HPE Flexible Capacity

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HPE Flexible Capacity Nuovi modelli di provisioning a supporto dell Hybrid IT transformation Giovanna Guglielmi Flexible Capacity e Datacenter Care Business Manager 23 Febbraio,2017

IT has choices to optimally place new and legacy workloads Workloads Your on-premise data center Architectural choice Lower latency Data sovereignty Availability Traditional and cloud native workloads Security and compliance The right mix Hybrid IT Someone else s data center Potential to move from capital expense to variable expense Stop guessing capacity Provide a developercentric architecture Remove undifferentiated heavy lifting Ideally, business & IT context drives workload placement considerations But the choice is often between on- and off-premise benefits

Industry verticals show a consistently strong private cloud mix Customers are still looking to retain control in-house, but also to move some workloads to the public cloud 77% 23% 67% 33% 73% 27% 81% 19% Manufacturing Telecom Retail Insurance 72% 28% 78% 22% 71% 29% 77% 23% Healthcare Government Finance/Banking Education + 451 Research survey from 1,155 enterprise respondents, 08/2015

The dilemma for IT leaders I want a public cloud experience, with the benefits of on-premises IT Build on-premise infrastructure Pros: Choose your server, storage, networking, software Manage your datacenter Control security, compliance Cons: Invest capital Overprovision to handle growth Manage months-long procurement cycles from cloud builder to broker Consume IT from the cloud Pros: Rapid Scalability Pay per use No up front capital Use a service, not manage IT Cons: Less control Not managing security, compliance Latency issues Data sovereignty issues

Key Findings of 451 Research Survey Survey of over 500 Enterprises Challenges with managing capacity FC Resolves these Challenges 59% of enterprises wait 3 months or longer for new capacity 57% of enterprises stated complaints about slow performance were significant issue 50% of enterprises have suffered downtime as a result of poor capacity planning 59% average amount by which enterprises overprovision compute capacity 48% average amount by which enterprises over provision storage capacity Source: 451 Research November 2016 Why Choose? Best of both worlds On-Premise infrastructure on a flexible and scalable basis TCO of a typical enterprise scenario on par with public cloud 29% less expensive than a self-managed private cloud

HPE Flexible Capacity A public cloud-like experience in the privacy of your own data center When large capital outlays and long procurement cycles no longer fit your business; when you want to pay for what you use 1 When you need the IT capacity ready for surges in demand For your data and workloads that should stay onpremise, under your control For workloads that could expand to the public cloud Requested capacity Pay only for what you use 1 Local buffer When you need better than best effort SLAs When you want the best of both worlds onpremise and on-demand IT Business Application 1 subject to a minimum commitment for hardware and software

What HPE Flexible Capacity delivers Elastic capacity, enterprise support, for hybrid IT Pay only for what you use1 Aligns costs with usage monthly via advanced metering No upfront payment requirements Infrastructure capacity that never runs out Enterprise-quality support Scalable add capacity in minutes, not months Applies to servers, software-defined and traditional storage, networks, ConvergedSystems, and software Hybrid-ready with certain Microsoft Azure services HPE and multivendor support Requested capacity Pay only for what you use 1 Business Application Local buffer 1 subject to a minimum commitment for hardware and software

How Flexible Capacity benefits IT $ Flexible capacity deployed ahead of demand Compute needed and invoiced Traditional purchases (CAPEX) Buffer Minimum commitment level Financials Assets purchased to meet future capacity needs are sitting idle tying up capital, increasing cost Time to market Assets not purchased early enough to meet the increase in demand, and the business misses new opportunities or delays key new initiatives Time

Flexible Capacity Components Built to Serve Technology Servers per blade, physical core Storage per GB Converged Systems per server, node, GB Software Virtualization per VM HPE Network Per port Services Installation Phone Support Proactive Support Datacenter Care Consulting Reactive Support 24x7x4 Break/fix support Term Typically 4 years, but available 3-5 years Options Option 1 Pay-As-You-GROW Option 2 Pay-As-You-GO * Non-HPE products may be included; check with the Flexible Capacity team for details.

HPE Flexible Capacity options From Upfront Investment ahead of Revenue to Consuming Infrastructure as a Service: pay only for the servers, storage, networking capacity, software licenses, support, and services you actually need and use each month Monthly Payment Includes 1 Servers Software defined Storage Storage Hyperconverged Networking Flexible VM metering, monitoring, Software billing Services Helion OpenStack products 3rd Party considerations Certain Microsoft Azure svcs Variable usage = variable payment Financially, operating at 100% utilization No upfront costs & no budget surge when you are at capacity Business cost aligns with business demands Servers Per blade, VM, core Storage Per GB Network Per Port Converged Systems for SAP Hana HPE Software And SaaS Support Service Provider s environment Microsoft, VMWare, Red Hat operating environments Microsoft Azure Per VM HPE Helion OpenStack 1 Minimums apply below certain usage levels

HPE Flexible Capacity cost is on par with public cloud and 29% less than purchased private cloud $0.14 $0.12 $0.10 $0.08 $0.06 $0.04 $0.02 $0.00 HPE Flexible Capacity CPI: Self-managed CPI: Colocation Hardware/Software Labor Total HPE Flexible Capacity CPI: CPI: Colocation $0.005 $0.009 Hardware/Software $0.034 $0.054 Labor $0.053 $0.068 TOTAL $0.092 $0.131 $0.092 Source: 451 Research November 2016

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