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© Copyright IBM Corporation 2009
Karl FreundVice President, System z Strategy and MarketingJune 2009
11
The reality of living in a globally integrated world is
upon us
Economic downturn and future uncertainty
Energy shortfalls and erratic commodity prices
Slowing superpowers and
emerging economies
Increasingly complex supply chainsand empowered consumers
2
The need for progress is clear.
2
85% idleCompute capacity
Of supply chain waste
Of consumers will terminate their relationship due to a security breach
33%
$40 billion
Data doubles every 18 months
1.5x
70¢ per $1Just to run the systems
By 2011, the world will be 10 times more instrumented then it was
in 2006. Internet connected devices will leap from 500M to 1 Trillion.
2005 2006 2007 2008 2009 2010 20110
200
400
600
800
1,000
1,200
1,400
1,600
1,800
Exabytes RFID,
Digital TV,MP3 players,
Digital cameras,Camera phones, VoIP,
Medical imaging, Laptops,smart meters, multi-player games,
Satellite images, GPS, ATMs, Scanners,Sensors, Digital radio, DLP theaters, Telematics ,
Peer -to-peer, Email, Instant messaging, Videoconferencing,
CAD/CAM, Toys, Industrial machines, Security systems, Appliances
10xgrowth infive years
Approximately 70% of the digital universe is created by individuals, but enterprises are responsible for 85% of the security, privacy, reliability, and compliance.
4
It’s time to start thinking differently
about infrastructure.
5
Manage business and IT infrastructure to
work in concert
ASSETS
INFORMATION TECHNOLOGY
Building InfrastructureData Center Infrastructure
FACILITIES & PROPERTY
COMMUNICATIONSINFRASTRUCTURE
PRODUCTIONINFRASTRUCTURE
MOBILITYINFRASTRUCTURE
Infrastructure needs to become more dynamic …
= CostVIRTUALIZATION +STANDARDIZATION AUTOMATION+ Flexibility
… to free budget for new investment and speed
deployment of new capabilities.
• Manage demand to supply.
• Reroute power automatically.
• Reduce power lost in grid.
7
Building a dynamic infrastructure…
…requires an integrated, holistic approach.
8
9
High availability and quality
of existing services today …
IMPROVE SERVICE
Containing operational cost
and complexity today …
REDUCE COST
Addressing today’s security,
resiliency and compliance
challenges …
MANAGE RISK
… Providing for real-time,
dynamic access
to innovative new services.
… Achieving breakthrough
productivity gains tomorrow.
… Preparing for the new risks of
a more connected and
collaborative world.
In this smarter world, we need our infrastructure to propel us forward, not hold us back
10
IBM Systems – The right fit for a dynamic infrastructure
• IBM Systems provide choice to match diverse workload needs.
• Systems software provides rich capabilities with a consistent management approach.
• Optimized with IBM Software and Services.
• Delivering business value by helping clients improve service, reduce cost and manage risk
Systems IBM Software & Services
Management
Energy
Security
Availability
Multiple OS
Virtualization
Systems Software
Dynamic InfrastructureDynamic Infrastructure
Save up to 89% in annual energy costs with PowerVMConsolidate 10 64-core Sun M8000s into ONE rack of Power 570 systems
--Reduce floor space required by 92%
--Reduce processing cores by 90%
One Rack of Power 570s (@ 60% utilization)
� 640 total cores @ 2.52 GHz
� Over 101 sq. ft. of floor space required
10 Sun M8000s(@ 20% utilization)
� 64 total cores @ 4.2 GHz� Only 1 Rack – 7.6 sq. ft of floor space – up to $119k in energy savings per year!
See “Power 570 power and efficiency claims” and “Power 570 consolidation claims*” charts in backup for full substantiation details.
Reduce cost through consolidation on System z
Prices are in USD. Prices may vary in other countries.
Data is based on real client opportunity and on internal standardized costing tools and methodologies.
Client results will vary by types of workloads, technology level of consolidated servers, utilization factor, and other implementation requirements.
Savings will vary by client.
Consolidating 20 Solaris® servers to 10 IFLs
Can save up to 53% over SPARC IVOracle DB Workload, 3-Year Total IT Cost
Here’s a cool example:IBM will consolidate 3,900 servers to about 20
System z10 servers with expected reductions in
energy consumption of over 80%
Consolidation:
Save up to 50% over x86
virtualization
3 Year Total Cost of Ownership
Oracle DB Workload
Sun v490 (160 total cores) IBM System z10 EC (10 IFL engines)
HW SW SW Maintenance HW Maintenance People, Energy, and Floor Space
Other benefits:
Superior Resiliency & Security
Single administrator productivity
Infrastructure simplification
Lower Energy Costs
Top three reasons for savings
System administration costs
reduced 90%
Subscription and support licenses
reduced over 95%
Consolidated 292 Oracle servers to
one System z
Customer: A regional North American government
organization
$30.1M
$9.1M
70%Savings
System zx86 Servers
A government organization consolidates applications and data to drive down costs of hardware, software and management by 70%!
14
IBM Express Advantage helps mid-size businesses
build a dynamic infrastructure.� New Express servers and storage are designed, packaged and priced specifically for mid-sized businesses.
� IBM partners with infrastructure skills are ready to help
� Realize rapid ROI with new turn key appliance solutions which simplify
and speed deployment.
� Secure storage, backup, web and high availability solutions specifically for midmarket.
15
A dynamic infrastructure is a journey…
…these interrelated initiatives can provide the
DNA needed to thrive in a smarter planet.
15
Evolution of the Data Center
Virtualization
Multi-System Virtualization
Virtual Servers, Storage, Networks
Storage
Servers
Networks
V
V
V
Scale-Out Sprawl
Windows Servers
Linux Servers
Unix Servers
ManagementServers
Switches
Storage
Firewalls,Routers
WindowsServer
Linux Server
Mainframe orUnix Server
Networks
Storage
V
VV
V
V
Consolidation
Ensemble
Ensemble
Ensemble
IntegrationEnsembles
� Virtualization allows clients to consolidate like platforms for higher
utilization and lower costs
� Going forward, clients want to manage heterogeneous pools of
servers, storage and network as a single system
Platform choice – Fit for purpose
Intel
UNIX
Time Horizon
ISV Support
NonfunctionalRequirements
(Availability Scalability,
Security, etc)
Power, cooling,floor spaceconstraints
Strategic Directionand Standards
TCO Model
SkillsPolitics
PlatformArchitecture
TechnologyAdoptionLevel
DeploymentModel
Problem Size
System z
Many factors influence a platform selection, making it difficult to present a simple selection matrix.
Some factors are specific to each business, others are common to all and can be generalized
Workloads Influence Platform Choices
Transaction Processing and Database
Business Applications
Analytics and High Performance Computing
Web, Collaboration and Infrastructure
Scale
High Transaction Rates
High Quality of Service
Handle Peak Workloads
Resiliency and Security
Compute intensive
High I/O Bandwidth
High Memory Bandwidth
Floating point
Highly Threaded
Throughput-oriented
Scale Out Capable
Lower Quality of Service
Scale
High Quality of Service
Large Memory Footprint
Responsive Infrastructure
Mainframe
UNIX
UNIX Windows
UNIX
UNIX
Source: IDC WW Server Workloads 2008, IDC WW Storage Workloads 2008. UNIX = UNIX + Linux + i5OS
Most Common Choices for Enterprises Greater Than 1000 Employees
IBM Position #1 IBM Position #1
IBM Position #2IBM Position #1
A Smarter Planet will generate vast amounts of data that will be
disseminated at networking speeds. Emerging class of applications
require real-time data analysis and prediction with improved:
System Design for Emerging Workloads
PerformancePerformance
ScalingScaling
EfficiencyEfficiency
�Accelerators – enable real-time analytics
�Multi-thread chips – need for concurrent operations
�Modularity – dynamically adjust and sustain performance at peak loads
�Scale-out storage – provide repository for archiving and retrieving massive amounts of data
�Energy management – enable new levels of energy optimization
�Advanced virtualization – create single view for intelligent workload placement and mobility
�Ensembles and Clouds – manage pool of resources as single system
Hybrid Systems Today –“Fit for Purpose”
Multi-core /Virtualization
Consolidation
Fit for Purpose
Hybrid
1980 2000 2010
Value
Complex Simplified Dynamic
Hybrid Supercomputing
IFLszIIP
zAAPCrypto
Coupling
Specialty Workload Engines
Hybrid Gameframe
The Next Era of Systems Innovation
Frequency
Performance
Multi-core /Virtualization
Consolidation
Fit for Purpose
Hybrid
1980 2000 2010
Value
Complex Simplified Dynamic
IT also needs to become smarter … about newservice delivery model choices.
� Some use the word “Cloud” to describe new consumption and delivery models.
� Regardless of terminology, it is clear that these new
models are emerging for the enterprise – even if they
were first inspired by consumer Internet services.
� Self-service, economies-of-scale, and flexible
sourcing options – new choices of deployment –
define these new models.
GOVERNANCE
Public …
�Standardized services on the provider’s cloud.
�Access by subscription.
Private …
�Client owned –managed by client or services provider.
�Access defined by client.
Cloud Services
Cloud Computing Model
Considerations …�Speed & flexibility.
�Standardization.
�Security, privacy, resiliency.
New consumption and delivery models drive new sourcing options and business flexibility.
� Reduce IT labor cost by 50% in configuration, operations, management and monitoring.
� Improve capital utilization by 75%, significantly reducing license costs.
� Reduce provisioning cycle times from weeks to minutes.
� Improve quality, eliminating 30% of software
defects.
� Reduce end user IT support costs by up to 40%.
Clients have achieved significant benefits …
IBM Smart Business Offerings Making cloud computing real
Smart Business on the IBM Cloud
Smart Business CloudBuilt by IBM, deployed in
client’s data center
Smart Business SystemsPre-integrated, workload
optimized systems
•Computing on Demand **
•Information Protection Services
•Lotus Live
•Smart Business Test Cloud
•Smart Business Desktop Cloud
•Scale out File Services
•IBM CloudBurst *
•Quick start for your client’s private cloud
•Smart Business for SMB
Off premise Owned and managed by IBM with services
delivered over the internet
On premise (private)Owned by individual companies,
services delivered over the intranet,
behind the firewall
** STG focus offerings
Pre-integrated at the factory
Purpose built
Delivered and supported as a single product
Prepackaged and pre-configured servers, storage, networking and software…installed and configured
Pre-integrated at the factory
Purpose built
Delivered and supported as a single product
Prepackaged and pre-configured servers, storage, networking and software…installed and configured
IBM CloudBurst… Private Cloud Deployment Made Easy
CloudBurstCloud in a Box
Easy to order,
install, manage and scale
CloudBurstfor Service Providers
CloudBurstfor Developers
CloudBurstfor Enterprise
BladeCenter
VMware
Systems Director
Tivoli
Installation and Configuration Services
CloudBurst Architecture – Roadmap
Rack with:
1 BladeCenter Chassis,
management server, 3 managed
blades – can scale to 2 chassis
w/28 blades
VMware ESXi on all blades
Attached storage – 5.4 TB raw
capacity
BladeCenter foundation software:
Systems Director, BladeCenter
management tools, AEM
VMware Virtual Center
Service Management foundation:
Tivoli Monitoring, Tivoli Provisioning
Manager
Self-serve portal
Quick Start Services:
Install, config, training
Planning workshop
Growth workshop
V 1.1
iDataPlex
V 2.1V 1.2
Power
SystemsSystem z
BladeCenter
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www.ibm.com/dynamicinfrastructure
