The Irish government is giving businesses a tax incentive to buy energy-efficient virtualisation technology.
Irish businesses purchasing VMware software along with eligible enterprise storage and server hardware will be able to write off the entire cost of the purchase against taxable income in year one, as part of the Accelerated Capital Allowance (ACA), an expanded tax incentive introduced by the Irish Government to encourage companies to invest in energy-efficient equipment.
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VMware said that virtualisation and consolidation enables companies to reduce their energy costs and consumption by up to 80% and drive up the utilisation of hardware resources from between 5% and 15% to as much as 85%.
Industry analyst Gartner estimates that removing a typical two-socket x86 server from the datacentre will save an end-user organisation around $410 in power and cooling costs yearly.
"Despite the financial challenges facing many Irish organisations we want to make sure they are not forced to compromise their environmental credentials to minimise overheads," said Brian Motherway, head of industry, Sustainable Energy Ireland (SEI).
"Information and communications technology is one area where businesses can potentially cut their carbon footprints significantly, with virtualisation playing a key role in green IT strategies," he said. "The latest expansion of the ACA scheme to include energy-efficient server and storage hardware, along with virtualisation software, will help remove some of the financial barriers to energy-efficient IT."