Joe QuagliaPresident, Americas

Tech Data: An Indispensable Link

in the Cloud Ecosystem

IDC Statement

“The cloud marketplace tools from distributors need

to enable unified bills, under the solution provider’s

own brand to end customers.”

“That is the digital equivalent to pick, pack and

ship. It’s just done in a more timely, virtual manner.”

“Distributors are doing what they did before, but in a

digital framework − and in a more complex

environment than ever before.”

PAM MILLER

Director, Partnering

Research, Channels and

Alliances Research, IDC

Canalys Statement

“50% of cloud sales

will be via two-tier

distribution by 2019.”

Steve Brazier

President & CEO, Canalys

Key Success Measure: Seat Growth

• Paying SaaS user-seats

under management

• ~$700 M annual run-rate

customer cloud spend

• Compounding effect

leads to consistent,

more predictable growth

FY16 FY17 FY18E

0.4 M

1.1 M

3.0 M +160%

CAGR

Seat Growth

Cloud Business Model Is Highly Attractive

• Upfront investment to

acquire the customer / seats

• Recurring revenue model

and compounding takes

effect

• Margins and returns are

accretive

SG&A $

OPERATINGPROFIT $

Year 1 Year 5

Cloud Model Illustration

Vendor View: Traditional and Cloud Distribution

Traditional

Distribution

• Reach

• Integrated Supply

Chain System

• Reduced Financial

Exposure

• Market Development

• Partner Enablement

• Certifications

Cloud

Distribution

Reach

New Partner Ecosystem

More Complex;

Highly Automated

+ Multi-model

Digital Marketing

Partner Transformation

+ All New Solutions

•

•

•

•

•

•

Low Cost Route to Market

Technical Skills

Demand Generation

Partner Enablement

Credit Management

Reduce System Complexity

Financing

Solutions

Aggregation

Transacting Systems

Enablement

Relationship

Traditional

Distribution

Credit

Multi-Vendor

Manual, EDI, XML, Web

Product Training

Reseller Trust of

Sales Rep

Cloud

Distribution

Credit, Consumption,

Billing

Multi-vendor &

Solution Bundling

+ Digital Marketplace

Solutions and

Business Training

+ Protect End User Data

Reseller View: Traditional and Cloud Distribution

• Multi-Cloud Delivery

• Cross-Platform

• Burst Capacity

• Intelligent Automation

• Software-Defined Data Center

Key offerings

Hybrid

Cloud+

• # 1 AWS

• #1 IBM Bluemix

• #1 Azure growth

• 350+ Cloud Solutions

• Leadership position

• Software-Defined Data Center Plan,

Design, Configure, Migrate, Deploy

Capability

• Hyper-converged Infrastructure

• Private Cloud HW & SW Solutions

• Automation and Orchestration

• Co-Location & Datacenter

• IP & Networking Solutions

Key offerings

Private

Cloud

• Comprehensive IaaS/SaaS portfolio

• Marketplace & API automation

• N-Tier Marketplace Access

• Proactive Lifecycle Management

• Integrated Packaged Offerings

• Cloud Tools & Plugins

Key offerings

Public

Cloud

Tech Data Has an End-to-End Cloud Offering

• Converged & Hyper-converged

Leader (Gartner)

• 900K Workloads Deployed

“It’s no longer a debate of ‘is it private

versus public.’ In fact, it’s clear as day that

what is needed is more distributed computing

infrastructure — that true hybrid computing

fabric — so that you can manage your smart

city, smart factory, smart car as well as take

advantage of the public cloud.”

Satya Nadella Microsoft CEO

Global

Platform

• 25 Countries

• 18 Languages

• SaaS / IaaS / PaaS

• Cloud

• Security

• Analytics

• Mobility

• IoT

Owned

IP

• Agile, in-house built

platform

• Development

Control

• Differentiation

• Roadmap control

• Lower cost of

ownership

Deep

Functionality

• Multi-Cloud

Aggregation

• Solution Bundles

• Consolidated Billing

• Cost Optimization

• Governance / Control

User

Layer

• MarketPlace +

White label

• Vendor / Reseller APIs

• Dynamic Pricing

• Dashboards / Insights

• Subscription &

Consumption Mgmt

• Role-based Access

Service

Layer

• Catalog Mgmt.

• Metering

• Digital Locker

• Billing Engine

• Authorizations

• Containers and Micro-

services

STREAM A Global Multi-vendor, Multi-levelDigital Platform

Fully Integrated with SAP

Born in Cloud

Cloud Providers

MSPsVARs / SIs

OEMs

ISVs

Cloud Expands Our Ecosystem

Connecting the World with the Power of Technology

TM