AWS Cloud Kata 2013 | Singapore - Welcome and Opening Remarks, Pieter Kemps

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  • 1. Start-Ups in The Cloud Pieter Kemps Business Development, Startups & Venture Capital @p_kemps #AWSstartups
  • 2. Unleashing Creativity What if we re-invent… How people can access their favorite music?
  • 3. How people read magazines on the go? Unleashing Creativity What if we re-invent…
  • 4. Couch Surfing? Unleashing Creativity What if we re-invent…
  • 5. The way we explore other planets? Unleashing Creativity What if we re-invent…
  • 6. “Amazon Web Services is probably the most important thing that has happened to mobile and web app developers that the press just misses. Jeff Bezos has accidentally or maybe on purpose powered a whole generation of applications.” Steve Blank
  • 7. These ASEAN startups … DURABILITY SECURITY SCALABILITY RELIABILITY AFFORDABILITY are getting the same… as these companies:
  • 8. These ASEAN startups benefit from AWS… E-COMMERCE CONSUMER APPS GAMING ENTERPRISE / SaaS MEDIA …just like these companies:
  • 9. “Cloud is like a fertilizer that creates Startups” Eric Ries
  • 10. 01 02 03 04 Idea MVP ProfitabilityScale Product? Do we have a product? Can we ship? How to develop faster? Better? Cheaper? Market? Do people buy? Do they pay? Can we scale? Can we deal with spikes? Profit? Can we monetize? How to keep costs down? When can we break-even? Can we get & stay profitable?
  • 11. Infrastructure in Minutes Lower Costs of Innovation Shorter Development Cycles Experiment More, Develop Cheaper, Ship Faster Add New Dev Environment Add New Production in US Add 1,000 Servers Remove 1,000 servers Number of Instances 1,000 Instance Type M3 Extra Large Availability Zone US-West-2b Launch
  • 12. “It took 9 months to develop the game, only a few weeks to deploy on AWS. 50% faster than before!” Tiam Yang, CTO
  • 13. Grow faster, reach customers globally, scale easily Global Reach Infinite Scalability Amazon as a Channel
  • 14. “AWS enabled us to focus on our product, code, and user acquisition – not infrastructure. This enabled us to achieve hyper growth globally” Kalvin Kizana, Founder & CEO
  • 15. Reduce Costs & Grow revenue Cost Aware Architecting Continuous Price Reductions Multiple Pricing Models
  • 16. “By leveraging various AWS pricing models, and build our code and architecture with cost in mind, we managed to save 67% per month”. Vinoth Gopi, Founder
  • 17. Developer Centric Start-ups tell us they love AWS Broad scope of services, with rich API’s Open source tools Automate everything Infrastructure as Code Backbone of Giants Expert Enablement Level playing field Same backbone as largest incumbents & most successful startups Pedigree = Reputation Team on the ground – accessible, reachable Technical optimization Cost reductions Go to Market support
  • 18. How did AWS impact the Venture Capital industry?
  • 19. “Amazon changed the VC industry. This is mind boggling. That online book company. Not … or anybody else. Amazon. 100% of the credit.” Mark Suster, serial entrepreneur and MD at GRP Partners
  • 20. 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1995 – .com Technology Startups require physical hardware and proprietary software to build their business Typical Series A Spent on… Innovation 5-10M •$2.5: marketing, sales, etc. •$2.5M on infrastructure •Not a lot, since experimentation was costly
  • 21. Typical Series A Spent on… Innovation 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2000: Rise of Open Source Open source software drove technology costs down by 90%, which spurred innovation in technology 3-5M •Less on Software– LAMP •More on development •Still on infrastructure •A lot more, as experimentation is less costly now
  • 22. Typical Series A Spent on… Innovation 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2005: Enter the Cloud Public Cloud pioneered by Amazon drove total operating costs down significantly 500K- 3M •Staff – the battle for talent •Customer Acquisition •Explosion in experimentation, innovation, and Startups
  • 23. 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2007: Micro VC / Seed Public Cloud led to explosion in the number of Startups and the emerging of “micro VCs” Angels Incubators VC’s Angels unite in ‘Super Angels’ for Seed investments thru VC- like setup Boom in incubator programs, with micro investments, mentoring, etc. Venture funds that back early-stage startups with <$1M E.g. BANSEA, Angels Den, Angels Gate, etc E.g. TechStars, Ycombinator, JFDI, Kickstart Ventures, etc. E.g. Matrix Partners, A16H, 500startups
  • 24. 28 startups in Asia 21 startups on AWS 71%
  • 25. Why do VC’s care? More deals Shorter time to scale Faster time to revenue Lower ‘burn rate’ Higher valuation at exit
  • 26. VC’s tell us they love AWS Obsessed with Helping Customers Save Money AWS Trusted Advisor Cost optimizations Security and availability checks Performance recommendations 329,000 recommendations $22M in annualized savings
  • 27. VC’s tell us they love AWS We really help their companies scale
  • 28. Thank you!