Delta Is Departing Its Own Data Centers to Land in the Cloud (2024)

Wylie Wong, Regular Contributor

March 15, 2021

5 Min Read

Delta Is Departing Its Own Data Centers to Land in the Cloud (2)

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Delta Air Lines has charted a course to the cloud, with IBM as co-pilot.

Today the carrier operates mostly out of on-premises data centers. By the end of 2024, it expects to have migrated 90 percent of its applications and databases to the public cloud, Narayanan (KK) Krishnakumar, Delta’s VP and CTO, said in an interview with DCK.

He expects the move (part of Delta’s broader digital transformation efforts) will lead to more efficient operations, more innovation, and better services.

“Our operations will get significantly better, and we will be able to improve overall customer and employee experiences, building upon the capabilities brought to us by the public cloud,” Krishnakumar told us.

Like others in the industry, Delta has faced a massive slowdown in air travel during the COVID-19 pandemic. It’s among many enterprises that have pursued or accelerated their digital transformation efforts as a result of the global health crisis, said Phil Guido, IBM’s general manager of cloud transformation.

“Clients view this as an opportunity to transform their businesses, so when the recovery starts, they emerge stronger, more modernized, and more agile for the future,” Guido told DCK.

IBM will provide Delta with technical expertise and technology. Delta, the second-largest American airline, plans to modernize most of its existing apps to run in a containerized, hybrid cloud environment using IBM’s Red Hat OpenShift hybrid cloud platform and IBM Cloud Paks, software that includes security and AI-assisted automation of network, business, and IT operations.

Related:IBM's Arranged Marriage Between OpenShift and Power Aims at Hybrid Cloud Crown

IBM is competing in a busy market, full of other service providers and tech companies seeking to help enterprises migrate to the hybrid cloud – the market’s fastest-growing segment, said Roy Illsley, chief IT and enterprise analyst at Omdia, a technology market research firm. (Like DCK, Omdia is owned by Informa.)

Cloud providers offer two different approaches to helping organizations go hybrid. IBM and Google Cloud have taken the software route, the former with OpenShift and the latter with Anthos, Illsley said. In contrast, AWS, Microsoft Azure, and Oracle offer hardware, or appliance solutions that operate on premises and serve as a bridge to their public clouds.

VMware is also in a strong position in the hybrid cloud marketplace, because its software runs natively on all major cloud service providers. “Your on-premises VMware (deployment) can bridge to the cloud VMware,” he said.

Companies like Delta hire the likes of IBM to help them migrate to the cloud because of a dearth of experts in this area. “Skills are in demand and short supply,” Illsley said.

Related:Capital One to Shut Down Its Last Three Data Centers Next Year

Modern Infrastructure for a Modern Way of Working

IBM’s team will work with Delta to modernize existing applications but also co-create new solutions. Delta chose to partner with IBM because they’ve been long-time partners, including IBM providing support for its mainframes, Krishnakumar said.

“They are a strong partner,” he said. “We absolutely like working with them.”

Delta’s move to the cloud provides multiple benefits. Apps and data can be stored in multiple regions in the cloud, which ensures high availability and uptime, Krishnakumar said.

One data center outage, in 2016, cost the company an estimated $150 million.

Another benefit is improved software engineering productivity. The cloud, he said, is highly automated and allows Delta’s IT team to instantly access infrastructure services.

As part of the project, IBM will use the IBM Garage Methodology, which leverages agile principles and DevOps tools and techniques, which will speed development and improve the quality of applications, Krishnakumar said.

“Agile and DevOps will contribute to the overall end-to-end production because it’s much faster and much more automated,” he said. “By doing automated testing for functionality, security, and performance within the software development cycle, you not only decrease risk, but you are increasing the quality of what you are producing. All of that contributes to much faster end-to-end deployment of business capabilities.”

Once it’s reached the goal of migrating 90 percent of applications to the cloud, Delta will continue to operate its own data centers, but it won’t have anywhere near the data center footprint it has today. Each site will be less of a data center and more of a “data room,” the CTO said.

The company has not yet announced who its main cloud service provider will be, but the plan over time is to take a multi-cloud approach, Krishankumar said.

The Goal: A Better Flying Experience

Delta has been on a digital transformation journey for several years, and the move to the public cloud will significantly accelerate that journey, he said.

Delta has a history of innovation, having introduced RFID baggage tracking in 2016 and launching the first biometric terminal in the US in 2018 using facial recognition at checkpoints at Hartsfield-Jackson Atlanta International Airport.

At the Consumer Electronics Show in 2020, Delta CEO Ed Bastian laid out the airline’s digital transformation plans, including digital travel concierge services on its Fly Delta mobile app.

With AI’s help, the app will anticipate customers’ needs, such as suggesting earlier ride shares to the airport if traffic is heavy, recommending faster security checkpoints, and offering hotel options and in-flight entertainment.

Future plans also include a “parallel reality” experience, in which customers at the airport can view monitors and see their personalized flight information.

Migrating IT operations to the cloud will give Delta a better way to leverage AI and machine learning, because of the elasticity of the cloud and modern integrated AI toolsets offered by cloud providers, Krishnakumar said.

AI and ML in the cloud will help the company improve on-time departures and arrivals and allow it to make better and faster decisions overall, he said.

As part of the agreement, IBM will also help train Delta’s IT staff new skills, so they can adapt to the new hybrid cloud infrastructure and continue their careers at Delta, Guido said.

“No person will be left behind in this journey,” Krishnakumar said. “We will take them with us in the cloud. We are an employee-oriented culture. We consider that as a competitive advantage.”

Delta Is Departing Its Own Data Centers to Land in the Cloud (2024)

FAQs

Delta Is Departing Its Own Data Centers to Land in the Cloud? ›

America's airline giant is modernizing its entire technical infrastructure, with help from IBM and Red Hat OpenShift. Delta Air Lines has charted a course to the cloud, with IBM as co-pilot. Today the carrier operates mostly out of on-premises data centers.

What cloud provider does Delta use? ›

Delta Air Lines has selected Amazon Web Services (AWS) to serve as the airline's preferred cloud provider. AWS will help Delta unlock technologies and streamline processes that will make the end-to-end customer experience faster, smoother, and more secure.

What is Delta in cloud computing? ›

Deltacloud is an application programming interface (API) developed by Red Hat and the Apache Software Foundation that abstracts differences between cloud computing implementations. It was created in 2009.

Will the cloud replace data centers? ›

Many organizations want to simplify or scale down their data centers -- but they won't disappear. Admins can examine as-a-service options and cloud to offload some applications. Gartner has predicted that, by 2025, 85% of enterprises will shut down their traditional data centers.

Do cloud providers own data centers? ›

A cloud-hosted data system has potentially unlimited capacity, depending on your vendor's offerings and service plans. The disadvantage is that you have less control over the remotely located hardware, since the cloud vendor owns and manages the data center system.

What are the top 3 cloud service providers? ›

Today, the three largest cloud computing service providers command 66% of the global market. Amazon, Microsoft, and Google have generated billions in revenues through their cloud infrastructure that provide the computing power companies need to store data.

Do airlines use cloud computing? ›

Cloud computing has revolutionized many industries, including aviation. The aviation industry is increasingly adopting cloud computing to improve efficiency, reduce costs, and enhance the passenger experience.

What is delta in AWS? ›

AWS Elemental Delta optimizes content for bitrate, resolution, audio format, captions, and number of channels, which lets you deliver high-quality content while maintaining cost-efficient distribution.

What is Delta data in Azure? ›

Delta Lake is an open-source storage layer that brings reliability to data lakes by adding a transactional storage layer on top of data stored in cloud storage (on AWS S3, Azure Storage, and GCS). It allows for ACID transactions, data versioning, and rollback capabilities.

What is the delta function in AWS? ›

AWS Elemental Delta lets you make content blackout, content replacement, and quality-of-service decisions based on content-specific rules or on a case-by-case basis. Adjust output bitrates and screen resolutions on the fly for control over network bandwidth consumption.

What is the difference between a cloud and a data center? ›

The main difference between data centres and the cloud is that data centres are used to store data and applications, while the cloud provides access to resources and services over the internet. The cloud can be divided into three main categories: public, private, and hybrid.

Are companies leaving the cloud? ›

Cloud hosting is a revolutionary technology that creates an affordable and flexible environment for businesses to store their data. Despite this, many businesses are stepping away from the public cloud and cloud-exclusive systems. Instead, they are opting for either hybrid cloud or pure on-premise servers.

Will data centers run out of space? ›

At the moment, there's no real need to worry about running out of storage. In 2020, the entire human population generated 64.2 Zettabytes of data. In 2025, it's estimated that we'll have generated a total of 181 Zettabytes.

Who owns the most data centers? ›

Digital Realty owns arguably the largest data center footprint in the world with more than 300 facilities across 25 countries on six continents, along with more than 45 million square feet of data center space.

Who owns your data in the cloud? ›

Cloud data ownership depends on the terms of service of the individual provider, but generally users own their own data on the cloud. This stuff is broken down very clearly in your provider contract: providers generally agree to store your data securely, but ownership rights remain with the individual or company.

How do data centers make money? ›

How do data centers make money? Operators of data centers may choose to lease out space or computing power to customers as a way to finance data center operations.

Does Delta Air Lines use Azure? ›

Delta Air Lines Migrates WFM to the Microsoft Azure Cloud

And that's why Delta has led the airline industry in operational excellence while maintaining its reputation for award-winning customer service.

Who provides WIFI for Delta? ›

HOW IS DELTA PARTNERING WITH SATELLITE PROVIDERS TO BRING FREE WI-FI TO ITS FLEET? Delta utilizes best-in-class technology in collaboration with leading satellite internet service providers Viasat and Hughes to make its complex connectivity revolution a reality.

What information system does Delta Air Lines use? ›

For example, Delta relies on a cluster of IBM S/390 mainframe computers running system TPF (Transaction Processing Facility), a specialized operating. These traditional online transaction processing systems (OLTP) support applications that automate the majority of the airline's operational services.

What ERP does Delta Air Lines use? ›

Exploring its history with SAP, Delta Air Lines has been a customer for going on two decades, and in 2014, the company undertook a massive HR transformation to replace some remaining early 90s legacy systems with an SAP core and SuccessFactors modules, lighting the runway for further innovation down the line.

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