A trading company has a complex infrastructure with 12 data centers. The chief information officer (CIO) is looking for ways to maximize a reduction of OPEX and CAPEX. Which key initiative would help

Tiered storage optimizes cost per gigabyte by placing data on appropriate media, but it does not address the broader infrastructure duplication across 12 data centers.

Scale-out storage increases capacity by adding nodes, which raises rather than reduces both CAPEX and OPEX.

Software defined networking improves network agility and reduces hardware dependency, but it does not eliminate the facilities and operational overhead of maintaining 12 physical data centers.

Consolidation reduces the physical footprint of an organization by merging data centers, servers, and storage into fewer, more efficient locations - this lowers CAPEX by requiring less hardware and facility investment, and lowers OPEX by reducing ongoing costs such as power, cooling, licensing, and personnel needed to manage 12 separate sites.