stream


74% of all broadband connections by 2016



10 Mbps5 Mbps 100 Mbps





Online Video (HD movie download) Online Video (HD movie download) Online Video (HD movie download)

20 minutes 2 minutes41 minutes


20162011 Future


11.5 GBTraffic/month

32.3 GBTraffic/month

75 GBTraffic/month

Equivalent to

5 Hours of HDTV

Equivalent to

13 Hours of HDTV

Equivalent to

30 Hours of HDTV


2016

83.7 GB Traffic/month

2011

26.2 GB Traffic/month

150 GB Traffic/month

Future


Equivalent to

11 Hours of HDTVEquivalent to

34 Hours of HDTVEquivalent to

61 Hours of HDTV


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

2011 2012 2013 2014 2015 2016

Exab

yte

s p

er

Mo

nth

Mobile VoIP (0.3%)

Mobile Gaming (1.5%)

Mobile File Sharing (6.0%)

Mobile M2M (4.0%)

Mobile Web/Data (18.5%)

Mobile Video (69.8%)

APAC Mobile


(Figures in

legend refer

to traffic

share in

2016.)

84% CAGR 2011–2016


By 2016, nearly three-

fourth’s (70 %) of the

APAC’s mobile data

traffic will be video.

Mobile video traffic will

double every

year between 2011

and 2016.

© 2011 Cisco and/or its affiliates. All rights reserved. Cisco Public 17



The is based on measured datacenter traffic, independent analyst equipment projections, and relevant academic studies.

Global data modeling of datacenter and cloud computing

for businesses and consumers.

Global Cloud Readiness

Forecasting Global Cloud Traffic / Gauging Cloud Transformation

Global Cloud Index

Broadband Penetration

Upload / Download Speeds

Network Latency

Global Datacenter/Cloud Trends

>45M speed tests from 150 countries30 TBs of monthly traffic from 10 DCs


Forecasting and Analysis

Datacenter and Cloud Traffic• Growing global datacenter traffic volumes

• Increasing percentage of global cloud traffic

Workload Transition and Economics• Increasing virtualization / apps to the cloud

• Gaining bottom-line savings via cloud networks

Cloud Readiness• Comparing regional networking metrics

• Identifying cloud service requirements


0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

2010 2011 2012 2013 2014 2015

Zett

ab

yte

s /

Year

33% CAGR 2010–2015

Datacenter Traffic Quadruples From 2010 to 2015

4.8 ZB

1.1 ZB

1.5 ZB

2.1 ZB

2.9 ZB

3.7 ZB


Traffic Equivalencies

66.7 Trillion

• hours of streaming music

15.5 Trillion

• hours of business web conferencing with webcam

4.8 Trillion

• hours of online high-definition (HD) video streaming


Summary / Key Takeaways

Datacenter and Cloud Traffic• By 2015, global DC traffic will reach 4.8 ZBs/year (4X growth)

• By 2015, cloud traffic will reach 1.6 ZBs/year (12X growth)

• Global cloud traffic is growing 2X faster than global DC traffic

Workload Transition and Economics• Key transition: >50% of all workload processed in the cloud in 2014

• By 2015, 57% of business workload will be processed in the cloud

• Cloud DCs offer significant TCO savings compared to traditional DCs

Cloud Readiness• N.A. and W. Europe have highest broadband penetration

• CEE among most cloud-ready based on network metrics

• All regions can support some level of cloud services today


Source: Akamai State of the Internet Report Q4 2011




• Source: Akamai State of the Internet Report Q4 2011



© 2012 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 27Cisco Confidential 27© 2011 Cisco and/or its affiliates. All rights reserved.

Use Devices


to the Internet

By 2020 there will be


to the Internet

By 2020 there will be


over

In

wirelesslywill be delivered

of the world’s

video

wi l l be


Is your infrastructure

ready for that?


Use the best processes

Attract and retain the best employees,

keep them productive and happy

Deliver best results at the best cost

How Can This Significant Change Contribute To Profitable Growth?


CIO Imperatives

Deliver the best tools

Achieve the best productivity

Reduce complexity to deliver

results at the best cost


Don’t Forget the EmployeesMillennials Change the Game

college students and young

professionals would accept

a lower-paying job that had

more flexibility


What If You Could Solve It All?CEO Aspirations, CIO Imperatives and End-User Requirements

What if I could speed innovation by opening my

network and collaborating with customers and

partners…

While lowering IT cost and complexity?

What if I could let my employees have

greater freedom and choice….

While protecting Intellectual Property?

What if I could let my team work their

way…

Without compromising the way

my business works?


Thank you.

Documents

Shape Your Business For the Future - cisco.com · ... 2011–2016 Global Mobile Speed Data Global Forecast ... Akamai State of the Internet Report Q4 2011 ... Is your infrastructure