© 2005 Opsware Inc. All rights reserved. Proprietary and confidential.1 Management with the...

© 2005 Opsware Inc. All rights reserved. Proprietary and confidential.1

Management with the Changing Face of

ComputingEric Vishria, Director of Products

[email protected]

Opsware Inc.

September 29, 2005


Agenda

How the infrastructure landscape changed Management in the new world Automation: the missing link A very brief overview of Opsware Inc.


How the infrastructure landscape changed


One server per app Many servers per app

Dramatic shift in application architecture

Client/Server Web Architecture

Manual Labor OK Automation Essential

App on desktop App on server

Internal apps Internal & external apps

High cost for building app Low cost for building app

Annual change Constant change

10s or 100s of users 1,000,000s of users


Causing an explosion in the number of servers

1995

0.5

1996

1.3

1997

1.5

1998

1.8

1999

2.5

2000

3.6

2001

3.7

2002

4.0

2003

4.4

2004

5M serversoriginallyforecasted

Worldwide Server Shipments (millions)—Windows, Linux, Unix

Source: IDC Server Census 2003, Annual Shipments; IDC Server Census 2005, Annual Shipments

2004: 6.3Mservers shipped


And network devices

Source: IDC Worldwide Router Shipments 1990-2005

Network (routers) Installed Base & Growth (millions)

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005E

2 35 6

10

1518

27

472004: 39M

network devices


Creating a $95 billion management problem

Source: IDC 2004

Spending(USB$)

Installed Base(M Units)

2004: 20M serversinstalled & $95B spent managing

them!


There has also been more specialization of infrastructure

D

Routers

Database servers

Workstations

Load balancersSwitches Content cacheFirewallsL3 switches

A P I W

Application servers Portal servers Integration servers Web servers

Laptops PDAs Cell phones Email pagers


More infrastructure and more specialization has driven organizational silos

Security Administrators

Unix SAs

Windows SAsNetwork

Engineers

Network Operations

Help Desk DBAs

Operations Center

But the different groups are working on the same infrastructure to deliver the same services…


More infrastructure and more specialization has driven organizational silos

Security Administrators

Unix SAs

Windows SAsNetwork

Engineers

Network Operations

Help Desk DBAs

Operations Center

But the different groups are working on the same infrastructure to deliver the same services…


All multiplied by the many locations


And long, inefficient change cycles

IT Infrastructure

Manually reconcile and analyze data extracted from multiple sources

CapacityPlanning

EquipmentReallocation

PlatformMigration

SecurityPolicy

Changes

Change History

Data

Golden ImageData

MonitoringData

TicketingData

Create reports to respond to compliance requirements, corporate

audits, long term planning …

Take action in appropriate systems

for change & configuration management

Manually gather data from various sources


Resulting in overwhelming & growing operational complexity

30% Running Existing IT

15 YEARS AGO TODAY

30% New Capability

70% Running Existing

Capabilities

70% Developing

New Capabilities

IT Resource Allocation

Dramatic increase in resources

allocated to ongoing

operations


Management in the new world


Infrastructure Management • Provisioning

• Patching• Configuration• Scripting

Change & Configuration Management

The vision: efficient resource use, flexibility and a close tie with the business

Federated CMDB

• Business priorities• RCA• Response

determination

Analysis & Response

Virtualization

• Allocation/reallocation• Pooling• Grid

Resource Management

Physical Infrastructure

• Fault• Performance• Component level• Application level

Monitoring / Metering

• Sequencing• Scheduling• Process model• Change approvals

Workflow

Business / Process Layer


Infrastructure Management • Provisioning

• Patching• Configuration• Scripting


But the tools in each area have developed inconsistently

Federated CMDB

• Business priorities• RCA• Response

determination

Analysis & Response

Virtualization

• Allocation/reallocation• Pooling• Grid

Resource Management

Physical Infrastructure

• Fault• Performance• Component level• Application level

Monitoring / Metering

• Sequencing• Scheduling• Process model• Change approvals

Workflow

Business / Process Layer

Sophisticated tools to monitor at the component and application levels. New analysis and response utilities.

Emerging platforms provide necessary

capabilities.

Almost entirely manual – clearly the bottleneck in

management


Virtualization – Benefits and Challenges

Application Stack

Guest OS(Windows)

Virtual Server

Application Stack

Guest OS(Linux)

Virtual Server

Application Stack

Guest OS(Windows)

Virtual Server

Virtualization Software

Server Hardware

Benefits Reduced hardware

costs Better utilization Better space and

power utilization Enable server

consolidation Reduce hardware

management headaches

Challenges Management of

additional OS instances

Complex virtualized network management

Virtualization software management

Managing virtual to physical mappings

More complex software interactions

Increased management costs


The IT process gap

A change ticket is submitted to update the configuration on a core

router

The Change Review Board investigates and approves the change

The change is successfully completed

and the ticket closed

Management’s View


The IT process gap – now… what actually happened

A change ticket is hastily put together at midnight before the

filing deadline

Network engineers

hack together script to execute change

The first try fails

Administrator escalates to Network Engineer to

help troubleshoot

NE identifies issue and manually makes the

change – also identifies a second router will

also need to be updated

Ticket is finally closed with a brief description on the night’s events

Exhausted administrator makes mental note that peer router will need to be

updated in next window

Actual command history is lost – no way to repeat on second router!


Automation: the missing link


Opsware Process Automation – bridging the IT process gap

Root

binC:\

Documents and Settings

ProgramFiles

Autoexec.bat

Unix/Linux Windows

Registry

Network Devices

FirewallConfigurations

Switches, Routers, etc.

Ticketing System

The IT Process Gap

Opsware Process Automation Integrates with ticketing / workflow systems Captures exactly what commands would be

executed and exactly what is executed Enables collaboration and “two key” approval Tracks changes for accountability and

repeatability Maps administrator view with management view

without creating overhead


• Provisioning• Patching• Configuration• Scripting• Code Deployment


• Server Audits• Network Audits• Remediation• SOX, ITIL, HIPAA…

Audit & Compliance

Policy-Based or Ad Hoc

• Hardware• Software• Network

Automated Discovery

Automation: Addressing the complete operational lifecycle

Integ

ration

Interfaces

Incident Management & Monitoring

Central Data Repository

Member of Federated CMDB

• Assets• Change History• Compliance

Reporting

• Scheduling• Process model• Change approvals

Workflows & Approvals


What becomes possible with automation

XXX

XXX

XXX

Enabling you to…


Visual analysis and controlA new way to troubleshoot applications & services


Automated compliance


An integrated planning dashboard


A very brief overview of Opsware Inc.


Opsware Inc.1999 2002 2005

Loudcloud founded

Marc Andreessen, Ben Horowitz, Tim Howes, and In Sik Rhee

Outsource website operations

Powered by Opsware Software

20012000 2003 2004

Major customers signed

Ford

Newscorp

USA Today

Blockbuster

UK Government Online

UK Post

Loudcloud IPO

March 7, 2001

$162M raised

$400M market cap

Bankruptcies in sector

Exodus

MFN

Storage Networks

Worldcom/Digex

Williams Communications

Loudcloud becomes Opsware

Sold services business to EDS for $63.5M

Licensed Opsware to EDS for $52M over 3 years

Renamed company Opsware

Became a pure enterprise software company

Opsware off to a good start

$3M, $17M, $37M, and $59M (E) in revenue in first 4 years

250 software customers including The Home Depot, Federal Express, Comcast, Samsung, NTT, and JPMC

2 acquisitions

Major ($50M) upsell at EDS

$100M in cash

$550M market cap


Opsware Inc. Largest independent IT automation company

280+ people on 3 continents today

Largest R&D investment in this space – over 125 people

Strong financial performance;cash flow positive

Over $100 million cash balance

Initiated development of a new standard for data centers with

60+ companies backing it—DCML

$18M

$37.8M

Year 1 FY04

100% Revenue Growth

Year 2FY05


Firewalls

LoadBalancers

Switches

WebServers

ApplicationServers

DatabaseServers

RoutersNetwork Device Automation

Server & Software Automation

Automates Management of 500+ network

devices from 20+ vendors

Automates management of

Windows, Linux, Unix, servers and apps

Opsware: the most comprehensive solutionOpsware System

Desktops

Asset Management

Discovers and tracks 65,000 software

components


Customers are achieving dramatic results with Opsware automation

Customer Initiative ROI

Security compliance – enforce government security policies

98% labor savings for security certification & accreditation

Consolidation & migration – build new infrastructure to enable accelerated service delivery

80% labor savings through automated provisioning

Centralize management – manage 6,000 Nortel devices across 2,000 branch offices

2-hour mass configuration updates

Cost reduction – automate 65,000 servers across 154 sites

Savings of over $100 million

Enforce standardization – automate 1,500 devices across global data centers

Improved configuration compliance from 4% to 70% in 4 months



While IT is fundamentally more important to the business than ever before

More business is conducted directly through IT systems

Downtime has massive revenue implications

IT’s increasing importance Implications

IT can be a strategic advantage if managed properly or a massive liability if not

Every employee is reliant on many applications

Downtime has massive productivity implications

Critical business data is managed in IT systems

IT compliance is critical for regulatory compliance


IT & Lines of Business have different views of the world

CUSTOMER SERVICE

DISTRIBUTION

ORDER PROCESSINGLOBs take a services

perspective

IT takes an infrastructure perspective

Creating a disconnect between what business asks for and what IT offers


What’s needed?

XX4

XXX3

1 XXX

2 XX

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