Key Note Speech A Stepanek 1106

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COMMON Europe Congress 2012 - Vienna

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  • This presentation will familiarize you with IBM i. It ’s well recognized as one of the three operating systems supported on Power Systems, but it’s not always well understood . By the end of this presentation, you’ll know what distinguishes IBM i from other operating systems, why hundred’s of thousands of clients worldwide value it, and why it will continue to play a significant role in the industry for years to come.
  • © Copyright IBM Corporation 2011 Three years ago IBM started describing the emergence of a Smarter Planet that is fueling innovation across industries. Every aspect of life is benefiting from the instrumentation, interconnection and the infusion of intelligence into the world ’s systems. Cities are getting smarter by transforming every possible form of municipal infrastructure—traffic systems, water systems, public safety. Business processes are being transformed across every industry, from banking to manufacturing to transportation. It ’s changing the way people live—delivering benefits from reduced congestion and pollution to new ways of communicating and collaborating.
  • © Copyright IBM Corporation 2011 Let me characterize some of the trends and opportunities we see in the marketplace. Technology Trends There is an explosion that ’s occurring in the industry around data. And data is going to continue to drive profound opportunities for innovation and integration, and at the same time, optimization, because as we deal with clients of all sizes around the world in every industry, they’re looking to deliver better economics in managing their businesses. And they’re also looking for new ways to transform their operations so that can deliver expanded capabilities in new markets, securing new customers. This has created a huge opportunity for IBM in terms of how we design systems. Systems that are vertically integrated and optimized for performance, scale and efficiency. Optimization at all layers of the stack driving performance & functional optimization. Multi-architecture modular designs integrating server, storage, networking with unified management. We also see a change in the way data is managed and analyzed. Trusted and highly secure information management capabilities that unlock insights from data regardless of volume, variety and velocity. Ubiquitous computing & sensory devices shifting computing outward from the datacenter and driving new workloads. Cloud computing driving the need for new technologies for security, resource management and resiliency. And changes in the way IT is delivered and consumed. New delivery models that leverage Integrated Service Management and cloud for greater flexibility, time to value and new capabilities. Virtualization and autonomic processing driving value to software. Client and Market Trends Clients increasingly buying vertical solution bundles with varying integration levels IT decisions becoming more decentralized and influence moving outside the CIO/CTO Clients increasingly prefer to buy from and are influenced by third-party channel partners Private & public clouds growing rapidly, but traditional non-cloud presents larger opportunity Growth concentrated in growth markets, general business and focused industry segments
  • Main Point: Information-centric computing coexists with the process-centric computing we ’ve had for the last 50 years and places significant new demands on the traditional IT model. Speaker Notes: I think we are at the beginning of an unbelievable change here. What you have on the left of this chart is basically the IT computing model we ’ve had for the last 50 years. In 1964 IBM launched IBM 360. At the time we defined the way computers operate. You have computing processors. You have memory. You have the data. You have programs that actually pull and process data. So it’s basically the way we’ve done it since then – the datacenter today is the same. Of course we can process way more data, but the architecture hasn’t changed. It’s about business process automation. IT has been mostly used to justify investment based on the ability to take a business process and make it better through IT – therefore reducing SG & A. That’s the way most CIOs have been thinking. It’s very good for long business cycles. Typically here you are talking about terabytes of largely structured data. What’s new here? It has been the same for 50 years. Basically computers became larger. We started to speak about scale up and then we spoke about scale out – the ability to have more processors and run in parallel, but basically the process was the same. So new we are heading toward a very different approach. An information-centric era. It ’s not exactly new, but it’s changing the way you should think about IT. It’s about the ability to explore data and understand it in a very unusual ways. It ’s driving new business models. All of us have Web sites. With the internet if everything is free – the user is the product – that is being sold to someone else. Think about google. They did not define IT in a traditional way. They needed to pool memory. They needed to have the process and memory attached. You see very different projects starting. Very interestingly here the investment is about growing top-line revenue. It ’s a new thought driven by CIOs and CMOs. Why is it cool? It ’s cool because it’s very good for shorter product cycles. Product cycles are getting shorter. Think about buying books and the traditional Barnes and Noble bookstore model First you could buy books on the Web. Now you download them on Kindle and that ’s a different business model with a much shorter cycle. As the business model shortens you need IT to be very nimble – to be able to change very fast. And the model on the left is not flexible enough. We ’re now talking about Zetabytes of largely unstructured data. It ’s no longer about scaling up or out it’s about scaling in – a new computing model where you bring everything into the box and design the entire architecture together because the model is very different. This is what google did. Why is it hard for clients. They need to do both. They need to bring these things together – that’s what smarter computing is about.
  • © Copyright IBM Corporation 2011 An enterprise can reverse the IT conundrum by designing, tuning, and managing their IT infrastructure in this new era we call Smarter Computing. This new era is made possible by the integration of Big Data, analyzed through Optimized Systems that are managed as a Cloud. The combination of these capabilities can enable any enterprise to drive innovation while doubling IT capacity for the delivery of service on a flat IT budget. IT has the opportunity to play an even greater role in driving business transformation by enabling: Completely new business models New ways to deliver technology-based services New ways to understand the world This new era is realized by designing IT as a system that incorporates Big Data for better decision making, Optimized Systems for superior economics, and Cloud to reinvent business processes and drive innovation. Any enterprise can enter this new era by architecting an IT infrastructure that is designed for data, tuned to the task, and managed as a Cloud. Big Data: Designed for data -- Remove barriers to harnessing all available information and unlock insights to make informed choices. Optimized Systems: Tuned to the task -- Remove financial barriers by driving greater efficiency and performance for each workload. Cloud: Managed through a cloud -- Remove barriers to rapid delivery of new services and realize IT without boundaries to reinvent business processes and drive innovation.
  • The IBM i business was first established in the mid-market. In other words, the generations of operating systems that preceded it were placed in small and mid-sized businesses in large numbers. Consequently, when you look at the number of companies that run operating systems from IBM, more of them run IBM i than anything else. Today you ’ll find IBM i in enterprises of all sizes – small to large – running predominantly business critical workloads. There are hundreds of thousands of systems installed in enterprises worldwide. IBM i has been translated into 40 languages and supports 51 national language versions. Solutions are available for virtually every industry from an active community of independent software vendors (ISVs). The platform has been particularly strong in wholesale distribution, retail, manufacturing, finance & banking, insurance, computer services, and travel & transportation industries. The heritage and lineage of IBM i is important. It was designed and has evolved to satisfy one primary purpose – that purpose being business computing – and that ’s where the differences between IBM i and any other operating system begin.
  • Once you get past the “you’ve got to be kidding me” reaction to the photo on the right, you can see there’s a story to be told here… and the story has more to it than just being another good example of “why women live longer than men.” You ’re looking at two solutions to the same problem… how to maintain street lighting that is too high to reach easily. When the purpose is known, it can be incorporated into the design … as on the left … and the task completed efficiently with fewer personnel and less risk. By contrast, when the purpose is not clear or has not been anticipated, the tendency is to make do with what you have … in this case using components that were designed to meet more narrowly defined purposes … and cobble things together to get the job done. And while you might get points for ingenuity, you added people, time and risk to the project… and you really don’t know how long things will hold together. While this example may be a little extreme, I hope it makes the point. If the “street light” represents business computing, then IBM i is the cherry picker. Everyone else is assembling their infrastructure from various parts. We ’ll talk more about integration later, but let’s look first at the business case for i.
  • Some of the “business case” information provided in this presentation has been extracted from the most recent “management brief” from ITG focusing on the cost of IT to mid-sized businesses. When evaluating the business case for IBM i on Power Systems, they had this to say… “More than any other platform available today, IBM i and Power Systems offer users the benefits of advanced technology while minimizing costs, complexities and risks.” … Now let ’s turn that statement around and say it again another way… If, among your objectives as a CIO or CTO, you intend to derive business benefits from advances in technology… while at the same time minimizing costs, complexities and risks… (and what CIO wouldn’t?)… then IBM i can help you meet those objectives more than any other platform available today ! That ’s a powerful statement. … Clients who have a history with the platform recognize and appreciate the value it brings. But now let us have a look at some details from the ITG report.
  • When ITG reported on the cost of IT for the mid-sized businesses profiled in their most recent management brief, they looked at three popular environments… one being Linux, with Oracle database, running on x86 (or PC server) hardware… the second being Microsoft Windows, with SQL Server database, running on x86 hardware … and the third being IBM i running DB2 on Power Systems (no database is listed because DB2 is fully integrated in IBM i … but more on that later). As you can see, three-year IT costs for the IBM i environment were 42% less than Windows … and 56% less than Linux. All relevant costs were included … hardware, hardware maintenance, software, software maintenance, personnel and facilities. It ’s worth noting that this is not a one-time occurrence … in fact it’s a well established trend. Consultants have conducted cost comparison studies between IBM i, Windows, Unix and Linux platforms for more than 20 years … they’ve looked at different sized businesses, different industries, and different applications … and every time they’ve done the comparison, the result has always been the same … the IBM i platform, time and time again, reflects a lower total cost of ownership. Yet the perception continues to exist that IBM i costs more to acquire … so let ’s see how it looks when acquisition costs are isolated from ongoing costs. *** following is summary/reference information regarding the platform comparisons made in the study *** Cost comparisons are for server infrastructures in midsize businesses profiled across four industries: $200 million to $1.3 billion in sales 500 to 4,500 employees Comparisons are between latest generation versions of all platforms: Power 720, 730 and 740 systems with IBM i 7.1 and PowerVM virtualization x86 servers based on Intel 7500 and 5600 series (Nehalem EX) processors with Windows Server 2008, SQL Server 2008 and VMware ESX 4 virtualization x86 servers based on Intel 7500 and 5600 series (Nehalem EX) processors with Linux, Oracle Database 11g and VMware ESX 4 virtualization
  • In looking at just those costs that would be considered acquisition costs… like the price of the hardware and associated software… the IBM i platform still reflects a lower cost. The cost differential is not as great … being only 18% less than the Windows platform and 43% less than the Linux platform … but IBM i is still less. As for ongoing costs… considering just the personnel required to administer the environments… you see the disparities in costs become quite significant. This all illustrates some common problems … and challenges … that we face in the industry when it comes to IBM i: Comparisons made at time of purchase are frequently “apples and oranges” … because additional hardware and software that is necessary to make the Windows or Linux environments truly equivalent to the IBM i environment are often not included, whether intentionally or unintentionally Ongoing costs, unfortunately, are often overlooked in the discussions… especially when it comes to personnel In short, IT decisions are often being made without giving adequate consideration to all the facts But now let us have a look at a real life customer example where the decision was made turning their SAP installation form x86 onto Power i.
  • Whether consultant reports, technology briefs, white papers, case studies or client references, there is a mountain of evidence that says IBM i is price and cost competitive. The evidence has been routinely collected for more than 20 years, and every time IBM i (or any of its predecessors) has been compared to competing platforms (typically Windows, Unix and/or Linux), it has always demonstrated a lower overall TCO. For business computing, no platform has proven more suitable. That ’s why so many companies who have historically run their businesses on i continue to invest in it. They can trust their experience. They’re less likely to observe the decisions of others and “follow the herd” … they don’t have to question their judgment … they understand the value that IBM i brings to the table.
  • When you contemplate the cost of computing, … or study it the way ITG has, … you look for drivers. … What is it that drives cost on some platforms higher than others? … For example, we ’ve already talked about the “multiplier effect” and the role it plays with x86-based platforms when it comes to hardware and software costs. This helps to level the playing field when it comes to acquisition price. … But we’ve also touched on the role that the “multiplier effect” has on complexity … and how challenges expand geometrically as you multiply the number of servers and corresponding connections in an enterprise. … Complexity, in the end, becomes the biggest driver of costs in many IT shops. … And in that context, the fact that IBM i is designed to minimize complexities becomes the single biggest advantage of the platform. That’s what ITG concluded, … “more than any other platform in existence today, POWER7-based systems and IBM i are designed to minimize complexities.” So how is that accomplished? … It comes back to purpose . … Let ’s take a look.
  • When this platform was first conceived… it was for a purpose… and that purpose was for business computing. … Knowing its purpose ahead of time meant that thoughtful consideration could be given to what needed to be included: It would need a database engine to effectively collect, organize, manage and analyze business information It would need to be secure and provide clear audit trails It would need to efficiently process transactions produce output It would need to be easy to use and manage … in fact it should manage itself as much as possible, minimizing the need for people to intervene It would need to accommodate change without disruption And so on What resulted from this “purpose driven” development activity is known today as IBM i… We call it an operating system, but it is more accurately an operating environment that includes operating system and middleware components that are designed, built, tested, delivered and supported as one . The differences between the IBM i operating system and Windows, Unix or Linux operating systems are huge… it’s hard to overstate the significance… IBM i is… More comprehensively designed. … Think about it … What was the original purpose for Windows? … Games? … Personal productivity? … It certainly wasn ’t business computing! … And what was the original purpose for Unix? … Games? … Scientific computing? … And how about Linux? … It’s purpose was to have an open source alternative to Unix once vendors began adding proprietary extensions. … None of them was designed for business computing. Now that doesn’t mean that Windows, Unix and Linux can’t be used for business computing, because clearly they can. … But it does mean that capabilities which are required for business computing need to be added after the fact… because they were left out of the design. So IBM i is more comprehensively designed, and because of that… It has more built-in functionality… little of anything has to be added to support business applications. And it ’s more thoroughly tested … and better supported … because it’s treated as a complete entity rather than a collection of individual products. It ’s more easily managed … because it is one thing to manage, not many things. … In fact much of the environment is autonomic … self-configuring, self-managing, self-healing, self-protecting. It is more stable … because it is developed, built, tested, delivered and supported as one. Consequently, you get more productivity from your IT staff… because they are focused more on the business than the technology And your return on investment is better. Perhaps the use of some metaphors will help in clarifying the advantages of integration….
  • Let ’s say you’re in the market for a home. … You’ve done the research, you know what kind of house you want to live in and what you can afford. … You’ve consulted with your realtor, and they know of just the right place. … What do you expect them to show you? … A plot of ground full of building materials and a set of blueprints… with the promise of things to come? … Or the house of your dreams? It ’s a simple metaphor… but hopefully it makes the point. Unless your core competency is home construction, it’s likely that you’ll be more satisfied just furnishing your new home and moving in, … than you will be working with contractors and subcontractors to build it up from the ground. Yet IT decisions get made every day that are intended to fulfill the needs of the business, but rather than starting with a well designed framework built on a solid foundation, … the whole of which has already been developed, inspected and secured, … where all you have to do is deploy the applications and run,… what you ’re handed instead is a collection of technologies and a blueprint for success. You’re still a long way from seeing any benefit. Shouldn’t you expect more?
  • Let ’s say you’re shopping for a new car. … You’ve read the reviews, … downloaded the brochures, … compared features, warranties and support plans, … taken a few test drives, … even talked to some owners about the makes and models you’re most interest in, … and you’ve made your decision. You swing by the dealership to pick up your new car and what do you expect? … A collection of parts that,… once properly assembled,… will give you the driving experience of your life? … Or the keys to finely crafted engineering marvel on wheels… dealer prepped and road ready? It ’s a simple metaphor, and meant to be obvious. … Unless your core competency is to manufacture automobiles, … you would never seriously consider trusting your primary means of personal transport to a vehicle which was assembled in your garage from piece parts. Yet IT decisions are made every day that place mission critical applications on technology infrastructures that lack the security, stability and support that that accompany a comprehensively designed and integrated environment. Rather than opting for an enjoyable driving experience right off of the lot, … they ’re acquiring components, … assembling, … testing, … troubleshooting, … and testing some more. The parts might be warranted, but the whole is not. Shouldn’t you expect more?
  • What is your expectation when you want to deploy a solution that will benefit the business? … Clearly, the benefits of the solution are derived from the business logic … and the information access … and the analytics … and the reporting. … So logically, isn ’t that where you would expect to invest your time and effort? But no … all too often in our industry we have to bake the cake before we can eat it … build the house before we can live in it … assemble the car before we can drive it. … Or… setting aside the metaphors … we ’re investing way too much time and effort in hardware and software infrastructure … installing servers, storage and networking components … installing and configuring operating systems, databases, security, management tools … all of this before we can get any value from the solution. Shouldn ’t we expect more? IBM i is joined at the hip with the hardware on which it runs. … and it already contains the essential operating system software, middleware and management tools needed to support business applications. … the infrastructure essentials are already baked in … pre-built … assembled … tested … and ready to deliver value. Let ’s look at this another way…
  • Let ’s look at the infrastructure from the more traditional view of the “solution stack” for business applications … Sitting on top of the hardware you’ll typically find a virtualization layer, one or more operating systems (each with a basic file system), a relational database, perhaps a Web server, security software and auditing tools, systems management tools, storage management tools, and performance management tools. … On top of the stack, of course, sit the business applications. The left side of the chart represents the Linux/Unix/Windows view of the solution stack … these are all separately identifiable, separately orderable components … and they are most likely coming from multiple vendors. … The right side of the chart reflects the IBM i view of the solution stack … the simplicity of total integration. And then you start asking yourself some important questions … Who ’s responsibility is it to install this stuff? … To integrate and test it to ensure the components are interacting properly and operating together? … To manage and update the components when patches, fixes and new versions are released? … To resolve problems when support is required? It ’s pretty easy to see how … when so much integration occurs “after the fact” as it does with Linux/Unix/Windows environments ... The burden of responsibility falls more on the client … managing the solution stack adds cost and complexity. By contrast, when integration occurs by design as with IBM i, … the responsibility and accountability lies much more with the vendor, … reducing cost and complexity for the client. What ’s important to recognize and remember here is that we’ve redefined the industry view of integration in order to make this distinction … We’re changing the expectation, … raising the bar. Why? Because competitors like Oracle are trying to lay claim to integration as an advantage … providing everything from the hardware to the application. But is it really integration?
  • Integration of the solution stack, … the way I have defined it for IBM i, … occurs earlier in the development process. … It is embodied in the product. By contrast, integration as defined and accepted around the industry is more of a practice. … It ’s something that is done after the components are acquired. … To use a quilting metaphor, integration of the Oracle stack is more like patchwork, … a stitching together of the pieces. … You might acquire all of the patches from a single source, … but it’s going to cost you some time and money to weave them all together into a quilt. IBM i is much more of a finished product. … The integration was done ahead of time, on your behalf. … You acquire the quilt and become the user … rather than acquiring the patches and becoming the quilter. There are a lot of IT quilters in our industry… and it comes at a cost.
  • There are independent companies that provide security and vulnerability intelligence to the IT community. One such company is Secunia who, among other things, tracks and reports on OS advisories. When a vulnerability is identified, they assess the critical nature of the vulnerability and monitor the vendor ’s response. The graphs on this slide are snapshots from Feb, 2012, for Microsoft Windows Server 2008 and IBM i 6.1. Through the life of the product, 159 advisories have been issued for Windows, 39% of which were highly or extremely critical, and 2% of which remain unpatched By contrast, 10 advisories have been issued through the life of IBM i 6.1, none of which were critical or remain unpatched. Note that no advisories have yet been issued for i 7.1 159 advisories compared to 10 … that ’s 16 to 1 … Is it any wonder that clients routinely cite security as platform strength for IBM i? ----------------------------- Current statistics are available through the Secunia Web site.
  • IBM has been investing in IBM i continuously for more than 20 years, … and the investments will continue. The future of IBM i is made up of investments across multiple fronts: IBM ’s continuing investments in POWER architecture will provide a solid foundation on which to run. IBM ’s continuing investments in Power Systems software, … such as PowerVM, PowerHA and Systems Director, … will provide advances in virtualization technologies, business resiliency, and systems management tools that will complement all of the operating systems supported on Power Systems. And IBM ’s continuing investments in IBM i itself will provide enhancements that continue to distinguish it as the premier platform for business computing. The IBM i Strategy and Roadmap, … updated for 2011, … can be downloaded from the Web. Colin Parris, Vice President for Power Systems, declares IBM ’s unwavering commitment to IBM i in his cover letter for the document. I thank you all for your trust and passion for the Power i platform and strongly believe that this is the best platform within IBM as well as in the marketplace.
  • Let ’s start by positioning IBM i in the Power Systems portfolio. The traditional view of the portfolio travels up the left side of this chart. A robust Power Systems Software stack sitting on top of industry leading hardware. As you work up the stack, you see enterprise class virtualization - branded as PowerVM - and operating systems which integrate tightly with virtualization technology. Above the operating systems you see availability technology branded as PowerHA, security offerings, and then a combination of energy management and systems management capabilities branded as IBM Systems Director. Let ’s focus for a moment on the operating systems. As a portfolio, the point typically made here is that we have three operating systems – AIX, Linux and IBM i – and not much more is said. Lacking any other comment, the implication is that there is a “sameness” to the operating systems and that it doesn’t matter which one you choose. But they are not the same. As you travel up the right side of the chart, you should immediately recognize that there’s something more going on with IBM i. It includes significant virtualization, security and systems management capabilities before you ever introduce PowerVM or Systems Director. The catch phrase you’ll sometimes see is “total integration with IBM i” – and we want you to understand what that really means. Let ’s define IBM i a bit further…
  • Key Note Speech A Stepanek 1106

    1. 1. IBM Power SystemsIBM Power Systems™Power i – for BusinessAndreas StepanekDirector of Systems and Technology Group Austria © 2012 IBM Corporation
    2. 2. IBM Power SystemsCongratulations... Happy Birthday Common Europe © 2012 IBM Corporation
    3. 3. IBM Power Systems Neonatal Law Care EnforcementThree yearsago we started Frauddescribing the Telecom Preventionemergence of aSmarter Planet Resource Trafficthat is fueling Management Controlinnovationacrossindustries. Manufacturing Trading © 2012 IBM Corporation 3
    4. 4. IBM Power SystemsEnterprises must address unprecedented IT challenges Meet the insatiable demand for new services… …while IT budgets are growing less than 1% per year 32.6 million servers 1.2 zetabytes (1.2 worldwide trillion gigabytes) exist  85% idle CPU capacity in the “digital universe”  15% of servers run 24/7  50% YTY growth without being used daily  25% of data is unique; 75% is a copy Between 2000 and 2010: Data centers have  servers grew 6x doubled their energy use  storage grew 69x in the past five years  18% increase in data center energy costs projected Internet connected devices Security vulnerabilities growing 42% per year grew eightfold since 20004 © 2012 IBM Corporation
    5. 5. IBM Power SystemsSmarter Planet opens a new era for Information TechnologyProcess-Centric era Information-Centric era  Business processes automation  Real-time pattern based action  Focused on bottom-line improvement  Focused on top-line growth through through SG&A reduction revenue acquisition  Typically long business cycle  Reactive for shorter product cycles  Terabytes of largely structured data  Zettabytes of largely unstructured data © 2012 IBM Corporation
    6. 6. IBM Power SystemsSmarter Computing The IT infrastructure that enables a Smarter Planet Designed for data Managed with cloud Harness all available technologies information - 89% of Reinvent IT - 60% of CIOs CEOs want better insight plan to use cloud via Business Intelligence technologies and 55% of and analytics business executives believe cloud enables business transformation Tuned to the task Drive greater performance and improve IT economics - total cost per workload can be reduce up to 55% with optimized systems © 2012 IBM Corporation 6
    7. 7. IBM Power SystemsThe IBM i Business More clients run IBM i than any other IBM system platform 100,000’s of systems in 100,000+ enterprises 115+ countries – 40 language translations – 51 national language versions Cross industry Wholesale Distribution Computer Services Finance Retail Insurance Consumer Package Goods Travel & Transportation Agribusiness Automotive Construction Manufacturing Lodging Healthcare Education Associations Local Government Legal Services Accounting Services © 2012 IBM Corporation
    8. 8. IBM Power SystemsIBM i – Thousands of Leading Industry Solutions © 2012 IBM Corporation
    9. 9. IBM Power SystemsIBM i – Its Design Reflects Its Purpose: Business Computing When purpose is known, When purpose is not clear, it is incorporated into design. accommodations are made. Same application, different levels of risk, efficiency, security and stability © 2012 IBM Corporation
    10. 10. IBM Power SystemsThe Business Case for IBM i on IBM Power Systems “More than any other platform available today, IBM i and Power Systems offer users the benefits of advanced technology while minimizing costs, complexities and risks1.” 1. ITG Management Brief: Value Proposition for IBM Power Systems Servers and IBM i - Minimizing Costs and Risks for Midsize Businesses; January 2011 © 2012 IBM Corporation
    11. 11. IBM Power SystemsLower Overall Three-year CostsAn advantage sustained throughout the life of the platform 42% less than x86, Microsoft Windows Server and Microsoft SQL Server 56% less than x86, Linux and Oracle DB ITG Management Brief: Value Proposition for IBM Power Systems Servers and IBM i - Minimizing Costs and Risks for Midsize Businesses; January 2011 © 2012 IBM Corporation
    12. 12. IBM Power SystemsLower Acquisition and Ongoing Costs Acquisition costs – 18% less than x86 servers with Windows Server and SQL Server databases – 43% less than x86 servers with Linux and Oracle databases Three-year ongoing costs – full time equivalent administrators – 55% less than Windows / SQL Server – 60% less than Linux / Oracle ITG Management Brief: Value Proposition for IBM Power Systems Servers and IBM i - Minimizing Costs and Risks for Midsize Businesses; January 2011 © 2012 IBM Corporation
    13. 13. IBM Power SystemsIs IBM i Price and Cost Competitive? A mountain of evidence says “yes!” – Consultant reports – Technology briefs – White papers – Case studies – References Researched, reported, updated and refreshed routinely for more than 20 years For business computing, no platform has proven more suitable © 2012 IBM Corporation
    14. 14. IBM Power SystemsThe Technology Behind the Business CaseDistinguishing IBM i from everything else “More than any other platform in existence today, POWER7-based systems and IBM i 7.1 are designed to minimize complexities1.” 1. ITG Management Brief: Value Proposition for IBM Power Systems Servers and IBM i - Minimizing Costs and Risks for Midsize Businesses; January 2011 © 2012 IBM Corporation
    15. 15. IBM Power SystemsIntegration – Real, Serious IntegrationAs contrasted with the simple pre-packaging of shrink-wrapped componentsMore … … comprehensively designed … built-in functionality … thoroughly tested … easily managed … platform stability … IT staff productivity … ROI The IBM i operating environment includes operating system and middleware components that are designed, developed, built, tested, delivered and supported as one © 2012 IBM Corporation
    16. 16. IBM Power SystemsIntegration = Faster Time to Value When you shop for a new home, what do you buy? Plans & raw materials Integration Why should you expect any less from your IT than you do from your realtor? © 2012 IBM Corporation
    17. 17. IBM Power SystemsIntegration = Faster Time to Value When it’s time for a new car, what do you look for? Piece parts Integration Why should you expect any less from your IT than you do from your car dealer? © 2012 IBM Corporation
    18. 18. IBM Power SystemsIntegration = Faster Time to Value When you deploy a new solution, where do you begin? se ba S ta O Da y c. rit et cu Se Components Integration Why should you expect any less than total integration from your IT vendor? © 2012 IBM Corporation
    19. 19. IBM Power SystemsThe Solution Stack – Who’s Responsibility Is It?Installation, integration, test, change management, support …Typical Windows, Unix IBM i environment or Linux environment Vendors Vendors 10 Applications 2 9 Performance Management The burden 8 Storage Management The burden of responsibility 7 Systems Management of responsibility falls more on 1 falls more on 6 Security the client, the vendor, adding cost 5 Web Server reducing cost and complexity 4 Relational Database and complexity File system 3 Operating System 2 Virtualization 1 Hardware © 2012 IBM Corporation
    20. 20. IBM Power SystemsTrue Integration Occurs Earlier in the Development ProcessSeparately ordered components might work together, but that doesn’t mean they’re integrated The Oracle Stack The IBM i Environment Integration by patchwork Integration by design Oracle OS + Oracle VM Server + Oracle DB + Oracle Middleware + Oracle Security + more…. © 2012 IBM Corporation
    21. 21. IBM Power SystemsIBM i Security – More Confidence, Less CostMicrosoft® Windows Server® 2008 IBM i 6.1 (no advisories for i 7.1)  159 advisories (all time)*  10 advisories (all time)*  39% highly/extremely critical  None highly/extremely critical  2% remain unpatched  None remain unpatched * Vulnerabilities reported through Feb 15, 2012: http://secunia.com/advisories/product/ © 2012 IBM Corporation
    22. 22. IBM Power SystemsIBM i Strategy and RoadmapPublished February 1, 2011 http://www-03.ibm.com/systems/power/software/i/powerofi/index.html © 2012 IBM Corporation
    23. 23. IBM Power SystemsIBM Power Systems Portfolio © 2012 IBM Corporation
    24. 24. IBM Power SystemsInformation Sources Consultant Reports  ITG Management Brief: Value Proposition for IBM Power Systems Servers and IBM i - Minimizing Costs and Risks for Midsize Businesses; January 2011 – Executive summary: http://www-03.ibm.com/systems/power/software/i/strategy.html – Full report: Available on SSI and PartnerWorld  ITG Status Report: Value Proposition for IBM i Solution Edition for JD Edwards for EnterpriseOne Deployment: http://www-03.ibm.com/support/techdocs/atsmastr.nsf/WebIndex/WP101732 Case Studies  Svendsen: http://www-01.ibm.com/common/ssi/cgi-bin/ssialias?infotype=PM&subtype=AB&htmlfid=SPC03087DEEN IBM sites  IBM i Strategy and Roadmap: http://www-03.ibm.com/systems/power/software/i/strategy.html  IBM i Solution Editions: http://www-03.ibm.com/systems/power/hardware/editions/solutions.html  Enterprise Modernization Sandbox: http://www.ibm.com/developerworks/downloads/emsandbox_power/index.html © 2012 IBM Corporation
    25. 25. IBM Power SystemsTrademarks and DisclaimersIBM, the IBM logo, and ibm.com are trademarks or registered trademarks of International Business Machines Corporation inthe United States, other countries, or both. If these and other IBM trademarked terms are marked on their first occurrence inthis information with a trademark symbol (® or ™), these symbols indicate U.S. registered or common law trademarks ownedby IBM at the time this information was published. Such trademarks may also be registered or common law trademarks inother countries. A current list of IBM trademarks is available on the Web:"Copyright and trademark information" at www.ibm.com/legal/copytrade.shtmlMicrosoft and Windows are trademarks of Microsoft Corporation in the United States, other countries, or both.UNIX is a registered trademark of The Open Group in the United States and other countries.Java is a trademark of Sun Microsystems, Inc. in the United States, other countries, or both.Other company, product, or service names may be trademarks or service marks of others. © 2012 IBM Corporation

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