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Using the Cloud to Transform the Economics of Innovation

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(1)

Phil Sheehan

ISV Partner Executive

(Cloud Computing)

IBM Australia & New Zealand

Using the Cloud

to Transform the

Economics of

Innovation

ISV Partner Forum

Learn. Grow. Engage

(2)

2

Commitment to open standards and a broad ecosystem

Private & Hybrid Clouds

Cloud Enablement Technologies

Managed Cloud Services

Infrastructure and Platform as a Service

Cloud Business Solutions

Software and Business Process as a Service

Business Process as a Service Software as a Service

Platform as a Service

Infrastructure as a Service

Design Deploy Consume

IBM’s strategy encompasses all aspects of cloud

(3)

ISVs are critical to IBM’s 2015 Roadmap

Smarter Planet

Cloud

Analytics

$164 billion

opportunity

$66 billion

opportunity

$181 billion

opportunity

(4)

ISVs engaged in these opportunities

PureSystems

Smarter Cities

Cloud

Smarter Analytics

139 ISVs enabled on PureSystems. 64

new ISV solutions “Ready for PureSystems”

100 new ISVs

leveraging analytics

2,000 client projects, many including

partners

(5)

Themes for today

Pay-as-you-go computing

Create personalised recommendations

Get to market sooner

Innovate with Less

Shift innovation back to the centre of your

business

5

(6)

• Highly scalable integrated

cloud service management

solution

• Secure multi-tenant and

isolated cloud infrastructure

• Image management

capabilities

• Charge-back and

accounting for IT services

• Offer flexible billing models

to customers

• Integrate cloud application

with other SaaS or existing

on premise applications

• Expand client base by

incorporating business

analytics into cloud

application

• Augment existing SaaS

offerings with social

business and mobile

delivery

• Enable new or existing

applications to be

delivered on private or

public cloud

• Utilise system built-in

expertise to quickly scale

out application

• Expose web app as APIs

to allow quick

application and

cross-cloud integration

Build a cloud

infrastructure

Enable applications

in the cloud

Extend applications

in the cloud

Our solution roadmap addresses

(7)

Pay-as-You-Go computing

Monthly software rental

Infrastructure as a Service

Virtual Server Services (VSS): Australia

SmartCloud Enterprise: Global

SmartCloud Enterprise+: Australia/Global

Platform as a Service

IBM SmartCloud Application Services

(in pilot)

(8)

A unified, global approach across IBM software

Over 650 IBM software products available as Monthly Rental

Recent acquisitions including Worklight and Mobile also available as

Monthly Rental

Cloud-friendly pricing expedites

enablement for ISVs

8

What IBM provides:

Benefits to ISV:

Agreement allows ISVs to

rent licensed software

OpEx vs. CapEx

Billing is monthly in arrears

based on ISV's actual

deployment above a

minimum commit level

Better cash flow

management:

inflows align with

outflow, which

results in rapid ROI

“We appreciate the flexibility and simplicity of IBM’s cloud-friendly pricing model”

- Roberio Lima, Director of Operations, TOTVS

Partners have

Partners have

responded positively!

responded positively!

Over 120 successful deals in

12 months, 85% of which are

(9)

Create personalised recommendations

PureSystems

PureFlex

PureApplicationSystems

PureData

Smarter Commerce

Smarter Analytics

(10)

Integration by

Design

Deeply integrating and tuning

hardware and software

Built-in

Expertise

Capturing and automating

what experts do

Simplified Experience

Making every part of the IT lifecycle easier

It is time for a new class of expert

integrated systems

(11)

IBM PureSystems deliver client value

200% increase

in performance of

critical applications

66% faster

setup time

Days to

minutes

for

virtual machine

deployment time

72% lower

systems costs over

3 years

Up and running in

less than 4

hours

Deploy and

automatically scale

applications in

less than 15

minutes

*

Concurrent

management of

100s of VM’s

on a single system

Handles

more than

100 databases

on 1 system

10-100x faster

than traditional

custom systems

Continuous data

ingest and up to

1000+ concurrent

operational queries

(12)

Database services that handle

large volumes of transactions with

high availability, scalability and integrity

Data Warehouse services for

complex analytics and reporting

on data up to petabyte scale

-with minimal administration

Operational Warehouse services for

continuous ingest of operational data,

complex analytics, and a large volume

of concurrent operational queries

Different data workloads have different

characteristics

System for Transactions

System for Analytics

System for

Operational Analytics

powered by

(13)

Get to market sooner!

IBM Workload Deployer

SmartCloud Enterprise

tinyurl.com/SmartCloudAussie

BYOL

Developer Use Only (DUO) licences

Software Access Catalog subscription

Download the latest versions of IBM software

products for demonstration, evaluation, development,

testing, education, and limited internal use

(14)

IBM SmartCloud Enterprise can

support a myriad of workloads

Application development

Transient applications

• Demo and Proof of Concept • Training

• Migration of technology

Testing and quality assurance

Regression, build and verification, endurance etc. tests

Cloud deployment of IBM Rational quality manager - test management

Operations and infrastructure

Spillover or burst infrastructure Disaster recovery

Quick deployment of new projects

‘What if’ scenarios to evaluate results of swapping out components

Move development and test environments out of data center to free up resources for production use

Production workloads

Web applications

Social media/Information Sharing Batch processing

Transcoding and rendering Projects and labs on the cloud

(15)

15

Workload Deployer

Simply Deploy and Manage On-Premise Clouds

Efficiently deploy and manage new,

innovative applications and

services in a private cloud

Pre-optimised for high performance and

scalability

with pre-configured workload

patterns for ease of use

Helps clients more easily and quickly

develop, test and deploy business

applications

Can also be used by service providers

providing hosted public clouds and

software-as-a-service environments to simplify and

standardise repeated deployments.

Fully integrates with development and

service management tools from IBM Rational

and Tivoli brands for a seamless end-to-end

process.

(16)

Innovate with less

Mobile Foundation

Worklight

WebSphere Cast Iron

Tivoli Endpoint Manager

Social Business

Connections Suite

Sametime

Unified Telephony

Social Analytics

(17)

54.0% 44.5% 41.7% 39.5% 37.9% 36.2% 29.6% 17.0% 2.6%

Top Solutions for Next 12 Months

1

7

Mobile is a priority where IT

spending will occur

Source: 2011 IBM Tech Trends Report https://www.ibm.com/de veloperworks/mydevelop erworks/blogs/techtrend s/entry/home?lang=en

Mobile App

focus shifts to

the enterprise

A12. Please select the solutions in which you plan to invest in the next 12 months. [choose all that apply] Source: IDC Partner Profitability 2011, Changing Business Models and Requirements in the Evolving IT Channel Ecosystem

Mobile 39.5%

(18)

Build

mobile applications

Connect

to, and

run

backend systems in support

of mobile

Manage

mobile devices, services

and applications

Secure

my mobile business

Manage & Secure

Build & Connect

IBM strategy addresses client

mobile initiatives

Extend & Transform

Extend

existing business

capabilities to mobile devices

Transform

the business by

creating new opportunities

Develop apps for Native, Hybrid

or Browser (HTML5) based

delivery from a single source!

iOS/Android/Windows

deployment.

Free Dev Download:

http://www-01.ibm.com/software/mobile-solutions

/

(19)

Most organisations will require a range of

cloud consumption models and integration

across those and traditional IT

On premises or hosted

On premises or hosted

(20)

Shift innovation back to the centre

of your business

Major technology trends driving business

change

Cloud offers six potentially “game

changing” business enablers

(21)

Mobile revolution

Connectivity, access and participation are growing rapidly Smart devices are becoming the primary route to get connected

Devices are getting smarter as they are increasingly enriched by mobile apps

Major Technology Trends driving Business Change

Social media explosion

Social media is quickly becoming the primary communication and collaboration format

GenY’s or “digital natives” use of technology and social media platforms is accelerating adoption Enterprises are adopting social media but are struggling to realise the value and manage risk

Hyper digitization

Digital content is produced and accessed more quickly than ever before

Internet traffic is growing globally driven by consumer use of video, mobile data, interconnectedness An increasing number of connected devices and sensors is further driving growth

The power of analytics

New capabilities for real time analysis, predictive analytics and micro-segmentation are emerging Top performing companies use analytics to drive action and business value

Analytics are making information “consumable” and is transforming all parts of the organisation, from customer intimacy to supply chain management

Source: IBV Analysis

Mobility, social media, increasing digitization and new

analytics capabilities are conspiring to drive broad

(22)

Source: IBV Analysis

Cloud’s Business Enablers

Cost

Flexibility

1

Shifts fixed to variable cost Pay as and when needed

Business

Scalability

2

Provides limitless, cost-effective computing capacity to support growth

Masked

Complexity

4

Expands product sophistication Simpler for customers/users

Context-driven

Variability

5

User defined experiences Increases relevance

Ecosystem

Connectivity

6

New value nets

Potential new businesses

Market

Adaptability

Faster time to market Supports experimentation

3

Cloud harnesses the capabilities borne out of these trends to

empower six potentially “game changing” business enablers

(23)

VAR, SI, MSP,

Consultant

Next steps…

Let’s grow revenue together

Step 1

Help

your clients move

beyond virtualisation to

higher value cloud

infrastructure

Step 2

Attend

a private cloud

bootcamp

Step 3

Earn

margins selling

and implementing IBM

Cloud Foundation

capabilities

Cloud Builder

Step 1

Enable

your

applications to be

delivered as cloud

services

Step 2

Use

SmartCloud

Enterprise to deliver

reliable cloud services

Step 3

Integrate

your cloud

services with Cast Iron.

Look for Analytics or

Social opportunities.

Cloud Application

Provider

Step 1

Identify

the SmartCloud

Services and Solutions

that complement your

core competencies

Step 2

Earn

margins providing

customised solutions

based on SmartCloud

Services

Step 3

Consider

co-marketing

benefits

Cloud Services

Solution Provider

ISV, SI

VAD, VAR, SI

(24)

How will you innovate with the power

of the cloud?

Email me:

[email protected]

for the following

resources:

Cloud Asset Listing

(xls: 384kb)

Links for Cloud Overview, IaaS, PaaS, SaaS, Security, You

Tube videos and much more!

IBM Cloud Portfolio

(ppt: 22.5mb)

One pager on every IBM Cloud product by Brand, Framework

and Adoption Pattern. 190 slides!

ISV Self Assessment Tool

Are you ready for Cloud? Web based assessment.

(25)

Cloud Specialty Program from Nov 1

Simplifying program for 2013

No longer accepting new applications for Cloud Application

Providers, Cloud Infrastructure Providers, or Cloud Technology

Providers.

Existing qualified partners can still use the mark until June 2013

Cloud Application Providers and Cloud Infrastructure & Managed

Service Providers

review the requirements for the Managed Service Provider initiative

Cloud Technology Providers

evaluate the Ready for SmartCloud Services initiative.

Questions?

Please contact Dottie Bernatos at [email protected] or

Bonnie Durkin at [email protected].

(26)
(27)

Anton Lak

IBM Cross-Brand Cloud Team

IBM Australia & New Zealand

Cloud Deep Dive:

Deploying on

SCE and SCE+

ISV Partner Forum

Learn. Grow. Engage

(28)

Agenda

SmartCloud Enterprise and SCE+ on the

spectrum of IBM’s key Cloud offerings

SCE overview

SCE+ overview

Deployment models

SCE and SCE+ roadmap

Discussion and close

28

(29)

SCE and SCE+ on the spectrum of

IBM’s key Cloud offerings

Complete DIY

• Data Centre services • Plan, build • Hardware

• x, p, storage • Software

• Tivoli, Websphere Purchase and implement separately

IBM SmartCloud Entry

Systems software providing entry level Cloud capability on IBM system p and x • Create images • Deploy VM’s • Operate & manage • Basic Metering IBM PureSystems • PureFlex • IaaS • PureApps • PaaS • SaaS • PureData

Drop in DC and run in hours. High level of

self-management. Instant “Private Cloud”

IBM SmartCloud Enterprise

• “Vanilla” servers

• Linux (RHEL, SUSE) • Windows 2003, 2008 • Servers + software

• IBM products • ISVs

Standard IBM agreement. Essentially virtualised HW/SW out of the cloud, fully managed by IBM client. Charged by the hour, no minimum term or usage.

IBM SmartCloud Enterprise+

• Fully Managed • Higher SLAs • System p & x • Linux • Windows 2003, 2008 • AIX • Middleware • Database (DB2, Oracle, SQL) • Webservers

Standard IBM agreement. Minimum 1 year contract with baselines, fully managed by IBM.

Strategic Outsourcing

• Traditional contract • Private cloud,

IBM-owned

• Unit rates with ARCs and RRCs

• IBM and others well known in this business for some time

IBM Cloud Service Provider Platform

• Service Automation and Management

• Network Management • Security Management • Storage Management • Advanced monitoring

and service level management

Enables Service Providers to become CloudService Providers, with the features and management expected in the CSP environment

(30)

SmartCloud Enterprise overview

IBM’s offering in the Public Cloud space (others

being AWS, Rackspace etc)

Servers from $0.095 per hour. Windows 2003,

2008. Linux RHEL and SUSE

Less expensive than others

99.5% availability SLA, measured

monthly

Pay-As-You-Go, minimum charge is for 1hr

“Agreement” with no “Contract” baseline or term

Pure IaaS, we provide virtual hardware and you

manage everything on top

(31)
(32)

SmartCloud Enterprise+ overview

Managed “Private Cloud”

Windows, RHEL and AIX. Middleware including

databases and WebSphere

Portal for Service Management

Contract not Agreement

Minimum 1 year

Baseline

SLAs determine Price

Bronze: 98.5%, 24 hour instance creation

(33)

Comparison of SCE and SCE+

IBM Provides as Integrated Service Client Responsibility

Backup and recovery

3-year contract. Minimum baseline usage and charge. Setup charges apply.

No contract. No minimum term for the agreement. Usage-only hourly charges, no setup charge

Contract term

Onshore – Sydney (4Q2012) Offshore – US or Germany Offshore – US, Canada, Japan, Singapore, Germany

Geographic location

SmartCloud Enterprise SmartCloud Enterprise+

Core Technology KVM, x86 only (Windows server and Linux) VMware, AIX (x86 and Power Platform)

Application Applicability

Applications that scale horizontally for availability and increased capacity.

Non mission-critical workloads.

Production, with full stack enablement for existing application designs

Service Scope

Unmanaged – IBM provides OS and storage with no further managed support. Cost optimized to compete with public IaaS providers

Managed Hosting service scope, 30%+ more efficient than traditional managed hosting deployments

Service Activation Performance

Self-service, 20 minutes for Windows, <8 minutes for Linux and SAN

~ 1 day, including full service activation. Shorter than hosted BAU today (2-4 weeks)

VM Guest Server Management

Client responsibility Complete ITIL process support

Service Portal Integration SCE only. APIs available for integration into other

management systems.

Integrated across client‘s non-cloud and cloud environments

Compliance IBM internal security standards up to hypervisor.

Client responsibility for OS and above.

International standard, (ISO/IEC 27002:2005) OS and above (within IBM Managed Services scope).

SLA 99.5% for portal and for VMs up to hypervisor level 98.5 - 99.9% for VM availability at OS level

Service management Below hypervisor Above and below the hypervisor

IBM Provides as Integrated Service Client Responsibility

Backup and recovery

3-year contract. Minimum baseline usage and charge. Setup charges apply.

No contract. No minimum term for the agreement. Usage-only hourly charges, no setup charge

Contract term

Onshore – Sydney (4Q2012) Offshore – US or Germany Offshore – US, Canada, Japan, Singapore, Germany

Geographic location

SmartCloud Enterprise SmartCloud Enterprise+

Core Technology KVM, x86 only (Windows server and Linux) VMware, AIX (x86 and Power Platform)

Application Applicability

Applications that scale horizontally for availability and increased capacity.

Non mission-critical workloads.

Production, with full stack enablement for existing application designs

Service Scope

Unmanaged – IBM provides OS and storage with no further managed support. Cost optimized to compete with public IaaS providers

Managed Hosting service scope, 30%+ more efficient than traditional managed hosting deployments

Service Activation Performance

Self-service, 20 minutes for Windows, <8 minutes for Linux and SAN

~ 1 day, including full service activation. Shorter than hosted BAU today (2-4 weeks)

VM Guest Server Management

Client responsibility Complete ITIL process support

Service Portal Integration SCE only. APIs available for integration into other

management systems.

Integrated across client‘s non-cloud and cloud environments

Compliance IBM internal security standards up to hypervisor.

Client responsibility for OS and above.

International standard, (ISO/IEC 27002:2005) OS and above (within IBM Managed Services scope).

SLA 99.5% for portal and for VMs up to hypervisor level 98.5 - 99.9% for VM availability at OS level

(34)

ISV deployment models – SCE

SCE+ will be a case-by-case discussion

IBM SCE

ISV

Development

and testing

ISV

Sell software and

SCE bundled

•managed or

unmanaged

•ISV chooses

Price for SCE

components

Client

Client buys

SW from ISV

and SCE from

IBM.

Self-manages.

Managed

Services

Provider BP

MSP integrates

ISV software and

IBM SCE

(35)
(36)

Want to know more?

Need help with your cloud strategy?

Contact:

Phil Sheehan

(37)

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