How I'm Moving My Data Center into The Cloud

A year in which the economics of the travel and hotel industries are so bad that business analysts keep making comparisons to the months immediately following the Sept. 11, 2001 terrorist attacks in New York is not generally the time most IT people would be comfortable putting together a disaster recovery plan for the first time. Most would be in their offices, sweating over spreadsheets, looking for ways to trim spending a bit more, or push a project to drive down operational costs.

Chad Swartz, senior manager of IT operations at the Preferred Hotel Group, spent most of the year planning disaster recovery and ended up with a big cost-saving strategy for the Chicago-based firm.

Preferred, which specializes in group-travel sales, booking conventions, conferences and corporate outings into its network of luxury hotels, is moving its relatively tiny data center into the cloud.

The company signed up earlier this year for The Enterprise Cloud, a hosted server-and-software service from Terremark Worldwide. Under the plan, Terremark will supply 10 virtual servers-seven on full-time duty and three in reserve for spikes in demand-each with a pre-configured amount of disk space, memory and processing power, as well as a set amount of bandwidth, Swartz says. Actually, Terremark will supply double that eventually; one set for the production environment and an identical one that is physically located in a different Terremark data center, as a disaster-recovery hot site.
The service will cost about US$16,000 per month for the whole kit-and-kaboodle. That compares favorably to the $210,000 Preferred was going to have to pay to refresh its aging Dell servers this year, plus $10,000 per month in co-location and bandwidth fees, Swartz says.

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