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© 2015 IBM Corporation
Infrastructure-as-a-Service:
Building Your Cloud Practice from the Ground Up
Seattle
06.11.15

1
Cloud is the Equalizer
Data
Put to work in the cloud as the
new basis of competitive
advantage
Mobile
The activation point to engage
customers in context using cloud-based
services
1 Trillion
The average mobile phone user checks their
phone
150 Times Per Day
Connected things on the planet generating
data by 2015
72%
of business leaders say cloud will be
extremely important to their business
success by 2016
CloudGives organizations of all sizes
the ability to innovate at speed
Social
Revolutionize customer touch
points with cloud-based social
media
Social connections occur daily
2 Billion

2
Cloud Accelerator Workshop Agenda
 Building Your Cloud Business on IaaS
David Stephens, Ingram Micro
 Cloud: The Partner Perspective
Jeff Ballard, IBM SoftLayer

3
BUILDING YOUR CLOUD BUSINESS
ON IAAS
David Stephens, Senior Cloud Solutions Executive

4
Separation of Responsibilities

5
Running A Business on IaaS
 Active Directory & Exchange
 File Servers
 Database Servers
 Application Servers
 Web Servers
 Private Clouds
 Backup, DR and BC
 Test & Development

6
Reselling vs. BYOL
• Windows Server 2003/2008/2012
• CentOS, Cloud Linux, RHEL
OS
• VMware ESXi, Hyper-V, Citrix, and
ParallelsHypervisors
• SQL, MySQL, Big Data (Hadoop,
MongoDB, Riak)Databases
• Firewalls (HW/SW), Load Balancers,
IPS/IDS, Backups, DNSAncillary Services

7
Compute (Cores & RAM)
Dedicated virtualized environment
Networking (Connectivity
& Bandwidth
Storage (DAS, NAS, and Object
Storage)
Any compute, network and storage combination is
available across the platform
The Three components of any IaaS Configuration

8
IaaS Components & Costs
Compute
Number of
Cores
RAM
GPU
Storage
Type (Tier 1, 2
3)
Number of GB
Software
OS
Databases
Security
Variable
Costs
Bandwidth
(Outbound)
Tech Support
(Ticket, Chat,
Phone,
Response time?)
IOPS

9© 2015 IBM Corporation
Your Cloud Practice

10
Cloud Professional Services
 Assessment
 Architecture / Design
 Deployment
 Migration
 Integration
 Monitor
 Management

11
Choosing the Right IaaS Partner
 Be skilled in several solutions
 Look for:
– Transparency
– Flexibility
– Agility
– Efficiency
– Cost
 Be considerate of the hypervisor

The SoftLayer Platform

13
SoftLayer is not your average cloud provider. How are we
different?
One Cloud that combines:
Public Virtualized
Private Virtualized
Dedicated Bare Metal
Global high-performance network
…and single-pane management
+
+
+
+
Performance
Flexibility
Control

14
SoftLayer: Global IaaS Leader
Platform Benefits
 Deploy in one of SoftLayer’s 25 Datacenters
 Open & Flexible Deployment (Microsoft, Linux, Citrix, VMware)
 Carrier Grade Global Network & Partnerships
 Unlimited Support 24x7

15
Global Footprint
IPv4/IPv6 dual stack
Global DNS
Global DDOS Mitigation
Global Internet Exchanges & Peering
INDIA
Tokyo
Hong Kong
Singapore
Melbourne
Seattle
San Jose
Los Angeles
Mexico City
Denver
Chicago
Dallas
Houston
Toronto
Montreal
BRAZIL
New York City
Washington D.C.
Miami
London Frankfurt
Amsterdam
Paris
Sydney
Atlanta
DATA CENTER & NETWORK POINT OF PRESENCE
NETWORK POINT OF PRESENCE

16
Next Gen enterprise appsBorn on the web
Moving to the cloud
SoftLayer services support born on the web customers and meets the cloud
demands of businesses across the spectrum
SoftLayer Works for Organizations

17
Global Cloud Platform
• Only infrastructure solution with a common management interface and API across a unified architecture
• Customers mix and match bare metal servers, virtual server instances and turnkey private clouds and manage
them from a single control pane or API
• All deployed on-demand and provisioned automatically in real-time
17
Unified architecture enabled by powerful software

18
How It All Fits Together
Data Center & Pods
• Standardized, modular
hardware configs
• Lower inventory
carrying costs
• Maximize asset
utilization & profitability
• Increase provisioning flexibility
• Simplify capacity management
• Globally consistent service portfolio
Triple Network
• Proprietary network
architecture
• Pod design allows
customers grow to across
multiple racks or rows in the
same layer 2/3 domain as
needed.
SoftLayer Infrastructure Management System
• Bare metal & virtual server provisioning
• Integrated BSS/OSS
• Comprehensive
network
management

Virtual, Bare Metal Servers or Hybrid
SoftLayer Deployment
Flexibility

20
SoftLayer Server Options
When to Use What?

21
Custom Server Configurations from

22
To….

23
…And anywhere in between

Bare Metal Options

25
Bare Metal Monthly

26
…Or Hourly

SoftLayer Differentiators

28
78GB@$0.12/GB
per month1
7% of
contract2
Standard Medium
2 EC2 Compute Units,
3.75GB RAM, 410GB
storage CentOS
6 64bit
2 core – 4GB RAM
400GB storage
103
102
Effective pricexx
Storage and bandwidth are included in
SoftLayer base price
Key takeaways:
• Competitors may
appear to have
lower prices, but
in reality you can
end up paying
the same or
more
• SL’s price
includes many
features that
customers are
otherwise forced
to pay extra for
• Including
substantial
bandwidth in our
price allows
customers to
predict billing
totals
6988
102
SoftLayer’s price transparency makes it easy for
customers to know what they are getting
List price Bandwidth Support
SOURCE: Amazon website; SoftLayer1 Based on observed average customer bandwidth consumption for comparable configurations
2 Actual cost may range from 7-10% of total contract

29
Benefits of SoftLayer to Partners
1. Deploy any x86 Software or Hypervisor
2. Free Traffic between every DC. (Think Backup, DR and HA)
3. Predictable Costs
– Unlimited Chat, Ticket and Phone Support
– Bandwidth Allocation
4. Best Price for Performance
– Dedicated Compute
– All inclusive prices

30
CLOUD:
THE PARTNER
PERSPECTIVE
Jeff Ballard, IBM SoftLayer

31
The Trending Cloud
• 27% of all software revenue subscription based
• 5.5+ x more total IT market spending growth than public cloud
spending growth
• 50+% of buyer firms have adopted some form of cloud
• 90% of new apps will be developed specifically for the cloud
• 65+% of IT organizations will commit to hybrid cloud technologies
• 65% of cloud workload selection criteria shaped by data privacy legislation compliance
• 70% of CIOs adopt a cloud-first strategy
• 50+% of org’s building hybrid clouds purchase workload-aware cloud management
• 11% shift of IT budget away from in-house IT delivery, towards cloud
• 20% of enterprises strategically adopt community-driven open source
standards/ frameworks
• 20% of IT budgets actively channeled through industry clouds to enable
flexible collaboration, information sharing, and commerce

32
Customer Cloud Journey
Organizations still need trusted partners to:
• Select appropriate services for their unique business needs
• Integrate disparate services and design comprehensive systems
• Simplify billing and provisioning across multiple providers
• Manage and monitor business-critical cloud systems and provide ongoing
support for users and application
• Help develop and implement strategy in rapidly changing cloud environments
Research Evaluate Select Purchase Support
Seek
Options
Analyze
Options
Finalize
Provider
Contract
service
Set up, migrate
applications.
processes, etc
Implement
On-going
service

33
Public
and Traditional IT
Private
Benefits:
•Fully customizable
•Robust management
•Scalable
Benefits:
•Rapid access
•Pay-per-use
•Highly elastic
Match workloads to best-fit infrastructure
Hit the right balance of risk to speed
Meet seasonal capacity without CapEx
Add new capabilities quickly
IBM Hybrid
Off PremiseOn Premise
Managed
Private
IBM is uniquely positioned to lead in hybrid cloud solutions
Clients Look to You to Help Match Workloads for Best Fit

34
1. Top Down Organizational Commitment
 C-level exec on down
– Exec only – not enough momentum in the ranks for the fledgling business to grow
– Grass roots – cannot be sustained under the weight of traditional software, support and
maintenance models
 Concerted, connected effort incorporating every level of the business
– Champion
– Executive sponsor
 Organizational cloud focus:
– Reduce the time and cost to sell cloud solutions
• Shift from field sales to telesales; marketing to digital; etc.
– Adding resources to account management and support to ensure the customer always
renews
• Think "customer success manager."
– Understand where else to make money if large resale deals and large implementation
deals have significantly decreased.

35
2. Separate Cloud P&L / Business Unit
“…revenue and cash flow issues can be
significant to a channel partner that is moving from
a traditional model of selling software licenses to a
cloud model selling an offering on a recurring basis.
For a company that makes a black-and-white "all
in" shift, the revenue and cash flow "trough" can be
debilitating.”
 Different business model requires a different approach
– Properly frames the effort for the organization
– Allows business to stand on its own
– Actions taken in response to the analysis must foster long term growth
– Objective must promote the revenue recurring aspects of a cloud platform

36
3. Dedicated Sales Force
 Sellers fall back on what they know best
 Shift from product sales to service sales
 High touch the relationship
– One of the benefits of cloud – low or little
barrier to entry – can also be the un-doing
as some deployment models are too easy
to unhitch
 Adjusted compensation model
– To change the behavior of a sales team
you need to change the compensation
– Needs to accommodate add-on services
and on-going subscription model
Traditional Cloud Model
Revenue One time Recurring
Revenue
recognition
Upfront Over time
Typical
up-front
deals size
Larger than 1st-year
cloud agreements
Smaller than
traditional model
Typical
sales cycle
Longer than cloud
agreements
Shorter than
traditional model
Billing
approach
One time license with
annual maintenance
Subscription or usage
based billing
Sales
approach
Get the deal, move on to
the next customer
Get the deal, expand
usage, maintain
customer satisfaction
Traditional vs Cloud Model Sales Motions

37
4. Add-on Solutions & Services
 New revenue streams across multiple cloud models – or building combinations
 Become an essential component of the cloud ecosystem
 Enhance partner ‘stickiness’ & recurring transactions
 Extend monitoring services across on-premises and off-premise resources
SoftLayer and related service
offerings, while profitable, are
typically either one piece of a
larger MSP business or the
underlying platform for
organizations delivering SaaS.
~Forrester
Hosted private clouds
Choose bare metal, virtualized
infrastructure or both in a single-tenant
model to meet enterprise needs.
High-performance computing
Access industry-leading HPC cluster
technologies to run entry-level to the most
demanding HPC apps.
Big data and analytics
Store, manage and analyze data with the
robust storage and computer power.
Social business
Host social business apps for global
enterprise customers.
Mobile applications
Build and host mobile apps on a global infrastructure at
Internet scale.
Development and test
Develop and test business apps with APIs1 and a DevOps
runtime services environment.
Web applications and e-Commerce
Deploy any n-tier application with demanding requirements on
an easily scalable, hybrid infrastructure.
ISVs2, production ERP and
unmanaged production
Combine dedicated and shared cloud environments on a
hosted infrastructure, backed by monitoring, backup and
restore, and high availability.
The partner
that integrates,
manages, and
sells entire
platforms and
smart bundles
of cloud
services adds
real value for
their clients

38
4. Add-on Solutions & Services
Forrester report -- Total Economic
Impact of SoftLayer at this link
Forrester Study:
SoftLayer Total Economic Impact

39
Guidance Summary
IBM Confidential
Assessments
Education /
Knowledge Transfer
POCs /
Implementation
Subject Matter
Expertise

40
Cloud Computing Resources
Analysts Associations Media Key Events

41
Connect with IBM
 Thought Leadership Blog: Thoughts on Cloud
 Twitter IBMCloud / Hashtag: #ibmcloud
 Facebook Page: IBM Cloud
 YouTube: IBM Cloud
 Google+ page: IBM Cloud Computing
 LinkedIn Group: IBM Cloud Computing
 Developerworks: Connect and Collaborate on Cloud Topic

42
Playbooks

43
• Large public accounting customer needing a cloud-based solution
to maintain historical data from a recent acquisition
• Migrate from on-premises IT infrastructure to the cloud
• Investigated Azure for client
• lacked support for the required versions of Hyper-V and Windows
servers
• Selected SoftLayer solution
• optimized combination of dedicated and shared infrastructure
• Dedicated hardware provisioned within hours of customer
acceptance
• Common Knowledge guided customer through the process of drive
selection and importing the data
Partner Case Study: Common Knowledge Technology
“We could combine
dedicated hardware and
shared infrastructure in
ways not available on the
other platforms enabling
us to optimize what
would on shared storage
and leave what was not
supported on dedicated
hardware. “
Peter Horewitch
President
Common Knowledge
Technology, Inc

44
GOAL:
Call to Action
Sign up as an IBM SoftLayer reseller through Ingram Micro
http://www.ingrammicrocloud.com/softlayer-programs/
Educateyour sales and technical teams
Transferyour internal workloads to SoftLayer
One new transaction each quarter

Thank You
Presenter: Jeff Ballard
Title: Market development Executive
Presenter: David Stephens
Title: Business Development Manager

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