The principal keynote speaker at the Sydney Cloud & Datacenter Convention this September,
Nabeel Mahmood, is a global CXO, technology executive and board director. He is also the co-
founder and CEO of Nomad Future Foundation, an organisation which among many other things,
addresses the answers to the question “What’s next for technology?”
W.Media sat down with Nabeel to discuss where the data centre industry is heading over the next
decade and beyond, and what the key pivotal moments might look like. He also weighs in on the
profound future implications of decisions being made today in the industry.
W.Media: The world is currently seeing one data centre come online every three days. Can the world cope with the energy and water demands to stoke this growth?
Nabeel: The pace at which data centres are coming online is indeed remarkable, and it raises
significant concerns about energy and water consumption. The data centre sector is aware of
these challenges, and we are actively seeking sustainable solutions to address them.
Credit ratings agency Moody’s estimates of 5,300 MW of new power supply needed across APAC
is daunting. However, with the ongoing advancements in renewables and energy efficiency, I
believe we can meet this demand. Collaboration between the private sector, governments, and
environmental organisations will be crucial in ensuring that the growth of data centres does not
come at the expense of our planet’s resources.
Many data centres are being powered by solar, wind, and hydroelectric, which helps mitigate the
environmental impact. Innovations in cooling technology, such as liquid cooling and closed-loop
systems, are being developed to minimise water use. Companies are also investing in energy-
efficient technologies and practices, such as advanced cooling systems and AI-driven energy
management, to reduce overall consumption.
Ultimately, the key is innovation and a commitment to sustainability. By leveraging cutting-edge
technology and embracing sustainable practices, the data centre industry can continue to grow
while minimising its environmental footprint.
W.Media: What sort of innovation do you see changing the game here?
Nabeel: The landscape of data centres and AI will continue to transform. The trend of continually
increasing the parameters of large language models (LLMs) is becoming less efficient in terms of
performance gains versus resource consumption. This has led to a burgeoning interest in smaller,
more specialised LLMs that can operate efficiently on edge devices or even on consumer-grade
hardware.
Several key innovations are poised to drive this shift. The first is edge computing. By moving
processing power closer to the data source, edge computing reduces latency and bandwidth
usage, while also distributing the computational load. This not only improves the efficiency of AI
applications but also alleviates some of the demands on centralised data centres.
The second is model optimisation. Techniques like model pruning, quantisation, and knowledge
distillation are becoming increasingly sophisticated, allowing for the development of smaller, more
efficient LLMs that maintain high levels of performance. These optimised models consume less
power and can be deployed more widely across various devices. The third is advancements in hardware. The development of specialised AI accelerators, such as GPUs and TPUs, designed for low-power, high-efficiency performance, is another critical factor. These advancements enable more efficient processing of AI workloads both in data centres and on edge devices.
Finally there is federated learning. This approach involves training AI models across decentralised
devices while keeping data localised. It reduces the need for massive data transfers to central data
centres, thereby conserving bandwidth and energy.
As these innovations take hold, the role of data centres will undoubtedly evolve. We may see a
shift towards a more distributed computing model where data centres serve as hubs for
coordinating and managing the distributed AI workloads rather than being the primary sites for all
processing. This would lead to a more balanced and efficient use of resources, with data centres
handling the heaviest and most complex tasks while lighter, optimised models perform local
processing closer to the end-user.
Moreover, data centres themselves will continue to innovate in terms of energy efficiency and
sustainability. The integration of renewable energy sources, advanced cooling techniques, and AI-
driven infrastructure management will be crucial in supporting the growing demands of both
traditional and edge computing.
W.Media: Power system dynamics vary widely across APAC and are likely to be a driver of data centre location. How do you think this may develop?
Nabeel: The development of power system dynamics across APAC will be driven by a combination
of technological innovation, strategic location choices, partnerships, and supportive policies. Data
centre operators will need to be agile and forward-thinking in their approach to energy management, ensuring they can leverage a mix of renewable and dispatchable resources to meet their power needs reliably and sustainably. As these dynamics evolve, we will see a more resilient and efficient energy landscape that can support the rapid growth of data centres in the region.
W.Media: How much does human-induced climate change complicate how the industry may cope?
Nabeel: Human-induced climate change presents significant complications for the data centre
industry, but it also drives innovation and progress towards more sustainable and resilient
operations. By embracing sustainability, investing in advanced technologies, and collaborating with
stakeholders, the industry can navigate these challenges and continue to thrive in a changing
climate.
W.Media: Are renewables going to be enough to power the industry?
Nabeel: While renewables are a critical component of the solution to meet the growing energy
demands of data centres, a multifaceted approach is necessary. This should include energy
storage, hybrid power systems, grid modernisation, efficiency improvements, decentralised
generation, and strong policy support. By leveraging a combination of the following we will be able
to address the substantial energy demands sustainably and reliably.
W.Media: How can AI be effectively integrated into current data centre operations to enhance efficiency?
Nabeel: The integration of AI into data centre management can be seen across several key areas,
such as energy optimisation, predictive maintenance, and resource allocation. As an example, AI
can be used to optimise energy consumption within data centres by dynamically adjusting cooling
systems, managing power distribution, and predicting energy demand. One prominent example is
Google, which has implemented DeepMind’s AI to manage its data centre cooling. Google reported
a 40% reduction in the energy needed for cooling and a 15% improvement in overall energy
efficiency.
Another example is predictive maintenance. It can help data centres anticipate equipment failures
before they occur, reducing downtime and maintenance costs. This is achieved by analysing data
from sensors and logs to detect anomalies and predict potential issues. IBM implemented Watson’s AI capabilities in its own data centres to enhance maintenance protocols. Watson analyses data from various sensors, including temperature, vibration, and power usage, to predict when equipment might fail. IBM achieved a significant reduction in unplanned outages and maintenance costs by shifting from reactive to predictive maintenance.
W.Media: What are the key benefits of predictive maintenance in terms of cost savings and reliability improvements?
Nabeel: Predictive maintenance offers significant advantages for data centre operations,
particularly in terms of cost savings and reliability improvements. By leveraging machine learning
(ML) algorithms, predictive maintenance can transform how data centres manage their equipment
and infrastructure. I can readily give you a list of where ML algorithms are achieving these goals:
reduced downtime, proactive issue detection; and optimised maintenance scheduling. They also
help cost savings through avoidance of catastrophic failures; extended equipment lifespan and the
more efficient use of resources.
From a management perspective ML also impacts reliability, chances system performance,
delivers more consistent operations and gives data centre operators data-driven insights plus trend
analysis which in turn delivers informed decision-making.
W.Media: How should companies prioritise their investments in expanding existing facilities versus building new data centres?
Nabeel: Prioritising investments in expanding existing facilities versus building new data centres
requires a holistic approach that considers current capacity, future demand, cost implications,
location advantages, regulatory compliance and alignment with strategic goals. By carefully
analysing these factors, companies can make informed decisions that optimise their data centre
investments for long-term success.
W.Media: What are the best practices for ensuring new data centres are built with future technological advancements in mind?
Nabeel: Ensuring that new data centres are built with future technological advancements in mind requires a comprehensive approach that prioritises modularity, scalability, energy efficiency, advanced cooling, renewable energy, future-proof networking, robust security, and flexible IT infrastructure.
By adopting these best practices, companies can create data centres that are not only capable of
meeting current demands but are also prepared to adapt to and support future innovations.
W.Media: What are the key benefits of local and international partnerships in enhancing data centre capabilities?
Nabeel: Local and international partnerships can significantly enhance data centre capabilities.
Local gives you regulatory compliance, cost efficiency, faster response times, market insights and
community Relations. International partnerships deliver global reach, advanced technology,
scalability, knowledge sharing and risk mitigation. Combining both local and international
partnerships can provide a comprehensive approach, leveraging local expertise and global
resources to optimise data centre performance and growth.
W.Media: How can data centre operators balance the need for rapid expansion with the
requirement for operational efficiency?
Nabeel: Data centre operators face a critical challenge in balancing the need for rapid expansion
with maintaining operational efficiency. Here are a few strategies to achieve this balance. Firstly,
implementing modular and scalable infrastructure allows for incremental expansion. This approach
helps avoid over-investing in capacity that might not be immediately needed and ensures that
resources are utilised efficiently.
Leveraging automation tools can significantly enhance operational efficiency. Automation in
monitoring, cooling, and energy management helps reduce manual intervention and minimises
errors, leading to more efficient operations even as the data centre grows. Another area we’ve
already touched on is energy efficiency. Incorporating energy-efficient technologies and practices is
crucial. Innovations such as advanced cooling systems and renewable energy sources not only
help in reducing operational costs but also align with sustainability goals, making expansion efforts
more sustainable in the long term.
Careful planning and forecasting are essential. By analysing current and future needs, operators
can design data centers that are both expandable and efficient. This involves considering factors
like anticipated load, cooling requirements, and space utilisation. At the same time, working with
vendors and partners who understand the dynamics of rapid expansion can provide valuable
insights and solutions. Integrated solutions that align with the operational goals of the data centre
can streamline expansion efforts while maintaining efficiency.
Nabeel Mahmood will deliver the Principal Keynote: Our Evolution Through the Lens of 2050 at
W.Media’s Sydney Cloud and Datacenter Convention 2024 at the Sydney International Convention
Centre on 12 September 2024. As Sydney maintains its status as a leading cloud and datacenter
hub in the Asia Pacific, our event will spotlight the latest advancements in digital infrastructure and
their impact on IT, business, and society.
Building on the success of the 2023 convention which welcomed over 700 attendees, the 2024 edition will feature thought leaders, industry experts, and dynamic speakers who will share insights, case
studies, and engage in lively debates. Attendees can look forward to keynote presentations, panel
discussions, tech demonstrations, and ample networking opportunities. Join us for a day of
innovation, learning, and connection in the heart of Sydney. Please visit:
https://clouddatacenter.events/events/sydney-cloud-datacenter-convention-2024/
[Author: Simon Dux]