Analyzing AI impact on data centers

Artificial intelligence (AI) continues to find use cases across global industries in new and unprecedented ways. This surge in AI applications, unfortunately, has put an immense amount of pressure on IT teams. As data centers form the foundation of AI applications, IT teams must figure out the most effective ways to build and manage them.

A research report from the International Data Corporation (IDC) provides a perspective on how this challenge affects the industry. IDC notes that data centers are expected to experience a compound annual growth rate (CAGR) of 18.5% in the next five years. This rapid expansion is led by the need to support AI’s substantial demands that have prompted new technological advancements while presenting unique challenges.

AI advancement affects data centers

Data centers are introducing new technologies and methodologies to their operations to keep up with AI adoption trends. A good example is the increasing prevalence of liquid cooling in data centers. Air-cooling setups in data centers struggle in high-density servers that AI workloads demand and restrain the performance of AI processors. Data centers choose liquid cooling because it offers better heat dissipation and enables higher performance computing.

Power requirements are also rising as AI applications demand substantial computational power, leading to higher energy consumption. U.S. research from Goldman Sachs predicts AI will increase power consumption by 160%.

Data centers have started focusing on energy-efficient hardware and renewable energy sources, in response, to manage power costs and reduce their carbon footprint. They are also participating more actively in the circular economy to offset their carbon footprint.

AI applications often require continuous availability and high reliability. To prevent data center disruptions, IT teams are enhancing their infrastructure with redundant servers, power supplies, network connections, and cooling systems. This ensures uninterrupted service and minimizes the risk of downtime, which is vital for maintaining performance and reliability.

Understanding challenges caused by AI

IT teams managing AI data centers also deal with challenges in their day-to-day work:

1. New regulations: With the continuous improvement of AI technologies, new regulations on data privacy and security are either in process or have been enacted. AI is a new frontier for regulatory agencies and businesses, and data centers must maintain the ability to meet changing regulatory requirements rapidly and efficiently.
2. Implementation delays: The rapid pace of AI development can surpass the ability of data centers to keep up. Implementing new technologies and upgrading infrastructure to support AI workloads is challenging and occasional delays are apparent, impacting overall efficiency and competitiveness.
3. Resource management: Managing resources, including computing power, storage, and human expertise, is complex. Data centers must balance the demands of AI applications with available resources, ensuring optimal performance without overextending their capabilities.
4. Supply disruptions: The demand for AI-capable hardware has led to supply chain disruptions worldwide. Shortages of critical components, such as servers, GPUs, and specialized processors, are delaying data center upgrades and expansions, affecting their ability to support AI workloads.
5. Costs: The financial investment required to support AI can be significant. High-performance hardware, advanced cooling systems, and increased energy consumption contribute to rising operational costs. Data centers must find ways to optimize expenditures while maintaining performance standards.

Role of refurbished servers

Refurbished servers offer a crucial alternative to help data centers used for AI applications. Refurbished servers are appropriate for redundant storage, computation, and backup systems in AI data centers. They can take care of almost all non-critical AI computational and storage tasks without the high costs associated with new data center equipment. This approach ensures continuous operation and minimizes the risk of downtime during maintenance or failures.

Cost optimization is also a significant advantage with used servers when leveraged to build data centers for AI. Refurbished servers are significantly cheaper than new ones. Cost-effectiveness enables organizations to allocate funds to other critical areas, such as energy-efficient upgrades or advanced cooling solutions.

Businesses can support their sustainability goals with refurbished servers by extending the lifecycle of old hardware. This practice reduces electronic waste and contributes to the circular economy, aligning environmental and sustainability regulations.

These server setups also help navigate supply chain disruptions caused by the global demand for the latest data center equipment. When new equipment is scarce, refurbished options provide an alternative to keep data center operations running smoothly and meet computational demands of AI applications.

Building data centers for AI with CXtec

CXtec, a leader in refurbished IT equipment, offers comprehensive solutions to help data centers handle challenges created by AI adoption. With an extensive and exhaustive inventory of high-quality refurbished servers, CXtec provides cost-effective and reliable hardware options from leading brands, such as Dell and Hewlett-Packard Enterprise, made to meet the specific needs of AI-driven data centers.

Quality assurance is a top priority for CXtec. All refurbished equipment sold under our equal2new® brand undergoes rigorous testing and quality checks to ensure industry standards and delivers necessary performance, reliability, and longevity. This commitment to quality allows data centers that work with us to confidently integrate refurbished servers into their operations.

Customization and support are also our key strengths at CXtec. We offer specialized solutions to help data centers select configurations that match their requirements. Our experts provide ongoing support and SLA-based support services with RapidCare®. Data centers can rely on refurbished servers with confidence, knowing any issues will be promptly handled.

Contact us to learn more.