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Accelerating Innovation , Increasing Governance & Reducing Cost using Cloud-based Software Procurement and Service Management

The cloud has accelerated the pace of technology innovation. But what about software procurement and service management? In this session, we will explore how software procurement is changing in the cloud and how leading-edge customers are taking advantage of AWS Marketplace to optimise cloud software procurement. We will also discuss how AWS Marketplace is making it easier to discover, procure, and deploy software as well as how AWS Service Catalog makes it easier to manage your software portfolio. Speaker: David McCann, Global VP of AWS Marketplace, AWS

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Accelerating Innovation , Increasing Governance & Reducing Cost using Cloud-based Software Procurement and Service Management

  1. 1. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Dave McCann, VP AWS Marketplace and Service Catalog October 2017 Accelerating Innovation , Increasing Governance & Reducing Cost using Cloud-based Software Procurement and Service Management and
  2. 2. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Migrating existing applications as quickly as possible Deploying new applications to the cloud by default Cloud computing has become the new normal AWS services more than a million active customers every month in 190 countries. Through customer obsession and an increasing pace of innovation, AWS is the fastest technology vendor in history to reach a $10B run rate.
  3. 3. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. On the journey to the cloud, customers require Third Party software solutions for many workloads New Applications Digital & CX Analytics Mobile DC Migration Mission Critical Apps All In Mission Critical Apps Development & Test New Applications This journey involves migrating software to the cloud
  4. 4. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. The Enterprise Software Portfolio is in transition Gartner Report "Market Insight: Cloud Computing's Drive to Digital Business Creates Opportunities for Providers.“ May 24, 2016 Jeffrey Mann, David Mitchell Smith, Ed Anderson, Jay Heiser, Yefim V. Natis, Thomas Bitman, Neville Cannon • Software catalog starting position • 70% COTS software • ~200+ software product vendors • Large EA/ELAs for top 50 vendors • Long list of products not well known or tracked • Upgrades cascade over 3-5 year cycle • 10-40% in house developed applications • 30% open source/free software • High potential for rationalization "Cloud will increasingly be the default option for software deployment.” Gartner
  5. 5. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Software Procurement Challenges heading to cloud• Prior License restrictions may prohibit carrying perpetual licenses to cloud • Opportunity to migrate to SaaS causes accelerated retirement of older products • Cloud workloads often require new requirements increasing Evals/POCs & new vendors • Migrating existing applications can be complex and time consuming • Inability to leverage existing agreements drives time and resource loads on finite Procurement teams • License tracking in a hybrid environment can be extremely difficult
  6. 6. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. AWS Marketplace Transforms Software Procurement Find, Test, Buy, Deploy, and Manage Software In the Cloud About • Deploy software on demand • Curated software from trusted vendors • 1250+ ISVs • 4000+ product listings • Simplified procurement and deployment • Billed through AWS account • Deployed in 14 Regions around the world • 154,000 Active Customers
  7. 7. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. AWS Marketplace Capabilities Software discovery procurement and deployment simplified Pay options such as pay-as-you-go pricing • Pay only for what you use • Integrate software costs into AWS bill • Pay by user, host, or data • Upgrade to longer terms for subscription discounts • SAAS Multi Year Contracts Be flexible • Easily scale up or down on-demand • Test and learn without material commitments • Use only what you need without wasting un-used licenses • Resources Tagged and visible in Spend Management Tools Get the software you need in minutes • Test in minutes • Innovate faster • Ready-to-run on AWS • Simplify migration to the cloud • Leverage BYOL investments • Convert from Test to Buy
  8. 8. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. AWS Marketplace Listing Types Cloud based deployment options BYOL Carry previously purchased licenses to AWS via AWS Marketplace License key required to deploy and track Leverage existing investments and simplify cloud deployment capabilities 400 Titles Utility Metered pricing available based on variables like term, # of users, amount of bandwidth, # of hosts Pay only for what you use. Utility model eliminates large capital investments, lowering TCO for new and scaling workloads Free Trials available for many products. Consolidated billing with other AWS services 2100 Titles Open Source Curated listings, often with no SW cost for use of these products, unless supported versions are necessary AWS infrastructure cost still apply to open source deployments 2000 Titles SaaS Service completely managed and fulfilled by SaaS Provider (At least for now) No resources required to manage infrastructure SaaS Contracts avail for annual and multi-year commitments, Free Trials available for many products. Consolidated billing with other AWS services +200 Titles Amazon Machine Image (AMI) Deployed on AWS EC2 SaaS
  9. 9. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. AWS Marketplace flexible pricing options Hourly Pay for software and compute capacity by the hour, # of users, data transferred, etc. with no long-term commitments Ideal for Dev/Test or workloads with spikey traffic Monthly Make a monthly payment and receive a discount on the monthly pricing charge Ideal for temporary projects and baseline workloads Annual/Multi-Year Make a one-time payment and receive a significant discount. Multi year options also available. Ideal for periodic and long-term workloads Free Trial Get started on AWS Marketplace with free trial & no commitment. Good for initial evaluation Private Offers Custom pricing negotiated between customer & ISV fulfilled on AWS Marketplace Intended for high value subscriptions >$50K Available to EDS sellers
  10. 10. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Popular categories and leading brands most often deployed in projects Security BIStorage MediaDatabaseNetworking DevOps Operating Systems
  11. 11. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Analyze and Control costs with AWS Cost Explorer Visualize your AWS Marketplace costs and usage Dive deeper into your usage patterns Set budgets on your AWS Marketplace costs and usage
  12. 12. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. GE Water Moves Data Warehousing to the Cloud Greater scale and agility with Matillion ETL through AWS Marketplace Business Challenge: • Existing data warehouse stretched to the limit and hard to scale due to cap-ex and high-end hardware requirements. Approach: • Cloud-based data warehousing as a cost-effective way to scale to meet business needs using AWS Redshift Outcome: • 6 months from ideation to go-live • 45% operating cost reduction • Migrating 9000 workloads into AWS and moving from 34 physical data centers to 4.
  13. 13. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Seller Private Offers Limited Preview • Participating Sellers* can extend any AWS account a version of their product, enabling volume contracts through AWS Marketplace • Available on AMI or SaaS product types on AWS Marketplace • Customers can receive specific pricing and legal terms • Customers get all the same benefits of consolidated billing, cost analysis, and subscription management of AWS Marketplace while paying a lower privately negotiated price • *Available to sellers participating in our Enhanced Data Sharing (EDS) program
  14. 14. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Procure Govern Run Copy Person 1Cloud Admin Launch + other services PersonnelCloud Teams & Users Create PersonnelCloud Users Discover, Test, And Subscribe Launch Moving to internal governance and user self- service
  15. 15. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Evolve your Application Portfolio Management Sourcing, Publishing, Versioning, and Managing with Cloud Formation Application Stacks • AWS Marketplace Operation • Centralizing digital assets • 24/7 scanning, monitoring • Vulnerability notifications and fixes • Versioning and patching* • Engineering with ISV’s *Vendor dependent 1 2 3 • Vendor asset publishing • Curating trusted vendor list • Procurement • Centralized billing • 35 Categories • Publishing new listings every week • Published Globally • Access control and sharing • Governance • Provisioning • On-going operations and management Source PublishManage 1 2 3
  16. 16. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. What is ? AWS Service Catalog is a structured service used for governance, management, maintenance and deployment of application portfolios made available to customers AWS Service Catalog allows you to centrally manage commonly deployed AWS services and application portfolios, and helps your organization achieve consistent governance and compliance requirements, while enabling users to quickly deploy only the approved AWS services they need
  17. 17. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Why customers use Use Cases De-risk AWS Provisioning variability (Cost, Security, Governance) Self Service Team Portal – One Stop Shop Template Standardized AWS Deployments (CFN) Template Version Control for AWS centered teams & users Enforce Governance and Compliance proactively Integrate with other ITSM tools via API’s Centrally Optimize the distributed IT Service Life Cycle Integrated to AWS Marketplace ( Copy Product )
  18. 18. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Wiley Embraces Digital-First Publishing Business Challenge: • Modernize to drive innovation for business growth. Approach: • Cloud-first DevOps strategy for faster delivery of products and services through greater autonomy and automation. Outcome: • Deliver new products faster than before with repeatable deployment models and reusable artifacts • Launch new application stacks in minutes instead of hours, days or weeks. • Easily deploy application builds to production using the AWS Service Catalog with self-service portal
  19. 19. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. AWS Marketplace & Service Catalog Vision Public Marketplace & Private Service Catalog • Buy from AWS Marketplace & move to SC • Provide single source of internal marketplace offerings via SC to only approved teams & users Transition to Software On-Demand • Rapidly innovate by buying and deploying software solutions on-demand • Test /Dev & Production • Simplify and streamline purchasing, license management and invoicing • Upgrade on demand Increase Automated Analytics and Insights • Real time insights into software demand & usage within the large Enterprise Approval Workflow & Issue Tracking Spend Visibility & Controls Test, Choose, Procure & Deploy Reuse & Manage ProcurementFinanceLegal Deployed Resources IT Leadership CISO& Security DevOps
  20. 20. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Transforming your portfolio: The 5/50/500 model 5 50 500 The Mega “5” software vendors which represent ~ 50% of IT software spend. The ~top 50 vendors critical to the journey to the cloud and future direction of a company. The long tail of 500+ vendors. MSFT & Oracle, managed by
  21. 21. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Innovate faster in seven steps with AWS MP & SC 1.Identify key software vendors 2.Find seller on 3.Determine procurement policies 4. Stand up 5. Establish products and portfolios 6. Design constraints and tags in 7. Cost tracking & approval workflows
  22. 22. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved. Q&A and

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