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Developing Your Cloud Strategy
November 10, 2011




Paul Carmody
SVP, Product Management & Business Development, Internap

Michael Carman
Business Development, VMware
Agenda




     Introduc)ons	
  

     Cloud	
  defini)ons	
  

     Latest	
  cloud	
  trends	
  	
  

     Developing	
  your	
  cloud	
  strategy	
  

     Key	
  considera)ons	
  for	
  choosing	
  an	
  infrastructure	
  provider	
  




2
IT Platform
    Flexibility

                  Performance to
                    the End user



3
Cloud is simply an evolution of outsourcing
    the IT stack


                                     “SaaS”	
  
                                       	
  =	
  	
  
                                  Turnkey	
  App	
  



                         “PaaS”	
  =	
  Code	
  and	
  Load	
  


                        “IaaS”	
  =	
  OSaaS/FSaaS	
  

                             “HWaaS”	
  =	
  MH	
  

                             “DCaaS”	
  =	
  Colo	
  

4
SaaS has taken off while PaaS has languished



                                  “SaaS”	
  
                                    	
  =	
  	
  
                               Turnkey	
  App	
  
                                                                Excellent	
  for	
  
                                                               non-­‐core	
  apps	
  

                      “PaaS”	
  =	
  Code	
  and	
  Load	
  




                                                                     Too	
  inflexible	
  
                                                                   for	
  prac)cal	
  use	
  




5
DCaaS through IaaS form the building blocks
             of strategic applications


                                             “SaaS”	
  
                                               	
  =	
  	
  
Increased	
  customiza3on	
  




                                          Turnkey	
  App	
  




                                                                          Increased	
  agility	
  
                                 “PaaS”	
  =	
  Code	
  and	
  Load	
  


                                “IaaS”	
  =	
  OSaaS/FSaaS	
  

                                     “HWaaS”	
  =	
  MH	
  

                                     “DCaaS”	
  =	
  Colo	
  

   6
VMware is the customer-proven market leader

 §  Company Overview
    •  $2.9 billion in 2010 revenues
    •  Over $3 billion in cash
    •  ~9,000 employees worldwide
    •  5th largest infrastructure software
     company in the world
 §  Proven in the Trenches
    •  250,000+ VMware customers
    •  100% of Fortune 100
    •  100% of Fortune Global 100
    •  97% of Fortune Global 500
    •  Leader in Gartner Magic Quadrant
    •  84% of all virtualized applications



7
Enterprise cloud requirements aligned with VMware

Recent global study among CIOs and top IT decision makers


Key findings:
§  Requirements for Enterprise Hybrid cloud are clear; (high performance, enterprise-level
     security and Quality Of Service, application portability)
§  Business Agility is the top driver for cloud (75%)
§  Highest deployments in private clouds today; ~ 20% (and growing) using hybrid cloud today
§  88% would use cloud more if they could achieve the same or better security as their internal
     datacenter
§  88% rate cloud computing as priority over the next 18 months
§  Adoption is maturing quickly; 2/3 of respondents planning or adopting cloud today, 22%
     already in department and enterprise-wide deployments
§  95% agree that virtualization is critical to cloud
§  93% agree with VMware’s definition of cloud computing



        Base: 636 Total respondents; 234 US respondents; 202EMEA respondents; 200 APAC respondents
        Source: CIO Global Cloud Computing Adoption Survey January 2011


 8
The many paths to cloud adoption




            Public Cloud                   Public Cloud Adoption
            Experimentation                and Commitment




                                                                       Hybrid Cloud
                                                      Mature Private
                                                      Cloud
                                      Early Private
                                      Cloud

                        Cloud Ready



           Cloud
           Interested




9
Where should you start? Follow the model of other customers…
      “Which of the following best describes your organization’s starting point for cloud computing?”


                      25%                                                                                                  10%
            •  43% Email
                                                                                                                      Business case,
            •  40% Collaboration
            •  39% Human Resource                                                                                     Strategy & plan
            •  34% Sales Force Auto




                      26%                                                                                                   39%
             •  69% Test & Dev                                                                                       Roadmap, service
             •  51% Pre-Production                                                                                   catalog, reference
             •  50% Quality Testing
                                                                                                                        architecture
             •  44% Load Testing

     Base: 271Total respondents; 110 US respondents; 82EMEA respondents; 79 APAC respondents currently using or piloting services or applications via the cloud
     Source: CIO Global Cloud Computing Adoption Survey January 2011


10
VMware vCloud solution


               Agility with Reliable Performance
               •  On-demand provisioning of virtual servers
               •  Fast scale up at reasonable cost
               •  Predictable, consistent SLAs


               Security
               •  Secure & auditable cloud infrastructure
               •  Secure apps and user access



               Application Portability
               •  Compatible with existing workloads
               •  Globally consistent service across providers



11
The VMware cloud vision


                                                                     Management

                     New End User Access
                                                                     Automation




            Existing Apps              New Enterprise Apps                     SaaS Apps

                                                                  Management
                                    New Application Platform
                                                                  Automation




                                                     Management
         New Infrastructure
                                                     Automation
                                                                               Public
                                Hybrid Cloud
                                                                     or Dedicated Clouds



12
Internap defines IaaS as a continuum



                                                  IaaS


                       Private Cloud                             Public Cloud


           App   App       App       App    App           App   App    App      App   App
                                                  Instances



                                               Hypervisor




                                 Decreasing Cost, Increasing Capacity
                                 Increasing Control and Customization

                                           Cloud Storage




13
Questions to consider when selecting a cloud
                    service provider:




                                                                    What about
                                       How much
Importance to You




                                                                   performance
                                       security?
                                                                    to the end-
                                                     How much          user?
                       What level of                 support is
                       customization                  needed?
                       do you need?


 14
Is everything moving to the cloud?




             Enterprises tend to start here and
             then migrate parts of their
             infrastructure right




          Colocation            Managed           Private Cloud   Public Cloud
                                Hosting




                                                                    Internet start-ups tend to
                                                                    begin here and migrate
                                                                    left as leverage and
                                                                    security increase in
                                                                    importance

15
Match application needs with platform strengths



                                                           Give me
            Application Portfolio Support                  options!

              Packaged       E-      Custom      Point
                ERP       commerce    Apps     Solutions




                                                           Give me
             Application Optimization                      synergy!

              Storage/                App       Web
                          Database
              Archival               Servers   Servers




             Colocation   Managed    Private    Public
                          Hosting    Cloud      Cloud




16
Our intelligent IT
          Infrastructure solutions
          can take your business
          to a higher level.



2,700+ Enterprise Customers   450 Employees   2010 Revenue: $244M   NASDAQ: INAP




17

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Developing Your Cloud Strategy

  • 1. Developing Your Cloud Strategy November 10, 2011 Paul Carmody SVP, Product Management & Business Development, Internap Michael Carman Business Development, VMware
  • 2. Agenda Introduc)ons   Cloud  defini)ons   Latest  cloud  trends     Developing  your  cloud  strategy   Key  considera)ons  for  choosing  an  infrastructure  provider   2
  • 3. IT Platform Flexibility Performance to the End user 3
  • 4. Cloud is simply an evolution of outsourcing the IT stack “SaaS”    =     Turnkey  App   “PaaS”  =  Code  and  Load   “IaaS”  =  OSaaS/FSaaS   “HWaaS”  =  MH   “DCaaS”  =  Colo   4
  • 5. SaaS has taken off while PaaS has languished “SaaS”    =     Turnkey  App   Excellent  for   non-­‐core  apps   “PaaS”  =  Code  and  Load   Too  inflexible   for  prac)cal  use   5
  • 6. DCaaS through IaaS form the building blocks of strategic applications “SaaS”    =     Increased  customiza3on   Turnkey  App   Increased  agility   “PaaS”  =  Code  and  Load   “IaaS”  =  OSaaS/FSaaS   “HWaaS”  =  MH   “DCaaS”  =  Colo   6
  • 7. VMware is the customer-proven market leader §  Company Overview •  $2.9 billion in 2010 revenues •  Over $3 billion in cash •  ~9,000 employees worldwide •  5th largest infrastructure software company in the world §  Proven in the Trenches •  250,000+ VMware customers •  100% of Fortune 100 •  100% of Fortune Global 100 •  97% of Fortune Global 500 •  Leader in Gartner Magic Quadrant •  84% of all virtualized applications 7
  • 8. Enterprise cloud requirements aligned with VMware Recent global study among CIOs and top IT decision makers Key findings: §  Requirements for Enterprise Hybrid cloud are clear; (high performance, enterprise-level security and Quality Of Service, application portability) §  Business Agility is the top driver for cloud (75%) §  Highest deployments in private clouds today; ~ 20% (and growing) using hybrid cloud today §  88% would use cloud more if they could achieve the same or better security as their internal datacenter §  88% rate cloud computing as priority over the next 18 months §  Adoption is maturing quickly; 2/3 of respondents planning or adopting cloud today, 22% already in department and enterprise-wide deployments §  95% agree that virtualization is critical to cloud §  93% agree with VMware’s definition of cloud computing Base: 636 Total respondents; 234 US respondents; 202EMEA respondents; 200 APAC respondents Source: CIO Global Cloud Computing Adoption Survey January 2011 8
  • 9. The many paths to cloud adoption Public Cloud Public Cloud Adoption Experimentation and Commitment Hybrid Cloud Mature Private Cloud Early Private Cloud Cloud Ready Cloud Interested 9
  • 10. Where should you start? Follow the model of other customers… “Which of the following best describes your organization’s starting point for cloud computing?” 25% 10% •  43% Email Business case, •  40% Collaboration •  39% Human Resource Strategy & plan •  34% Sales Force Auto 26% 39% •  69% Test & Dev Roadmap, service •  51% Pre-Production catalog, reference •  50% Quality Testing architecture •  44% Load Testing Base: 271Total respondents; 110 US respondents; 82EMEA respondents; 79 APAC respondents currently using or piloting services or applications via the cloud Source: CIO Global Cloud Computing Adoption Survey January 2011 10
  • 11. VMware vCloud solution Agility with Reliable Performance •  On-demand provisioning of virtual servers •  Fast scale up at reasonable cost •  Predictable, consistent SLAs Security •  Secure & auditable cloud infrastructure •  Secure apps and user access Application Portability •  Compatible with existing workloads •  Globally consistent service across providers 11
  • 12. The VMware cloud vision Management New End User Access Automation Existing Apps New Enterprise Apps SaaS Apps Management New Application Platform Automation Management New Infrastructure Automation Public Hybrid Cloud or Dedicated Clouds 12
  • 13. Internap defines IaaS as a continuum IaaS Private Cloud Public Cloud App App App App App App App App App App Instances Hypervisor Decreasing Cost, Increasing Capacity Increasing Control and Customization Cloud Storage 13
  • 14. Questions to consider when selecting a cloud service provider: What about How much Importance to You performance security? to the end- How much user? What level of support is customization needed? do you need? 14
  • 15. Is everything moving to the cloud? Enterprises tend to start here and then migrate parts of their infrastructure right Colocation Managed Private Cloud Public Cloud Hosting Internet start-ups tend to begin here and migrate left as leverage and security increase in importance 15
  • 16. Match application needs with platform strengths Give me Application Portfolio Support options! Packaged E- Custom Point ERP commerce Apps Solutions Give me Application Optimization synergy! Storage/ App Web Database Archival Servers Servers Colocation Managed Private Public Hosting Cloud Cloud 16
  • 17. Our intelligent IT Infrastructure solutions can take your business to a higher level. 2,700+ Enterprise Customers 450 Employees 2010 Revenue: $244M NASDAQ: INAP 17