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Cut Your Microsoft License Costs in ½
          Scoop and Move your Server Apps to VAA




Mark Yohai & Greg O’Connor – May 27, 2010
Housekeeping
               • Please
                 Participate
               • Use the
                 GoToWebinar
                 controls to ask
                 questions
               • We’ll take most
                 at the end
Today’s Topics
• Virtualization’s Next Phase

• Focus on what’s critical: The App

• AppZero in Action

• Q&A

• Next Steps
Virtualization's Next Phase
                             % of x86 Workloads Virtualized                • “This next wave in
     50
                                                                             adoption is what IDC
     45
     40
                                                                             terms Virtualization
     35
     30
                                                                             2.0, and it will be
     25
                                                        2011
                                                                    2012
                                                                             supported not just by
     20

     15           2009
                                     2010
                                                                             the Global 2000 but
     10
       5
                                                                             also by the Global
       0
                2009               2010               2011         2012
                                                                             200,000.” – IDC, Aug
                                                                             2008
                 WW Spending on Server Virtualization Software



      6


      5
                                                                           • “Cost stands out as
      4
                                                                             the biggest inhibitor to
      3
                  2009              2010                2011        2012
                                                                             companies virtualizing
      2
                                                                             these remaining
      1                                                                      systems” – IDC, Aug
      0
               2009                2010               2011         2012
                                                                             2008

Source: Microsoft Partner Network 2010, Gartner, IDC, 2009, 2010
The Next Phase ( continued )
AppZero Perspective:
               • High Software Costs
     Its       • Long provisioning

   About         times

               • Costly Management/
    The          Lifecycle

               • How to leverage
   App!          Cloud?
AppZero Extends Server Virtualization to the App

                                                                    App    App      App   App    App      App

                                              App    App      App         AppZero               AppZero

                                                                            OS                    OS


    Windows                Virtual Machines         AppZero         Virtual Machine       Virtual Machine
                            App   App   App
                                                      OS

        Application         OS    OS    OS                                ESX Server

          OS                ESX Server




                                              Physical Server
                                                                     Physical Server
                           Physical Server
    Physical Server

                      Server Virtualization     App Virtualization
 Data Center 1.0
                                                           2010-2025
   Pre - 2001             2001 - 2015

                           Server                        Software
                        Consolidation                  Consolidation

                                                           App Mobility
Installing an App…Changes the OS




               App
            Server 2003
AppZero isolates those changes
                          A Virtual Application
                          Appliance ( VAA ) is
                           a collection of files
                              that includes
                          Everything the App
                            needs … but with
                                 ZeroOS
               VAA
            Server 2008
VAA’s are 100% Mobile


                     VAA




Physical   Virtual         Datacenter   Cloud
Server Consolidation: Value
      App     App     App
                                                App       App    App


      CPU     CPU     CPU

                                                App       App    App
      App     App     App



                                 Server         App       App     App
      CPU     CPU     CPU
                              Consolidation
      App     App     App

                                                App       App     App

      CPU     CPU     CPU


      App     App     App                             hypervisor
                                                 CPU            CPU
      CPU     CPU     CPU




     • 12 x Physical Server                   • 1 x Physical Server
     • 12 x Space                             • 1/12 x Space
     • 12 x Power/Cooling                     • 1/12 x Power/Cooling
Software Consolidation: Value
                                                     App        App       App
          App       App    App
                                                              appzero

                                                      App       App       App
          App       App    App
                                                              appzero


          App       App     App
                                    Software          App       App       App
                                  Consolidation               appzero


          App       App                               App       App       App
                            App
                                                              appzero


                hypervisor                                  hypervisor
           CPU            CPU                          CPU              CPU


   • 2 x MSFT Datacenter Edition              • 1 x MSFT Enterprise Edition
   • 2 x MSFT Sys Center Datacenter           • 1 x MSFT Sys Center Enterprise
   •12 x OS to Patch                          • 4 x OS to Patch
Software Consolidation: Value

        Capital Cost Reductions                                 Server      Server + Software                                       Percentage
                                                         Consolidation         Consolidation            Initial Savings                Savings
MSFT Operating System Costs                          $          5,998       $          2,997        $            3,001                    50%
MSFT System Center Costs                             $          1,598       $          1,046        $              552                    35%
SAN Storage Costs                                    $          4,500       $          3,750        $              750                    17%
Totals                                               $        12,096        $          7,793        $            4,303                    36%


     Operational Cost Reductions                              Server Server + Software                                              Percentage
                                                       Consolidation    Consolidation Annual Savings                                   Savings
Security / Patch Management                          $        4,941 $           1,647 $        3,294                                      67%

Sources: Microsoft Server 2008 R2 Datacenter & Enterprise Edition pricing from Microsoft.com, SAN Storage Costs ( $5/GB @ 100G per VM from
VMWare.com ), Average Cost/Server/Year for Security / Patch Management ($549 ) from Microsoft.com report authored by Wipro, Audited by Meta Group.
How do I create a VAA?

                Virtualize to VAA                    Output
  Source

                                  VAA           VAA
  Physical

     or                                         VAA


   Virtual       AppZero
                                                 VAA
                 Creator
  machine

               Two approaches to creating a
                                                 VAA
               VAA based on snapshot capture
               and template approach:

                 1. Install app                      VAA
                                               VAA
                 2. Scoop & move app                 VAA
 Data Center
Scoop ‘n Cut: AppZero Creator
          App      App   App
                                                     App       App       App

                                                             appzero
          CPU      CPU   CPU

                                                     App       App       App

          App      App   App                                 appzero


                                                      App      App       App
          CPU      CPU   CPU
                                                             appzero
          App      App   App        AppZero
                                    Creator           App      App       App

                                                             appzero
          CPU      CPU   CPU


          App      App   App                               hypervisor
                                                      CPU              CPU
          CPU      CPU   CPU




                                              • 1/12 Server, Space, Power, Cooling
   •12 x Server, Space, Power, Cooling
                                              • ½ x MSFT License Cost
   •2 x Licenses
                                              • 1/3 x OS to Patch/Update/Upgrade
Putting it all together
Data Center         Life Cycle Action              Data Center
Network Storage                                     Server Pool
                    Instant Provisioning:
  VAA Catalog       No Install/Config headaches
  App 1   App 1.1
                    Updates:
  App 2   App 2.1   Risk and Hassle free

  App 3   App 3.1   Rollback:
                                                    * Cloud
                    Simple & Easy Rollbacks

                    Utilization:
                    Dynamic/flexible
Application Data                                  Amazon/GoGrid
                    Single Gold Image:              Public or Private
                    Reduces errors

                    Stateless:
                    Movement D2C2C
Instant Provisioning, D2C2C2D

                 VAASQL
Data Center




                  NJX90                              NJX92
              MS Windows 2003                    MS Windows 2008




                                      NJX91
                                  MS Windows 2003




                                                    VAASQL
                                                     VAASQL
                                                      VAASQL
EC2




                                                    Storage

                    EC2 1            EC2 2
                 Windows 2003     Windows 2003
GoGrid




                                                     Storage

                  GoG 1           GoG 1
                Windows 2008    Windows 2003
Customer Case Studies
• Managed Service Provider
  – Move Content Filtering service from Physical 1:1 to
    Virtual 12:1 on 4 OSE
• Financial Services Private Cloud
  – Move Apps to VAA for dynamic self provisioning –
    simplify OS Image Management
• SAP Implementation Partner
  – Move SAP non-production sandbox environments (
    POC, Dev/Test/Training ) from self-hosted Physical
    to pay as you go Cloud
Cut Microsoft License Costs by 50%
Next Steps
• Contact AppZero for a Zero cost, Zero obligation
  Readiness Assessment
   – Identification of best workloads for VAA
   – Recommended VAA Consolidation plan
   – Customized Business Case/ROI analysis


• Three ways to try AppZero
   – Free 2 Week Trial Download on appzero.com
   – Do it yourself “Proof of Concept” kit - $2500
       • Includes Software ( 10 of everything ) + 10-Support Incidents
   – Full scale Pilot kit
       • Includes unlimited Software + Basic Training and monthly
         alotment of Consulting/Technical Account Management for 1
         year - $25k-$50k
Wrap Up
• Ready to take a deeper look?
  – Contact: sales@appzero.com
• Connect directly with us
  –   Mark Yohai
  –   myohai@appzero.com
  –   Greg O’Connor
  –   goconnor@appzero.com
• Share this recorded session with your
  colleagues
       • Available on www.appzero.com
• Thank you for your Time!

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Cut Microsoft License Costs by 50%

  • 1. Cut Your Microsoft License Costs in ½ Scoop and Move your Server Apps to VAA Mark Yohai & Greg O’Connor – May 27, 2010
  • 2. Housekeeping • Please Participate • Use the GoToWebinar controls to ask questions • We’ll take most at the end
  • 3. Today’s Topics • Virtualization’s Next Phase • Focus on what’s critical: The App • AppZero in Action • Q&A • Next Steps
  • 4. Virtualization's Next Phase % of x86 Workloads Virtualized • “This next wave in 50 adoption is what IDC 45 40 terms Virtualization 35 30 2.0, and it will be 25 2011 2012 supported not just by 20 15 2009 2010 the Global 2000 but 10 5 also by the Global 0 2009 2010 2011 2012 200,000.” – IDC, Aug 2008 WW Spending on Server Virtualization Software 6 5 • “Cost stands out as 4 the biggest inhibitor to 3 2009 2010 2011 2012 companies virtualizing 2 these remaining 1 systems” – IDC, Aug 0 2009 2010 2011 2012 2008 Source: Microsoft Partner Network 2010, Gartner, IDC, 2009, 2010
  • 5. The Next Phase ( continued )
  • 6. AppZero Perspective: • High Software Costs Its • Long provisioning About times • Costly Management/ The Lifecycle • How to leverage App! Cloud?
  • 7. AppZero Extends Server Virtualization to the App App App App App App App App App App AppZero AppZero OS OS Windows Virtual Machines AppZero Virtual Machine Virtual Machine App App App OS Application OS OS OS ESX Server OS ESX Server Physical Server Physical Server Physical Server Physical Server Server Virtualization App Virtualization Data Center 1.0 2010-2025 Pre - 2001 2001 - 2015 Server Software Consolidation Consolidation App Mobility
  • 8. Installing an App…Changes the OS App Server 2003
  • 9. AppZero isolates those changes A Virtual Application Appliance ( VAA ) is a collection of files that includes Everything the App needs … but with ZeroOS VAA Server 2008
  • 10. VAA’s are 100% Mobile VAA Physical Virtual Datacenter Cloud
  • 11. Server Consolidation: Value App App App App App App CPU CPU CPU App App App App App App Server App App App CPU CPU CPU Consolidation App App App App App App CPU CPU CPU App App App hypervisor CPU CPU CPU CPU CPU • 12 x Physical Server • 1 x Physical Server • 12 x Space • 1/12 x Space • 12 x Power/Cooling • 1/12 x Power/Cooling
  • 12. Software Consolidation: Value App App App App App App appzero App App App App App App appzero App App App Software App App App Consolidation appzero App App App App App App appzero hypervisor hypervisor CPU CPU CPU CPU • 2 x MSFT Datacenter Edition • 1 x MSFT Enterprise Edition • 2 x MSFT Sys Center Datacenter • 1 x MSFT Sys Center Enterprise •12 x OS to Patch • 4 x OS to Patch
  • 13. Software Consolidation: Value Capital Cost Reductions Server Server + Software Percentage Consolidation Consolidation Initial Savings Savings MSFT Operating System Costs $ 5,998 $ 2,997 $ 3,001 50% MSFT System Center Costs $ 1,598 $ 1,046 $ 552 35% SAN Storage Costs $ 4,500 $ 3,750 $ 750 17% Totals $ 12,096 $ 7,793 $ 4,303 36% Operational Cost Reductions Server Server + Software Percentage Consolidation Consolidation Annual Savings Savings Security / Patch Management $ 4,941 $ 1,647 $ 3,294 67% Sources: Microsoft Server 2008 R2 Datacenter & Enterprise Edition pricing from Microsoft.com, SAN Storage Costs ( $5/GB @ 100G per VM from VMWare.com ), Average Cost/Server/Year for Security / Patch Management ($549 ) from Microsoft.com report authored by Wipro, Audited by Meta Group.
  • 14. How do I create a VAA? Virtualize to VAA Output Source VAA VAA Physical or VAA Virtual AppZero VAA Creator machine Two approaches to creating a VAA VAA based on snapshot capture and template approach: 1. Install app VAA VAA 2. Scoop & move app VAA Data Center
  • 15. Scoop ‘n Cut: AppZero Creator App App App App App App appzero CPU CPU CPU App App App App App App appzero App App App CPU CPU CPU appzero App App App AppZero Creator App App App appzero CPU CPU CPU App App App hypervisor CPU CPU CPU CPU CPU • 1/12 Server, Space, Power, Cooling •12 x Server, Space, Power, Cooling • ½ x MSFT License Cost •2 x Licenses • 1/3 x OS to Patch/Update/Upgrade
  • 16. Putting it all together Data Center Life Cycle Action Data Center Network Storage Server Pool Instant Provisioning: VAA Catalog No Install/Config headaches App 1 App 1.1 Updates: App 2 App 2.1 Risk and Hassle free App 3 App 3.1 Rollback: * Cloud Simple & Easy Rollbacks Utilization: Dynamic/flexible Application Data Amazon/GoGrid Single Gold Image: Public or Private Reduces errors Stateless: Movement D2C2C
  • 17. Instant Provisioning, D2C2C2D VAASQL Data Center NJX90 NJX92 MS Windows 2003 MS Windows 2008 NJX91 MS Windows 2003 VAASQL VAASQL VAASQL EC2 Storage EC2 1 EC2 2 Windows 2003 Windows 2003 GoGrid Storage GoG 1 GoG 1 Windows 2008 Windows 2003
  • 18. Customer Case Studies • Managed Service Provider – Move Content Filtering service from Physical 1:1 to Virtual 12:1 on 4 OSE • Financial Services Private Cloud – Move Apps to VAA for dynamic self provisioning – simplify OS Image Management • SAP Implementation Partner – Move SAP non-production sandbox environments ( POC, Dev/Test/Training ) from self-hosted Physical to pay as you go Cloud
  • 20. Next Steps • Contact AppZero for a Zero cost, Zero obligation Readiness Assessment – Identification of best workloads for VAA – Recommended VAA Consolidation plan – Customized Business Case/ROI analysis • Three ways to try AppZero – Free 2 Week Trial Download on appzero.com – Do it yourself “Proof of Concept” kit - $2500 • Includes Software ( 10 of everything ) + 10-Support Incidents – Full scale Pilot kit • Includes unlimited Software + Basic Training and monthly alotment of Consulting/Technical Account Management for 1 year - $25k-$50k
  • 21. Wrap Up • Ready to take a deeper look? – Contact: sales@appzero.com • Connect directly with us – Mark Yohai – myohai@appzero.com – Greg O’Connor – goconnor@appzero.com • Share this recorded session with your colleagues • Available on www.appzero.com • Thank you for your Time!