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Moving Towards an All-Flash Data Centre in the Intelligent Age

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Data Centre - Investors King

Explosive data has become the core means of production and the catalyst for the digital economy. In the next five to 10 years, the amount of data to be stored will increase from 32 ZB in 2018 to 180 ZB by 2025. This data explosion will further drive the maturity of the data value chain and propel enterprises’ decision-making and innovation.

We are at the dawn of an Intelligent Era, and data centre operators need to rise to the challenge. To take one example, when building new data centres, they should evaluate all-flash options. Let’s take a look at some of the best practices that they should consider.

Four major challenges facing the reconstruction of next-gen data centres

Data centres are responsible for centralised storage, computing, and the exchange of data resources. In light of explosive data growth, diverse data types, and the ever-increasing importance of it, data centres face four major challenges.

First, the in-depth digital transformation of enterprises causes huge numbers of offline services to go online, and innovative services to emerge one after another. This is exemplified by the financial sector, where the transactions per second of large banks are increasing exponentially as a result of ecommerce and mobile payments.

Second, data centres have become a major power consumer. Currently, the total global power consumption of data centres is around 2% to 3% of the annual world power consumption. High energy consumption results in high electricity costs and carbon emissions. According to the United Nations Environment Programme, global emissions must fall by 7.6% per year for the next decade to meet the goal of limiting global temperature rise to 1.5°C. The European Union has also pledged to achieve net-zero carbon emissions by 2050. Under overwhelming environmental pressures, it’s imperative to save energy and reduce emissions.

In addition, many enterprises suffer huge economic losses and social impacts due to data loss and service disruption each year, which results in an estimated 8% fall in revenue. In the financial industry, where data is the lifeblood of business, the loss caused by system downtime reaches up to $6.48 million per hour.

Finally, O&M (operations and maintenance) efficiency is one of the core factors in the development of data centres. This is made difficult by a large number of devices and interfaces from multiple vendors affecting the ability of organisations to locate faults and respond to service requests. Over the next five years, the amount of data maintained per capita will increase fivefold, which will further increase the difficulty of O&M and labour costs.

Therefore, how to build a green, reliable, and intelligent all-flash data centre becomes a major challenge for future sustainable development.

Three important construction considerations for designing All-Flash data centres

Building an all-flash data centre requires a comprehensive upgrade of the media, and also the integration of data centre resources and architecture reconstruction, in order to meet diverse future service requirements.

Specifically, this includes all-flash upgrade for multiple types of data and service scenarios, all-IP reconstruction for data centre networks, and full-lifecycle intelligent O&M for the entire data centre. The multi-layer all-flash solution helps build a greener data centre with higher efficiency and availability, more intelligent O&M, lower TCO, and zero network bottleneck.

1. All-scenario Flash fast-tracks your services

All-scenario media flash indicates that diverse types of workloads are stored in flash media, for example, HDDs are replaced by SSDs in various scenarios, such as enterprise core systems, HPC, video, and disaster recovery. This helps reduce costs and improve efficiency. Offering the same capacity, SSDs reduce power consumption by 70% and space occupation by 50%. This slashes the total cost of ownership (TCO) of data centres and helps them go carbon neutral. In addition, the system performance of SSDs is 40x higher than that of HDDs. High-performance SSDs become an ideal choice in peak-time scenarios.

Services require high-end storage to undertake more missions, which is another inevitable trend in the development of all-flash data centres. Last but not least, all-scenario flash is characterised by comprehensive data protection. Faster disaster recovery, higher use frequency of copies, and longer retention are in high demand.

2. All-IP data centre network unlocks the potential of Flash

All-scenario flash drives the transformation of data centre networks while NVMe maximizes the value of SSDs. Therefore, faster media and protocols call for faster networks. That brings us to the NVMe over Fabric (NVME-oF) storage network. NVMe-oF uses the IP network to innovate and upgrade the previous dedicated network, achieving higher bandwidth and lower latency. It is also easy to manage using the IP network, which is the optimal solution for implementing end-to-end NVMe. NVMe-oF solutions are currently trending in the industry.

Thanks to continuous R&D in the network and storage fields, Huawei has improved the reliability, performance, and ease-of-use of the mainstream standard NVMe-oF, as exemplified by the company’s NoF+ Solution with intelligent lossless network for Huawei OceanStor. This helps push the development of the storage network to the next level.

Enhanced reliability: Enables proactive notification, rather than passive response, identifies congestion and faults in advance, and works with OceanStor storage to implement failover within seconds.

Enhanced performance: Changes the traditional static watermark mode and optimises the network prediction capability using algorithms, further unleashing the powerful performance of Huawei OceanStor all-flash storage.

Plug-and-play solution: Implements one-click capacity expansion and automatic management and enhances ease of use in future construction.

3. Intelligent O&M platform improves full-lifecycle O&M efficiency

All-flash data centres must deliver full-lifecycle intelligent O&M to implement automation and intelligence in planning, deployment, O&M, and optimisation. In the planning phase, resources are precisely planned, and the focus has shifted from device upgrade to full-lifecycle data management. In the deployment phase, global resources are automatically provisioned. In the O&M phase, full-stack intelligent O&M is implemented to change reactive inspection to proactive discovery. In the optimisation phase, agile configuration optimisation and automatic resource prediction and change are implemented. The optimisation is performed using intelligent algorithms instead of expert experience.

Conclusion

Huawei’s all-flash data centre solution (https://bit.ly/3ySD2jS), which includes OceanStor all-flash storage, OceanProtect data protection, NoF+ storage network, and DME full-lifecycle intelligent O&M, provides an effective way to build a future green and energy-efficient all-flash data centre. It has been widely used in core service systems of various industries, such as finance, carriers, healthcare, and manufacturing, to better mine enterprise data value and accelerate the digital transformation journey. Along the way, emerging modern all-flash data centres are sure to achieve great things while pushing social and economic production to new heights.

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Fintech

US Continues to dominate Global FinTech Landscape in Q3 2024, Witnesses Funding of $2.7B

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fintech - Investors King

The US boasts of a bustling FinTech landscape with more than 7K funded companies and 137 active FinTech Unicorns. Though the US ranks first globally in terms of funding in the FinTech sector in Q3 2024, this is the least funded quarter in the past five years.

Q4 2021 was the highest funded quarter in this space, after which the funding started to experience a steady decline.

Tracxn, a leading global SaaS-based market intelligence platform, stated in its Geo Quarterly Report: US FinTech Q3 2024.

The US FinTech startup ecosystem raised $2.7 billion in Q3 2024, a 30% decline compared with $3.9 billion raised in Q3 2023 and a 40% decline from $4.5 billion in Q2 2024.

Late-stage funding in Q3 2024 fell 32% to $1.3 billion, from $1.9 billion raised in Q3 2023. Early-stage investments stood at $1.2 billion in Q3 2024, a drop of 29% from $1.7 billion in Q3 2023. Seed-stage funding, too, fell 49% to $186 million from $364 million in Q3 2023.

Three companies attracted funding of $200 million and above. Human Interest raised $267 million in a Series D round at a post-money valuation of $1.33 billion, while FLYR raised $225 million in a Series D round. Earned Wealth secured $200 million in a Series B round.

Three other companies reported $100M+ rounds, with Aven becoming the only new unicorn in the third quarter of this year, after raising $142 million at a valuation of $1 billion.

Finance and Accounting Tech, Payments and Investment Tech were the top-performing sectors based on funding in Q3 2024 in this space.

The Finance & Accounting Tech segment witnessed total funding of $643 million in Q3 2024, a drop of 34% compared to $967 million raised in Q3 2023.

Funding raised by the Payments sector fell 22% to $573 million in Q3 2024 from $737 million in Q3 2023. Investment Tech companies raised a total funding of $547 million in Q3 2024, 18% lower than the $669 million raised in Q3 2023.

The third quarter of 2024 was weak in terms of exits. None of the companies from the US FinTech sector went public in Q3 2024, as against one IPO each in Q3 2023 and Q2 2024.

The number of acquisitions too, fell to 48 in Q3 2024 from 54 in Q3 2023 and 62 in Q2 2024. ShareFile was acquired by Progress at a price of $875 million, and Stronghold Digital Mining was acquired by Bitfarms for $175 million.

Among US cities, San Francisco and New York City together accounted for 50% of the total funding raised by the sector in the third quarter of this year.

FinTech startups based in San Francisco raised $750.2 million, while those headquartered in New York City and Santa Monica raised $610.1 million and $225 million.

Y Combinator, Techstars and a16z are the overall top investors in this space. Y Combinator, Castle Island Ventures & Plug and Play Tech Center were the top seed-stage investors in Q3 2024, while Curql, Redpoint Ventures and Brewer Lane Ventures took the lead in early-stage investments.

The US government is taking several initiatives to stimulate investment and innovation in the FinTech sector, which could give a boost to these startups in the coming years.

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E-commerce

South Africa, Tunisia Record Job Losses as Jumia Shuts Down Outlets Over Diminishing Returns, Hopes on Nigeria, Others

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Jumia - Investors King

Africa-focused e-commerce retailer Jumia Technologies has announced its decision to shut down its South African online fashion retailer Zando and its Tunisian operations by the end of the year.

The development, Investors King gathered, followed diminishing returns in the countries which has been having significant impacts on the firm.

Francis Dufay, the Chief Executive Officer of the retailer giant, expressed strong confidence in Nigeria’s market, saying the firm will refocus on more profitable markets such as Nigeria.

Dufay said Jumia is aiming at more profits, hence, its decision to implement aggressive cost-cutting measures, which include reducing its workforce, exiting the everyday grocery and food delivery sectors, and scaling back delivery services unrelated to its core e-commerce business.

He said the trajectory of the South Africa and Tunisia did not align with the strategy of the group, citing complex macroeconomic conditions, a competitive landscape, and limited medium-term growth potential in these regions.

Stressing that the group’s exit plan is the right decision, Dufay emphasised that the move will allow the company to concentrate its resources on the other nine markets including Nigeria, where growth prospects are more promising.

Jumia’s remaining markets include Egypt, Kenya, Morocco, and Nigeria.

Dufay maintained that success in these regions could help recover volumes lost from the closures in South Africa and Tunisia.

Giving more facts on the level of shortage Jumia incurred in South Africa and Tunisia, he noted that Zando and the Tunisian operations contributed only 2.7% of total orders and 3% of Gross Merchandise Value during the first half of the year.

Zando.co.za, founded in 2012, has established itself as a prominent online fashion platform in South Africa. Meanwhile, Jumia’s Tunisian operations have been running under the Jumia brand for a decade, offering general merchandise.

Dufay confirmed that there are no plans to sell either operation, which will hold clearance sales before their shutdown.

Findings by Investors King revealed that no fewer than 110 persons will lose their jobs in the affected countries once the closures take effect.

Although some employees may be relocated within the company’s other divisions.

This decision comes shortly after South Africa’s largest online retail group, Takealot, announced the sale of its fashion subsidiary, Superbalist, amid rising competition from fast-fashion e-commerce giants like Shein and Temu. Dufay acknowledged that the growth potential in South Africa is increasingly challenging due to the highly competitive environment.

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Telecommunications

MTN, Telecom Firms Urge Government Support for Tariff Hike Amid Economic Downturn

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Telecommunications - Investors King

MTN Nigeria and other telecommunication companies have requested that the federal government support their plan to increase tariffs to ensure business continuity.

The request was made due to the current economic downturn that has hindered the operations of many companies.

During a panel session at the 30th Nigerian Economic Summit on Tuesday in Abuja, titled Navigating Business Growth in a Volatile Environment, MTN’s Chief Financial Officer (CFO), Modupe Kadri, highlighted that Nigeria’s economy, impacted by foreign exchange fluctuations, has affected the effective functioning of the telecommunications industry, including MTN.

Kadri noted that with the current economic situation, the electricity and fuel sectors have experienced increases.

He therefore said for the telecom sector to remain viable, the federal government must allow similar adjustments in the telecom industry.

According to him, the telecommunications industry is also facing challenges because much of their equipment is heavily import-dependent. Despite this, the sector has not received regulatory approval to adjust its prices for over a decade.

“For ten years now, telecommunication companies haven’t been permitted to increase prices, and this regulation is not providing us with a level playing field to operate. If we are to stay in business, this policy must be reviewed, similar to how electricity and fuel prices are adjusted to reflect current economic realities,” he stated.

“Our business is mainly dependent on foreign exchange, so customers need to understand that for them to receive the services they desire, it costs money,” he added.

He noted that just like the electricity and fuel industries contribute to the nation’s GDP, the telecommunication industry also contributes to the nation’s GDP, and similar measures should be applied across sectors.

“The telecommunications industry contributes 16 percent to the GDP, and it is not something that you can mess around with,” he reiterated.

Kadri therefore sought government intervention to increase tariffs to ensure business continuity.

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