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C4040-108 - Power Systems Enterprise Technical Support for AIX and Linux -v2 - Dump Information

Vendor : IBM
Exam Code : C4040-108
Exam Name : Power Systems Enterprise Technical Support for AIX and Linux -v2
Questions and Answers : 130 Q & A
Updated On : April 18, 2019
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C4040-108 Power Systems Enterprise Technical Support for AIX and Linux -v2

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C4040-108 exam Dumps Source : Power Systems Enterprise Technical Support for AIX and Linux -v2

Test Code : C4040-108
Test Name : Power Systems Enterprise Technical Support for AIX and Linux -v2
Vendor Name : IBM
Q&A : 130 Real Questions

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IBM Power Systems Enterprise Technical

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Going Off IBM Hardware preservation A dangerous move | killexams.com Real Questions and Pass4sure dumps

April 15, 2019 Alex Woodie

corporations that are running older power techniques servers have some challenging decisions coming up. IBM ceased offering hardware support for vigour 6 servers on March 31, and guide for power 7 will go away on September 30. Some groups may additionally decide to guide themselves as an alternative of upgrading to a more moderen computing device, but that circulation comes with monstrous dangers.

whereas there’s no imperative clearinghouse for this form of counsel, it might appear that a good percentage of IBM i shoppers – if not most of them – have hardware and software aid agreements with IBM. big Blue offers three years of help with each new computing device, so it’s basically handiest an argument with machines which are older than three years.

lots of IBM i stores buy or lease new machines each three years, so these individuals would under no circumstances even be capable to look at IBM’s extended guide agreements (apart from in the case of the 4-yr lease, where a further yr of help has to be introduced).

while some IBM i retail outlets comply with that historic mannequin, there’s a becoming variety of businesses that are breaking with culture. Bob Losey, the CEO of source records, an IBM company companion based mostly in Southern California, says he’s seeing more IBM i shops going off hardware preservation.

“i used to be struck this month through the excessive variety of legacy server screw ups devoid of assist that involved my valued clientele,” Losey wrote in an article he published on LinkedIn. “in one case just ultimate week, one in every of my valued clientele had a cascading failure. First, the disk unit failed. inside two days after the disk restoration, the server would freeze up. Diagnostics published firmware error . . . now not hardware error. This server not only lacked hardware assist for two years, it additionally lacked application guide which is the source for firmware.”

The consumer become running IBM i 7.1, which is not any longer under mainstream aid from IBM. The organization hadn’t applied any PTFs in over two years, Losey wrote, and the firmware dated back to i5/OS V5R4.

“one in every of my senior IBM i box engineers determined a fix by changing a communique characteristic. (i know of most effective a handful of senior engineers with the adventure to work out an answer like this),” Losey wrote. “alas, this turned into a short lived fix. The issue then cascaded to tape failure.”

IBM simply ended help for Power6-primarily based equipment i servers, like this IBM model 8203-E4A, which launched in 2007.

one in every of Losey’s engineers in the end helped the client migrate from the failed 9406-520 server to a more moderen vigour systems server working IBM i 7.1, with “acceptable matching firmware,” he notes. The repair became brief, nonetheless it helped the client avoid a $four,000 restore invoice from IBM.

Losey says he’s seeing extra purchasers go devoid of hardware support. “As IBM has introduced conclusion of carrier, i'm aware about many clients that selected to stay on [their old] server,” he tells IT Jungle.

There are 4 conventional reasons a firm would now not retain a hardware assist contract. First, they believe they can not find the money for to buy a new server. Secondly, the charge of a used more recent server with the brought can charge of a utility renovation contract (SWMA) and after license charge (ALF) is difficult for them to justify, Losey says.

Having an unrealistic timeframe for migrating off the IBM i server is the third purpose some organizations consider comfy going off preservation. “Many consider they're going to get to the ‘new windows gadget’ within one to two years,” Losey says “I chide them and tell them I actually have commonly viewed the transition take seven to fifteen years, so one to 2 years isn't necessarily practical.”

quantity four is an overabundance of self assurance in the hardware itself. “Many have certainly not had any ‘cascading’ hardware failure or disruption, apart from a failed disk unit) to in fact be aware,” he says.

Losey always encourages his clients to keep on with IBM hardware and software protection, and when the hardware reaches conclusion of lifestyles – just like the Power6 equipment did last month, and the Power7 equipment will on the conclusion of September – he encourages them to upgrade to a newer machine.

“Too commonly, many IBM i clients might also think it is no massive deal to exchange a failed disk unit or cache battery. truly, these two specific repairs are fairly straight-ahead,” he writes within the LinkedIn piece. “nonetheless, older servers with unsupported hardware, utility and firmware are extraordinarily problematic. elements for these older servers aren't respectable, specially trying to change failed vigor supplies. application and firmware fixes can be non-existent.”

IBM will end support for Power7-based IBM i servers, like this model 8233-E8B, on September 30.

Pete Massiello, president of iTech solutions community, says just about all of his customers stay current with hardware and utility preservation. “i will be able to count number on probably three fingers the variety of valued clientele no longer on IBM hardware renovation that we have,” he says.

Massiello compares it to going for walks on a tightrope and not using a internet. “because the computing device gets older and older, it’s not a be counted of if whatever thing is going incorrect. It’s a rely of when,” he says. “in case you have a computer and a disk dive goes dangerous, which you can put a brand new disk power in. It’s fairly elementary. It’s no longer going to cost you that a great deal. but when you have a board or a backplane go unhealthy, you’re going to pay an astronomical amount of money to get that fixed.”

IBM hardware is professional, but that doesn’t imply it doesn’t wreck.

“We form of take that as a right,” he says. “It’s a two-manner sword. One the one hand, it’s so notable. It’s legitimate. It doesn’t crash. The hardware is reliable. but then once in a while americans lose sight of that. they are saying ‘neatly nothing has came about in two years. I’ve not ever needed to make a carrier request. probably I’m going to not have protection because it gets older and older.’ It’s doubtless not the smartest element to do.”

Like death and taxes (that are due these days, by the way), hardware failures are inevitable. americans may assume the vigor systems hardware will run indefinitely, but you recognize what they are saying about assumptions. “quite honestly, I consider it bites you on the ass,” Massiello says. “It turns into a pay-me-now or pay-me-later element.”

a further alternative besides assisting your self is using a 3rd-birthday party protection company. as an instance, Curvature helps vigour 5 through energy 8 servers working IBM i, as well as AIX and z/OS-primarily based methods. The Charlotte, North Carolina, business claims to have greater than 800 box engineers, says valued clientele can shop 50% or more the use of its maintenance service for onsite guide and troubleshooting.

“Our field engineers have a large number of years of IBM mainframe and power experience,” the company says on its website. “Our degree 3 CE crew has a combined over 150 years of experience engaged on IBM mainframes and power programs. They deliver backline assist to our box engineering teams globally.”

computing device information supply (CDS) additionally offers hardware preservation for IBM vigour methods apparatus. “Our level three engineers are wholly IBM-trained, and have 20-plus years’ journey providing help and protection to business-class clients,” the Eatontown, New Jersey-primarily based business says on its website. “Our OEM-type help offers mark downs of as much as 50 percent on the equal IBM contract – and it covers your post-warranty vigor servers too.”

The one caveat with third-celebration upkeep is that third-celebration offers won't have access to firmware, which is simply obtainable through IBM. For this, and other motives, Massiello recommends users persist with IBM protection, if they can.

“We preserve our customers on IBM protection because these consumers are running the company on their machines, and that they really need to make certain that they get the computing device fastened, and get it fixed appropriate,” he says. “I’m bound they’re professional third-party renovation corporations obtainable. We just don’t have any event with them.”

connected studies

IBM Jacks Up Hardware maintenance expenses

IBM Inks In end Of assist For Power6 And Power7 Iron

massive Blue Backs Off On IBM i protection price Hike

IBM Hikes upkeep prices On vigour-based gear


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Power Systems Enterprise Technical Support for AIX and Linux -v2

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Skytap Announces Self-Service Environments of AIX, Linux, and Windows | killexams.com real questions and Pass4sure dumps

SEATTLE, March 1, 2017 /PRNewswire/ -- Skytap, Inc., the public cloud designed specifically for the enterprise, today announced AIX On-Demand Instances, the first cloud solution that enables IT to rapidly migrate, develop, and deploy workloads with AIX, Linux, and Windows components in blended, self-service cloud environments.

IBM Power Systems leads the world's Unix deployments with AIX and supports application deployments on operating systems such as Linux and IBM. Nearly all Fortune 500 companies run their most demanding, mission-critical workloads on IBM Power Systems, including the world's top ten banks, top ten telecommunications companies, and eight top retailers. Many organizations seek to apply modern development practices and architectures to their investments in AIX and AIX-dependent applications. Skytap's AIX On-Demand Instances provides enterprises with the ability to lift-and-shift AIX-based workloads directly into the cloud, streamline application delivery, and leverage new technologies.

"Native support for AIX on Power extends Skytap's lead in running datacenter-native applications in the cloud. Other public cloud providers force businesses to rewrite or leave their investments in AIX behind," said Brad Schick, chief technology officer, Skytap. "Skytap AIX On-Demand Instances is the first solution to offer AIX on Power within modern cloud environments. This approach delivers immediate relief to enterprises struggling to infuse agility and cloud-native technologies into their legacy systems."

With Skytap's AIX On-Demand Instances, enterprises can develop and deploy AIX workloads running on Power Systems side-by-side with Linux and Windows workloads running on x86 architecture. Key capabilities include:

  • Cloud migration of AIX and AIX-dependent applications: Customers can easily lift-and-shift AIX and AIX-dependent workloads to the cloud without refactoring.
  • End-to-end testing of AIX and AIX-dependent applications: Cloud adoption reduces development and test time by eliminating environment contention experienced on-premises.
  • Application architecture and process modernization: Enterprises can incorporate cloud-native capabilities into their application stacks and implement modern practices like DevOps and Agile development.  
  • "IBM Power Systems and AIX remain a top choice for running mission-critical systems," said Steve Sibley, vice president of offering management Power Systems, IBM. "With the release of Skytap AIX On-Demand Instances, enterprises have another means to extend their AIX investments to the cloud and implement modern development practices."

    Skytap will demo AIX On-Demand Instances at IBM InterConnect, March 19-23 in Las Vegas, NV. Attendees can stop by booth #331 to learn how Skytap extends cloud capabilities to AIX applications, or visit http://www.skytap.com/aix for more information.

    About Skytap, Inc.Skytap is the only public cloud designed specifically for the enterprise. Unlike other IaaS solutions, Skytap is designed to remove obstacles to cloud adoption by mirroring on-premises data centers in the cloud. This enables enterprises to rapidly lift-and-shift datacenter-native applications out of the data center and into the cloud without refactoring or rewriting. Once in Skytap, these applications can be modernized at an accelerated rate using Skytap's technology and approach to consistent, automated, and self-service environments. Skytap supports the full product development lifecycle for enterprise applications from development to post-production. To try Skytap and learn more, visit http://www.skytap.com/.

    Skytap on Social MediaTwitter:  @Skytap, @Skytap_Partners Facebook: facebook.com/skytap LinkedIn: linkedin.com/company/skytap

    PR ContactMelissa WhiteBarokas PR for SkytapSkytap@barokas.com(206) 264-8220

    To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/skytap-announces-self-service-environments-of-aix-linux-and-windows-300415684.html

    SOURCE Skytap, Inc.

    Copyright (C) 2017 PR Newswire. All rights reserved


    Power Systems And The Spectre And Meltdown Threats | killexams.com real questions and Pass4sure dumps

    January 10, 2018 Timothy Prickett Morgan

    Speculative execution is something that has been part of modern processors for well over a decade, and while it is hard to quantify how much of a performance benefit this collection of techniques have delivered, it is obviously significant enough that all CPUs, including IBM Power and System z chips, have them. And that, as the new Spectre and Meltdown security holes that were announced by Google on January 3 show, turns out to be a big problem.

    Without getting too deep into the technical details, there are many different ways to implement speculative execution, which is used to keep the many instruction pipelines and layers of cache in a processor busy doing what is hoped will be useful work. So much of what a computer does is an IF-THEN-ELSE kind of branch, and being able to pre-calculate the answers to multiple possible branches in an instruction stream is more efficient than following each path independently and calculating the answers in series. The speculative part of the execution involves using statistics to analyze patterns in data and instructions underneath an application and guessing which branches and data will be needed. If you guess right a lot of the time, then the CPU does a lot more work than it might otherwise. There are no modern processors (except for the PowerPC A2 chips used in the BlueGene/Q supercomputers from IBM) that we can find that don’t have speculative execution in some form or another, and there is no easy way to quantify how much of a performance boost it gives.

    It is a pity then that the Spectre and Meltdown security vulnerabilities, which allows for user-level applications to see data they are not authorized to see in the privileged kernel memory space of operating systems, go right to the heart of modern processors. The fixes to these issues, which Google has documented here and which the search engine giant and the rest of the CPU and operating system industry has been working to try to solve since last June without any of us knowing about it, do not require turning off speculative execution. (We are pretty sure no one can do this, which is why these vulnerabilities are so insidious.) But the fixes do place some overhead on systems as user-level memory addresses are blocked off from kernel-level memory to keep the one from seeing the other. We expect, in the fullness of time, that CPU makers will add hardware to perform these functions and that the performance impact will be negligible, but this will require time, money, and some head-scratching to accomplish.

    Every CPU in servers seems to be potentially affected by these speculative execution exploits. Here is what the exploits are called and the security notices related to them:

  • Variant 1, CVE-2017-5753: Bounds check bypass. This vulnerability affects specific sequences within compiled applications, which must be addressed on a per-binary basis.
  • Variant 2, CVE-2017-5715: Branch target injection. This variant may either be fixed by a CPU microcode update from the CPU vendor, or by applying a software mitigation technique called Retpoline to binaries where concern about information leakage is present. This mitigation may be applied to the operating system kernel, system programs and libraries, and individual software programs, as needed.
  • Variant 3, CVE-2017-5754: Rogue data cache load. This may require patching the system’s operating system. For Linux there is a patchset called KPTI (Kernel Page Table Isolation) that helps mitigate Variant 3. Other operating systems may implement similar protections – check with your vendor for specifics.
  • Variant 1 and Variant 2 are collectively called Spectre, and Variant 3 is known as Meltdown. Meltdown seems to largely affect Intel Xeon and Core processors and their predecessors back to 2009 or so, when the “Nehalem” architecture cores came out and first used speculative execution and a new cache structure that previous chips did not have. It looks like Spectre vulnerabilities can affect different processors to varying degrees.

    The fixes to the security issues thus far involve a combination of patches to operating system kernels and in some cases firmware running on the system. This is the case, for instance, with IBM’s Power Systems iron.

    Back on January 3, when the bits hit the fan, everyone else was putting out statements about these speculative execution vulnerabilities, IBM said that it would have firmware patches for Power Systems iron using Power7+, Power8 (and that implies the Power8+ with NVLink), and Power9 processors on January 9, and that it would also make patches available for Linux on Power at the same time. If you look at IBM’s Product Security Incident Response Team (PSIRT) statement, which was revised that day, it now says that Power7+ and Power8 fixes are available now through its FixCentral firmware and software updating service, and that patches for Power9 system firmware will be available on January 15. IBM is now saying that Linux shops have to go through Red Hat, Canonical, or SUSE Linux to get kernel patches. The IBM i and AIX operating systems will get their fixes on February 12. IBM has yet to say what happens to Power6, Power6+, and Power7 iron that, as far as we know, include some speculative execution features. It is interesting to see that IBM’s statement does not say if its patches will cover all three variants of the vulnerabilities and what the exposure to each is for various generations of processors. (Other chip vendors did offer such insight, particularly Intel and AMD.)

    IBM i shops don’t just run Power Systems iron and IBM i, of course. They are largely also Windows Server shops with X86 servers, and they often have Linux running on Power and some AIX on Power, too. Once in a while, they even have Linux on X86 iron. The Linux kernel has its patches, something that Google and the Linux community have been working on since last summer. Many of the most popular Windows Server releases have also been patched against these vulnerabilities, which you can see in Microsoft’s statement; you can get patches for Windows Server 2008 R2, Windows Server 2012 R2, and Windows Server 2016 but you cannot get them for the base (R1) releases of Windows Server 2008 or Windows Server 2012. The Citrix XenServer, VMware ESXi, and Red Hat KVM hypervisors have also been patched. We presume that as part of its patches, IBM is also patching the PowerVM and OpenKVM hypervisors used on Power Systems iron.

    The thing everyone wants to know is what kind of performance impact the fixes for Spectre and Meltdown will have. We don’t know, because it depends on the nature of the CPU architecture, the way the memories are isolated and checked to keep users out of kernel space, and the way the applications make use of speculative execution. Google has said that on its own internal workloads, the impact of the fixes has been negligible, but then again, it controls its own Linux distribution and wrote the fixes using some of the smartest software engineers on the planet – who also discovered the vulnerabilities. We shall see.

    Interestingly, Red Hat ran a series of benchmark tests on various workloads using the fixes for its Enterprise Linux 7 distribution running on the past three generations of Intel Xeon processors. On heavily virtualized environments and those involving online transaction processing, the overhead of the fixes was between 8 percent and 19 percent, which is pretty significant. (Both Red Hat and Google caution that these “microbenchmarks,” which stress only parts of a system, can show greater performance degradation than real world applications, so be careful making assumptions.) Java virtual machines and database analytics and decision support systems have a more moderate performance hit after the fixes – on the order of 3 percent to 7 percent – because they often aggregate requests between the kernel and user spaces. More generic kinds of raw calculations had a small impact of 2 percent to 5 percent, and of course any function that bypasses the kernel is going to be unaffected.

    In other words, you are going to have to apply the fixes and see. Red Hat did have one warning, which may apply to all operating systems but was certainly the case for its Linux. Any system that is CPU bound or memory bound is going to thrash after the fixes are applied. Our advice is to test the throughput of your system for some time before applying the patches, then apply the patches and run the tests again. Then, you will know what the performance impact will be for sure. This is data you may need later. For instance, it will come in handy when you are arguing for discounts on Power9 servers. If somewhere around 10 percent or 20 percent of the capacity is going to go up the chimney because of memory space management for the kernel and user spaces, that’s not your problem. That’s IBM’s problem. At the very least, Big Blue can split the difference with you.


    Awaiting IBM’s Power Systems Growth Spurt | killexams.com real questions and Pass4sure dumps

    On the hardware side, Summit has been designed to deliver 200 petaflops of high-precision computing performance and was recently named the fastest computer in the world, capable of performing more than three exaops (3 billion billion calculations) per second. The system features a hybrid architecture; each of its 4,608 compute nodes contains two IBM POWER9 CPUs and six NVIDIA Volta Tensor Core GPUs, all connected via the NVIDIA NVLink™ high-speed interconnect.The NVIDIA GPUs are a key factor in Summit’s performance, enabling up to 12 times higher peak teraflops for training and 6 times higher peak teraflops for inference in deep learning applications compared to its predecessor, the Tesla P100.

    Given the rollout of the “ZZ” and “Boston” variants of its Power9 systems, which are aimed at customers who are building clusters and at midrange enterprises that use a Power System server as their main back-end system, you might be expecting for the Power Systems line at IBM to have had a big bump in the second quarter of this year. Particularly against a relatively easy compare and especially with close to 10,000 nodes of the Power AC922 system being booked once the “Summit” and “Sierra” supercomputers built by IBM were accepted by the US Department of Energy.

    But that apparently did not happen.

    Still, as measured at constant currency exchange rates – meaning use the same exchange rates to the US dollar from today and apply them to revenues from around the world from the year ago period as well as to the current period, thus removing the effects of currency exchange rate changes – the Power Systems server business had a 4 percent revenue bump in the second quarter, according to Big Blue’s latest financial report.

    IBM is obviously quite product of the fact that it delivered two pre-exascale systems based on the Power9 processor to the DoE, albeit we would point out that they were stood up about six to nine months later than the initial plan. This happens in HPC, and that is the very nature of HPC, so we don’t get bent out of shape about it. This is what it means to be on the bleeding edge and to take risks as IBM is certainly doing with its Power9 machines. But it sure would have been good for the Power9 ramp if IBM had been able to ship Summit and Sierra and book the revenue last fall instead of in the early summer. IBM has never said why it took so long to ship the Power9 iron, but we suspect that there were similar delays with volume shipments of Nvidia’s “Volta” Tesla V100 accelerators – we stress the word volume, since these two machines had 44,928 of these GPU units installed – that caused the delay. The important thing is that IBM and its partners, Nvidia and Mellanox Technologies, got the machines done in May 2018 rather than in October 2017 as expected. Intel was supposed to ship the original “Aurora” pre-exascale system based on its “Knights Hill” manycore processor and based on the Cray “Cascade” architecture with Omni-Path 200 interconnects to Argonne National Laboratory, and this machine was scrapped for reasons that Intel, Cray, and Argonne have yet to explain.

    IBM turned in its test a little late, and Intel asked for more time to study and to take a harder exascale test in the future. The US needs a second exascale supplier so badly to mitigate risk that it agreed. The Aurora failure has hurt both Cray and Intel, but we are confident that Cray will rebound with a broader set of architectural choices that do not tie it so closely to Intel. It remains to be seen what Intel will do, and if it will prevail as a vendor of supercomputers.

    In any event, the rise in Power Systems sales coincides with improving financials for Big Blue on many fronts, and that is a pretty good indicator that the core 3,000 or so large enterprises, which The Next Platform cares about because they drive IT innovation, too, that IBM serves are feeling pretty good about the company and the economies at large. This is as good as it is going to get as chairman and CEO Ginni Rometty is no doubt preparing to name a successor as she reaches the traditional retirement age of IBM’s top executive this year. We think that Tom Rosamilia, who comes out of IBM’s mainframe heritage but who spearheaded its wildly successful WebSphere middleware family, who did a massive reorganization of IBM under Rometty, and who has run its systems and software business units for years, is the obvious choice as the next chief executive of the company.

    In the second quarter ended in June, IBM’s overall revenues were up by 3.7 percent to just a tiny bit more than $20 billion, and net income rose mostly in parallel by 3 percent to $2.4 billion. IBM ended the quarter with $10.74 billion in cash, which is pretty good, but it has $7.65 billion in short-term debt and another $37.85 billion in long-term debt, the latter being mostly associated with its vast Global Financing business, which helps grease the skids when IBM peddles its hardware, software, and services to large enterprises. (Very few large organizations want to own large systems or clusters these days, not when the cost of borrowing is so low and not when a lease or financing converts what would be a capital expense into an operating one.)

    IBM does not break out revenues for its Power Systems and its System z mainframe servers individually, so we don’t know how much each line brings in, but we do know that Power Systems was up 4 percent and System z was up 112 percent, thanks to the pent up demand ahead of the z14 processor upgrade cycle, which is now being fulfilled. For whatever reason, the Power9 business is not seeing the same revenue bump, and a lot of that has to do with competitive pressure from X86 platforms. The 5,000 or so companies that are using System z mainframes are doing a lot more stuff with them – particularly with Linux partitions for new kinds of workloads. IBM has tried to push Power clusters for in-memory, machine learning, HPC, and other advanced workloads, but has not seen this kind of growth. (Imagine what the quarter would look like without Summit and Sierra in the June numbers.)

    IBM’s overall systems sales to external customers – which includes the servers, the networking, and the operating systems that go with the iron – rose by 24.6 percent to $2.18 billion in the second quarter, and the company sold another $242 million in systems to other IBM groups for their own products and services, up 36.7 percent. Overall system sales were therefore $2.42 billion, with pretax income of $346 million, up 4.7X from the year ago period and a hell of a lot better than the $204 million pretax loss that IBM Systems had in the first quarter even with the System z14 upgrade cycle humming along nicely.

    IBM sells a lot of software and services, of course, and here is what the breakdown by product type looks like over the past several years, including the latest quarter:

    The mainframe generational changes drive some pretty large spikes in sales, as you can see. It is unclear what the curve looks like for Power Systems, but it probably has a similar shape, sometimes out of phase with the mainframe, sometimes in phase with it as it is now.

    It is important to not gauge IBM’s commitment to its server hardware business by that business alone, since Big Blue derives so much of its profits from ancillary storage, tech support, software, and financing businesses that are in turn largely dependent on its systems installed base. Without the ongoing investments in hardware, all of this adjacent business would stall and eventually collapse, as has happened with most other proprietary and RISC/Unix platforms. The fact that IBM has these adjacent businesses is why it can continue to be in the systems business, making its own processors and building most of its own iron. IBM sometimes gets some help, as with the latest Boston Power9 machines that are actually rebranded Supermicro designs, but builds the “Newell” Power AC922 system that is at the heart of Summit and Sierra, launched last December, as well as the mainstream “ZZ” Power Systems S, L, and H class servers, which debuted in February of this year.

    Only IBM knows for sure how much business it drives with its indigenous systems business, but we take a stab each quarter in trying to figure it out. This “real” systems business does not include relational database and middleware software, or applications, but just the core system hardware, add-on storage, operating system, transaction processing software, technical support, and financing. If you make some guesses about how much of the adjacencies is driven by Power Systems and System z iron – we think all of the systems hardware, operating systems, and transaction software goes in here, plus 90 percent of the integration software, plus 75 percent of the tech support and financing – then IBM’s “real” systems business had $6.54 billion in sales in the second quarter, up 8.4 percent year on year and representing 32.7 percent of revenues. The database software – what IBM now lumps into Cognitive Systems – is not included here, but if you did, it would probably push indigenous systems well above $10 billion. Heaven only knows how much additional integration and outsourcing services IBM sells on top of this for its own systems.

    Anyway, ignoring databases, other higher level software, and services, we think that $6.54 billion drove around $3.6 billion in gross profits, which is 55.1 percent of that revenue segment and 39.2 percent of its gross profits.

    This is a big and important business for Big Blue, and many large enterprises and quite a few HPC centers depend on this to continue to be true for the foreseeable future. This real systems business at IBM has been shrinking for more than two decades, but as the chart above shows, IBM has been able to stabilize it. Now, the question is whether it can get the Power Systems business to take a bigger bite out of the datacenter and exhibit the kind of explosive growth it engineered against Hewlett Packard Enterprise, Sun Microsystems, and others back in the 2000s. IBM has done a good job getting the price/performance of Power machines in line with X86 alternatives, it has created a Linux ecosystem while preserving its IBM i and AIX bases, but it is not riding the explosion in server spending to the same degree that other vendors are.



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    IBM C4040-108 Exam (Power Systems Enterprise Technical Support for AIX and Linux -v2) Detailed Information



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