Google's fiber leeching caper
dodgycoder.net
dodgycoder.net
What the Article fails to explain, is that there is both a port cost, and a minimum commit. For much less than what it would have cost them for the port, and minimum commit on a 1 Gig connection, they could have simply mailed their data via USPS and had it there in three days.
Also, if we do the math - and presume that they only ran 1 gigabit for 5% of the time - 1 gigabit/second at 36 hours (5% of a month) in terabytes = 16 Terabytes - which barely makes it into the "10s of terabytes" category, and well within the "Just mail an AIT-3 tape. [Edit - cheaper yet, just load up the hard drives that you are going to install anyways in your destination]
Edit 2:
Doh - http://www.mkomo.com/cost-per-gigabyte shows that the largest hard drives back then were 20 Gigabytes. We're talking a minimum of 1000 hard drives for "10s" of Terabytes.
Maybe that 1 GigCircuit Hack wasn't such a bad idea after all.
Presumably their minimum commit was a lot lower than $240k, because otherwise they wouldn't have shrunk from just using the connection. They probably saved a lot of money by doing it their way.
[1] http://www.mkomo.com/cost-per-gigabyte
* I wasn't around then so I don't actually know.
* * It also depends what part of the year they needed to do the transfer. By [1], costs had dropped to $8/GB by the end of the year.
Hard drives cost $12/GB. Tapes/optical media maybe $1/GB. Maybe I'm missing something but it seems like they would be fine for this.
I have to think someone ran the numbers. It's not like the folks in 2000-google were dummies.
10s of terabytes at a minimum 1000 drives. I'm beginning to question how "simple" an operation this might have been after all....
I'd guess you'd transfer it to the same thing that was accepting the data when it was coming over the 1Gbps link?
Even if you didn't consider cross-country-shipped drives to be data-center reliable (e.g.: the transfer media weren't re-used in the datacenter), you could simply cycle through drives. If your goal was 1 month to transfer 20 GB, you utilized overnight shipping, and required a day to load/unload data from drives at either end, that's 200 drives in flight, 50 of which are outbound, 50 returning, 50 writing, and 50 reading, on any given day.
You even get to take weekends off.
It's $48,000 in media. Plus shipping (not inconsiderable). You'd save on the cost of dedicated data transfer equipment (datacenter, router, links), though you'd need infrastructure for reading/writing data, and of course, storage at the remote side if you're not simply shipping disks for installation (which, frankly, is probably your best bet).
Resync should be fairly reasonably accomplished over the wire.
You can vary the math by taking longer (fewer drives, less cost) or shorter (more drives, higher cost), or even by utilizing ground shipping (7 days) at far lower cost.
Edit: I'm not implying that USPS is necessarily unreliable, I'm curious to hear if this is common practice.
[edit] Also - they obviously had to buy hard drives for the destination, right? Presumably, early stage google was all about the open-chassis on plywood slam drives in approach, and wouldn't have been averse to loading up 30 or 40 drives, mailing them out, and simply diffing and resyncing as needed if 1 or 2 drives had issues, which would have been unlikely.
Also, presuming you needed to have one of your people go to the remote data center, there is always the old, move the datacenter with hard drives in my luggage trick. Even in 2000 you could put a lot of data into carry-on.
http://www.nytimes.com/2012/09/24/technology/data-centers-in...
Threatened to waste $70,000 of electricity to circumvent a $210,000 contract penalty (for not buying enough electricity), and thus negotiated their way out of it.
(Note this is MSFT not GOOG, so be sure to interpret this as an act of disreputable evil and not a clever funny hack).
Google exploiting good faith rules to shirk payment? Funny.
Microsoft blowing $70K in power to meet a contract? Also Funny.
That way loopholes like this wouldn't have existed.
The way this works is that the provider offers a cheaper rate to ensure constant energy output, since the power plants can't be easily and cheaply scaled back.
As an example, Ontario paid millions[1] to get others to use their surplus energy; MS' provider could have been forced to do the same, hence the penalty.
[1]: http://www.thestar.com/business/2011/08/29/ontario_pays_othe...
Keep in mind that utilities are heavily regulated and can't typically touch their rates at all without regulatory approval. In many jurisdictions, there is an "obligation to connect" for residences - the utility /must/ provide power, at a certain rate, to any residence in their area of operation. They aren't allowed to directly recover the cost of infrastructure upgrades (e.g. new distribution transformer when somebody builds an expansion to their house) directly from that customer (up to a point - if you're building a mansion that uses 10x as much power as everyone else, they'll come after you), only from the ratebase as a whole. Otherwise, people who live in rural areas wouldn't be able to afford electricity.
No such obligation exists for businesses which are typically the largest loads anyhow. If you build a new 50 MW datacenter on my distribution system, now all of a sudden I need to put in 5km x 3 phases x 5 feeders of new conductor, 2 new station transformers, plus civil infrastructure, etc. It could even be special equipment I wouldn't otherwise have on my system - like DC equipment. All of that is additional to what I have to pay the generator for that 50 MW of power on a continuous basis. So, I calculate the payback period on 50 MW of power I'm going to sell you at a 5% margin, and if it's longer than the lifespan of the equipment I'm going to buy I make you pay up front to bring it down to say, 25 years. But that only works if you actually buy 50 MW of power from me for 25 years, so if you don't I charge you a penalty equivalent to the amortized cost of that infrastructure that now sits idle.
Hope this helps explain the economics of it from a distribution point of view. I am a power engineer.
Utilities sign contracts with big industrial users who have steady-state energy demands to ensure that they have a place to send lots of power to. They also have contracts that when peak demand is reached, the industrial customers shut down lines in exchange for discounts. (I worked at a place that financed a DR datacenter largely by committing to failing over 50% of our energy workload to another region during a peak demand emergency.)
I'm not doing the topic justice, but there's alot of behind the scenes stuff there -- I'm sure it wasn't just a contract dispute.
> At the end of the month, the top 5% of usage information was discarded, to eliminate spikes, which were assumed to be measurement errors.
Not actually true. The bandwidth measurements don't have accuracy problems; providers use 95th percentile billing to make connections "burstable", allowing servers to handle an small unexpected traffic spike without a huge bill. And on the flip side, many sites have a traffic pattern of highs during a subset of the day (customers' waking hours or business hours or non-business hours, depending on the site) and lows outside that period (sleeping, etc), for which 95th percentile billing produces a higher bill than just charging for bytes transferred.
https://en.wikipedia.org/wiki/Burstable_billing
Very few customers have the kind of traffic pattern that would allow for using bandwidth during only 5% of the month. And in this particular case, Google could just as easily have saturated a 50Mbps line rather than using 5% of a gigabit line, which would have massively reduced (though not completely eliminated) the bill.
I can't picture the world where this would not be considered "evil".
Whether it was unethical depends on whether anyone suffered negative consequences and whether Google knew, or could foresee that. For all we know the bandwidth was available, couldn't be sold to anyone else for lack of customers and would simply have gone unutilized if Google hadn't used it.
Why would that be funny? A lot of ethics is about not destroying someone else's value. Value is measured in money.
Take healthcare. You would not put a price on your own life: it is priceless to you. Nevertheless we put prices on other people's lives, because it is the easy way out, is accepted by almost everyone and allows us to avoid having to answer nasty questions. No one wants to honestly say someone unknown is worth nothing to them to keep alive. So you say you will only support health care up to $10K a year, because you know the chance a loved one will ever need more is extremely small. You talk abstract numbers to prevent from having to admit to yourself that you just don't give a damn. That wouldn't fit in with our ethics, would it?
Extremely good analogy. Thanks.
A lot of people equate money with value directly. Only half true...
In the US, we've got ten million unemployed and tens of millions underemployed even when we're not in the middle of the Great Recession. With the proper application of economics, we could easily train tens of millions of more healthcare professionals (note: it doesn't matter if the unemployed are qualified; you can train the qualified-but-otherwise-employed and let everyone else shuffle to fill in the gaps. Hermit crab principle.) and end up with a large enough surplus to treat everyone as to their need.
As employment strategies go, it beats paying people to dig holes and then fill them in.
(2) Handicapping yourself is the whole idea behind ethics and morality. Sometimes it's more important to do the right thing than the selfish thing.
Attitudes like yours are so disheartening to read. I totally disagree with your sentiment.
And no, I don't think Foxconn is bad for replacing workers with robots. Why would I?
If you deal with a Datacenter that is just providing you with a Cage + Power + Cooling + Physical Security, you are almost always going to pay for transit @95th percentile.
If you ask for a single server you generally get a monthly allowance. For example, one of our servers sits gets 5TB a month on a 100Mbit port. Saturating that 100Mbit port would give me 30TB (and a large overuse bill!).
But if you ask for colo rackspace (1/4,1/2 or full 42U cabinets) then you generally get to choose what drops you get (and what speed), what connectivity and what the 95th percentile billing rate is.
Here's a random example (i've no connection with any person or company in this thread):-
http://www.webhostchat.co.uk/request-products-services/26778...
OTOH, this was in the colo/bandwidth/fiber nuclear winter of 2001-2004, so maybe some vendors were happy to have some revenue, but there were cases where the Google stuff was at negative overall margin on variable costs (i.e. the vendor would have been better off shutting down the power plant vs. selling to Google).
Do we have an ethical duty to make sure our counter-parties are always making sustainable offers?
Unsurprisingly, there was way more data flowing out of the facility than there was flowing in, so I talked him into a substantial discount on inbound traffic. "Hey, nothing else is using that half of the duplex..."
It was on page 187-188 of Steven Levy's book "In the Plex" and the two people he's quoting are Urs Hölzle and Jim Reese, who were both involved in Google's infrastructure.
How is this any cheaper than copying the HDs, shipping to the Northeast and installing the HDs into waiting servers there?
I think the key issues here would be was moving the data at all time sensitive (is a two month latency not a problem), and, did they really have a "free" 1 GigPort they could sneak under the 5% window with? If it really was free (or very, very cheap) - then maybe it would have been worth it.
Surely there'd some sort of rental cost for the line in addition to the bandwidth cost (or perhaps a minimum spend commitment)? Wouldn't it have been cheaper, simpler and possibly quicker just to get a smaller line and saturate that?
Has anyone read the book? Does the author provide a credible source?
Smells like urban legend.
CDNs don't optimize solely for performance. They optimize for a balance of performance and cost. That means saturating a given 95/5 link for 5% of the month, and then mapping the traffic away right before it starts to get expensive.
"don't be evil" (except for 3000 exceptions)
Meanwhile their hosting company was making a trillion in profit /s.
Google plays fast and loose with ethics and definitions, from (shall we call it) penalizing competitors and then releasing a clone to working with Visa and MasterCard ala Wikileaks to cut off the money http://www.gizmodo.co.uk/2013/02/google-wants-to-stave-pirac... to sites with "piracy sites." Their PR hasn't worked on me for a few years and there's even a boomerang thanks to it.