© 2018 Nutanix. All Rights Reserved.
The Future of Enterprise
Computing
Nutanix EnterpriseCloud OS
Multiple Delivery Models
WHY HOW WHAT
$3Bin 2021
Continued Customer Growth
923 1,168 1,4121,799
2,1442,638
3,1113,768
4,473
5,382
6,172
7,051
7,813
8,870
0
2,000
4,000
6,000
8,000
10,000
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
FY16 FY17 FY18FY15
© 2018 Nutanix. All Rights Reserved.
LEADERS
NUTANIX
CHALLENGERS
VISIONARIESNICHE PLAYERSAB
ILIT
Y T
O E
XE
CU
TE
COMPLETENESS OF VISION
DELL EMC
VMWARE
HPE
CISCO
HUAWEI
PIVOT3
SCALE COMPUTING
DATACORE
HTBASE
MICROSOFT
STRATOSCALE
2018
Source: Gartner, Inc., Magic Quadrant for Hyperconverged Infrastructure, John McArthur, George Weiss, Kiyomi Yamada, Hiroko Aoyama, Philip Dawson, Arun Chandrasekaran, Julia Palmer, 6 February 2018
© 2018 Nutanix. All Rights Reserved.
Why Software?
Choice
Flexibility on spend
First step in Enterprise Cloud
More natural
For Customers For Partners For Our Reps
Better margins
Services opportunity
Existing customer base upsell / cross sell
Platform for new cloud solutions
Selling strategic value
Larger deals
Opportunity to sell ELAs
First step to Enterprise Cloud
© 2018 Nutanix. All Rights Reserved.
The Customer Journey
$1.7M
$500K
$5.2M
$200K
$2.9M
$1.7M
$200K
$4.5M
$114K
Server Virt. Test & Dev VDI
1H 2016 2H 2016 1H 2017 2H 2017 1H 2018
Software
Example #1
Based on bookings
© 2018 Nutanix. All Rights Reserved.
The Customer Journey
Server Virt. Test & Dev VDI
1H 2016
Example #2
DR Target
$200K $200K
$200K
$300K
$100K
$500K$100K
2H 2016 1H 2017 2H 2017 1H 2018
$400K
$4.7M
$300K
1H 2018
$400K
SoftwareBased on bookings
© 2018 Nutanix. All Rights Reserved.
Transformation to Software
New hire training revamped
Mid-year training focused on software selling
Software selling certification requirement
for sales
Outside firm contracted to facilitate transformation & institute best practices
Training
Recruiting
Completely revamped hiring profile:
• Manager level
• Rep level
• Technical level
Hiring
100% Software & Services based
At all levels
Best-in-class compensation tool
rolled out
Focus on margins
Compensation
Simplicity & Speed
Enterprise Purchase Program (ELAs)
Software deal desk
Financing program focusing on software
Retooling Infrastructure
131159 182
220249
288328
384435
491536
570608
642
0
100
200
300
400
500
600
700
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
FY16 FY17 FY18FY15
Growth in Global 2000 Customers
*Reflects yearly update of the members of the Global 2000 list as reported by Forbes. Global 2000 status is updated each fiscal year and historical data is revised to reflect the updated status.
© 2018 Nutanix. All Rights Reserved.
Note: Lifetime purchase multiples represent total lifetime purchase/ initial purchase*Lifetime purchase multiples for G2000 customers represent multiples for customers over 18 months**Top 25 lifetime purchases by end customer for IPO class of customersData as of 1/31/2018
Repeat Purchase Multiples
1.0x
4.1x
9.0x
22.5x
0
5
10
15
20
25
7.3x 7.4x
7.8x8.1x
8.6x
9.0x
6
8
10
Q1 Q2 Q3 Q4 Q1 Q2
Total Lifetime Purchase Multiples Total Lifetime Purchase Multiples of G2K*
FY18FY17
Initial Buy G2K Customers >
18 mos*
Customers > 18 mos
Top 25**
Cumulative End-Customers with Lifetime Purchases > $1M
35 47 60 80108
136 154
208256
295341
404
478
541
0
100
200
300
400
500
600
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
FY15 FY18FY16 FY17Based on bookings
© 2018 Nutanix. All Rights Reserved.
Drive Technology Adoption with Nutanix
HyperconvergeMultiCloud(CALM, Xi)
Build & Deploy Cloud Native Applications(CALM Market
Place)
Expand Workloads
(AHV, Prism Pro, AFS, ABS, ACS)
Embrace Full Cloud Atack
for Ent Apps –Virtualization
(AHV)
Adopt HCI –DC
Modernization(AOS/Prism)
Incr
easi
ng A
dop
tion
Become Operationally Efficient
1 2 3 4 5Consistent
Results for Each Deployment(Deployment
best practices)
Standardization(Versions, run books, change
controls)
Improve Service Levels
(Active monitoring, auto alerts)
Proactive & Pre-emptive Operations (Pulse-based insights, best practices for
process & tools)
Automation to Improve
Productivity(API scripts for common tasks)
Realize Business/ Financial Benefits
1 2 3 4 5Basic Financial
Awareness(e.g., Nutanix
vs 3 tier)
InfrastructureTCO Benefits
Business Services Benefits(e.g., VDI,
Critical Apps)
IT Strategy(e.g., Hybrid
cloud decisions)
BusinessStrategy
(LOB decisions)
Become OrganizationallyProficient
1 2 3 4 5Basic Product
Knowledge(POC/HPOC, Nutanix Bible)
Successfully On-boarded
(Sandbox, design workshops)
InfrastructureExpertise
(NPP, Education plan for user
groups)
InfrastructureProficiency
(NPP+, NPP++, NPX)
Application Level
Expertise(NutanixCertified
Advanced Architect)
© 2018 Nutanix. All Rights Reserved.
Large Account Growth
34% 29% 24% 23% 24%
36%32% 35% 29% 26%
30%39% 41% 48% 50%
Q2 Q3 Q4 Q1 Q2
FY17 FY18
SMB(<500 employees)
Mid-Enterprise
Large(>5,000 employees)
Based on bookings
High Performance Sales Culture
Transformation Toward Software
Large Account Focus
Keys to Success Going Forward