The document discusses architecting for digital transformation at the edge. It introduces the Global Interconnection Index, which predicts that interconnection bandwidth growth will outpace internet traffic growth. The presentation discusses how digital is transforming industries and becoming the growth engine of the global economy. It also outlines key stages for re-architecting IT delivery capabilities to scale digitally using an interconnection-first approach.

1. © 2017 Equinix Inc. equinix.com 1
Learn critical insights and best practices
to architect for digital at the edge
Scale IT for Success in
the Digital Economy
Ravi Ravishankar, VP Marketing Asia Pacific
2nd NOV 2017 | GARTNER SYMPOSIUM | GOLD COAST

2. © 2017 Equinix Inc. equinix.com 2
Introducing: the Global Interconnection Index
Key transformation stages to re-architect IT delivery capability
Architecting your digital edge for success
New industry baseline, Key insights, APAC headlines
To scale, the building blocks of digital need Interconnection
Digital is the growth engine of the global economy
Internet Economy  Interconnection Economy
Seismic shifts of business models demand connected platforms

3. © 2017 Equinix Inc. equinix.com 3
Digital is transforming all industries and becoming the growth engine of the
global economy
MANUFACTURING RETAILTRANSPORTATION HOSPITALITY
INDUSTRIAL
INTERNET
OMNICHANNEL
RIDE
SHARE
ROOM
SHARE
Source: Accenture Strategy, Digital Disruption: The Growth Multiplier
2016 ECONOMY
The digital economy as a share of
gross domestic product
2021 ECONOMY
Forecast growth of the digital
economy
INDUSTRY EXAMPLES OF DIGITAL TRANSFORMATION DIGITAL AS A SHARE OF GLOBAL GDP

4. © 2017 Equinix Inc. equinix.com 4
Network Network
Content
Financial
Network
Content
Financial
Cloud
Enterprise
Payments
Internet of Things
Network
Content
Financial
Cloud
Enterprise
Network
Content
Financial
Cloud
2000 2020
Interconnection has truly helped scale the digital economy…

5. © 2017 Equinix Inc. equinix.com 5
Interconnection is at the center of today’s key macro trends
Digital Technology Use
Forces the need to
support
real-time interactions
In additional economic output in the
world’s top 10 economies by 2020,
per Accenture
$1.36T
Need for Digital Services
within proximity
Urbanization
Over 2 billion people are expected to
migrate to major cities by 2035,
creating 50 metro hubs, per
Connectography by Parag Khanna
50 Metro Hubs
Need to bypass the
internet and deploy data
and security locally
Cyber Security &
Data Sovereignty
60% / 18+
• Suffer major service failures by
2020, due to inability to manage
digital risk, per Gartner
• Major countries block certain data
transfers out of country, per ITIF
Need to support global
business processes
connecting customers,
partners & employees
Digital Trade
Increase in total services exports
delivered digitally by 2020, per
McKinsey
9x
TREND
NEED
IMPACT

6. © 2017 Equinix Inc. equinix.com 6
To scale, the building blocks of digital need Interconnection
Digital is the growth engine of the global economy
Internet Economy  Interconnection Economy
Seismic shifts of business models demand connected platforms
JOE WEINMAN
AUTHOR | KEYNOTE SPEAKER | ANALYST | CONSULTANT | BOARD MEMBER

7. The Internet Economy
is Becoming the
Interconnection Economy
Joe Weinman
joeweinman@gmail.com
@joeweinman
© 2017 Joe Weinman. All Rights Reserved.

8. The Interconnection
Economy
ECONOMY BUSINESS TECHNOLOGY
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 8

9. ECONOMY BUSINESS TECHNOLOGY
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 9
The Interconnection
Economy

10. The Global Economy, 2015-2020
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 10
Source: Accenture
Digital Non-Digital
22.5% 77.5%
25% 75%

11. Global Digital Flows
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 11
Source: McKinsey Global Institute
Greater Bandwidth and Interconnection
Bandwidth & More Endpoints
Greater Global
Knowledge-Intensive Flows
Faster Growth than Labor,
Capital-Intensive Segments
Increasing
Network-
Centricity

12. Digital Disruption
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 12
Media
Telecom
Consumer Financial
Retail
Technology
Insurance
Consumer Products
Nonprofit
Business / Pro Services
Education
Healthcare
Wealth Management
Industrial
72%
64
61
57
57
53
52
52
51
50
47
43
39
Source: HBR /
Russell Reynolds

13. ECONOMY BUSINESS TECHNOLOGY
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 13
The Interconnection
Economy

14. Digital Disciplines
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 14

15. Digital Disciplines
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 15
Information Excellence
卓越信息
Solution Leadership
领先解决方案
Collective Intimacy
集体亲密度
Accelerated Innovation
升级创新

16. Operational Excellence 
Information Excellence
• Supplant
• Automate
• Mirror
• Fuse
• Manage
• Optimize
• Improve
• Monetize
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 16

17. Optimization
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 17
Source: UPS

18. Optimization
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 18
Photo Credit: Joe Weinman

19. Dynamic, Virtual, Networked
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 19
Source: Li & Fung

20. Dynamic, Virtual, Networked
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 20
Source: Uber

21. Product Leadership 
Solution Leadership
• Digital, Smart, Connected
• Real-Time
• Augmented & Potential
• Experiences & Transformations
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 21

22. Product Leadership
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 22
Source: Rolex

23. Smart, Digital, Connected
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 23
Source: Apple

24. Digital, Connected
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 24
Source: Adidas

25. Smart, Digital, Connected
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 25
Source: UC Berkeley

26. Interconnected Solution Ecosystem
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 26
Source: Nike, Withings

27. Interconnected Solution Ecosystem
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 27
Source: Amazon

28. Connected Business Models
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 28
• Behaviors
• Contexts
• Demographics
• External Data
• Real-Time
Premiums

29. Customer Intimacy 
Collective Intimacy
• Small scale  Hyperscale
• Physical  Virtual
• Human  Algorithmic / AI
• Firewalled  Collective
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 29

30. Collective Intimacy
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 30

31. Collective Intimacy
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 31
Source: Netflix

32. Collective Intimacy
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 32
Source: Amazon

33. Driving Relevance
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 33
• Attitudes
• Behaviors
• Contexts
• Demographics
• External Data
• Friends / Followers
• Goals

34. Traditional Innovation 
Accelerated Innovation
• Closed  Open
• Structured  Ad Hoc
• Efforts  Results
• Employees  Crowds
• Human  AI
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 34

35. Cloud-Mediated Innovation
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 35
Challenge
Solutions
Solution

36. ECONOMY BUSINESS TECHNOLOGY
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 36
The Interconnection
Economy

37. Cloudonomics
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 37

38. Quantitative Analysis of Clouds
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 38
Common
Location-independent
Online
Utility
on-Demand
- Penalty Cost Reduction to for 𝑚 independent demands
- Latency ∝ to for 𝑛 nodes, adjusted by
( )
( )
- Hub vs. P2P Benefit of Connections; Latency Penalty of ×
- Pure Cloud Better when > 𝑈; Hybrid Best with Breakeven at 𝑡 = 𝑇/𝑈
- Linear Benefit for 𝐷 𝑡 = 𝑘𝑡; Exponential for 𝐷 𝑡 = 𝑒 ; for Random Walk
- Smart networks improvement on 𝑛 paths ≅ +
( )
−
Source: Joe Weinman, Cloudonomics

39. Legacy
Custom Virtualized
Private
Colo
VPC
HPC
Public
Multicloud
Federated HybridFog
Spectrum of Infrastructure Options
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 39

40. What’s the Right Cloud Strategy?
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 40
?
All logos are the property
of their respective owners

41. Walmart Direction
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 41
“We’re thinking about managing thousands of clouds…each store could potentially be
a cloud. [The] 10x…type of problem with…burst capacity is really one of the reasons
we looked at cloud computing.”– Jeremy King, SVP & CTO, Walmart, Structure 2015
Traffic Data © 2012 Alexa Internet. Used by Permission All logos are the property
of their respective owners

42. Microservices
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 42
Source: AppCentrica, Amazon, Netflix

43. Enterprise Architecture Evolution
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 43

44. Internet Economy 
Interconnection
Economy
ECONOMY BUSINESS TECHNOLOGY
@joeweinman © 2017 Joe Weinman. All Rights Reserved. 44

45. @joeweinman © 2017 Joe Weinman. All Rights Reserved. 45
Interconnected Everywhere

46. Thank You
Joe Weinman
joeweinman@gmail.com

47. © 2017 Equinix Inc. equinix.com 47
Introducing: the Global Interconnection Index
Key transformation stages to re-architect IT delivery capability
Architecting your digital edge for success
New industry baseline, Key insights, APAC headlines
To scale, the building blocks of digital need Interconnection
Digital is the growth engine of the global economy
Internet Economy  Interconnection Economy
Seismic shifts of business models demand connected platforms

48. © 2017 Equinix Inc. equinix.com 48
Growth of Digital
Business Ecosystems
Measured in
Interconnection Bandwidth
Published in the Global
Interconnection Index
Interconnection is the private
exchange of data between
companies
Key Insights

49. © 2017 Equinix Inc. equinix.com 49
By 2020, the Index predicts Interconnection Bandwidth will outpace the
growth of internet traffic by 2X and 6X the volume
INTERCONNECTION BANDWIDTH
GROWTH…
IS EXPECTED TO GROW BY
45%
TO
5000TBPS
OF INSTALLED BANDWIDTH
…IS EXPECTED TO OUTPACE THE
GROWTH OF INTERNET & MPLS TRAFFIC
MPLS Internet Interconnection
45%
24%
4%
5000 TBPS OF INTERCONNECTION BANDWIDTH IN
ONE MINUTE COULD CONCURRENTLY PROCESS
Interconnection Bandwidth is defined as the total capacity provisioned to privately and directly exchange traffic with a diverse set of counterparties and providers at distributed IT exchange points

50. © 2017 Equinix Inc. equinix.com 50
2020 Forecast: Interconnection Bandwidth in Asia Pacific
TOP 4 METROS
Singapore
Sydney
Hong Kong
Tokyo
1
2
3
4
• Sydney is the 2nd largest Interconnection metro in Asia-Pacific (44% CAGR)
• Cloud & IT Services will consume the most Interconnection BW (20% of AP forecast)
• Banking & Insurance sectors will grow at 71% CAGR to support digital engagement models
93.2 per cent of Australian
businesses consider
platform based business
models a strategic
imperative
(Accenture)
Digital can represent the
next frontier of productivity
and economic uplift for
Australia, with the potential
to contribute between AUD
140 bn and AUD250 bn to
Australia’s GDP by 2025
(McKinsey)
ANZ CIOs Have Greater
Focus on Digitalization Than
Global Peers. The top areas
of new technology
investments come in
BI/analytics, cloud &
Digitalization
(Gartner)
INDUSTRY QUOTES (2017)

51. © 2017 Equinix Inc. equinix.com 51
Introducing: the Global Interconnection Index
Key transformation stages to re-architect IT delivery capability
Architecting your digital edge for success
New industry baseline, Key insights, APAC headlines
To scale, the building blocks of digital need Interconnection
Digital is the growth engine of the global economy
Internet Economy  Interconnection Economy
Seismic shifts of business models demand connected platforms

52. © 2017 Equinix Inc. equinix.com 52
The strategy to scale for digital requires solving for a target state of multi-
application workflows
Target State – multi-application workflowConstraints to Scale
INTEGRATION
GRAVITY
PROXIMITY
PHYSICS

53. © 2017 Equinix Inc. equinix.com 53
Key transformation stages to re-architect IT delivery capability
Focus
• Network segmentation flows
• Multicloud connectivity
• IP Scope & Address Mgt.
• Identity & Access Mgt.
• Partner & B2B Interconnect
STAGE Multicloud Control Points
ACTIVITY
PATTERN
Establish nodes in proximity
to clouds in required regions
Place Services at Edge
• Access Networks (radio,
cellular, broadband)
• VPN Termination
• Citrix / App Gateways
• IoT Device Management
• Edge Security Services
Place services in proximity
to End Users & IoT ‘things’
Rationalize Portfolio
• Regional load balancing
• Optimize workload
placement
• Divest Long Term fixed
costs & assets.
• OPEX vs. CAPEX.
Distribute Application
Workloads & Divest DCs
Flip the topology
• WAN Optimization
• Internet & SaaS access
• International Link Opt.
• Co-located Private Data.
• Move DMZ to the Edge
Move Connections to the
node, hub WAN & Internet
MPLS

54. © 2017 Equinix Inc. equinix.com 54
To scale, firms need to understand an Interconnection-first architecture
Traditional Network Architecture
• Constrained point-to-point connectivity
• Backhauling user traffic to central data center
• Optimized, multipoint connectivity
• Direct, private traffic exchange points between users and local services
Interconnection-first Architecture

55. © 2017 Equinix Inc. equinix.com 55
© 2017 Equinix Inc. ioakb.com
Key design blueprints to develop your digital business platform leveraging
Interconnection – we call it IOA™
Simplify the Network
Localize Traffic via Communication Hubs
1
Create Security Guard Rails
Overlay a Mesh of Distributed Security Services
2
Establish a Data Fabric
Deploy Tiered Storage and Data Sets Adjacent
3
Integrating Apps via Intersection Points
Overlay Distributed Integration Services
4

56. © 2017 Equinix Inc. equinix.com 56
… and the 20 necessary Implementation Patterns required to solve for
Digital Customer Experience
Free & Open
Registration
@ IOAKB.com
Network Design Pattern #3
Multicloud Connectivity
Data Design Pattern #1
Data Cache (private data)
Visit our
booth for a
LIVE
DEMO!

57. © 2017 Equinix Inc. equinix.com 57
Equinix enables Yarra City Council to migrate IT infrastructure to the
cloud
“The word is getting out... I get two or three calls a week
from other municipalities, asking me about Yarra’s digital
transformation journey”
Rick Bottiglieri, Innovation Manager, Yarra City Council
“I believe that it’s about time that the public sector …
focused on a more customer centric approach.”
• Escalating costs & inefficiencies from siloed &
disparate infrastructure.
• Digital transformation strategy to update their
architecture, bring services to the edge &
improve customer experience.
Established a multi-cloud control point in Melbourne
to accelerate their digital transformation.

58. © 2017 Equinix Inc. equinix.com 58
Leveraging InterconnectionScaleRequirements
Workload
Capability
CurrentState
Window to Act
TippingPoint
Time
Note: Based on 3 or more locations, 300 or more users (people or devices), 5 x 8 consumption
(days/hours per day) , and 10+ Apps (collaboration, content, cloud & context workloads)
Data from Equinix Customer Benchmarks validated by Forrester Research in Total Economic
Impact (TEI) Report August 2015
Firms leveraging IOA on Platform Equinix have achieved significant scale
advantage
30x Greater
Throughput
Results
30%
Lower
Latency
30%
Lower
Costs
when compared to traditional
networked applications
Physics
Proximity
Gravity
Integration
Real Time

59. © 2017 Equinix Inc. equinix.com 59
Equinix is the global
Interconnection Platform for the world’s
leading digital businesses
Unmatched
Global Data
Centers
Leading
Interconnection
Solutions
Largest
Business
Ecosystems
Services &
Controls
Be
Interconnected
Be Everywhere
Be in Control
Be Integrated
1,700+ Networks,
240,000+ Cross Connects
2,850+ Cloud and IT
Service Providers
1,200+ Financial Services
Firms
180+ Data Centers,
44 markets across
22 countries
>99.99999% uptime
9500+ Customers
210+ Fortune 500
(9 out of the top 10)
JUST SOME OF OUR AUSTRALIAN CUSTOMERS …

60. © 2017 Equinix Inc. equinix.com 60
Thank
You
Ravi Ravishankar
VP Marketing Asia Pacific
rravishankar@ap.equinix.com
Visit us at our booth 027
• Get the Interconnection Index
• Live Demo of multi-cloud connectivity
• IOA Knowledge Base demos
• Signed copies of Joe Weinman’s books!
Register at
IOAKB.com
Get the Index
Equinix.com