In today’s world, where cloud services and AI are everywhere, we’re using data centers more than ever. This has led to a huge increase in the number of data centers around the globe. But as Alexey Navolokin, AMD General Manager for Asia Pacific (APAC), points out, building new data centers is getting harder. We’re running out of space and money, and there are concerns about how much energy and water they use.
Governments see how important data centers are for jobs and progress, but they’re also worried about their impact on local communities. The best way forward, Navolokin suggests, isn’t just to build more, but to make the data centers we already have work smarter. This means getting more out of what’s already there, while still being careful about our resources.
Our lives, cities, and products are becoming more digital, and that means we need more computing power. Making our current data centers more efficient is the smartest way to meet this growing demand and even turn these challenges into a major advantage.
Why Making Data Centers More Efficient Matters
Leaders in IT are constantly being asked to provide powerful computing systems for their businesses. They need to handle new and complex tasks while also trying to be more sustainable, save space, and stick to budgets. Many have tried building brand-new data centers with energy-saving tech to lessen their environmental footprint.
Take the LUMI Supercomputer in Europe, for example. It runs on 100% clean hydroelectric power, and its leftover heat even warms homes in a nearby town. While these efforts are great for energy efficiency, they won’t be enough to handle the massive energy needs of AI, which is expected to make data centers even bigger.
AI’s thirst for energy means we need even more efficient designs to grow and meet environmental goals. With land and power grids nearing their limits, one smart way to improve design is to upgrade old servers. Data centers are expensive, so many companies try to use their old hardware for as long as possible to get their money’s worth. Because of this, most data centers are still using equipment that’s 10 years old, only adding new power when absolutely necessary.
While building new data centers might be unavoidable for some, there are big opportunities in upgrading what’s already there. Switching to newer systems means data centers can do the same work with much less effort. Experts predict that global data center capacity will jump significantly by 2028, and electricity use will grow even faster. For older data centers, upgrading can mean they need fewer large equipment racks to handle the same amount of data.
This frees up a lot of space for future IT needs and also makes room for trying out new things, which is crucial for AI right now. They can use this space to set up smaller, cheaper test systems before committing to bigger projects. Using new, super-efficient chips can also cut down on energy use and cooling costs, helping companies get their investment back faster.
What to Look for When Upgrading
There’s a lot to think about when upgrading servers, and there’s no single solution that fits all data centers. It’s not just about buying the most powerful chip you can afford. While a good chip is incredibly important for saving energy, every data center has different needs that will shape the specific hardware and software it needs to run most efficiently.
Consider Kakao Enterprise, a top cloud provider in South Korea. They needed servers that could handle many different tasks. By using a mix of newer AMD EPYC processors, they were able to reduce their server count by 60% (meaning they only needed 40% of their original fleet) while also getting 30% more performance and cutting their total costs by half.
Like Kakao Enterprise, IT decision-makers should look for companies that can provide everything a data center needs, from powerful chips to networking, software, and expert system design. For example, having the right physical racks makes it easy to swap in new equipment as needs change. And having open software is equally important, as it helps different parts of the software from different companies work together smoothly.
Additionally, providers who are always investing in top-notch system design and AI capabilities will be best suited to help businesses move forward with their AI hardware and software plans. For instance, AMD recently achieved a huge 38 times improvement in energy efficiency for AI training over just five years. This means a 97% reduction in energy for the same performance, allowing companies to innovate more sustainably and on a larger scale.
Moving Data Centers Forward
As we rely more and more on digital tools, our need for computing power will only increase. It’s important to balance this need with our goals for sustainability. The best way to do this is to get the most out of the data centers we already have. This is a big chance to think smart and turn what seems like a problem into a huge advantage. By using the right computing setup, data centers can do more with less, making space for the future technologies that will change how businesses operate and how we live our lives.
