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The cost of IT: A meander down memory lane and a peek at what’s on the horizon

The cost of IT: A meander down memory lane and a peek at what’s on the horizon. Dept of the Senate. 5 IT staff (including 2 dedicated to web publishing) servicing approx. 500 users Cost of the IT Section over last 3 financial years: 2003-04 $439k 2004-05 $442k 2005-06 $405k.

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The cost of IT: A meander down memory lane and a peek at what’s on the horizon

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  1. The cost of IT:A meander down memory lane and a peek at what’s on the horizon

  2. Dept of the Senate • 5 IT staff (including 2 dedicated to web publishing) servicing approx. 500 users • Cost of the IT Section over last 3 financial years: • 2003-04 $439k • 2004-05 $442k • 2005-06 $405k

  3. Long, long ago….in 1957 • SAGE AN/FSQ-7 - used 55,000 vacuum tubes, about ½ acre(2,000 m²) of floor space, weighed 275 tons, at a cost of $10m • $121m in today's dollars • 0.024 MIPS

  4. …in 1977 • IBM 370/168-3 mainframe, 6 MB of memory, 32KB of RAM, 12.5MHz, cost of $4m • $16.5m in today's dollars • 1.52 MIPS

  5. …in 1987 • HP 3000 Series 950, 32 MB RAM, 13.7 MHz, 6.6 MIPS, cost of $390,000 ($780,000 in today's dollars) • Digital DEC VAX 8530 supermini, 32 MB $445,000 ($890,000 in today's dollars) • Dell PC 386-16, 1 MB, 16 MHz, $5,800 ($10,500 in today's dollars),

  6. …in 1997 • SUN Ultra 450-300 x4, workgroup server, 300 MHz, $50,000 ($62,000 in today's dollars); 2,219 MIPS • Dell Dimension XPS D266, 266 MHz, $2,500 ($3,100 in today's dollars)354 MIPS

  7. What can we expect in 2007? • PCs of $900 (and falling rapidly) • 3.2 GHz dual processors, 1024 MB RAM, 80+ GB hard disk memory • 5,000+ MIPS • RW DVD standard • Myriad of portable storage devices and remote communications options

  8. Back of the envelope calcs • 500 PCs in 2007 will cost $450,000 • in 1997 PCs of vastly inferior quality cost the department $1.55m in today’s dollars • the decrease in annual depreciation expense is around $350,000 per annum

  9. Where is your share of the IT savings going?Back into improved services and infrastructure or somewhere else?

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