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Wi-MAX: A Viable Alternative to DSL or Cable?

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NewsCast, a British photojournalism company that specializes in photography syndication and online image libraries, has one less headache to worry about in its Manhattan bureau. Uploading and downloading images, a task that requires a lot of extra bandwidth due to the size of the files, has become a lot easier over the last year since the company switched to Wi-MAX to connect to the Internet. Wi-MAX — a loose acronym for Worldwide Interoperability for Microwave Access — is a telecommunications industry standard that can provide wireless connectivity over long distances. A related technology, Wi-Fi operates within a much smaller range. The standard is roughly divided into two solutions; Mobile Wi-MAX and fixed Wi-MAX. NewsCast uses fixed Wi-MAX as its broadband provider. “It’s the greatest thing since the invention of white bread,” says Jim Sulley, NewsCast’s director of photography. Before, NewsCast had a T-1 line that cost $800 a month for 1.5 megabits per second (Mbps) of bandwidth and the service was riddled with technical difficulties disrupting the flow of business. “It was that last mile that was killing us. There were so many problems with the T-1 line. I couldn’t be happier with WiMAX,” Sulley says. “It’s much more reliable. It’s faster. And the cost is much lower. We’re on the ‘Five for Five’ plan. We get up to 5 mbps for $500 a month.” Sulley says his business often needs that extra burst of bandwidth due to the nature of what they do; they move large numbers of image files online. Does it sound too good to be true? If your business is located in one of the major metropolitan areas in the country where fixed Wi-MAX is available (New York City, Chicago, and San Francisco, to name a few), then this technology can be a viable alternative to other forms of Internet service, such as DSL, Cable, or T-1 lines. Otherwise, you may have to wait. Wi-MAX: sooner or later “Wi-MAX is extremely limited in the United States right now and that’s not likely to change anytime soon. It may have some effect by 2010. Mainly it will compete against that last mile of DSL and Cable typically in suburbia where they still aren’t fully rolled out,” says William Clark, a research vice president from Gartner. Mark Tauschek, a senior research analyst from Info-Tech, a research firm based in Ontario, Canada, is more optimistic. He agrees the real rollout won’t happen until 2010, but does believe 2008 will be a big year for Wi-MAX. “There are a few things coming together this year that are going to make Wi-MAX ubiquitous,” says Tauschek, who points out the following: Sprint is committed to Wi-MAX.Sprint has already committed itself to the 2.5 GHz spectrum with the FCC, with the understanding it would be used for WiMAX. So despite recent headlines of Sprint’s delayed deal with Clearwire (the other company heavily committed to creating a nationwide Wi-MAX network in the United States), upheavals in upper management, reports of expected layoffs and even the possibility of moving its corporate headquarters back to Kansas from Virginia; don’t count out Sprint’s long term commitment to Wi-MAX. Industry support for Wi-MAX.  By mid-year, laptops will be shipping out with Intel chip sets that support Wi-MAX. Competitive pricing. It’s an industry standard, which means no royalties. “It also makes it very cookie cutter to stamp out in volume. Prices will drop fast,” points out Tauschek. From Sulley’s story, it’s clear it’s already beating out T-1 lines handily in pricing. A technology that’s worth the wait According to Maravedas, a telecom research company based in Montreal, Canada, there are some 500,000 Wi-MAX users in the United States right now. Maravedas predicts that number will grow to 10 million by 2013. Those figures exclude the Sprint deal, which if it goes through would mean a coast-to-coast Wi-MAX network available to 100 million users. In addition to competitive pricing, here are some other possible advantages to using Wi-MAX as a fixed broadband provider. Covering the last mile — and 69 other miles.  Wi-MAX carries at a range as far as 70 miles. Critics complain the signal weakens the farther out it goes and is really optimal up to about 10 miles. Even so, as a broadband solution it would be advantageous for businesses divided among several floors in one building, across a corporate park of buildings, or connecting employees who live in relative close proximity to the office. Here, there and everywhere worldwide.Wi-MAX has already hit critical mass in some countries and is quickly gaining steam in others. Eighty percent of Canadians have access to Wi-MAX now. Gartner predicts there will 48 million Wi-MAX connections globally by 2010. For the overseas business traveler, a universal standard across borders for connectivity could make life a lot easier on the road. Positive response where deployed.Sulley’s story about his experience switching to Wi-MAX is just one man’s opinion. But here are some numbers that indicate he’s not alone in his satisfaction with his new broadband choice. Clearwire serves the town of Kirkland, Wash., a suburb of Seattle and only a couple of miles from Microsoft’s Redmond, Wash. corporate headquarters. It has picked up no less than 90,000 subscribers in just the past six months. Drawbacks to Wi-MAX Clearly the biggest drawback to Wi-MAX right now is availability. But there are others to consider: If it isn’t broken, don’t fix it.Very few businesses are without a broadband option. For the most part DSL and cable lines have been dropped down to the last mile. The telecommunications and cable companies aren’t going to walk away from years of investment deploying that infrastructure. Since it’s already in place, that means adding a new user is virtually free for them and pure profit off the customer. Traditional broadband providers can afford to get in a pricing war when the time comes. Security. Since penetration is still low, it remains to be seen just how easy or difficult it will be for hackers to target Wi-MAX networks. Industry watchers see potential vulnerabilities in the standards making it possible for “man-in-the-middle” attacks, denial of service attacks, as well as weaknesses in encryption that could contribute to data leaks. Other emerging options.The first option that comes to mind would be a fiber optic network (FiOS). Because it involves rolling out that last mile of fiber building by building, deployment is slow. But a “lit building” is highly coveted office space. The fiber optics lines are already wired into the building and very user friendly for tenants, who receive lightening fast, reliable connectivity. Verizon is heavily pushing FIOS. Despite those obstacles, “I’m bullish on Wi-MAX,” says Tauschek. One thing he may not be taking into account is the bears: the ones plaguing Wall Street these days. A slow down in the economy could easily turn that last mile into the long mile for any new broadband provider trying to break into that market.

Pay for Storage? Weighing the Free — and Low Cost — Options

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As a small to mid-sized business grows, so does the sheer volume of information generated each day: account information and budgets, along with databases of inventory and employee records. The list is endless. A generation ago, it was euphemistically called the paper blizzard. Now, it’s more like a digital Tsunami that only gets bigger and more difficult to manage for the organization without a storage strategy. “Archiving data is less about where to put it and more about how to get it when you need it,” says Andrew Reichman, an analyst from Forrester Research. Indeed, many small to mid-sized businesses make the mistake of growing out their methods for storing data like the business itself: piecemeal and as needed. The end result can be disjointed, irretrievable data that is mission critical to the company, yet scattered across a variety of discs, servers, and individual employee hard drives. The good news: data storage has never been more plentiful or cheaper. The trick is wading through the myriad of options available and deciding which one works best for your organization. In-house versus out The first big decision to be made is whether to keep all or most of the company data in-house or out-of-house. Traditionally, companies of all sizes have kept their information on site. However, using a third party host to store data online is increasingly popular. Out of house options What do Intel, Google, Microsoft, IBM, Seagate Technologies, and EMC all have in common? They are all heavily investing in online backup storage solutions; whether it’s buying startups like IBM snapping up Arsenal Digital, EMC acquiring Mozy, or Seagate absorbing eVault. And then there’s Google launching its own initiative called GDrive service. There are also countless independent companies (that haven’t been bought up yet) offering data backup and storage online and on the cheap. Here are some of the advantages and disadvantages for the growing company: Advantages: It’s cheap, fast to deploy, and turnkey requiring no staffing to maintain the data. Plus, vendors have the advantage of using economies of scale to provide better security and store data more cheaply than a smaller organization doing it all on its own. However, the most important advantage is really more basic than that. The biggest reason to go out of house is to get remote backup capability,” says John Longwell, research director for Irvine, Calif.-based Computer Economics. Simply put, you don’t want to have all your eggs (or data) in one basket (or place). If the building burns down or even just a poorly-timed snow day keeps employees away from the office during a critical time for the business, the results can be devastating. Off-site backup and remote access to information is a core need for most businesses today. Disadvantages: “The server and the application need to be in the same place. Going outside works if you’re talking about using Gmail as the company e-mail client and then archiving it all on Google, or CRM data with Salesforce.com. Businesses need to be careful which parts of the business processes they can give to someone else,” says Reichman. Even Amazon is now offering cheap data storage and retrieval programs like “SimpleDB”, which is in beta as of this writing. However, simple is the optimal word in that brand. It is a very simplistic way of searching and fetching data. It is not the place to store financial information a company may need to aggregate in a variety of sophisticated ways to generate specific reports. In-house options Despite all the hype over third party vendors offering online storage, in-house options make a lot of sense, as well, and may be more practical for many businesses. Advantages:  The obvious advantage is retaining control at all times. The other advantage is that the major disadvantages are disappearing fast. In-house solutions are getting cheaper and more effective too. “There’s a big shift among small to mid-sized businesses from on-board discs (data separately stored on each individual computer and server) to what’s called centralized network storage. This can be as simple as throwing a single appliance on the network that houses all the data. By centralizing storage, information can be pulled from multiple sources and aggregated into richer data. It also makes it easier to manage all the company information, control user access and retrieve it when needed. Disadvantages: In-house solutions mean buying gear, getting it installed, and then taking on the expense of maintaining it. “Sometimes it’s a tough pill for small to mid-sized businesses to swallow,” admits Reichman, who encourages executives to look at the long term savings of better data management specific to the business. It’s something an outside vendor can’t provide, as well. Deciding factors Costs:  Web-based third party vendors are cheaper, at least up front. It depends on the size of the business, however, whether they make sense. If a company has someone on staff to maintain a centralized storage network, then it might make more sense to invest in the equipment and save on vendor fees typically based on the amount of data stored on a subscription basis. What data and why and when it is needed:  How will users interface and retrieve information as they need it? A third party vendor may not be able to offer the sophistication needed to work with certain applications or databases. Then again, it may make sense to house older and less important data off-site and out of the way. Prioritizing storage needs: What’s the primary motive for storing data? Is it backup and security? If so a third party vendor is likely the answer, since it offers off site protection of the data and often smaller businesses don’t have the same level of security as the vendor (like encryption and less network downtime).  Sidebar: Data Storage Options Carbonite is designed to backup data on each individual computer or server. It runs constantly in the background backing up data and is handy for the desktop user who loses a file or accidentally deletes something of importance. Lost information can be retrieved immediately. This is not a likely solution however, for growing companies that need to manage data in a centralized way controlling access and aggregating data driven reports. Mozy Similar to Carbonite, it is designed for the individual user who needs his or her information constantly being backed up remotely in case of a virus strike or ill-timed computer crash. Mozy, however, does offer a professional version with a number of features like administrative powers to manage data from multiple sources and encryption. Its new parent company, EMC, may have something to do with the increasingly beefed up services targeting corporate clients. Pricing is based on a combination of price by seat ($3.95 per computer, per month) and 50 cents a GB per month xDrive is primarily targeting the consumer market. But for the small business just starting out, it’s worth consideration. xDrive charges $9.95 for 50 gigabytes of storage.  Based in Beverly Hills, Calif., xDrive is actually owned by AOL and markets itself as a preferred solution for backing up pictures, graphics and video for easy web access and collaboration with others. As is, it’s easy to imagine a business quickly outgrowing xDrive. But with AOL as its parent company, it’s also easy to imagine xDrive scaling up it services for growing organizations before that happens. Nirvanix is attracting a lot of attention, as well as high profile investors like Intel. The San Diego, Calif.-based data storage company is especially attractive to the small to midsize business market because it offers scalable storage services for a flat fee of 18 cents a gigabyte. What makes Nirvanix special is its application programming interface (API) that enables companies to easily integrate Nirvanix Web Services into their own company applications. In comparing just these four examples of online data storage vendors, there is at least one common denominator: they are all still growing out their corporate features to accommodate businesses. “The options are still limited today, but it’s getting there,” says Reichman.

Not Easy Being Green: Software Can Help

Rows of desks — all with colorful screensavers — running on oversized monitors. This is a common site in many offices today that greets those showing up for work on Monday morning, as the machines — monitors and all — were left on over the weekend. Blame it on the IT mantra of the early to mid-1990s that said that shutting down a PC would cause extra wear and tear, and that machines are generally energy-efficient enough that computers can be kept running all the time. The truth is that PCs and monitors account for 40 percent of IT-related emissions, and account for 13 percent of all power consumed in an office environment. Just turning off the monitor can be a good first step, and this is where programs such as WatchOverEnergy can be a benefit. This freeware program from AKS-Labs runs in the background, and helps users manage stand-by mode and track energy savings. WatchOverEnergy can even shut off the monitor when the PC is inactive for periods of time, such as if a worker forgets to turn it off before heading for lunch or a meeting. It also ensures that other programs that are running, such as e-mail, aren’t shut down, or a Word document won’t be lost. “This is not a problem, as the software turns off the computer monitor, not the computer,” says Bob Elliot of AKS-Labs. And while the savings are small per machine, those savings can add up. “If we talk about one computer, you will not be able to save hundreds of dollars. But if you’re running a company network, you will be able to save much more.” Power saving programs Green IT software is also a growing sector with numerous companies providing programs that allow users to track, manage and even save some energy. And while the savings aren’t likely going to be huge, they could be noticeable. “Anything you do to be more green will also save you money,” says Richard Hodges, principal of GreenIT in Sonoma, Calif. “In California, there is a leading edge program, where PG&E will rebate you the cost of the power management software. So it costs you nothing.” One of the programs in the energy management space is Verdiem’s SURVEYOR, which includes options for a system to turn on/wake on-demand to tackle scheduled tasks, including software and security updates. This can come in handy for businesses that might need to send e-mail overnight, update Web pages, or run other tasks at times when employees are at home asleep. “The machine can start up at 1 a.m. to download updates and shut down at 2 a.m., with a full reboot,” explains Bruce Twito, chief technology officer and vice president of product development for Verdiem. “The machine can also be put into standby while programs such as virus scan can run, and then can be a shut down afterward.” Most of these energy saving programs are also not system hogs. After all, it wouldn’t offer much good if the program ate up valuable hard drive space or required businesses to upgrade machines to get the application to run. “The application uses fewer resources than e-mail, Excel, or Word,” says Twito. The agent runs on the machine, but most of the time takes very little system resources. “It is there to enforce the policies but it is hardly noticeable.” Green to the core It might seem obvious, but one area where businesses can get the most out of their software is through software updates. And while video drivers, security patches and other updates of applications are common; the core of the system isn’t typically addressed. “This is the way that AMD and Intel can help you with the frequency throttling through the chipsets,” says Matthew Wilkins principal analyst, compute platforms research for iSuppli Corporation. He says that people seldom update the BIOS. “Sometimes there are several later versions. But think of all the things on the motherboard, and we tend to neglect it,” Wilkins says. “We update all the various other drivers. But the BIOS helps with optimization of the operating system.” Wilkins adds that this is important to consider, especially given that the CPU architecture is no longer just built around high clock speeds. “It is not about the clock speed race that it once was.” For this reason businesses may even hang on to PCs longer. This certainly means a savings, as even budget-priced machines can still be close to $1,000 today. But, more importantly, says Hodges is to look at ways to do more with the machines you have. “One PC by itself doesn’t use a lot of electricity, but all the systems together do add up.” Small to medium businesses should also find ways to do more with fewer applications, and that every time a program is added the costs increase. “Reducing the number of applications will simplify the computing costs and the amount of equipment needed and the energy used,” Hodges says. Of course, that savings can be as free and as easy as pushing a button. “If you are a small business you could also just tell people to turn off the machines,” Hodges says. “Turning computers off on weekends and evenings will save you money.”

Leopard Has Landed: Assessing Mac’s New OS

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While the Windows operating system continues to dominate in the corporate world, small and mid-sized businesses have been slow to adopt Microsoft’s latest operating system, Vista, according to reports. Perhaps companies are waiting for the kinks to be worked out or better compatibility with existing productivity software. Or perhaps the upgrade cost is a big pill to swallow. But now it’s Apple’s turn. After delaying its release, the new Mac OS X version 10.5 — a.k.a. Leopard — has hit the market with much fanfare. With its advertized 300+ new features, Leopard is touted as the most significant upgrade over its predecessors, at a relatively inexpensive price point of $129. Better browsing and file sharing This sixth major release of the Mac OS platform offers many new bells and whistles over its predecessors including: a redesigned Finder to better browse and share files between multiple Macs Time Machine, a simplified way of backing up data a new 3-D Dock with Stacks that lets you better organize and access your files on your desktop Quick Look, an efficient way to instantly see files without having to open an applications Spaces, used to create groups of apps and easily switch between them enhanced mail and chat applications and integrated Boot Camp to run Windows on Intel-based Macs. So what do the experts advise about whether upgrading is in the best interest of small businesses that rely on the Mac platform? Or are there compelling reasons to switch platforms if your business has become a frustrated Windows user environment? Whether to upgrade or not “Right now most of the apps are Windows-based, so I think the new Mac OS is a hard sell to businesses,” says Gary Chen, senior analyst for Small and Medium Enterprise IT Infrastructure and Applications at the Boston, Mass.-based Yankee Group. “This is the biggest hurdle for the Mac — even though the hardware and OS are great — but the apps are really what is most important” to the small and mid-sized business user. Not every analyst agreed. Some advised looking at other compelling features to switch your business to the new Mac OS. “The first thing you need to ask yourself is if a Mac is right for your business, and many will say ‘yes’ because of overall stability and security, not having to deal with viruses and malware,” says Michael Gartenberg, vice president and research director at the New York-based Jupiter Research. As for the upgrade to Leopard, it’s a “no brainer,” says Gartenberg: “Basically, for $129 you’re getting a new Mac, which offers many enhancements and new features.” Gartenberg says he likes the simplified back-up utility called Time Machine, better e-mail, and the ability to run Boot Camp natively, giving users “best of both worlds.” Chen concedes Windows might not have much of an edge over Mac for much longer as the world moves to Web-based software applications. “Plus, I have seen Apple pick up ground lately” among small and mid-sized businesses, Chen says. He credits that “mostly due to the halo effect of their other consumer successes,” such as the iPod and iPhone. Regarding Leopard’s adoption, Gartenberg says so far it has been “well received” among its core Apple install base: “Put it this way, you’re not going to see businesses ask to be downgraded to an older operating system as we saw with Vista owners.”

Alternative Memory for Laptop Users

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Integrated flash memory has long been found in portable devices, be it cell phones, personal digital assistants, media players and USB thumb-drives. But you just might find flash storing all your programs and files in your next laptop. In fact, computer manufacturers including the likes of Dell, Sony, Fujitsu, Toshiba, and Samsung have already began shipping mobile PCs with up to 32-gigabytes of built-in NAND flash memory. NAND, one of two types of flash memory, refers to higher capacity storage and faster read/write speeds, over the other type of flash memory, the older NOR architecture. Unlike magnetic rotating hard-disk drives used in most laptops today, computers with “solid state drives” (SSDs) such as those with NAND flash memory, use less power and are faster, too. “Because of the lack of moving parts, ostensibly the benefits they offer are long battery life and they operate faster, too,” explains Michael Gartenberg, vice president and research director at Jupiter Research, a New York City-based technology advisory firm. “Think of solid state drives as the memory in your iPod nano, but with larger capacity, which is required to run your computer,” adds Gartenberg. Solid state more durable, quicker James Slattery, product marketing manager for the Flash Products Group at Intel Corporation, says solid state drives are also more resistant to damage. “In the mobile-client market, SSDs offer high durability with increased performance,” Slattery says. “That coupled with lower energy consumption makes this a very interesting proposition.” Other benefits of computers with SSDs as opposed to more traditional memory, such as hard disk drives (HDDs) include the following: faster boot-up times, quieter performance, and more light-weight computers.  With all of these advantages over hard disk drives, why aren’t we all using laptops with SSDs? The answer boils down to two “C” words: cost and capacity. Ultra mobile machines still more expensive SSD-based laptops and smaller “ultra-mobile” PCs (UMPCs) are still considerably more expensive than computers with comparable HDDs. While prices are dropping, price for SSDs are roughly $6 to $7 per gigabyte, compared to about $0.20 for traditional HDDs. “Solid state laptops might not be ideal yet for the small-to-midsized space, where companies are sensitive to price,” explains Gartenberg. “There’s also a trade-off with capacity, so most small businesses looking for the most bang for their buck are better off with traditional [hard disk] drives.” After all, many entry-level laptops today include 120GB of hard disk space, while SSDs — commercially — are currently maxed out at 32GB. (Santa Ana, Calif.-based SimpleTech has announced a 64GB SSD and a 256GB enterprise-level drive.) For business users who store large collections of music, photos, and/or videos on their computers, a 30-odd gigabyte drive is simply not enough space, Gartenberg adds. While these SSD machines are a little bit faster than HDDs, the speed difference is not significantly greater. In addition, says Gartenberg, “While they may be more energy efficient, it comes at a steep price.” Intel’s Slattery highlights another potential problem. “A con of SSD in this market is based on the inherent wear-out of the flash in excessive write environments.” Slattery believes SSDs and HDDs will exist together for some time as computer manufacturers wait for prices of SSDs to drop, capacity to improve and kinks to be worked out of the technology.

Mac vs. PC: A Renewed Debate

In 2006, Forester Research surveyed nearly a thousand IT decision makers at small-to-mid-sized businesses in North America and Europe, and asked what operating system was employed at the company. The results were as follows: Linux — 1 percent Mac OS X — 1 percent Windows XP — 71 percent Windows 2000 — 20 percent Windows “other” (primarily Windows 95, 98 and ME) — 7 percent. “This data is not surprising,” says Ben Gray, an analyst at Forrester. “These businesses see no major drivers to get off the Microsoft roadmap.” But there are signs that the landscape has changed over the past year. Windows Vista launched at the start of the year, touted as the most secure and feature-rich operating system Microsoft has ever released, but criticized by some because of cost, usability, and hardware requirements. And then there’s the upcoming Mac OS X Leopard, which is set to launch in October with more than 300 “innovations,” as Apple puts it. And, now, there are even Intel-based Macs that can also run Windows. “It’s interesting to see how these numbers will hold up a year later and we’ll be getting this data soon,” answers Gray. Still, he’d be surprised “if we saw a jump in Mac or Linux more than 1 percent.” And so we thought it a good time to chat with experts to see which operating system is best for you and your growing business. The cost equation On average, Windows-based machines cost less than Macs, but the gap is narrowing, says Michael Gartenberg, vice president and research director at Jupiter Research, a New York City-based technology advisory firm. “You’re not paying that much of a premium anymore, and pound-for-pound, the Apple hardware can offer better value,” says Gartenberg. “Obviously there are pros and cons for each choice, and your decision will also come down to what kind of business you’re running, if you need laptops or desktops, and what software you want to run on the machines.” While Windows machines are cheaper, it might cost your employees more time when it comes to configuration and support, says Carmi Levy, senior vice president of strategic consulting at AR Communications, a Toronto-based consulting firm. “One must factor in the costs associated with managing your PCs,” says Levy. “Mac machines are, on average, more reliable and stable, which means less problems and fewer calls to the help desk, which has long-term cost implications.” Vulnerability to viruses Compared to Windows-based machines, it’s no secret Macs are less vulnerable to viruses, malware, and other security and privacy threats — largely because they are less often targeted. “Part of this reason is because Macs are not as popular as Windows, therefore rogue writers of malicious software will more often target the most-used operating systems,” Levy says. But some users say that Macs are also more architecturally resistant to attacks. With the introduction of Windows Vista, Microsoft has added extra security measures to prevent users from falling victim to malware and other security threats. Does this new operating system change the game? “To a certain extent, yes, Windows Vista is less resistant to incursion than previous versions. It represents an improvement. But it’s still not everything Microsoft has laid it out to be as there have been attacks since it launched,” adds Levy. “Close, but no cigar.” Software selection There are far more third-party software programs available for Windows, likely because it’s the world’s dominant operating system, than for Mac operating systems. “If you buy a Mac you’ll have less choice. Period,” says Levy. “Instead of 10 choices [on a piece of software] you may only have one or two, which will likely result in higher costs because there’s less competition among developers and if you don’t like dealing with this company, they may be the only game in town,” he adds. Gartenberg, however, believes there is “more than enough Mac software these days” and quickly points out Mac users can run the Windows operating system now anyway, providing they have an Intel-based Mac and a program such as BootCamp or Parallels. “Now you can have best of both worlds,” Gartenberg says. “There is no longer a penalty for using a Mac today.” Other considerations While Levy says employees might save time with Macs because of less calls to call centers, he believes Windows, on the other hand, might be more familiar and intuitive than the Mac platform. “The majority of staff members already use Windows at home, so keep in mind there might be a significant training challenge on Macs — plus it might be more difficult to find IT staff that can support the Mac environment because there are fewer of them,” Levy points out. Gartenberg acknowledges that there are a few benefits to Microsoft’s platform. “You will find more selection with Windows-based PCs, such as those manufactured by Sony, Lenovo, HP, and Dell,” he says. “You will have more choice in laptop sizes and weight compared to the Mac,” he says, as Apple’s lightest notebook is about five pounds, compared to some Windows compatible machines that are now hovering right under three pounds. “And there are no Tablet PCs on the Mac, a form factor that is important so some businesses,” Gartenberg says.

Hand-Me-Down Hardware

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“Second-hand” is no longer only the purview of used clothing, furniture and book sellers. The market for hand-me-downs now includes PCs and servers for business use. Purchasing used or “pre-owned” hardware can reduce the total cost of owning sophisticated technology for sometimes cash-strapped small and mid-size businesses. At the same time, businesses can demonstrate social responsibility to potential customers and clients because buying used prevents computer equipment — which often contains hazardous materials — from ending up in landfills. Bolstered by the increased attention paid to removing data from old computers and other equipment and disposing of it in a pro-environmental way, there is a growing market for second-hand hardware. The assortment is vast — IBM AS/400s, IBM RS/6000s, HP9000s, Sun Microsystems, Cisco, Intel, networking and storage equipment, etc., can now be shipped overnight by a growing number of companies that act like a CDW for the hand-me-down market. Under warranty and speedy delivery Hardware seller Rick Tashman had a client who was moving into a new office and needed to dispose of several uninterruptible power supply (UPS) devices that did match the power requirements of the new facility. By coincidence, he had another client who was looking for the exact same equipment. Hooking up the two clients saved the buyer $13,000. Tashman, who is a business development manager for Syscom Technologies in Blue Bell, Penn. and trades in new and used equipment, ended up with two happy clients — and a commission to boot. Companies can save money and eliminate the new equipment learning curve by purchasing used, leftover or “bad box” equipment, some of which includes a warranty. Used equipment that has been refurbished by the manufacturer is often tested more extensively than new hardware to ensure that it won’t be returned, according to Tashman. Businesses that are hesitant to buy hardware that has previously been in service can still save by purchasing equipment that had packaging damaged during shipping or boxes opened but never used. Sometimes firms return sophisticated technologies because the projects they were intended for were cancelled. Sometimes businesses that were intent on buying new end up with pre-owned equipment because new products were not available, according to Tashman. Hardware that is out of stock can be had faster and cheaper through channels that sell pre-owned equipment. Retail computer chains are joining the ranks of hardware suppliers such as Ingram Micro and TechData that are satisfying the “ship today” demand with pre-owned hardware programs. “The driving force is speed of delivery,” Tashman says. Hardware at half price Recently-introduced hardware can be obtained for up to 50 percent off the retail price, while older products are discounted by up to 80 percent, according to James Davie, vice president at Canvas Systems, a Norcross, Ga.-based supplier of used and refurbished IT equipment. Small or mid-size companies often consider buying used because they don’t have access to the volume pricing and leverage that their larger competitors do, and they don’t want to overspend on technology. Davie says smaller companies “tend to use technology longer and can take advantage of the secondary market to lower their total cost of ownership.” In addition to the lower upfront cost, pre-owned equipment that replaces the same model of hardware can be integrated into an existing computing platform as is. That also eliminates additional spending on training and lost productivity that can occur when staff is required to learn new hardware, he says. Businesses that are unsure if new technology will work in their environments can rent pre-owned equipment for a month to make sure that it is compatible before buying. Davies says that saves companies from reselling almost-new hardware at a substantial loss. Companies looking to minimize the potential for lost productivity from hardware failure can buy inexpensive used spares to keep onsite so that they can immediately be put into service. Businesses can also customize their orders by purchasing used hardware, selecting components from the most suitable manufacturers instead of being tied to single source, according to Davie.       Companies that buy from used hardware vendors can also sell their old equipment and not feel guilty about the environmental impact of upgrading. Davie says his company will donate usable equipment that they can’t sell to non-profit groups. The firm also works with recyclers to take out reusable components to prevent the materials from going to landfills.

Hardware Goes Green

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The amount of energy used by data center servers, cooling equipment, and related infrastructure doubled in the United States and worldwide between 2000 and 2005, according to a new Stanford University study. The study credited a jump in the number of servers, driven by the insatiable demand for Web content — such as music downloads, Internet telephony and video-on-demand. Over the same time period, power costs grew by 132 percent, according to the report by engineering professor Jonathon G. Koomey. With electricity now representing up to 70 percent of the cost of operating a data center, small and mid-size businesses need to consider not just how fast — but how efficiently — their servers run. Hardware vendors who traditionally competed by claiming faster processors are now responding with new equipment that addresses the rising cost of operating data center equipment and growing concerns about climate change. In recent months, Dell, IBM, Hewlett-Packard and Sun Microsystems began marketing premium-priced servers that are more energy efficient but can save the added upfront cost in less than a year.  Overspending on electricity Cybertrails, a Phoenix-based technology consulting and data hosting company, was overspending on electricity by thousands of dollars per month because of inefficient power equipment in the company’s data center. The uninterruptible power supplies (UPS) that keep Cybertrails’ servers running and protected against grid failure had excess capacity and were operating at just 60 percent energy-efficiency, according to Chris Boucher, the company’s chief technology officer. As part of a continuing effort to reduce electricity costs, Boucher installed smaller, modular UPS hardware that helped to reduce the energy cost by more than 20 percent per kilowatt hour. Cybertrails switched from traditional floor-based cooling to more efficient in-row chillers that counter the heat by being placed close to the source. Another power-saving strategy that Boucher recommends is to reduce the number of computers needed by placing more load on existing equipment through server virtualization software. Big players help reduce energy consumption Many of the largest information technology companies are jointly studying how to reduce data center energy consumption in a project known as The Green Grid. The first duties for participants including IBM, AMD, Intel, Microsoft, Hewlett-Packard and Sun Microsystems is to agree on benchmarks that can be used to directly compare hardware energy requirements, according to Roger Kipley, a senior technologist at Hewlett-Packard and Green Grid director. Kipley says enabling businesses to compare the “performance per watt” of hardware before a purchase, will drive manufacturers’ behavior in addressing energy efficiency. Server vendors who are judged on their overall capabilities will then work with suppliers to improve the efficiency of individual components, such as processors, routers, and disc drives, according to Kipley. New software tools will be developed that enable information technology departments to tune the servers’ power consumption to match processing loads, Kipley says. Tom Braddish, an IBM fellow and Green Grid board member, says data center hardware will be optimized to provide processing power on an as-needed or just-in-time basis. Since hardware will have enhanced capability to switch to a lower power state when not needed, businesses will need to consider how quickly equipment returns to operation, or the “mean time to re-power,” Braddish says.  At the urging of the U.S. Congress, the Environmental Protection Agency is studying how to reduce data center energy use and will produce a report in June of this year that outlines suggested actions and incentives for businesses.

Waiting for the Next Wireless Standard

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The next-generation standard for wireless networking will have a great impact on small businesses, allowing more workers the freedom to work, collaborate, and be productive without being tethered to wires. That is the one thing about the much-ballyhooed standard, 802.11n, now under development, that is certain. But whether your business must wait to upgrade or can take advantage now depends most on how small your business is. The 802.11n standard — expected to replace the 802.11g standard in place since 2003 — promises to improve the range, speed, and security of wireless local area networks (WLANs), which are becoming increasingly common in the small business world. That means employees in an office will be able to wirelessly exchange data, access the Internet, or take advantage of cheaper phone calling over the Internet. This is because speeds will exceed what’s offered using wire-based Ethernet and up to four times as fast as current wireless standards. Many of the current problems with using wireless in an office are expected to be resolved with the new wireless standard, known alternately as just 11n or wireless-n. For one thing, wireless-n is expected to eliminate “dead spots” in the office. In addition, new security features can make businesses rest assured that their sensitive company data is safe and that hackers won’t imperil their systems. Really small companies don’t need to wait The long-awaited 802.11n standard has been caught up in the IEEE standards-making process and has already been delayed several times. Originally supposed to be in place by 2006, subsequent delays have come about in part because of wide-ranging interest in the standard. At this stage, final ratification is expected in early to mid-2008. That’s posed a dilemma for start-ups and other small businesses that are looking for WLAN products now. In anticipation of the new standard, “wireless-n-compatible” products already have been flooding the home-based business and small business market. Meanwhile, professional-grade product makers have opted to push their releases back as long as possible to include any last-minute changes in their wares.   What’s a small business to do? Small businesses with under 100 employees wanting to upgrade may as well make the jump now, advises Rodney Hall, president of Rodney B. Hall & Associates, a value-added reseller based in Cheltenham, Pa.  “We’re putting in [small business-grade] wireless-n compatible Linksys routers for people already,” notes Hall, an engineer.  “Businesses this size just don’t have the amount of traffic going across the router that will cause them any problem.” Hall says he’s confident in the Cisco-owned Linksys product, noting that Linksys will make any final changes required by the standard available in downloadable form to its customers. But businesses any bigger should wait for stronger wireless-n products to be released before upgrading, Hall says. “The [wireless-n compatible] routers out there aren’t designed to handle too much traffic,” he notes. “If you try it now, your router may not hold up.” Chris Silva, an analyst with Cambridge, Mass.-based Forrester Research, advises that, overall, “those small and medium-sized businesses that don’t have Wi-Fi now would be wise to wait for the new standard. If they do, they will essentially be future-proofed for the next 5-7 years.” Silva recommends that those with an interest in upgrading to 802.11n conduct an audit of their WLAN — figure out if they need more bandwidth, and what additional devices they might need, such as hand-helds and laptops. With this information at the ready, they will be prepared to refresh their Wi-Fi when the new standard comes. The future wireless office The 802.11n standard will increase Wi-Fi range to as much as two city blocks, beyond the 300-foot range provided by the current standard, 802.11g. The new standard is expected to improve patchiness in existing WLAN range, such as in building stairways and elevators, where Wi-Fi often doesn’t operate. But perhaps most importantly, it will more than quadruple Wi-Fi voice and data transmission speeds, providing speeds of about 270 megabits/second (Mbps). At present, speeds allowed under the previous three IEEE standards (802.11a, b, and g) range from 2 Mbps to 54Mbps. The new standard will be the first that can truly support multimedia transmission, a fact that has the PC, consumer-electronics and cellphone industries keenly involved in the standard’s development. An IEEE working group approved a draft 2.0 standard March 12, a sign that deliberations are nearly complete. A final draft, however, is not expected until early to mid-2008. Nonetheless, hardware companies have broken ranks on how best to prepare for  802.11n, with those serving the consumer/small business market already offering products. Intel’s Centrino semiconductor-chip line is billed as “Next-Gen Wireless N” compatible, and laptops including it are already for sale. Any changes to the standard could be uploaded onto Centrino through software, Intel’s website explains. Likewise, Linksys’s home/small business market router has been available for over a year. In addition to higher speed and reliability, the router offers numerous new security features, according to Linksys spokesman Trevor Bratton. But many providers of business-class routers and access points are waiting to offer new products until late 2007 so that their products require few if any changes. Companies such as Cisco, Aruba Networks and Nortel Networks “are currently limited to hardware based on ratified 802.11 standards,” according to a November 2006 Forrester Research report.   The new standard also seems to be triggering new levels of customer service. In an effort to reach out and educate its clients, access point-manufacturer Xirrus Inc. has created a “802.11n resource center” on its website that includes print-ready posters explaining the new standard and its predecessors. In the end, it appears that the very smallest companies — and home users — will have the jump on enjoying the benefits of wireless-n. But for the rest, there’s assurance in knowing that 802.11n will be worth the wait.

Can You Run Your Business with Just a Laptop?

As with many toy importers, New York City-based William Rothman uses a computer to run his business. But instead of managing orders and communicating with overseas manufacturers via a desktop computer in his Manhattan office, Rothman relies on a single laptop PC for all of his computing needs. “I used to have a desktop computer for the office and a laptop to use while traveling, but I found I rarely touched my office PC — even when I was near it,” concedes Rothman. “Because I bring my laptop with me wherever I need to work — on a plane, at home or at the office — it’s really all I need.” Similar to the decline of landline telephones, the business world is rethinking its dependence on the desktop computer. As many entrepreneurs have switched their business telephone service to cellular phones or Voice over Internet Protocol, they’ve also switched their computing needs to the laptop, the BlackBerry and their Internet-enhanced mobile phones. But is it a good idea? Aside from its mobility, many entrepreneurs today are likely investing in a laptop for two key reasons: there’s little sacrifice in power and the difference in price between a laptop and desktop is becoming marginal. In fact, Dell offers a laptop with an Intel dual-core processor (Inspiron E1505) and a desktop with Intel dual-core (Dimension E510), both at $649 apiece. As well, most laptops are also equipped with Wi-Fi connectivity, so you can surf the Net wirelessly at high-speeds when in a hotspot. Many business owners on the go are also investing in a snap-in WAN card to log online anywhere there’s a cell phone connection, instead of hunting for a hotspot. “Whether you should run your business on a laptop or desktop is a bit of a non sequitur because a computer is a computer,” says Michel Gartenberg, Research Director of Client Access and Technologies at JupiterMedia, a Darien, Conn.-based technology research firm. “It might have mattered a few years ago when there was a vast performance and price difference, but not today.” A few caveats Using a laptop computer to manage your company may seem like a smart idea, but you should take a few precautions to make sure you’re not putting yourself or your company at risk: Be sure to have a proper backup of all your important company files. Needless to say, if something happens to your laptop computer — whether it’s stolen, dropped, or accidentally left in a cab or café — you need to ensure you can continue running the business smoothly. On that note, it’s not a bad idea to keep an inexpensive USB memory drive with you to manually backup your information when working (every few hours or so). Protect your work via encryption and other tools. What if someone got a hold of your sensitive company information? Increasingly, laptops are targeted for theft. It’s a good idea to protect your work via software-based passwords and encryption as well as hardware tools such as biometrics security, physically locking your laptop to a desk, or signing up with a subscription security service to track your computer when it’s connected to the Internet. Engrave your name on the laptop. A personalized laptop may make it less appealing to a thief who will likely want to resell the PC. You can also insure your laptop, but it might not be worth the deductible as laptops have dropped in price considerably. A laptop may not be the best way to run your business as it expands, however. “When your company grows, you’ll probably not want to run your entire company on one computer — a desktop or laptop — as you begin to introduce servers,” adds Gartenberg. Online storage and automated backup utilities are also a good idea. Finally, a laptop may not be as comfortable or as ergonomically sound as a desktop computer. Therefore, you might want to consider a docking station for the laptop when you’re in the office for a bigger screen (easier on the eyes) and/or external mice and keyboards (which are easier on the hands and wrists).