Chatter Cloudforce 2010 - San Jose, June 22nd

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June 22nd, 2010 - Marc Benioff presented the next evolution of cloud computing —It’s mobile, collaborative, and social. He calls it Cloud 2. …

June 22nd, 2010 - Marc Benioff presented the next evolution of cloud computing —It’s mobile, collaborative, and social. He calls it Cloud 2.

Present with salesforce.com Chairman and CEO Marc Benioff, industry luminaries from CA, VMware, and BMC showed how the next generation of cloud computing can transform an entire business.

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  • 1. Welcome to Marc Benio Chairman & CEO salesforce.com 1
  • 2. Safe Harbor Safe harbor statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could di er materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of subscriber growth, earnings, revenues, or other nancial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, our new business model, our past operating losses, possible uctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of intellectual property and other litigation, risks associated with possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could a ect the nancial results of salesforce.com, inc. is included in our annual report on Form 10-K for the most recent scal year ended January 31, 2010. This documents and others are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements. 2
  • 3. Our Mission: Cloud Computing Driver, Catalyst & Evangelist 1960s 1980s Today Mainframe Client/server Enterprise Cloud Computing 3
  • 4. First Cloud Company to Exceed $1.5 Billion 377 24% Quarterly Revenue Growth Y/Y in Q1 FY11 354 331 316 305 $1.5 Billion+ 290 276 263 Quarterly Revenue ($M) 248 Annual Revenue Run Rate 217 192 177 162 144 130 118 105 91 83 72 64 55 41 46 35 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 Revenue through fiscal quarter ended 4/30/10 4
  • 5. Strong Growth In New Customers 77300 72500 67900 62300 77,300+ 59300 55400 51800 47700 Paying Customers 43600 41000 38100 35300 32300 29800 27100 24800 22700 20500 18700 16900 15500 13900 12500 11100 9800 8700 7700 7000 6300 5700 4900 5100 4300 3500 2000 2500 3000 750 1125 1500 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 5
  • 6. Applications Moving to the Cloud apps 1960s 1980s Today Mainframe Client/server Cloud Computing Applications 6
  • 7. Platforms Moving to the Cloud 1960s 1980s Today Mainframe Client/server Cloud Computing Platforms 7
  • 8. Collaboration Moving to the Cloud Microsoft Groove Lotus Notes File Sharing 1980s 2000s Today Workgroup Computing Intranet Computing Social Computing 8
  • 9. The Cloud Serves Companies of Every Size ENTERPRISE MID-MARKET SMALL BUSINESS 9
  • 10. The Cloud Computing Model Multi-tenant 5x Faster Pay-as-you-go Elastic 1/2 the Cost * Real-time *IDC Report: “Force.com Cloud Platform Drives Huge Time to Market and Cost Savings”, September, 2009. Applies to development of custom applications on Force.com. 11
  • 11. Beware of the False Cloud The False Cloud: - is NOT e cient - is NOT democratic - is NOT economical 12
  • 12. 13
  • 13. 192,000+ hours community service 8,500+ non-pro t organizations $20 million+ grants 1% Time Equity Product ShareTheModel.org 14
  • 14. UCSF Benio Children’s Hospital at Mission Bay 15
  • 15. Susan Desmond-Hellmann Chancellor, UCSF 16
  • 16. 17
  • 17. Share Your Ideas for the Hospital ideas.ucsfbenio childrenshospital.org/ 18
  • 18. Ten-Year Computing Cycles 10X the number of users per cycle 2000s Mobile Internet Computing 1990s Desktop Internet Computing 1980s Client/server Computing 1970s Mini Computing 1960s Mainframe Computing 19
  • 19. 2009: Social Networking Surpasses Email 850 650 “ 22 Percent of Global Users (MM) Internet Time 450 ” is Social. Social Networking Users Email Users 250 11/06 3/07 7/07 11/07 3/08 7/08 11/08 3/09 7/09 11/09 Source: Morgan Stanley Internet Mobile Report, December 2009 20
  • 20. Broad Change in Internet Usage Top Internet Use Cases 15.0 Share of Online Usage 6/06 9/06 12/06 3/07 6/07 9/07 Search 12/07 3/08 6/08 0 9/08 12/08 3/09 6/09 9/09 Source: Morgan Stanley Internet Mobile Report, December 2009 21
  • 21. Next Generation Devices Changing How We Access the Internet 1000 750 Smartphones Annual Unit Shipments (MM) Notebook PCs 500 Desktop 250 0 2005 2006 2007 2008 2009E 2010E 2011E 2012E 2013E Source: Morgan Stanley Internet Mobile Report, December 2009 22
  • 22. Fundamental Shift in Cloud Computing Low Cost . Fast . Easy-to-use Collaboration . Real-time . Mobile 23
  • 23. 1999: Why isn’t all enterprise software like Amazon.com? 2010: Why isn’t all enterprise software like Facebook? 24
  • 24. “The Facebook Imperative”: The World Has Changed 2000 2010 Amazon.com Facebook Tabs Feeds Pull Push Click Touch Desktop Smartphone/Tablet Fixed Mobile Location Unknown Location Aware Windows/Mac Cocoa/HTML 5 Self-integrated Discrete Apps 25
  • 25. Apple Surpasses Microsoft in Market Cap 400 320 Microsoft 240 Apple 160 80 0 03/00 03/01 03/02 03/03 03/04 03/05 03/06 03/07 03/08 03/09 03/10 “ Surreal ” Steve Jobs Founder & CEO, Apple 26
  • 26. New Desktopless World People Apps Data 27
  • 27. Platform for Cloud Apps platform chatter Security & Pro les Status Updates Groups Feeds Content Sharing App Updates Sharing Chatter API Force.com development platform Elastic Database & Programmable Visual Process Real-time Real-time Mobile Integrated Real-time Integrated 800+ Integrated Stored Procedures User Interface Java & Apex Manager Websites Deployment Content Library Analytics Knowledge Apps infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 28
  • 28. Cloud 29
  • 29. Our First Enterprise-wide App Chatter is Now Live for All 77,300+ Customers salesforce.com Included at no charge for Chatter for every employee: all customers $15/user/month Learn how to turn it on at salesforce.com/chatter/getstarted Sales . Marketing . Service . Finance . HR . Operations . IT . Services . Alliances 30
  • 30. 31
  • 31. Kraig Swensrud SVP, Product Marketing 32
  • 32. Salesforce.com is the Sales Cloud Leader Market Market Leadership Leadership Product Innovation Customer Success 94% Magic Quadrant Would Leader Jigsaw Recommend "This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from salesforce.com. To access the report, please go to www.salesforce.com." 33
  • 33. Customers Succeed Across Every Major Metric Average Percentage Improvements Reported by Customers Source: Salesforce.com Customer Relationship Survey conducted April 2010, by an independent third-party, MarketTools Inc., on 6,000+ randomly selected salesforce.com customers. Chatter results from survey of 135 customers during June, 2010. 34
  • 34. Tremendous Excitement with Chatter “ Things I love this week: ” “ It’s pretty much exactly what my team wanted. ” “ Turned on Chatter over the weekend the o ce is all abuzz! ” salesforce chatter... “ This is crazy cool - ” “ Wow, chatter for collaboration on steroids. “ We’ve been chatterized for a few weeks. I love it! ” salesforce.com is AMAZING. ” “ Salesforce Chatter takes “ enterprise collaboration to a ” Chatter rocks. Amazing whole new level. innovation. ” 35
  • 35. Today, It’s Impossible To Stay On Top of Everything Competitive Expert Leads Sales Ops Contracts Legal Product Executive Forecasts Corporate Expert Presentation Price List Lotus Sharepoint Notes 36
  • 36. Cloud 2 Shows Us a Better Way Status Updates . Pro les . Feeds . Filters Bob Iger CEO, The Walt Disney Company Fortune Brainstorm Tech 2009 37
  • 37. What if enterprise sales & collaboration worked like Facebook? But was private, secure, and trusted? 38
  • 38. Cloud 2 Meets the Enterprise Cloud 2: Works like Facebook Real-time Feeds: People, documents, and app data is pushed to you Trusted: Secure, private application The sales conversation starts here. 39
  • 39. The World’s Leading Sales Application Email & Productivity Work ow & Content Approvals Library Jigsaw Real-Time Analytics Opportunities & Quotes Partners Marketing Social & Leads Accounts & Contacts 40
  • 40. Demonstration 41
  • 41. Michael Tchao Vice President, Product Marketing iPad Worldwide 42
  • 42. 43
  • 43. Marc Benio with Former Japanese Prime Minister Yukio Hatoyama June, 2010 44
  • 44. Thank you, Apple! You have just won an Apple iPad! Please take this to registration to redeem your prize. Find this. Win this. 45
  • 45. John Miles VP IT, CIO Consumer & SMB 46
  • 46. 47
  • 47. Parker Harris Co-founder & EVP, Technology 48
  • 48. Salesforce Leads the Market with Service Cloud 2 Market Market Market Leadership Market Leadership Leadership Product Innovation Leadership Customer Success Magic Quadrant for Customer Service Call Centers Leader ~9,000 Service Cloud Customers 49
  • 49. Customer Success Across Every Major Metric Average Percentage Improvements Reported by Customers Source: Salesforce.com Customer Relationship Survey conducted April 2010, by an independent third-party, MarketTools Inc., on 6,000+ randomly selected salesforce.com customers. 50
  • 50. Today’s Contact Centers Can’t Connect with Customers Built for this: But customers have moved to Cloud 2: Contact Center Community Sites 51
  • 51. Service Cloud 2 Connects You to Customers Everywhere Call Scripting Contracts & Entitlements Customer Portal Chat Community Email Partners Call Center Search Social 52
  • 52. Now the Service Cloud gets even better. 53
  • 53. How Do Agents Collaborate Across Departments To Find Answers? Service Requests Service Finance Sales Billing Product 54
  • 54. Service Cloud 2 Connects You to Customers Everywhere Call Scripting Contracts & Entitlements Customer Portal Chat Community Email Partners Call Center Search Social 55
  • 55. Demonstration 56
  • 56. Mike Leopold Director 57
  • 57. Platform for Cloud Apps 58
  • 58. The Leading Cloud Platform for Building Cloud 2 Apps Market Leadership Customer Success Product Innovation 77,300+ Customers 160,000+ Custom Apps 38,000+ Web Sites Visionary Enterprise Application Servers "This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from salesforce.com. To access the report, please go to www.salesforce.com." 59
  • 59. Traditional Platforms Are Too Expensive, Complicated & Slow Too Expensive Too Complicated Too Slow 1 Install and Integrate Stack 2 Con gure Software 3 Write and Test Lots of Code 4 Deploy and Load Test 5 Monitor and Tune 6 Patch and Regression Test 60
  • 60. Force.com infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 61
  • 61. Force.com development platform Elastic Database & Programmable Visual Process Real-time Real-time Mobile Integrated Real-time Integrated 800+ Integrated Stored Procedures User Interface Java & Apex Manager Websites Deployment Content Library Analytics Knowledge Apps infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 62
  • 62. platform chatter Security & Pro les Status Updates Groups Feeds Content Sharing App Updates Sharing Chatter API Force.com development platform Elastic Database & Programmable Visual Process Real-time Real-time Mobile Integrated Real-time Integrated 800+ Integrated Stored Procedures User Interface Java & Apex Manager Websites Deployment Content Library Analytics Knowledge Apps infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 63
  • 63. World’s First Collaboration Platform Platform for Cloud Apps platform chatter Security & Pro les Status Updates Groups Feeds Content Sharing App Updates Sharing Chatter API Force.com development platform Elastic Database & Programmable Visual Process Real-time Real-time Mobile Integrated Real-time Integrated 800+ Integrated Stored Procedures User Interface Java & Apex Manager Websites Deployment Content Library Analytics Knowledge Apps infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 64
  • 64. Force.com is the Fastest Way to Build Cloud 2 Apps “ Companies were able to reduce their three year Savings with Force.com Sta ng 2009 IDC Research Report 76% TCO by 54%, Development Time 60% saving $560,000 Changes 78% ” TCO 54% per app. 65
  • 65. All 160,000+ Force.com Apps Are Now Cloud 2 Apps Back O ce Human Resources Operations Manufacturing Retail 66
  • 66. Enterprise Java Developers Don’t Have a Path to the Cloud Cloud 6 Million Developers ? 67
  • 67. The World’s First Enterprise Java Cloud The Trusted Cloud for 6 Million Enterprise Developers 68
  • 68. Paul Maritz President & CEO 69
  • 69. All Native ISV Apps Are Now Social Cloud Apps Marketing Sales Project Management IT Recruiting 70
  • 70. 35+ New Collaboration Apps Live Today Total of 60 ChatterExchange apps now live !"#$%&'( www.appexchange.com 71
  • 71. AppExchange Keeps Growing with New Categories of Apps ChatterExchange Categories ! Project Management ! Quoting ! Contracts ! Accounting ! Marketing ! Recruiting ! Field Service Management ! Real Estate ! Integration ...and many more! Forbes 72
  • 72. The AppExchange Trusted enterprise cloud marketplace $350 Million+ AppExchange partner revenue to date from AppExchange apps* 100% of all revenue goes to AppExchange developers *Company estimate based on currently available information. 73
  • 73. Kia Behnia Brian Bell Stacey Epstein Tom Gonser SVP & CTO SVP & General Manager VP Marketing Chief Strategy O cer 74
  • 74. Welcome to Cloud Cloud Apps Platform for Cloud Apps platform chatter Security & Pro les Status Updates Groups Feeds Content Sharing App Updates Sharing Chatter API Force.com development platform Elastic Database & Programmable Visual Process Real-time Real-time Mobile Integrated Real-time Integrated 800+ Integrated Stored Procedures User Interface Java & Apex Manager Websites Deployment Content Library Analytics Knowledge Apps infrastructure cloud Real-time Real-time 3 Global Data ISO 27001 Proven Reliability Proven, Real-time Real-time Query Transparent 5 Minute Proven, Real-time Sandbox Salesforce to Centers & Disaster Certi ed Security Scalability Optimizer Status Upgrade Integration Environment Salesforce Recovery Multitenant Kernel 75
  • 75. Dreamforce 2010: Biggest Cloud Computing Event of the Year A year’s worth of learning in four days December 6-9, 2010 www.dreamforce.com Stevie Wonder, Entertainer President Bill Clinton YOU! 76
  • 76. Thank You! ceo@salesforce.com 77