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IBM Cloud: Platform-as-a-Service
Forward Looking Statements and Non-GAAP Information
Certain comments made in this presentation may be characterized as forward
looking under the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are based on the Company's current assumptions
regarding future business and financial performance. Those statements by
their nature address matters that are uncertain to different degrees. Those
statements involve a number of factors that could cause actual results to differ
materially. Additional information concerning these factors is contained in the
Company's filings with the SEC. Copies are available from the SEC, from the
IBM web site, or from IBM Investor Relations. Any forward-looking statement
made during this presentation speaks only as of the date on which it is
**Source: Gartner, p.6, Private Cloud Matures, Hybrid Cloud is Next, Gartner G00255302, Sept 6, 2013 *Source: IBM Market Insights, 1H 2014
***Source: IDC Directions, "How SaaS Gets Built" Doc # DR2014_T3_RM March 2014
Cloud Market Opportunity
*25% CAGR through 2017
Nearly70%
of enterprises to pursuehybrid cloud by 2015**
91%
of net new software built for cloud delivery in 2014***Growing IT complexities accelerating shift to software defined solutions
Open standards driving new class of innovation
Expanding role of Service Providers
By 2017, cloud spend will be
$392B
SaaS / BPaaS IaaS / PaaS Private Cloud 25% CAGR 28% CAGR 24% CAGR
$392B
Enabling business transformation Business Process as a Service Marketplace of high-value
consumable business applications
Software as a Service
Composable and integrated
application development platform
Platform as a Service
Enterprise class, optimized infrastructure Infrastructure as a Service Smarter Workforce Smarter Analytics Smarter Commerce Watson Solutions Software Solutions
IBM’s participation across the stack drives higher operating leverage
BluemixTM
Think it. Build it. Tap into it.
Infrastructure Services Patterns IBM Cloud Managed Services Smarter Cities
Enterprise cloud innovation requires a variety of deployment
models, typically tied to existing systems-of-record
Code Data Middleware OS Virtualization Servers Storage Networking Virtualization Servers Storage Networking Middleware OS Virtualization Servers Storage Networking Code Data Middleware OS Virtualization Servers Storage Networking
Client manages Vendor manages
Traditional
IaaS
PaaS
SaaS
Infrastructure Components
APIs
IBM hardware and
professional services IBM SoftLayer IBM Bluemix 100+ IBM offerings
Cloud Native Apps/Services Cloud Enabled
SoftLayer
Platform-as-a-Service makes cloud application development
simple and fast
Platform-as-a-Service (PaaS) abstracts the
underlying infrastructure in favor of automation
and a developer focus on runtimes, code, and data
This allows developers to begin developing and deploying new mobile and Web applications
immediately, without losing time with infrastructure setup
IBM 3rd party Open
Why enterprises adopt PaaS
1. Enables the ability to bring new mobile and Web applications to market faster
2. Allows for experimentation with new business models
Developers gain instant access to a rich set of services built around industry leading domains including mobile, big data and analytics, security and more.
50+ services from IBM’s middleware and SaaS portfolios, 3rd party and open source services.
Bluemix dramatically increases the speed at which new apps can be built and deployed, shifting traditional development from months to minutes, allowing enterprises to experiment with and reinvent their business models. Integration services connect the enterprise cloud
mobile applications to their existing on-premise infrastructure, connecting systems of engagement with systems of record in hybrid configurations.
New applications and services can reach consumer scale rapidly with enterprise grade infrastructure
services from IBM SoftLayer.
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“Bluemix represents the next step in the transformation of IBM’s cloud offering”
- Gary Barnett, Ovum
Bluemix is transforming business with significantly faster
time to deployment
Enabling Developers with instant access Providing the ability to deploy rapidly
Connecting traditional IT and cloud Scaling on-demand Increasing customer
satisfaction with immediate
feedback loops using IBM mobile quality assurance services
“Speed and being nimble are our competitive advantage. This is where our partner IBM comes in. With their help, we will become a truly MobileFirst bank."
Deployed new customers in 30 seconds, versus 2
days through strong devops services
“With Bluemix, we don’t have to worry about infrastructure; all of that’s taken care of. All we focus on is our code.”
Developed running prototype of new application in only 15 days that ties legacy
technology into a real-time mobile application, versus
traditional 6 month development cycle
“You don’t have to have all the assets in place or figure out how to build an environment. It’s all in the cloud”
Reduced service defect resolution time by 300%
through mobile quality assurance and DevOps services catching defects early on
“All I have to do is plug-and-play components into the different places to solve different business problems”
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Broad portfolio of advanced database capabilities to manage and analyze any data Quickly provision databases to compose applications
Flexible hybrid deployment models to support the enterprise
Cloudant. Manage data for large or fast-
growing web and mobile apps in
ecommerce, on-line education, gaming, financial services, and other industries
SQL Database. Handle demanding web
and transactional workloads
Time Series. Consolidate and organize
massive amounts of time-stamped data for consistently fast analysis
Analytics Warehouse. High performance
columnar in-memory database for complex analytical queries on structured data
Analytics for Hadoop. Analyze and
visualize large volumes of structured and unstructured data
Geospatial Analytics. Use real-time
geospatial data to track and use device location information
Bluemix cloud data services bring the full breadth of analytics
capability to the cloud
“Our code handles hundreds of millions of transactions a day. Moving our data to the IBM Cloud has freed up our team to focus on what matters most: making a great experience for users.”
Build and manage one backend to power both Android and iOS applications Improve code quality with vulnerability scanning and Mobile Quality Assurance
Mobile Data. Build a scalable, reliable
backend datastore without database management skills
AppScan for Mobile. Scan mobile
app code for security vulnerabilities Mobile Quality Assurance.
Easily obtain and respond to both bugs in pre-production and
customer feedback in production
Push. Schedule and send
notifications to users. Segment and analyze customer engagement and response.
Mobile App Security. Block
access to apps and services on certain devices
“Mobile is super important for us and it's not that well supported on computing platforms, that's something that we found in Bluemix.”
- Federico Pinna, Co-Founder and CTO for Vivocha
Create custom APIs to access your systems-of-record from new applications Manage secure connections between systems
Extend the enterprise to new cloud, mobile, and social applications
“With Bluemix we can just create and connect so it takes all of that friction out of getting the end result.”
- Nigel Hook, CEO DataSkill
Developers can begin from systems-of-record or from the
cloud, and integrate them through the Bluemix platform
IBM DevOps for Bluemix offers an integrated toolset for
continuous development and delivery in the cloud
100,000
“We can easily modify the files and use the auto deployment to deploy using Bluemix DevOps…I will recommend this to other fellow developers.”
PaaS revenue and profit dynamics
■
Enterprises require pricing flexibility as they move to the hybrid cloud
► Bluemix provides pay-as-you-go and subscription based pricing, with a-la-carte and bundled services
availability
► IBM’s PaaS capabilities and freemium model cater to new born-on-the-cloud workloads as well as
enterprise workloads
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IBM PaaS leverages the SoftLayer infrastructure and network, providing significant
financial efficiencies across the cloud stack
■
IBM has been investing heavily in organic development, acquiring supporting
solutions, and expanding the partner ecosystem
► $1B committed across Bluemix platform, integration with growth initiatives, and geo expansion
■
PaaS offerings and capabilities increase the workload on existing systems-of
engagement, driving additional system/software/services needs
$4.4B of total cloud revenue in 2013, including $1.7B delivered as-a-Service Exited 2Q 2014 with as-a-Service run-rate of $2.8B, nearly double YTY
Significant investments to drive innovation and differentiation
IBM continues to innovate with the Bluemix platform
■ Bluemix enables mobile application development for the
enterprise IT masses by combining ‘born-on-the-cloud’ speed
with enterprise grade developer lifecycle tools
■ Bluemix offers 50+ robust services in application development including big data, analytics, security, devops, mobile, and more with scalability by running on SoftLayer, the performance leader
■ Backed by IBM’s startup ecosystem, Bluemix reaches 1,200+
entrepreneurs and expands outreach through the Bluemix
Garage global initiative
■ IBM is commercializing more than 100 new applications through the IBM and Apple partnership, and developers have access to 250+ services through the IBM marketplace
“IBM's key
differentiator and long term strategic bet is its Bluemix PaaS, which they are combining with their analytics capability in the cloud and with Apple's broad reach of mobile devices.”
IBM leads the transformation of enterprise IT for the cloud
■
Bluemix brings IBM’s middleware portfolio to the cloud, leveraging its
segment leadership and expertise
► The combined IaaS+PaaS market is growing rapidly
■
Enterprise developers need a cloud platform to quickly and easily integrate
new systems-of-engagement with existing systems-of-record
► Integration drives incremental workloads to traditional infrastructure