Press Release: March 12, 2009

Tesco Cuts Datacenter Costs with Citrix XenServer and HP BladeSystem Servers

Citrix and HP Infrastructure Virtualizes 1,500 Servers to Handle Four Times as Many Sales Per Second, Boosting Business Efficiency
CHALFONT, UK, March 12, 2009

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Tesco (LSE: TSCO), Britain’s leading supermarket chain, has announced pioneering updates to its mission-critical Real Time Sales (RTS) systems, virtualizing key business applications with Citrix® XenServer™ running on HP ProLiant BL680c G5 blade servers. With infrastructure from Citrix (NASDAQ:CTXS) and HP (NYSE:HPQ) in place, Tesco has increased its RTS capacity by 75 percent, handling 1,500 sales-related messages per second – catering to the critical nature of the RTS systems and creating room for growth. This is a major milestone in Tesco’s plans to virtualize its entire server infrastructure.

Tesco began investigating virtualization as an alternative to adding more physical servers to handle its growing capacity demands as well as fulfilling its community commitment to reduce carbon emission levels. While adding physical servers would require an increase in power and cooling, virtualization has better equipped Tesco to hit its target of reducing carbon emissions from its UK datacenters by 20 percent.

“After conducting a major evaluation of virtualization providers, we went with Citrix based on the strength of the Xen® technology, the ability XenServer has to provide high levels of performance for heavy duty 64-bit applications, its licensing model and its UK-based engineering team – decisions that have already paid off for us,” said Nick Folkes, IT director at Tesco. “The virtualized RTS environment uses less than half of the energy of the physical bare metal equivalents, which supports our CO2 targets and means we have already saved a significant amount on our electricity bills. We’re running far more efficiently and the ongoing management of the environment is much simpler. While our primary goal in working with Citrix and HP was to create a more flexible IT infrastructure, the consolidation benefits are significant.”

After the success of the initial project to virtualize RTS, Tesco has continued to deploy XenServer for its major server consolidation project. Citrix is working closely with Tesco to virtualize 1,500 physical servers on XenServer, including 80 Citrix® XenApp™ servers. This is already bringing greater efficiencies to the way applications are delivered to each Tesco store. Tesco is aiming for a conservative 10:1 consolidation ratio for physical to virtual servers and is hitting 70 percent CPU utilization on the servers, versus the previous six percent. From an operational perspective, Tesco has been able to utilize the XenMotion™ live migration feature of XenServer to migrate virtual machines to other physical hardware, with zero downtime, allowing patches and updates without disrupting users. Subsequently, Tesco has been able to remove its clustering back-up technologies and replace them with virtual servers. And, since XenMotion does not tie the resilience to a particular platform, Tesco has reduced its back-up server to live server ratio from 1:2 to 1:6.

XenServer is running on 64-bit HP ProLiant BL680C G5 blade servers with HP StorageWorks XP24000 SANs for enterprise-wide storage. HP’s four-socket, four-core machines for blade servers were a clear differentiator for Tesco at the time of purchase. Resilience through the solution ensures there is no single point of failure, which is essential for a business-critical application like RTS. And because Citrix licenses for advanced virtualization management capabilities are charged per server instead of per socket, Tesco is not penalized for using larger blade servers.

“RTS is a mission-critical system for Tesco with very high throughput of transactions based on Microsoft® IIS, BizTalk and SQL, so it requires the highest standards in processing power,” said John Glendenning, vice president, OEM sales, at Citrix. “Virtualization is key to providing a cost-effective, efficient and future-proof datacenter, and XenServer has been key to helping Tesco achieve its ambitions for a virtualized environment that supports mission-critical systems. The Citrix Delivery Center approach has enabled Tesco to create a customized virtualization strategy, using XenServer and HP for integrated server virtualization and XenApp and XenServer for the most efficient delivery of applications to stores across the country. The strategy is helping Tesco achieve its operational objectives – ultimately, it helps Tesco provide a better service to its customers.”

“Tesco can achieve immediate cost savings and long-term business growth goals by virtualizing their key business applications with HP BladeSystem Servers running Citrix XenServer,” said Jim Ganthier, vice president, Marketing, ESS Infrastructure Software and BladeSystem, HP. “The combination of HP BladeSystems and Citrix technology helps companies like Tesco strategically spend and carefully prioritize their technology investments – a critical task in the current economy.”

The Citrix solution dynamically provisions both virtual and physical servers, resulting in increased IT responsiveness and agility by enabling capacity on-demand, and the ability to dynamically manage provisioning for disaster recovery and business continuity. In addition, XenServer is optimized for XenApp, providing customers with enhanced scalability and faster performance for Windows application delivery running in a virtualized environment.

Citrix and HP have been collaborating since March 2008 to help customers deploy and manage virtualized environments faster and more easily than ever before.

About XenServer

Now in production in more than 5,000 enterprise datacenters worldwide, XenServer is a key component of the Citrix Delivery Center™ product family, a comprehensive datacenter-to-desktop system that helps customers transform static datacenters into dynamic “delivery centers.” On February 23, 2009, Citrix unveiled a groundbreaking new version of XenServer, making enterprise-class, cloud-proven virtualization free of charge to any user for unlimited production deployment. The new free Citrix XenServer release will be available for download from the Citrix website and other portals by the end of March 2009. A free trial version can be downloaded today at http://www.citrix.com/freexenserver.

About Citrix Systems, Inc.

Citrix Systems, Inc. is the global leader and the most trusted name in Application Delivery Infrastructure. More than 215,000 organizations worldwide rely on Citrix to deliver any application to users anywhere with the best performance, highest security and lowest cost. Citrix customers include 100 percent of the Fortune 100 companies and 99 percent of the Fortune Global 500, as well as hundreds of thousands of small businesses and prosumers. Citrix has approximately 8,000 partners in more than 100 countries. Annual revenue in 2008 was $1.6 billion.

About HP

HP, the world’s largest technology company, simplifies the technology experience for consumers and businesses with a portfolio that spans printing, personal computing, software, services and IT infrastructure. More information about HP (NYSE: HPQ) is available at http://www.hp.com.


Citrix®, Xen®, XenApp™, XenMotion™, XenServer™ and Citrix Delivery Center™ are trademarks of Citrix Systems, Inc. and/or one or more of its subsidiaries, and may be registered in the U.S. Patent and Trademark Office and in other countries. Microsoft and Windows are U.S. registered trademarks of Microsoft Corporation.

© 2009 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.


Editorial contacts:

Julie Geer, Citrix Systems, Inc: julie.geer@citrix.com

Michael Thacker, HP: thacker@hp.com

About HP

HP Inc. creates technology that makes life better for everyone, everywhere. Through our portfolio of printers, PCs, mobile devices, solutions, and services, we engineer experiences that amaze. More information about HP Inc. is available at http://www.hp.com.